Saxo Bank: 2014 Is The Year Of The Low

Tyler Durden's picture

When 2014 started, expectations were sky high and as Saxo Bank's Chief Economist Steen Jakobsen notes, policymakers and their support organisations like the OECD, the International Monetary Fund and the World Bank were all quick to call the crisis over and project a true recovery. Now just five month into the year we have seen nothing but disappointing data both relatively speaking but certainly also in absolute terms. As the following presentation outlines, Jakobsen believes we will see new low yields in this cycle this year and that 2014 will also be the year of the low in terms of: inflation expectations, wage/salary, velocity of money, loan demand, lack of reform, and innovation reforms.

As Jakobsen notes,

our projections are starting to pan out: Germany is slowing down as a consequence of Asian rebalancing, which is a derivative of the fact that the US is no longer running a USD 800 billion current account deficit.


Full presentation:

2014 May Update Macro Presentation

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_ConanTheLibertarian_'s picture

What about decade of the low. That's more like it. The worst is yet to come.

knukles's picture

Every year, quarter, major economic release, somebody's calling the bottom and projecting a green shoots, robust, self-sustaining, etc., etc., etc driven recovery.
Yet to happen.
And every quarter, year, major economic release, some others are seen to project Armageddon, end of times, collapse of the whole enchilada, and ...
Yet to happen

Ladies and Gentlemen...
This is exactly how it ends... shriveling, whimpering, eroding, slowly, slowly, such that the main body politic does not realize full well that the erosion is constant, complete and never ending, but is deflected, demeaned and diverted by the propaganda, money printing , bread and circuses while the oligarchy robs the body politic blind.
That's how it always has been and there's no reason for it to be different this time around.
Enjoy the Chinese Water Torture, keep on bitching..

In fact, the very existence of ZH is an outlet for those so attuned, a medium to keep you off the streets ....
Don't go down that rabbit hole, because you'll never ever be able to come back sane...

Booyah, motherfuckers.

DavidC's picture

Spot on Knukles.


Caviar Emptor's picture

This is exactly how it ends... shriveling, whimpering, eroding, slowly, slowly, such that the main body politic does not realize full well that the erosion is constant, 

Ahh music to the ears of a biflationist, Knuckles. The fact there is no Armageddon AND no green shoots beanstalk growing to the sky is all a manifestation of the non-fanfare erosion that biflation is inflicting on the economy, the currency and the global macro dance. It is the key to understnading all of the paradoxes we now behold and which our pedantic banko-politico "Experts" cant seem to fathom

Sudden Debt's picture

I give that report 500 extra points on the dow... at least

and if that doesn't work out, go all in on the second race on a horse called limping legg. 3000 to 1..... can't lose...

El Oregonian's picture

SUX-O Bank, where your money are belong to us!

pendragon's picture

agreed but you can't fault the research

SAT 800's picture

This is the only major Bank whose predictions I've seen that are worth shit. they're a wonderful bank; they don't do stupid things, they are'nt going to get themselves in trouble. And they have an online trading program where you can do FX and Gold and Silver. Their trading platform is impeccable; they actually answer the phone; they don't make mistakes. Very worth checking out for your trading activity.

BurningFuld's picture

But do they have the HFT edge?

fiboman's picture

A bit expensive though...

Yen Cross's picture

      I wish I had a '64 dime for everytime a bank changes it's projections. I'd be a fucking trillionaire with Oprah as my personal cook...

SAT 800's picture

I had a trading account with Saxo-Bank for about a year; I was amazed at the service and the overall quality of the trading platfom. Even tho I only had a moderate sized account, they assigned me personal contact in their London Brank, (headquarters in Denmark), who actually answered the phone, on his desk !; and could tell me instantly whatever the answer was to my question.  Highly reccomended.

KingFiat's picture

But, but... Saxo Bank must be right. This bank is named after Saxo Grammaticus, one of the oldest known historians and authors in Denmark. He collected and wrote down the old stories about the vikings from over a thousand years ago.

And the Danish vikings were great financial innovators. For example they invented the income tax during their occupation of England more than a thousand years ago. They wanted to maximize their profit from the occupation, while minimizing risk. If they robbed too much they knew there would be an uprising against them, ending the occupation and their income stream from the occupation. So they decided to only rob the English people of a percentage of their income. This way none of their victims would be inconvenienced enough to start an uprising against them, and they could rob people of the maximal possible amounts. Just like banks and governments do today.

I think all the other governments who copied the idea of the income tax should pay a percentage of their income to the Danes. After all, it is not fair to copy the ideas of others without paying for it.