Chillin' out till it needs to be funded
Asia took USD Treasury yields south to another all time low as McDonalds’ reported below par result and Beijing reeled under flash floods that cost the airport 800 cancelled flights and a lot of deaths. The Euro went under the hammer again as Valencia applied for dole outs and other regions from Spain beng on the waitlist, Spain is widely considered by the
plummeting markets as angling for a full fledged bailout. Of course there won’t be one for them and that would disappoint the market, like we have seen with QE3 and the Euro is tipped by a few for a close below to 1.10 levels, but may hold some to 1.19 and is currently still a extra spicy dip above the 1.20 mark.
OUR HEARTFELT CONDOLENCES TO THOSE WHOSE LOVED ONES SUFFERED IN THE SHOOTING IN AURORA, COLO.
Heineken meanwhile is trying to spend to $6 B to get a controlling 30% + stake in Asia Pacific Breweries as the makers of
Tiger Beer, popular in South East Asia have got interest from the local brewmakers at ThaiBev. Back at McDonalds’, we suggested and MCDonalds’ obliged with a beat of same store sales expectation at 3.7% instead of the 3% bu tthe stronger dollar edged profits down to a $1.32 per share or $1.350 B, down just 70 mln over the last quarter. Chipotle’s love affair with SouthEast Asian cuisine was terrbily slow and results for CMG earlier after Friday’s close ensured the sun did not come out with McDonalds’ on Wall Street a long dark shadow waiting to strike the market despite earnings.
In currencies, the Olympics opening ceremony made the Pound Sterling take a big hit in the markets dropping against the Yen with the Euro while dropping against the Euro despite the weakness on the continent. This needs a deep investigation as we are still long on the Pound and esp vs the Euro while the Yen again starts the week without much headspace at just 78 to the Dollar. The Football [prelims for Men and Women and the Archers start off before the Opening Ceremony on Friday.
I would be buying McDonalds’ right about now as the stock takes the unusual 4% hit on the chin and China’s slowing growth becomes a reason above reason for a market starved of QE dollars for a steamy vaporising creme brulee bonus dish