Monthly Archives: January 2011

Inflation Slowing China’s Export Engine

This is the force that ‘naturally’ brings the currency into line, and then can make it a lot weaker. And the only way China knows to ‘fight it’ is probably with moves that will will result in a recession. Inflation … Continue reading

Posted in China |

Clinton presses OAS solution to Haiti impasse

So we send our Secretary of State to Haiti at the height of the Egyptian crisis? Maybe it’s to highlight that we can’t even get it anywhere near right with Haiti, so don’t expect anything out of the US with … Continue reading

Posted in Politics |

Obama himself, talking like a true convert to the Conservative Party

Looks like the media is getting on to a lot of what I’ve been saying since President Obama was a candidate? These are not your father’s Democrats. And they afraid we might be the next Greece, and so are on … Continue reading

Posted in Obama | Tagged , |

(APW) EU Considers Loans to Greece to Buy Back Bonds

They EU may as well buy the Greek bonds themselves and save the legal fees. And probably get a higher rate, and, of course, the option to forgive if it ever suits them. Amazing anything like this ‘option’ even gets … Continue reading

Posted in EU |

Japan Consumption Falls In Dec As Deflation Persists

And now the Prime Minister has vowed to tighten fiscal policy. The only open avenue (the way they see the world) is buying fx. And note that they’ve already started buying some dollars and have been welcomed by the euro … Continue reading

Posted in Japan |

Japan Vows to Push Fiscal Reform after S&P Downgrade

The one nation that was at least sort of moving towards at least some proactive fiscal expansion may no longer be doing so. Following through with this would make the yen fundamentally stronger (harder to get). I singled out David … Continue reading

Posted in Japan |

Senator Pat Toomey- Pay China First Act

Gets stupider by the day… “Sen. Pat Toomey (R-Pa.) introduced what Democrats are calling the “Pay China First Act,” which would require the federal government to pay all its debt obligations first and everything else — vets, schools, you name … Continue reading

Posted in China, Politics |

Hawkish Comments from LBS

The problem with the euro zone trying to keep the costs of imports down in this context is that it can only be done via a strong currency, which works against their desire to increase net exports, and even that … Continue reading

Posted in EU |

Claims/Durables/GDP

Karim says: CLAIMS Labor Dept cites delayed filings in 4 states (Georgia, Alabama, North and South Carolina) as cause for 51k back-up in claims. Those states probably depressed prior number, so current level likely closer to 420k; consistent with 150-200k … Continue reading

Posted in Karim |

S&P Cuts Japan Debt Rating to AA Minus

David Beers at S and P knows better and should be ashamed of himself and his organization for not making it crystal clear that ‘ability to pay’ is not in question, and that downgrading Japan has to be based solely … Continue reading

Posted in Japan |