The EM-DM growth differential is depressed in a historical context
The GDP growth differential between EM and DM has collapsed since 2010. While it appears to be stabilizing most recently, escalation of the trade war puts this at risk.The growth differential between EM and DM was historically an important driver of the relative performance of their respective equity markets.
Chinese economy is deteriorating fast.The NBS PMI showed jobs contracting at a quicker pace in June (46.9) – the weakest since the 2009 GFC slump. The service PMI jobs also looks weak. The authorities cannot stand by and let the jobs market deteriorate much more.
“Trucking is infamously cyclical, but this is a tad extreme…So far in 2019, year-over-year declines in orders for Class-8 trucks ranged from -52% to -71%, which, as FTR said in the statement, makes it ‘the weakest six-month start to a year since 2010′”
$10,000 invested for 30 years in Swiss government bonds will grow to $9,856 at maturity 2049. (note: assumes interest rates reinvested at @ current 30-yr rate of -0.05%).( Charlie Billelo)
