The Banking and Strategy Initiative

Chillin' out till it needs to be funded

US Morning Report: Fed Proposes, Gold and Euro disposed off

Euro looks ripe for a run to 1.25 levels from 1.2710 right now as the markets begin the final hour to lap to the critical FOMC meeting where QE is sanctioned or hinted at in a way palatable to the market. It has been made clear however that no further real cash infusion is likely by the Fed in the election year. Gold as may be fairly have been expected has been disposed off even with Centrla Banks adding 400 tonnes more in weight of the metal. In the meantime IMF has a Global Firewall fund ready after the G20 meeting sa the commitment from the Four BRICs to $75B

Increase in BoE QE was shot down with only 4 people including outgoing King and the last CEO without regulatory supervision duties walking off in a huff according to the minutes . The May15-June 15 period has mostly been about the UK in a recession and the Sterling is ready for a big rebound ith the USD in to as the Euro crashes from these levels. QE will come from UK in August sometime as also immediately ne plans are afoot to decrease funding costs for Banks. In the Euro, Greece no has a new PM and he will take some time i(72 hours to one week) before he presents his request  for leniency on the Austerity measures.

FOMC announcements are unlikely to have changed any target rates or further QE/Operation Twist/MBS repurchase programs except for the global production slump in May which continues to scare equity markets. After the Greek election Monday expectations this eek of another QE have dampened and that might just break the market’s hearts in a few.

Burger King, another PE investment in consumer goods stuck since the first deal in 2006 is no listed on the NYSE, Pe exiting profitably to the ticker BKW

Facebook hearings in the meantime as well as JP Morgan on the Hill seem to be all smoke and no fire esp after the bank already mentioned it will clawback and JP Morgan even survived claims that the surrent regulators could easily take care of JP Morgan and did not need anything else in response to lamaker Barney Frank

Facebook hearings are on. Healthcare Law opinion surprisingly has not been released by the High court. MBA report , especially strong for the week of June  8 was again 9% lower than last week on first time mortgages.

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