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.
Latest Shock From Europe's Refugee Crisis: Austria Right-Wing Party Sweeps First Round Of Presidential ElectionSubmitted by Tyler Durden on 04/24/2016 14:22 -0400
The fallout of popular anger emanating from Europe's refugee crisis continued today with a dramatic result from the first round of Austria's presidential election, where initial results showed that the candidate of the Freedom Party, Austria's right-wing, anti-immigrant party has swept his competition, gathering over 35% of the vote and leaving the other five candidates far behind.
Erdogan may have finally gone too far following the arrest of a Dutch-Turkish journalist, Ebru Umar, who was detained early on Sunday at her home in Turkey for tweets deemed critical of the Turkish president according to her Twitter account. Or maybe not: after all Europe needs Turkey now more than ever to halt the mass flow of Syrian refugees within its borders or else virtually all ruling parties in Europe are threatened with being replaced in any upcoming elections. And Erdogan knows this.
The SPV Loophole: Draghi Just Unleashed "QE For The Entire World"... And May Have Bailed Out US ShaleSubmitted by Tyler Durden on 04/22/2016 17:38 -0400
"The ECB stands ready to buy bonds from Euro Area issuers even when their parent companies are outside of the bloc. Already we can find a number of US, UK and Swiss headquartered names that issue out of SPVs incorporated in the Euro Area. If this trend to SPV issuance catches on, then the ECB’s policies will likely be very reflationary for all credit markets across the globe, and because of a likely refinancing wave – equity markets too."
Europe looks like a dying civilization. European political leaders know that every decision they make may provoke reactions among the Muslims living in Europe. Muslim votes matter. Riots occur easily. In France, Belgium, other European countries, Islamists are present in the army and police forces. In the meantime, Islamist organizations recruit and Islamic lobbies gain ground. European governments are now hostages. The European media are also hostages. Political movements expressing anger and concerns are rising. All are demonized by political power holders and the media. They have almost no chance of gaining more influence. Populations are gnawed by fear, frustration and impotence.
With everyone from ivory tower academics to sin-street hookers proclaiming the need for and benefits of a "war on cash" to save the world from criminals and tax-evaders (oh yeah and to stop NIRP-driven savers from hording cash and crushing central planners' dreams), it is perhaps shocking that Bundesbank board member Carl-Ludwig Thiele warned at an event this week that the attempt to abolish and criminalize cash is out of line with freedom. He said that citizens should continue to decide how and in what form they want to use their money.
"Unless a miracle happens and the European and Japanese economic cadavers suddenly sit up and rub their eyes, central banks will eventually have to give up and admit defeat. The hope will be that not too much damage has been inflicted.... But that is central banking for you, in the era of leverage: take from the savers and give to the borrowers in the hope that they will "do something".Not so far, they’re not … they’re just punting it on real estate."
Good news is still bad news after all. After last night's China 6.7% GDP print which while the lowest since Q1 2009, was in line with expectations, coupled with beats in IP, Fixed Asset Investment and Retail Sales (on the back of $1 trillion in total financing in Q1) the sentiment this morning is that China has turned the corner (if only for the time being). And that's the problem, because while China was a good excuse for the Fed to interrupt its rate hike cycle as the biggest "global" threat, that is no longer the case if China has indeed resumed growing. As such Yellen no longer has a ready excuse to delay. This is precisely why futures are lower as of this moment, because suddenly the "scapegoat" narrative has evaporated.
EU President Is "Sad" After Dutch Reject "Closer Ties" With Ukraine In Huge Victory For EuroskepticsSubmitted by Tyler Durden on 04/07/2016 09:49 -0400
After yesterday's shocking Dutch referendum outcome, in which a vast majority of local voters rejected a Ukraine-European Union treaty on closer political and economic ties, seen by many as an indication of "Euroskepticism", moments ago European Commission President Jean-Claude Juncker explained how that made him feel. According to Reuters, "he was saddened by the outcome." "The president is sad," European Commission spokesman Margaritis Schinas told a regular news briefing.
The outcome of a non-binding Dutch referendum on broader European Union ties with Ukraine was too close to call on Wednesday, with a vital turnout threshold hanging in the balance, exit polls showed. The vote, launched by anti-EU forces, is seen as test of the strength of eurosceptics on the continent just three months before Britain votes on whether to stay in the European Union.
While the Pfizer-Allergan $160 billion merger may be the most notable casualty of the Treasury's decree, there are various other deals working on corporate inversion deals or who have carried out inversions in the past. They are shown in the list below,
The market's slumberous levitation of the past month, in which yesterday's -0.3% drop was the second largest in 4 weeks and in which the market had gone for 15 consecutive days without a 1% S&P 500 move (in March 2015 the sasme streak ended at day 16) may be about to end, after an overnight session, the polar opposite of yesterday's smooth sailing, which has seen a sudden return of global risk off mood.
How many Muslims will this ISIS virus be able to infect in the vast European "gray zone"? The answer will determine our future.
Global trade contracting, Wal-Mart posting its first ever decline in revenues... stocks on the edge of a cliff.
Will We Learn History ... Or Repeat It?