Posts Tagged ‘Euro’
December 13, 2018
Gimme some truth. That is what John Lennon craved back in 1971. In 2018, it seems that investors and traders crave the same thing:
I’m sick and tired of hearing things
From uptight, short-sighted,narrow-minded hypocrits
All I want is the truth, just Give me some truth
I’ve had enough of reading things
By neurotic, psychotic, pig-headed politicians
No short-haired, yellow-bellied, son of tricky dicky
Is going to mother hubbard soft soap me
With a pocketful of hope
Money for dope, money for rope
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Tags:Brexit, British pound, ECB, Euro, Mario Draghi, SNB, Swiss Franc, Thomas Jordan
Posted in Currency, ECB, SNB, UK | 8 Comments »
October 24, 2018
After the Swedish Riksbank’s decision on Wednesday to keep rates at -50 basis points and pledging to raise rates in the coming months, the Bank of Canada met market expectations by raising its overnight rate by 25 basis points. The most important information from Governor Poloz is that the BOC raised rates even though last week’s inflation data was much softer than expected. The BOC official statement noted that the global economy is solid, the reconciliation over the USMCA is positive and “rates to rise to a neutral stance to achieve inflation target.”
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Tags:ECB, Euro, FOMC, Jerome Powell, Mario Draghi, QE
Posted in ECB, Fed | 6 Comments »
September 20, 2018
On Thursday Rick Santelli pushed and prodded and as a result, we were able to travel from Japan to Europe in an effort to discuss some of the more pressing issues confronting the global macro world. First, we stopped in Japan to discuss how the BOJ and Governor Kuroda will be able to extricate itself from five years of QQE which has seen the BOJ accumulate Japanese debt and equities. Of course the end game is to reach the self-imposed inflation level of 2 percent that has proved to be an agonizing level to achieve. As a reminder, when a nation is saddled with huge debts the best relief is to be found in inflation, which results in an ultimate money illusion as debts are paid back with an ever-depreciated currency.
Click on the image to watch me and Rick discuss global policy.
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Tags:Angela Merkel, BOJ, capital key, ECB, Euro, Europe, France, Germany, Japan, Kuroda, Mario Draghi, QQE, Yen
Posted in BoJ, Currency, ECB, France, Germany | 5 Comments »
September 12, 2018
First, to all of those in the NOTES community who celebrate the Jewish New Year, I wish you a year of health, peace and prosperity. To those who celebrate other spiritual endeavors I offer you a wish for health, peace and prosperity. Now, to the markets. In the past month I have spent time putting issues we’ve been discussing for the last nine years into perspective. Lately, the airwaves are filled with the accolades laid upon the policy makers who SAVED CAPITALISM. Listening to Paulson, Geithner and Bernanke pontificate on how they acted to save the system is enough to send me into fits of rage as the culprits who failed to act to halt the housing bubble praise themselves for the “Courage To Act.”
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Tags:Angel Merkel, Bernanke, BOE, Chinese Yuan, ECB, Euro, Fed, Geithner, Germany, Larry Kudlow, Paulson, trade, U.S. Dollar, Yellen
Posted in BOE, ECB, Germany, trade, United States | 20 Comments »
July 30, 2018
Coming on the heels of my first Kenny Chesney concert I am viewing the synchronicity of central banks as a reflection of the rhythms of global financial repression. Last Thursday, the ECB issued its last statement before the summer recess, while this week we have the Bank of Japan tonight, the FED on Wednesday and the Bank of England on Thursday.
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Tags:BOE, BOJ, British pound, Draghi, ECB, Euro, Fed, FOMC, Japanese yen, Kuroda, Powell, U.S. Treasuries
Posted in Central Banks | 9 Comments »
June 5, 2018
Sorry. The current situation in the European Union has been well forecasted by NOTES FROM UNDERGROUND so until the storm clouds clear and the Italian ruling coalition begins to initiate some of its campaign proposals I treat everything in Europe as a trade and not an investment. Even the talking heads are waking up to the potential financial damage that bank balance sheets loaded with ZERO RISK-WEIGHTED sovereign bonds can cause a healthy bank’s bloated balance sheet.
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Tags:Angela Merkel, balance sheet unwind, ECB, Euro, Eurobond, Fed, Germany, Italy, Mario Draghi
Posted in Debt Market, ECB, Europe, Fed, Germany, Italy | 9 Comments »
April 29, 2018
As T.S. Eliot warned in The Wasteland, April is the cruelest month, as the thaw of winter gives way to hope as the world returns to rejuvenation. April has delivered the first quarter corporate results and it is no exaggeration to state that revenue and earnings have exceeded expectations. However, the equity market results have failed to respond to the robust numbers as the SPOOS have gained a mere 1.25% and remain unchanged on the year. The NASDAQ 100 has been a much better performer as the TECH sector continues to cruise.
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Tags:ECB, Euro, Fed, Mario Draghi, NASDAQ, SNB, SPS, Thomas Jordan, U.S. Dollar
Posted in Currency, Debt Market, ECB, Fed, Germany, SNB, Switzerland | 15 Comments »
April 25, 2018
In building on the discussions in Tuesday’s POST it is important to note that the debt discussion that has taken place in Notes From Underground is gaining traction as an important piece of the financial narrative. The failure of the SPOOS, NASDAQ, and DOW to gain traction with the robust earning releases is forcing the perplexed to confront the impact and collateral damage from Ben Bernanke’s Portfolio Balance Channel, also known as QE or large-scale asset purchases.
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Tags:AMLO, BOJ, Dow, ECB, Euro, Gold, gold/euro, Kuroda, Mario Draghi, Mexico, NASDAQ, Peso, SPS, U.S. 10-Year Note, U.S. Dollar, Yuan
Posted in BoJ, Currency, Debt Market, ECB | 8 Comments »
March 26, 2018
What a week last week turned out to be (and that was if you just followed the headlines). Tariffs are taxing the global financial markets as they try to guesstimate the economic impact from the effect of tit-for-tat responses to the initial U.S. measures efforts to gain support for dealing with Chinese trade violations. The FOMC added to market volatility as the suspense over three or four rate hikes still impacts the DOT PLOTS. The Bank of England confused markets as they voted 7-2 to sustain the current interest rate policy, even though consensus assumed a 25 basis point increase. By week’s end the confusion reverberating around the globe did serious damage to equity markets as the S&PS were down almost 6 percent on the week and the European stock indices continued their continued their selloff, making them the weakest of all regions (in contravention to the punditry’s call for the buying of European stocks).
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Tags:dot plots, EU, Euro, Fed, FOMC, G-20, models, NAIRU, Phillips Curve, tarrifs, trade
Posted in Central Banks, Europe, Fed, trade, United States | 11 Comments »
February 26, 2018
There are several important areas for discussion but first I wanted to post a podcast from the Financial Repression Authority that I participated in last Wednesday with Jim Bianco and Peter Boockvar. Pour your libation of choice and have a listen. Please post any questions or points on information on the blog in order to stimulate a discussion that creates potential profitable trading ideas.The moderator Richard Bonugli does a great job of provoking discourse but allows the conversation to freely flow in search for high quality dialectic. Enjoy.
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Tags:currency war, ECB, Euro, Fed, growth, inflation, Jerome Powell, Mario Draghi, Treasury Secretary Mnuchin, U.S. Dollar
Posted in Currency, ECB, Fed | 3 Comments »
