Archive for the ‘Currency’ Category
I hit the brakes when I saw this headline:
China may need to export car surplus
While China is by no means the only large consumer of crude oil, the country’s growth trends have been reason enough to be bullish. We’re told the demand for automobiles and the Western lifestyle will mean higher crude oil [...]
“A system of capitalism presumes sound money, not fiat money manipulated by a central bank. Capitalism cherishes voluntary contracts and interest rates that are determined by savings, not credit creation by a central bank.”
-Ron Paul
We got some good feedback from our article on Friday. Below are a few reader comments and our responses. Enjoy. (And [...]
Quotable
“The measure of a master is his success in bringing all men around to his opinion twenty years later. “
Ralph Waldo Emerson
Commentary & Analysis
I recently succinctly summarized my view of stocks with the Wily Coyote analogy. I got one very good succinct comment, and I am paraphrasing; I agree with you Jack but you have missed a [...]
“One important memory of 1990 in Japan is that dramatic things were happening in the equity markets, with share prices falling day after day. But the economy seemed to be unaffected. It went on growing quite strongly, in fact, for almost two years. A lot of economists and other observers concluded that the financial drama [...]
When I hear someone mention China in the midst of a political discussion aimed at understanding our future economic path, I shake my head.
There are very real reasons to give China’s economy lots of press. What they have accomplished over the last 30 years — major reform and a relatively more open economy — is [...]
“It is no crime to be ignorant of economics, which is, after all, a specialized discipline and one that most people consider to be a ‘dismal science.’ But it is totally irresponsible to have a loud and vociferous opinion on economic subjects while remaining in this state of ignorance.”
- Murray Rothbard
I keep trying to find [...]
Quotable
The Morning Star paled slowly, the Cross hung low to the sea
And down the shadowy reaches the tide came swirling free.
The lustrous purple blackness of the soft Australian night
Waned in the grey awakening that heralded the light;
Still in the dying darkness, still in the forest dim
The pearly dew of the dawning clung to each giant [...]
We are China bears, in case you didn’t notice.
Throughout much of the last two to three years, a key component in our analysis has been the simmering social tension and the potential for one of hundreds of thousands of “mass incidents” occurring each year to escalate beyond the control of Communist Party officials.
Such an event [...]
Quotable
“The government is unresponsive to the needs of the little man. Under 5′7″, it is impossible to get your congressman on the phone.”
Woody Allen
Commentary & Analysis
Is recession dead ahead? If so, it is Wiley Coyote time!
I think we are nearing a major Wiley Coyote moment for Mr. Market. Despite recent joy over some of the [...]
“Let me smile with the wise, and feed with the rich.”
-Samuel Johnson
Michael Pettis is a professor at Beijing University, and one of the best global macro analysts out there, in my opinion. His recent piece, titled, “If no trade reversal now, then when,” should be required reading for anyone who wants a clear summary of [...]
