India

BofA: "Central Banks Are Now In A Desperate Dilemma"..."Start Buying Volatility"

"Central banks, the reason behind high asset prices and low vol, are now in desperate dilemma: politically unacceptable for bubble on Wall St, but central banks will be tightening into deflation; inflection point for volatility is upon us and we recommend investors buy volatility....Fed tightening in 2017 could easily be followed by easing in 2018, in our view."

Frontrunning: June 16

  • Russia may have killed ISIS leader Baghdadi (Reuters)
  • About 4,000 more US troops to go to Afghanistan (AP)
  • Insurers Look to Ramp Up Premiums in Health Law Exchanges (WSJ)
  • U.N. envoy urges North Korea to explain why freed U.S. man is in coma (Reuters)
  • Wal-Mart Offers a Refuge for Sellers Tired of Amazon  (BBG)

Quiet Start To Quad Witching: Stocks Rebound Around The Globe, BOJ Hits Yen

Today is quad-witching opex Friday, and according to JPM, some $1.3 trillion in S&P future will expire. Traditionally quad days are associated with a rise in volatility and a surge in volumes although in light of recent vol trends and overnight markets, today may be the most boring quad-witching in recent history: global stocks have again rebounded from yesterday's tech-driven losses as European shares rose 0.6%, wiping out the week's losses.

Is Kashmir The Trigger For Nuclear War?

At this moment the disagreement between India and Pakistan over Kashmir is one of the world’s most dangerous confrontations. It could only too easily lead to nuclear war, given Pakistan’s preparedness to use tactical nuclear weapons if Indian forces penetrate Pakistani territory, as they will probably do if there is a major fire-exchange incident along the Line of Control.

Indians Have A Choice: Buy The iPhone 6S Or Pay For One Year Of Groceries

According to Mizuho, the average Indian consumer has a choice: buy the iPhone 6S, or pay for one year’s worth of groceries, four years’ worth of cell phone payments, one month’s rent for a two-bedroom apartment, four years of monthly cable bills, one year of gas spending and one year of grocery bills. We wonder what they will choose...

GE CEO Jeff Immelt To Step Down

In a major shakeup at one of the largest US industrial conglomerates, General Electric said Monday Jeff Immelt, 61, would step down as CEO and Chairman, a move that had been expected by many. John Flannery, 55, the company’s current president and CEO of GE Healthcare, will take over as companywide CEO effective August 1, concluding a 16 years period during which the stock price of GE has barely budged.