Just how much will society take before they say no?
If Carl Icahn, whose $6.8 billion in AAPL holdings makes him nearly a 6x bigger holder of the stock than the Swiss National Bank, is correct and AAPL is truly worth $240/share today, or about $1.4 trillion, roughly equivalent to 9% of US GDP, then this is how AAPL would rank if it were a sovereign nation...
The Greek mess has lit a fire under Gold again, which appears to have bottomed in both the Euro (blue) and the Japanese Yen (red). The one exception is Gold priced in US Dollars mainly because the US Dollar has been so strong for much of the last 9 months.
As the economic calendar slowly picks up following the NFP lull, we are looking at a busy week both globally and in the US, where an army of Fed speakers culminates with a Yellen speech on Friday at 1pm in Rhode Island.
"The UN's forecasts misrepresent underlying demographic dynamics - the future we face is not one of too much population growth, but too little."
Even as the establishment of new supranational lenders suggests the US-dominated multilateral institutions that have characterized the post-war world are proving unable to meet the needs of modernity, both Congress and the President have stymied IMF reform measures, sending a message to China and others that US hegemony will not die without a fight.
A look at the economic data and market psychology as a new week begins.
With each passing year the currency fell in value to ever more absurd depths until by November 1923 an ounce of gold - which had cost 170 Marks only five years previously - was trading at 87,000,000,000,000 Marks per ounce. Silver saw similar price gains (see chart) - or rather to put it more accurately silver too remained a store of value and maintained purchasing power as the currency collapsed.
The ECB warns Athens that Greece is rapidly approaching the "end game", as Tsipras sticks to 'red line' rhetoric. Meanwhile, FinMin Varoufakis claims the country will pay wages and pensions this month, but a leaked IMF memo indicates Greece will default on June 5 if it does not strike a deal with creditors by the end of the month.
By failing to prepare, you are preparing to fail
"Global trade of goods and services has been in the doldrums [and] if predominantly structural, EM economies should not count on meaningful demand boosts coming from above-trend growth in DM. With Fed rate hikes looming, a jammed trade channel means less growth offsets to the anticipated tightening in financial conditions."
An increasingly desperate Greek government is once again playing the war reparations card, this time by looping video clips of the Nazi occupation on public transportation (because no Greek commute is complete without a bit of anti-German agitprop). Meanwhile, Varoufakis says he wishes Greece would have never entered the monetary union.
What’s left for Greece in Brussels that is beneficial to the country? We don’t see it. It makes us think more of a Stockholm syndrome by the hour. Get out, get your own currency, negotiate a treaty with Italy and Spain, maybe France. But don’t stay in a ‘union’ with outsiders who think they can tell you, Greeks, how to run a democracy, or when to hold a referendum. That can only be a road to nowhere.
"The head of Germany's Bundesbank ripped into the European Central Bank on Thursday, saying emergency funding for Greek banks broke the taboo of financing governments and it was not up to central banks to decide who was or wasn't in the euro zone," Reuters reports.
Germany throws its support behind a Greek referendum on euro membership while Putin invites Athens to join BRICS Bank. Meanwhile, Yanis Varoufakis has a plan for resolving Greece's debt problem — and he imagines the ECB chief is terrified of it.