Chillin' out till it needs to be funded
The markets have a good President , the debt ceiling has moved only now suddenly everyone knows we have overspent and there is no bull in commodities none in Oil, none in Equities, the Fixed income yields can’t really fall any further..The reason? The dollar is stronger and though Yen must be happier on the way down, many on the swissie and aussie runs would also like it that way. So this trend will last. Why it is ephemeral yet..Because, the yen will stop going down that the dollar is up. And that is daft. Ask the pound how it manages to buck the dollar appreciation every time. And contrary to belief JGB’s are not widely held outside Japan. the stimulus should actually weaken the currency, but it seems it needs to be the Bank of Japan selling it down..My hold on global assets has been even simpler than Warren Buffet’s reason for buying Coke ..and I cannot see them buying the yen, but they keep on doing it. something is just terribly wrong, dears.. the Euro can rise with the Dollar or fall, based on its economic flows but the Yen is stuck and the world till the Yen starts going down on that end, because I am quite done otherwise.
Right now buying Retail lifestyle in the USA will pay off big time, and that is why the remaining like Kraft are even shopping down at the Breakdown town. You like your cookies in two pieces right, That’s happening too. In fact it is a season for valuation break up s as also for Cash in the mix. Equities are down because they are already fairly valued and they need buyers to go up.. but retail is selling goods at a bargain and everyone is buying at the 70% discount sale at Louis Vitton..Don’t buy the Yen though, Buy Candy stocks and sell the yen, let them come out of their pain. You can buy up Germany if you want, they aren’t complaining!
Thanks for the joyride.