haircut
a well thought blog. the early warning turn in capital flows will come from credit (bond and related derivative markets)
the world of trillion dollar central bank balance sheets makes billions a rounding error (wiping out the equity and subordinated debt of banco popular) and adventures in any scale of millions purely entertainment in fund portfolios
the us federal reserve has accomplished the mission of recapitalizing at least in the theory of mark to model stress tests us financial institutions, assets values have recovered in multiples because printed money had little choice but to pursue equity risk with negative yield alternatives, and the median price of homes in the us is over $350,000 actually up from 2008 by 20%
global central bank balance sheet and approaches are now the next buyer in less liquid markets with less transparent markets with no way out once in rates rise and us fed does not rollover, which it will and which it won't
so, coming attractions when lower commodity prices (oil and bedfellow prices) provide insufficient cash flow for frontier governments to keep the lights on much less add to reserves to be cycled into tech stocks with market values that exceed the gdp of countries
to wit
azerbailjan
a well thought blog. the early warning turn in capital flows will come from credit (bond and related derivative markets)
the world of trillion dollar central bank balance sheets makes billions a rounding error (wiping out the equity and subordinated debt of banco popular) and adventures in any scale of millions purely entertainment in fund portfolios
the us federal reserve has accomplished the mission of recapitalizing at least in the theory of mark to model stress tests us financial institutions, assets values have recovered in multiples because printed money had little choice but to pursue equity risk with negative yield alternatives, and the median price of homes in the us is over $350,000 actually up from 2008 by 20%
global central bank balance sheet and approaches are now the next buyer in less liquid markets with less transparent markets with no way out once in rates rise and us fed does not rollover, which it will and which it won't
so, coming attractions when lower commodity prices (oil and bedfellow prices) provide insufficient cash flow for frontier governments to keep the lights on much less add to reserves to be cycled into tech stocks with market values that exceed the gdp of countries
to wit
azerbailjan
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