Salient to Investors: Nomura said: The Reserve Bank of India’s surprise policy reversal and the first government debt-sale failures in 10 months risk plans to cut the budget deficit. Vivek Rajpal at Nomura said India is expanding at the slowest pace in a decade and tightening by the RBI will cool growth and strain public finances
READ MORE... →Salient to Investors: A. Gary Shilling writes: The Fed has yet to achieve its dual mandate of price stability and full employment. QE had been tried by the Bank of Japan for years without notable success, but Western central banks have become increasingly desperate as they look for ways to
READ MORE... →Salient to Investors: Bill Gross at Pimco said the Fed won’t tighten monetary policy until 2016 at the earliest, and added to mortgage securities in June. Mohamed El-Erian at Pimco said 10-yr Treasury yields may drop to 2.2 percent in 2013. Read the full article at http://www.bloomberg.com/news/2013-07-21/pimco-s-gross-says-fed-will-tighten-policy-in-2016-at-earliest.html Click here to receive free and immediate email
READ MORE... →Salient to Investors: Fareed Zakaria said: Unlike most developing nations, China spends little on subsidizing current consumption but spends massively on export-free zones, highways, rail systems and airports. No developing democracy has been able to ignore short-term political pressures and execute a disciplined growth strategy with such success. China’s growth
READ MORE... →Salient to Investors: Foreign investors are adding Treasuries at the slowest pace since 2006 amid the worst rout in 4 years, and own less than 50 percent of Treasuries outstanding for the first time since March 2012. However, China boosted its stake in 2013 to the most on record – adding US bonds in 7
READ MORE... →Salient to Investors: Nouriel Roubini writes: Economic growth and earnings growth are slowing down, while both top and bottom lines are not what they were, though margins are high. The gravitational forces of a slowing economy will lead to a correction, but the levitational forces of QEs, zero policy rates,
READ MORE... →Salient to Investors: William D. Cohan writes: Senators Elizabeth Warren and John McCain are wrong in believing that the 2008 financial crisis was caused by commercial banks taking undue risks with depositors’ money, though it is true that they courted too much risk, Causes of the financial crisis were many and
READ MORE... →Salient to Investors: Suki Cooper at Barclays said commodity assets under management fell to a 32-month low in June driven primarily by a decline in gold-backed ETPs assets to a 3-year low, though other commodity assets have been much more stable. Cooper said gold and silver face the most downside
READ MORE... →Salient to Investors: Christine Lagarde at the IMF said a US court ruling against Argentina over its defaulted debt could have detrimental consequences for global financial stability, by bolstering the power of minority bondholders in future debt restructurings and hurt the IMF’s mandate to maintain financial stability in the world.
READ MORE... →Salient to Investors: Nouriel Roubini writes: We have entered the ‘New Abnormal’ so investors should be prepared to be surprised – nothing has really come to rest. Read the full article at http://drnourielroubini.blogspot.com/2013/07/be-sure-your-seat-belt-is-securely.html Click here to receive free and immediate email alerts of the latest forecasts.
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