While the world has been watching Draghi and are surprised at the dissent, at the same time the street tends to try to create hard fast rules to follow the Fed rather than the markets and economy. The thinking process seems to try to fashion fixed rules to approach the Taylor Rule. This is kind-of […]

We will be publishing an institutional quality report on Energy. There are large shifts in the energy complex not only due to advanced drilling technologies, but also renewables. When we put out that forecast that oil would rise from $10 to $100 back in 1997, people were shocked. We even had a request to construct a […]

Why the bounce in the Euro? There is resistance appearing within the Governing Council that is far larger than previously believed. There is no majority within the 6 member Executive Board raising some hope that massive flooding of euros may subside. Lautenschläger, Mersch and Coeure are opposing Draghi’s plans to blow-out the money supply. Other council […]

The UK POLLING REPORT latest poll conducted yesterday in Britain for the sun and the times. Not so much a poll about voting intentions rather a poll about voters perception of the state of the economy. Findings: Sun = 25% of people expected the economy to get better in the year ahead, down from 39% in march. […]

The Euro bounce into mid December has resistance at 123-124 followed by 128-129. The critical number at year end will be 12150. A year-end closing beneath this level will be long-term bearish. However, support will lie at the 118-120 level next year. A closing above 121.50 will suggest that the euro is not ready to […]

The International Monetary Fund (IMF) recently released the latest numbers for the world economy. And when you measure national economic output in “real” terms of goods and services, China will this year produce $17.6 trillion — compared with $17.4 trillion for the USA.The Chinese economy just overtook the United States economy to become the largest in the […]

President Vladimir Putin in a solemn speech to the nation accused the West of wanting to destroy Russia. Over $100 billion has left Russia and Putin now seeks to tax Russian tax exiles offering a comprehensive amnesty if they return.

If anyone thinks that there is really justice, you should re-read Thraysmachus who debated Socrates. Socrates wishfully believed that in a democracy the people would always be just compared to a tyrant. Thraysmachus disagreed. He warned that all forms of government act in the same identical manner because they only pursue their own self-interest. Hence, […]

  Why are central banks buying equities outright and trading futures? Very simple – EURO CRISIS! I have reported that central banks have been buying equities because there is a real crisis underway in central bank reserves. Behind the curtain, they need diversity because the Euro Crisis has creates a Reserve Crisis. There is no […]

The Greek financial crisis began precisely to the day on our model for the start of the Sovereign Debt Crisis. That was truly amazing since we protected that ideal date in 1985. It is always fascinating to see how precise the world economy truly is – that strange hidden order beneath a surface of a […]