So this week ends with worse than expected numbers from China, about as bad as expected from Europe and somewhat better than expected from US. After the previous lessons, no-one is yelling decoupling this time.
Previously
on MoreLiver’s:
US Opening News And Market Re-Cap – Ransquawk
/ ZH
Frontrunning
– ZH
The Lunch
Wrap – alphaville
/ FT
Emerging
N.Y. headlines – beyondbrics
/FT
Today’s
front pages – presseurop
Daily press
summary – Open
Europe
Morning
MarketBeat: Pessimism Starting to Wane – WSJ
Broker Note
Briefing – WSJ
Morning
Take-Out – NYT
AM Dear
Dairy: TGIF – Macro and
Cheese
Key Crop
Report Ahead of Weekend – Marc
to Market
Pre-market
Commentary – Marketwatch
Pre-Market
Trading – CNNMoney
Pre-Market
– NASDAQ
US Equity Preview – Bloomberg
Earnings
& Events – The
Street
MarketCurrents
– Seeking
Alpha
Debt
crisis: live – The
Telegraph
The Euro
Crisis Blog – WSJ
FX Options
Analytics – Saxo
Bank
European
10yr Yields and Spreads – MTS indices
EUROPE
Portuguese head breaks ranks, urges ECB
bond-buying – euobserver
Portugal's President has broken his government's pro-German line by urging the
ECB to start buying troubled eurozone bonds.
The way the Citi analysts look at it, even
though we’re in for a rough time in Europe in terms of growth, an unresolved
sovereign crisis, deleveraging, and political risk with assorted elections on
the way in the autumn, the region’s “corporate sector appears attractive
measured by current returns (RoE) and balance sheets.”
Earlier in the week we had Jean-Claude Juncker
from Luxembourg saying that a Greek exit was manageable, if not desirable. Is this
chatter orchestrated? Who knows?
Problem in Europe is Arithmetic, Not Confidence; Why
the Eurozone Cannot Possibly Survive Intact – Mish’s
OTHER
Global Week ahead – Nordea
(pdf)
Markets are waiting for cues to take new
direction – cues about possible decisive ECB intervention and/or more evidence
that the big economies are starting to recover modestly. For decisive ECB
action we need 1) the details of the new ECB intervention program 2) Spain
asking for EFSF intervention/pre-cautionary credit line with potentially
massive ECB support attached 3) Germany signing somewhere in the bottom. I
believe this is likely within the next two months. So listen (most) carefully
to speeches from Draghi, Rajoy, Weidmann, and the German government.
Weekly Credit Update – Danske
Bank (pdf)
A dull week in credit markets * Disintermediation
will continue * Higher utilisation of balance-sheet encumbrance not a credit
negative.
China economy: staring down the bottomless pit – ASA
The third quarter started on a surprisingly weak note for China despite all the talks (and hope) on stimulus and monetary policy easing. The macro data pretty much confirm our view that economic growth did not reach a bottom in the second quarter as the consensus used to believe. If anything, the economy seems to be worsening somewhat again.
The third quarter started on a surprisingly weak note for China despite all the talks (and hope) on stimulus and monetary policy easing. The macro data pretty much confirm our view that economic growth did not reach a bottom in the second quarter as the consensus used to believe. If anything, the economy seems to be worsening somewhat again.