Wrap

S&P down 0.6% this week (up 2.1% y-t-d). Ten year Treasury yields fell four bp on the week (down 12bps ytd). Most international equities were down, apart from inflation-prone places like Mexico and Turkey. I feel that the weakness of currency is the biggest weakness of …

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Gold and real rates

I just saw this plot posted by David Finch. It’s very clear cut.

Energy

I just feel that Covid has not changed the world so much that it no longer needs energy. I recognize that more electricity generation is going to come from wind and …

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China to be carbon-neutral by 2060

Xi Jin Ping promised this, and promised that Chinese emissions would start to decline by 2030. It’s a big ambition. It will be interesting if it can be delivered without huge hardship for the greying population of this country.

Markets this morning

The …

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Wrap

Today was definitely risk off. Everything down again, including commodities (except NG which has a life of its own: up 18%, on weather in the gulf, apparently). Developed Europe looking weak. Emerging markets all very weak. Japan an exception, not sure why. Maybe the BoJ started buying ETFs more …

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Gamma Squeeze

The Market Huddle interviewed Brent Kochuba about gamma and how it interacted with the cash market last month. I listened to this while doing something which required more concentration than was compatible with understanding every nuance of what Brent and Kevin were discussing, but the takeaway I ended …

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Morning Report

Basically, the price of everything is down, except Treasurys. I guess that’s risk off. Gold is down, along with other metals and soft commodities. Crude is down 2.3%. Lagarde is trying to talk the Euro down. It’s certainly going up against the Turkish Lira, which …

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RBG

Ruth Bader Ginsberg died this week. She was 87. The liberals in the US are outraged that Trump may get to choose her replacement. I don’t know why she didn’t she didn’t step down while Obama could have chosen a 40-year old to replace her. I …

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State and family

We voluntarily give up a lot of our income to the state. Public spending is now 55% of GDP, which means that, on average, more than half of the income of the population is spent by the state, and therefore not available for discretionary spending. As we …

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Market update

After the Fed meeting yesterday nothing much has changed. Nasdaq (NDX) and BTC are down now, govt. yields up a bit in everywhere except GER (down) and USA (flat). The energy complex is up on some refinery capacity being taken out (and, I think, the reserve being lower …

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Morning Call

The bullish mood is still in the ascendant. Real assets are all going up. Bitcoin is bouncy. Bonds and bills are dead: all is calm in the fixed income world.

Risks posed by fiscal and monetary activism

This is a ‘Schools Brief’ about the phenomenon of increasing government …

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