Despite the near-term improvement and cautious optimism from some within the ECB, markets remain decidedly sceptical that the move is sustainable. The ECB’s preferred market-based measure, the 5Y5Y inflation swap, remains stuck near 1.3%
Along with a continued global slowdown, a deadly virus outbreak could derail consumer spending habits across Asia that would ultimately weigh on global trade...
Should the US resort to more Hamiltonian policies versus everyone, not just China, then we are in for real financial market turbulence ahead given the role the US Dollar plays today compared to the role gold played for Smith and Ricardo!
...central banks will require sustained geopolitical conflict to shape the future design of the financial system. They are already headlong in devising that very system through the reformation of global payment systems.
It’s critical to understand that financial war is not a sideshow. It may actually be the main event in today’s deeply connected and computerized world...