<Click on chart for larger image> Bloomberg Business – Hedge Fund That Called Subprime Crisis Urges 50% Yuan Drop Mark Hart, the hedge fund manager whose bets against U.S. subprime mortgages and European sovereign debt proved prescient, said China should weaken its currency by more than 50 percent this year. A one-off devaluation would allow… Continue reading Why The Yuan Could Fall Another 50%
<Click on chart for larger image> Investors.com – Why The Bullish Jobs Data Can’t Be Believed Employment: We’ve been hearing for months now about the snapback in payroll jobs that has helped push the unemployment rate down to 5%. A new report, however, suggests that this widely used number isn’t believable. The report, “America’s Hidden… Continue reading Can The Jobs Data Be Trusted?
The Financial Times – US vows deepest review of Treasury mkt since 98 US authorities are seeking input into what they say will be the most comprehensive review of the opaque $13tn US government bond market in more than 15 years. Regulators have been delving into the market since October, 2014 when a single day… Continue reading Bond Market Regulation
<Click on graphic for larger image> Comment Since the two-party era began in 1856, there have been 16 elections which have followed a two-term president. In 11 of those instances, there was no incumbent on the following ballot (FDR ran twice after being a two-term president and Teddy Roosevelt, Truman and Ford each ran again… Continue reading The Stock Market’s Effect On Elections
CNBC – Bridgewater’s Dalio: Fed’s next move toward QE, not tightening Amid the global market turmoil, the Federal Reserve is more likely to ease than tighten interest rates again, Ray Dalio, founder of the world’s largest hedge fund, said Wednesday. “I think a move to a quantitative easing would bolster psychology,” he told CNBC’s “Squawk… Continue reading Ray Dalio Expects More QE
Bloomberg Business – Some Bankrupt Oil and Gas Drillers Can’t Give Their Assets Away Oil is in free fall and Terry Clark couldn’t be happier. In mid-2014, when the crude price topped $100 a barrel, Clark made an offer to buy properties from Dune Energy Inc., a small driller with money trouble. Dune turned him… Continue reading More Energy Patch Stress
Comment Coming May 13 to a theater near you! In a nutshell, George Clooney plays a financial TV personality (Lee Gates) starring in a show called “Monster Money.” Essentially this is Jim Cramer and “Mad Money.” Julia Roberts plays his producer. Jack O’Connell plays a disgruntled investor that followed Lee Gates’ advice and lost all… Continue reading Seriously, A Movie About Jim Cramer, Starring George Clooney
Below is a 2014 segment by Jon Stewart about Davos (“the Money Oscars”) The Daily Show with Jon StewartGet More: Daily Show Full Episodes,The Daily Show on Facebook,Daily Show Video Archive
<Click on chart for larger image> Comment China is a high-growth emerging market, so it does not have recessions like a typical developed economy. Instead it has “hard landings.” For China a hard landing is defined as growth under 7.0%. Chinese GDP is now under 7.0% and 2015 produced the lowest fiscal year growth rate… Continue reading China’s Poor GDP
The Wall Street Journal – China’s Securities Czar Casts Wide Blame for Market Turmoil Xiao Gang blames volatility on immature market, inexperienced investors, flawed mechanisms and inappropriate supervision What’s wrong with China’s stock market? Just about everything, according to a statement from Xiao Gang, the country’s chief securities regulator, delivered at a national meeting of… Continue reading Chinese Regulator Blames Everyone, Then The Government Tries To “Correct” It
The Financial Times – Missing Chinese billionaire Zhou Chengjian returns to work The billionaire founder of one of China’s most famous fashion brands has returned to work a week after his company said he had gone missing, the latest in a series of entrepreneurs and financiers apparently embroiled in Beijing’s anti-corruption campaign. Metersbonwe, one of… Continue reading More On The Chinese Wealthy’s Crisis of Confidence And Capital Outflows
<Click on chart for larger image> The Financial Times – China targets offshore renminbi short selling with new reserve ratio China is to force some banks to set aside a portion of their offshore renminbi deposits as reserves in its latest bid to squeeze liquidity and stymie speculation on depreciation of the currency. It is… Continue reading Still Trying To Stabilize The Yuan