One last time: The market is not the economy The economy is not the market Liquidity, artificial or otherwise, is the market. Sven Henrich
Caixin China March Services PMI 54.4; Est. 52.3 Highest reading since Jan. 2018 Employment falls to 50.2 vs 50.3 in Feb. the lowest reading since Sept. 2018 Prices fell No as robust as the headline number
The two safest assets are (arguably) the German bund and the US 10-yr… However, the US debt is rising and the German debt is falling. German debt, however, may contain more risk due to the Eurozone contagion risk. High deficit or high Eurozone risk. Who wins?
This was the decade of de-leveraging that wasn’t. A decade ago, as the world began to piece the financial system back together after an epic credit crisis, there was agreement on one thing: Too much debt had caused the crisis, and so there must be a huge de-leveraging. It has not worked out like that.
click at the link below to compare debt in 2007 and 2018