Macro man was busy with admin today so hasn't had time to post anything. Not much to say, really, other than than the soft landing theory appears to be getting more traction than a set of snow tires.
To date, this hasn't had much of an impact on equities or commodities, though it has put some pressure on bonds. However, fixed income in the US and Euroland has held critical support levels, so the repricing of monetary policy has yet to have a malign impact. And of course, the carry trade (to which Macro Man remains sadly underexposed) is faring well.
At this point Macro Man remains underexposed to equities and carry; next week he needs to make a choice. Perhaps contemplation over the weekend will make things a bit clearer.
To date, this hasn't had much of an impact on equities or commodities, though it has put some pressure on bonds. However, fixed income in the US and Euroland has held critical support levels, so the repricing of monetary policy has yet to have a malign impact. And of course, the carry trade (to which Macro Man remains sadly underexposed) is faring well.
At this point Macro Man remains underexposed to equities and carry; next week he needs to make a choice. Perhaps contemplation over the weekend will make things a bit clearer.
2 comments
Click here for commentsMacro Man,
ReplyWhat do you make of the situation in China (missile test) and the story unfolding in Latin America with Venezula and Equador and thier association with Iran. I guess as oil continues to be expensive (and I think more expensive in our future) could a stronger relationship between China and Iraq (or venezula as an intermediary) become a reality. China has nuclear weapons and needs oil...Iran wants nuclear technology (at least) and has oil....
To be honest, the China business doesn't bug me. I think the bigger risk is a link-up between North Korea and other "bad guys"- China might need oil, but they have the money to pay for it. North Korea needs food, and they are broke!
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