Global Economy

Goldman: "Investors Are Increasingly Concerned About An S&P Drawdown"

One day after covering its long-standing long dollar call (coincidentally, just one week after former Goldman COO Gary Cohn urged Trump to flip on his own "strong dollar" policy), Goldman has gotten even more cautious and in a note released this morning it warns that "Investors are increasingly concerned about an S&P drawdown." Here's why.

UBS: "The Current Market Configuration Is The Opposite Of February 2016"

Soft data momentum has been strong for some time, pulling expectations higher too. The change in global data surprises has reached levels it typically mean-reverts from. In the meantime, market volatility across all assets has declined sharply. This configuration, the opposite of that in Feb 2016, warns us against adding risk aggressively now.

How Government Meddles In Your Easter Chocolate

So, yes, to help cacao farmers, we should indeed buy more chocolate. But we should also recognize that those workers are locked out of a variety of related higher-wage industries by protectionist governments in the wealthy West.

UBS Reveals Who Was Responsible For The Global Reflation

"For a spell in Q4 2016 the US was certainly the flag bearer of the reflation trade. However, before and since it was China at the epicentre of the most significant positive growth shock for the global economy."

SocGen: "A Final Purge Of All Bearish Bond Sentiment May Cleanse The Market"

"I see no reason for USD/JPY to stop this side of 108. 2.29% this morning on nominal US 10s sees them below their recent range and real yields are 37bp now. Only a fall in US nominal yields to 1bp is avoiding the relative picture being even uglier but that just highlights the BOJs impotence in the face of lower global (US) yields."

Mac Slavo Warns Prepare For War: "It's Going To Obliterate The Global Financial System..."

"You know what’s so tragic about America? Despite all of the wars our nation gets involved in, we’re secretly one of the most peaceful cultures on the planet... We’ve been voting for peace for nearly 20 years now, and all we get is war. That should really tell you something. It should tell you that our system doesn’t care about what the president stands for, or what the voters want."

From "Dissensus" To "Democrazy": A Warning From Deutsche Bank

As anger and resentment continues to pile up after the recent "populist" disappointments, just how will the massed millions express their frustrations and anger with a system which is more broken - both politically and economically - by the day? Unfortunately, the all too obvious answer is most likely the correct one.

How To Trade The Trump-Xi Summit

The summit between Donald Trump and Xi Jinping is arguably the most-anticipated meeting of the U.S. leader’s presidency so far. How will financial markets react to the tete-a-tete in Florida? Several trades and analysts share their views.