"Sell in May and go away" -- the old equity-market adage still holds water, but, as Bloomberg's Mark Cudmore explains, it's important to note how the seasonals have evolved since the great financial crisis.
"248 pages of leaked Transatlantic Trade and Investment Partnership (TTIP) negotiating texts” show that the American negotiating position, as Greenpeace put the matter, allows "No place for climate protection in TTIP,” and, though "We have known that the EU position was bad, now we see the US position is even worse.”
In Davos, they chug bottles of Chateau Lafite Rothschild and plot how to pillage small nations. At Berkshire, we will eat Dilly bars and plot how to pillage the middle class. Capitalism is beautiful and crony capitalism is the end product of politicians who prostitute the laws. I don’t have the power to change the current rules, but I can certainly learn to thrive within them.
The Vision for 2030 is mostly smoke and mirrors. Saudi Arabia probably cannot replace the money it will lose if oil goes out of style and so is doomed to downward mobility and very possibly significant instability. It has been a great party since the 1940s; it is going to be a hell of a hangover.
For those who thought that the world's biggest company losing over $40 billion in market cap in an instant on disappointing Apple earnings, would have been sufficient to put a dent in US equity futures, we have some disappointing news: with just over 7 hours until the FOMC reveals its April statement, futures are practically unchanged, even though the Nasdaq appears set for an early bruising in the aftermath of what is becoming a disturbing quarter for tech companies. Instead of tech leading, however, the upside has once again come from the energy complex where moments ago WTI rose above $45 a barrel for the first time since November after yesterday's unexpected 1.07 million barrel API inventory drawdown.
"As a skeptic of man-made global warming, I love our environment as much as anyone. I share the deepest commitment to protecting our planet for our children and grandchildren. However, I desperately want to get politics out of the climate debate. The Paris climate agreement is all about empowering the U.N. and has nothing to do with the climate."
- World stocks gain along with oil, clock ticks down to ECB (Reuters)
- Draghi Expected to Defend ECB in Face of German Criticism (WSJ)
- Trump, Cruz, Kasich seek to win over Republican leaders at party meeting (Reuters)
- Donald Trump Plans to Adopt More-Traditional Campaign Tactics (WSJ)
- Japan, Not Germany, Leads World in Negative-Yield Bonds (BBG)
The Winter of 2015-2016, which came to an end a few weeks ago, has been officially designated as the mildest in the U.S. in 121 years according to NOAA. While this fact will certainly add a major talking point in the global warming debate, it should also be front and center in the current economic discussion. The fact that it isn’t is testament to the blatantly self-serving manner in which economic cheerleaders blame the weather when it’s convenient, but ignore it when it’s not.
Anybody paying into a pension or trying to manage an endowment that needs to be there in 30 or 40 years (or forever, as is the case for university endowments) needs to understand that projections based on prior rates of economic growth are fantasies, hatched when we had the luxury of pretending there were no energy limits. The restructuring of our energy economy, if taken under our own terms and on our own timelines, will utterly crush traditional economic growth as we’ve come to know and love it.
Our structure of government being a republic rather than a democracy invites oligarchy. There has never been a single republic that has ever proven to work. The mixture of money and power always becomes lethal. This is why we blame government, not the oligarchs. They could not buy politicians if they were not (1) career lifetime politicians, and (2) all-powerful law creators. Taxes and regulations become the incentive for the oligarchs to buy government. If we eliminate taxes and career politicians, we will solve most of the problem.
The future of America's energy policies will heavily depend on who our next president is. Each presidential candidate has strong views on energy policy...
Given that we all have to eat and that there are some concerning environmental developments out there, here’s an interesting question: has global warming led to higher or lower food prices (thus far)?
In a few moments Mitt Romney will unleash fire and brimstone on the frontrunning republican candidate, accusing Donald Trump of being "a phony and a fraud", in the clearest indication yet of just how panicked the establishment is. Watch the speech live below, while keeping an eye on Trump's own twitter comments annotating Romney's speech with what is certain to be very colorful language.
"central bankers seem ever intent on going lower, ignorant in my view of the harm being done to a classical economic model that has driven prosperity – until it reached a negative interest rate dead end and could drive no more."
We are living in a world in which a handful of high-tech companies, sometimes working hand-in-hand with governments, are not only monitoring much of our activity, but are also invisibly controlling more and more of what we think, feel, do and say. The technology that now surrounds us is not just a harmless toy; it has also made possible undetectable and untraceable manipulations of entire populations – manipulations that have no precedent in human history and that are currently well beyond the scope of existing regulations and laws.