The chart below is amazing. It originates from Bank of America’s Merrill Lynch and shows the yield of European stocks currently exceeding the yield of European junk bonds. So why do I think this state of affairs is “amazing?” First there is one’s reaction or ...
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I asked myself this question as I read the commentary about the recent sell-off in the pound sterling. Here is the pound against the dollar: Many commentators have taken the opportunity of the sell-off to castigate Brexit and Britain’s new prime minister, who seems bent on implementing ...
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In my post from last week about central banks I argued that they are devaluing their currencies in a zero-sum game for stimulating their domestic economies at the expense of their trade partners. A recent piece by Jonathan Laing in Barron’s echoes some of the same points. Laing cites ...
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