United Kingdom

The 'Market State' Prediction Went Terribly Wrong

"In retrospect the idea that an increasingly internationalized political elite would automatically remain faithful agents of their own populations should have rang alarm bells." Who are the internationalized political elite faithful too?

"The European Project Was Always Bound To Fail" - Europe Without The Union

Any project attempting to fuse these disparate cultures into one monolithic state over the course of just 70 years was by its very nature doomed. It would inevitably encounter insurmountable levels of nationalistic resistance, and eventually the project would stall. That is the point at which we now find ourselves.

Visualising America's "Irrelevant" Exports & Imports

The U.S. Census Bureau recently released its data on U.S. trade in goods by selected countries and world region for 2015. Based on the data, the U.S. exported over $1.5 trillion and imported over $2.2 trillion in goods throughout 2015. This leaves leaves the U.S. with a negative balance of $735 billion! So the next time someone comes on TV and proclaims that the collapse in world trade volumes is irrelevant to the US equity market and US economy... perhaps point them in this direction.

Frontrunning: March 3

  • Global stocks, oil dip, but markets calm down as growth fears ease (Reuters)
  • Greece cannot carry migrant burden on its own: PM Tsipras (Reuters)
  • New Migrant Crisis Flares in Greece (WSJ)
  • Qatar's BeIn Media buys U.S. film studio Miramax (Reuters)
  • Nanny who beheaded Russian girl cites revenge for Putin's Syria strikes (Reuters)

Why Globalization Reaches Limits

We have been living in a world of rapid globalization, but this is not a condition that we can expect to continue indefinitely.

Terminal American Apathy - A Population Perfectly Ripened For Authoritarian Control

When considered carefully, apathy - American apathy - is a serious crime. A crime against world humanity. The checks and balances by humans on Empire are permissively missing in empirical America. Americans are thus complicit in the further daily destruction of the remaining world they wish to know little about. When the dust of the oncoming rampage of history has settled over the folly of this American empire, guilt for its accumulated horrors will sit squarely on the American people’s heads, as much as the shoulders of their obviously treasonous politicians.

"Another Crisis Is Certain", Warns Former BOE Chief

"Whatever can be said about the world recovery since the crisis, it has been neither strong, nor sustainable, nor balanced. There seems little political willingness to be bold, and so perhaps we should fear that the size of the ultimate adjustment will just go on getting bigger."

G-20 Needs To "Man Up" Or Risk Sparking Market Chaos, Citi Warns

“Keeping the previous language would be very disappointing and would be viewed as either complacent or reflecting policy paralysis. [They need to] man up and tell member countries that monetary policy should be accompanied by fiscal expansion.”

Cable Gets Pounded

Amid the biggest weekly drop in GBPUSD (cable) in 7 years, a surge in UK credit risk, and a spike in cable volatility, Brexit risk has never been higher, but, as Citi notes, is only 30% priced in at current levels (while polls are more 50-50) even as The British Pound is plumbing 30-year lows versus the U.S. Dollar.

Canada Sells Nearly Half Of All Its Gold Reserves

The government of Canada sold off nearly half its gold reserves in recent weeks, continuing a pattern of moving away from the precious metal as a government asset. According to the International Monetary Fund’s International Financial Statistics, Canada held three tonnes of gold reserves as of late 2015. The latest data, published last week, show the total Canadian gold reserves now stand at 1.7 tonnes. That’s just 0.1 per cent of the country’s total reserves.