<Click on chart for larger image> Bloomberg.com – Gove Makes Case for U.K. Premiership After Johnson Betrayal Theresa May is main rival in five-way Tory leadership race ‘I know my limitations,’ justice secretary tells reporters Justice Secretary Michael Gove made his case to be Britain’s next prime minister after breaking with the incumbent and then… Continue reading More On The Next UK PM
The Economist – Contrarian investing: Prophets and profiteers Who made money from the Brexit vote? FOUR out of five hedge-fund managers had expected Britain to vote to remain in the European Union, according to a poll by Preqin, a data firm. But a handful saw Brexit coming and invested accordingly. They made hundreds of millions… Continue reading Contrarian Investing
<Click on chart for larger image> Market Watch – This economist thinks China is headed for a 1929-style depression Andy Xie is among the loudest voices warning of an inevitable implosion Andy Xie isn’t known for tepid opinions. The provocative Xie, who was a top economist at the World Bank and Morgan Stanley, found notoriety… Continue reading A Chinese Depression?
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The chart below shows the MSCI world stock market index in the top panel. The middle panel shows cumulative flows into open-ended mutual funds in blue and equity ETFs in red. The bottom panel shows the total assets of open-ended mutual funds in blue and equity ETFs in red. Flows into ETFs since 2000 show… Continue reading Fund Flows Update – Passive Still Preferred
Comment Today at 9 AM CT (10 AM ET, 7 AM PT and 15:00 BST) Bianco Research, in conjunction with Arbor Research & Trading, will be hosting a webcast/teleconference moderated by Jim Bianco. The unexpected Brexit victory calls into question the 30-year move toward globalization, suggests a populist uprising is firmly underway in the developed… Continue reading Brexit And The Markets
<Click on table for larger image> YouGov (UK) – Theresa May storms ahead of Boris among Tory Party membership A YouGov/Times poll of Conservative Party members reveals that Boris Johnson has been overtaken by Theresa May as the party’s number one choice Earlier this week, YouGov revealed that among the general public – including among… Continue reading The Next UK Prime Minister
<Click on chart for larger image> <Click on chart for larger image> CNBC – There are now $11.7 trillion worth of bonds with negative yields The total held as well as the average duration have surged in the wake of the Brexit vote. The level of negative-yielding global debt is continuing its climb into the… Continue reading Negative Rates
The Wall Street Journal – Do Sovereign Credit Downgrades Tell Us Very Much? Surprisingly Not Standard & Poor’s decision to strip the United Kingdom of its AAA credit rating in the wake of the country’s vote to leave the European Union has highlighted once again the limited value of sovereign credit ratings. Countries that have… Continue reading Sovereign Debt Ratings
Bloomberg.com – Soros Says Brexit Has ‘Unleashed’ a Financial-Markets Crisis Britain’s decision to leave the European Union has “unleashed” a crisis in financial markets similar to the global financial crisis of 2007 and 2008, George Soros told the European Parliament in Brussels. “This has been unfolding in slow motion, but Brexit will accelerate it. It… Continue reading Soros Keeps Hammering Away At The EU
<Click on chart for larger image> Bloomberg.com – Four Charts That Show the State of M&A in 2016’s Choppy Markets There’s little that companies on the hunt for mergers and acquisitions hate more than uncertainty, and the second quarter of 2016 had plenty of that. Deal volumes suffered as potential acquirers — and their targets… Continue reading Mergers & Acquisition
<Click on chart for larger image> The Wall Street Journal – Government Bonds Are Year’s Big Winners A corner of the market once sought after for steady returns has been this year’s jackpot investment: the government debt of advanced economies. Sovereign debt rallied in the market turmoil that followed Britain’s vote to exit the European… Continue reading Checking In On Various Asset Classes Near The Halfway Point Of The Year