July 8th 2016 Market Minute
Just another week where Interest Rates on Global Sovereign debt and Investment Grade debt hit new lows and Equity indices remained just below all time highs.
The party continues, thanks to our host, THE SCB! Super Central Bank’s, (US Federal Reserve, European Central Bank, Peoples Bank of China, Bank of Japan and Bank of England), Canada, Switzerland, Australia, Singapore, Hong Kong, et al. are un-official members. They can, and will, eventually, do whatever needs to be done. They are the ‘lender of last resort’ and due to more recent actions, the ‘buyer of last resort’.
The Financial Health of Italian Banks are again in the spotlight in the EU. Another ‘Bailout’ is being played out in the media. Mario Draghi, The ECB President, is also an Italian Economist. Need I say more? Mario is also Vice President of the SCB.
Thoughts on the American Presidential Election. I don’t believe that any one President (Past, Present, of Future ) of the United States can ‘save’ America, if it needs saving, nor destroy this country. Also, you know that saying that goes something like this, “voting is just picking the lesser of two evils”? For this election it is just edited to, “voting is just picking the lesser of the two greatest evils”. All I mean by this is that both candidates are…”special”. I also expect there to be “Super Bowl” style parties at homes when they debate. If you can get tickets you should go! Entertainment!