recovery

"Willful Blindness"

"...analysts are once again hoping for a “hockey stick” recovery in earnings in the months ahead... few, if any, Wall Street analysts expecting a recession at any point the future...because optimistic analysis supports our underlying psychological “greed”, all real scrutiny to the contrary tends to be dismissed. Unfortunately, it is this “willful blindness” that eventually leads to a dislocation in the markets."

Bill Blain: "The US Is Now Looking Like A Deflated Drunken Uncle"

"With the US now looking like a deflated drunken uncle, the focus is firmly fixed on what Mario Draghi says on Thursday at the ECB meeting. Does he confirm Euro strength with a bullish assessment of Eurozone recovery, and hint at an early taper and normalisation… Or does he step back, go soft and mushy, and make some “kick that can down that strasse” comments?"

Dollar Tumbles, Euro Soars After Obamacare Repeal Dies; China Intervenes To Halt Rout

The Bloomberg Dollar Index tumbled to a fresh 10-month low after two more Republican defections on Monday night doomed the proposed GOP healthcare plan in the Senate. And while Treasuries rose on concerns about inflationary pressures and the viability of the Trump stimulus agenda, S&P futures rebounded gingerly from session lows, and were up 0.1%

When A "Black Swan" Will No Longer Do: China Warns Beware The "Gray Rhino"

In surprisingly stark commentary, China issued a warning that the economy finds itself in a backdrop of growing enterprise debt, an overheating real estate market, and overcapacity in such sectors as low-end manufacturing, and cautioned investors that a "gray rhino" may be coming.

Canadian Home Sales Crash In June

The Canadian Real Estate Association says home sales in June posted their largest monthly drop since 2010, with the Greater Toronto market leading the decline.

Sleepy Overnight Session Interrupted By Chinese Market Turmoil

While it was indeed a generally quiet session (with Japan markets closed), US equity futures continued their run into record territory (ES up 0.1% to 2,458.50), and Europe fractionally lower, the early Monday focus was on the previously discussed turmoil for Chinese markets where despite a solid set of Chinese data small caps tumbled, selling off into the close after further warnings of regulatory scrutiny and deleveraging,

China's Ghost Recovery

"No matter how many times in the Western media they say demand is robust, catching up, or resilient, the Chinese know better...Economists called it “stimulus” and still do, but in truth it was actually the last option in maintaining the (recovery) lie."

Adventures In 'Quantitative Tightening'-Lane

"Here, in the spirit of modest contemplation, we offer several hunches, inklings, conjectures, and guesses as to what quantitative tightening might mean. These are not predictions. They’re merely a starting point from which you can extend out your own visions into the future..."

All Conundrums Matter

"...the monetary history (including eurodollars) of the 21st century comes out very different than the monetary policy (eurodollars don’t matter) history of the same period. The latter leads to drug addicts and Baby Boomers as an eventual excuse for how QE and ZIRP performed about as well as monetary policy in 2001, 2002, and 2003. The former leads us to answers..."

Congress Begins To Ask If Amazon Is Getting Too Big, Antitrust Hearing Called

Is Amazon getting too big? While that question has yet to be formally asked by the US government, on Friday we got a hint that it may be next on the agenda after the top Democrat on the House Antitrust Subcommittee, David Civilline, voiced concerns about Amazon's $13.7 billion plan to buy Whole Foods Market.