Salient to Investors:
Mohamed El-Erian at Pimco said:
- Superstorm Sandy won’t reduce GDP as there is likely to be catch-up activity.
- There is a 60 – 70 percent probability of a mini bargain over the fiscal cliff – with contraction of 1.5 percent of GDP, which is manageable.”
- There is a 60 – 70 percent probability that Greece will quit the euro.
- The latest round of BoJ stimulus shows the extent of the economic slowdown in Asia – central banks are all in to deal with it.