The Devil In Chinese Inflation Data
China’s PPI reading for Feb 2021 came in at the highest level since February 2018. Demand must be booming! Not so fast, CPI tells a different story.
Why You Must Watch The Bond Market & Yield Curve
We know that the economy cannot reliably predict how a market moves,but what if we see things from the opposite perspective, can markets predict the economy?
Have You Been Fooled By This Chart? QE vs Stocks
People have looked at the correlation between stock prices and bank reserves and concluded that Fed QE is the reason for soaring equities. This just isn’t true.
You Need To Know Why QE Did NOT, And Does NOT Work
QE is meant to generate inflation in the economy by printing money. Unfortunately, the only simple part of that two word phrase is the word “printing”.
What Is Really Going On When Markets Do The Unexpected?
Most traders can relate with the scenario where markets react in a way completely opposite to how it should have reacted. The problem lies in the word “should”.
Do You Think Like A Zebra?
The premise of black and white thinking is in itself extreme. This is because, for one viewpoint to be correct, it must disprove the other viewpoint entirely.
You Need To Know This Key Difference Between Bulls & Bears
Understanding that emotion is more important a driver of market prices than economic conditions gives traders an extremely valuable perspective.
EU Periphery Bonds Fly Off The Shelves!
The Eurozone’s periphery has been having a debt bonanza, with investors queuing up to buy their debt. Have people forgotten about the European debt crisis?
When Will You Pay To Lend Money For US Treasuries?
Are recent acute liquidity problems in the Treasury market due to recent narratives focused on inflation? Or is there something more going on, like in repo?
What You Need To Know About The Repo Market 4
Liquidity is what truly matters in the Repo market, and when it dries up, all other financial markets fall into chaos, as ‘08 and ‘20 both demonstrated.
