Prudential

"A Volatile Autumn": Buckled Up For Structured Criticality

Structured criticality is a property of complex systems in which small events may trigger larger events due to subtle interdependencies between elements. This often gives rise to a form of stratified chaos where the general behavior of the system can be modeled on one scale while smaller- and larger-scale behaviors remain unpredictable.

Frontrunning: August 11

  • Trump: military solutions 'locked and loaded' against North Korea threat (Reuters)
  • Any Korean war could quickly escalate (Reuters)
  • Could a North Korean Nuclear Missile Hit the White House? (BBG)
  • Standoff Leaves China With Few Options (WSJ)
  • Trump and Kim's War of Words Has Asia Bracing for Conflict (BBG)

Europe's Banking Dysfunction Worsens

Investors who think that Europe is close to adopting an effective approach to dealing with failing banks may want to think again....

22 Troublesome Facts

Below are 22 troublesome facts explaining why the herd may, in fact, have it wrong.

Janet Yellen Is About To Speak: Here's What To Look For

Fed Chair Yellen will be testifying to the House Financial Services committee at 1000EDT, followed by testimony tomorrow before the Senate Banking Committee, however her prepared remarks will be released 90 minutes earlier, at 8:30am. Courtesy of RanSquawk, here are the main things to look for in her prepared testimony as well the subsequent Q&A...

"It's Too Late" - 7 Signs Australia Can't Avoid Economic Apocalypse

"Millions of ordinary, financially unprepared, Australians are now at the mercy of the international markets and foreign policy makers... Unfortunately, the window for taking pre-emptive action with an orderly unwinding of structural macroeconomic imbalances has now closed..."

Stockman: "We're On The Fast Track To 'Carmageddon'"

"...booming economic growth is exactly what is priced into the still soaring stock market averages. But the Carmageddon story is evidence of the rot which lies beneath today’s mutant economy and lunatic financial bubbles..."

Oil Bear Market Sends Global Stocks, Yields Sliding; Chinese MSCI Addition Fizzles

In an eventful overnight session which saw a historic transition in Saudi Arabia, an unexpeted Republican victory in the Georgia Special Election, China's inclusion in the MSCI EM index and Travis Kalanick's resignation, S&P futures continued to fall, alongside stock markets in Asia and Europe, while oil prices extended their drop despite a larger than expected draw reported by API on Tuesday.