With Eurasia, Eastasia, and Oceania strategic shifts in play, and for lots of other reasons, Orwell should be on our minds at present. So should Huxley.
"Markets have climbed back ... with stocks proving the doubter wrong yet again as a world of stimulus trumps the reality of economic and health struggles."
Beijing is stuck between a rock and a hard place, on one hand urgently needing more rate cuts, and on the other unable to implement them without causing another round of bank-sector impairments and potential failures.
The coronavirus response, monetary debasement, and George Floyd riots have clearly demonstrated to the honest and the productive that governments offer them less than nothing...
He may have avoided prison for the time being, but the financial pain for Markus Braun, CEO of the biggest corporate fraud in German history is just starting.
"The sharp divergence between credit and activity observed in the US, the eurozone and China is particularly unusual and highlights how different this crisis is relative to the GFC."
The average hedge fund gross book rose another +4.4% to 246.6% (93rd percentile one-year) while Net leverage rose further +1.6 pts to 75.1%, putting it in the 99th percentile.
"...you'll wake up inside your Mercedes in a god-forsaken patch of urban wreckage, all the doors will be locked and you won't remember even leaving the party, much less how you got here."
$10.4 trillion in fiscal stimulus and $7.9tn in monetary stimulus - for a grand total of 20.8% of global GDP, injected mostly in just the past 3 months!
"I’m sharing this trade ... so you can hail me as the obliterating moron that infamously shorted the greatest rally floating weightlessly ever higher above the worst economic and corporate crisis imaginable..."
Largest liquidity driven bear market rally since 1929, creating the largest asset bubble inside of the worst global recession in decades... this won't end well.
