A Walk Down the Elysian Fields: Cicero Meets Maimonides to Discuss Imbalances and Negative Equilibrium
This past Monday we posted an article by Chairman Paul Volcker on the need for radical financial reform (see http://stage.blacksummitfg.com/2978). Chairman Volcker wrote “it is too clear that the federal financial regulatory structure is simply inadequate to head...
Meaningful Financial Reform
A few days ago The Volcker Alliance published its long-awaited report on Financial Reform. It is a historic report that needs to be read by all those who care about the stability of the global financial system. It is an honor to host Chairman Paul Volcker’s thoughts...
Weekly Market Update
Market Action Volatility stayed on at low levels throughout the week, as little macroeconomic data was reported and earnings held the spotlight. Notable names in the Telecoms, Consumer Discretionary and Technology sectors announced strong earnings to help propel those...
Negative Equilibrium: The Sustainability of the Unsustainable
In its recent World Economic Outlook, the IMF questioned the sustainability of the current growth trajectory around the globe. This should not have been a surprise given the levels of unsustainable debts and liabilities around the world, as well as the fact that the...
Weekly Market Update
Market Action Mild gains during the week got wiped out on Friday in U.S. markets. The Dow wiped out its gains from 2015 with Friday’s selloff as commentators threw out several possible reasons for the fall ranging from new Chinese margin rules to Greece to poor core...
Weekly Market Update
Market Action U.S. markets offered some needed stability for investors this week. All sectors posted gains during the week while volatility cooled down as earnings season for Q1 was kicked off on Wednesday. Energy stocks led the way this week as rising crude prices...
White Knights in a Festival of Fools: The Tale of a Dangerous Encounter
Around the globe fundamentals are being ignored. Unsustainable debt keeps rising, the equity markets of dysfunctional economic unions seem to “thrive”, unprecedented monetary measures are implemented and a Leviathan state is emerging where “white knights,” in the form...
Weekly Market Update
Market Action U.S. equities started the week strong, recovering from losses last week and were able to withstand pullbacks in the following trading days to end the week positive. Earnings estimates for the first quarter have been revised down and are expected to show...
Monthly Barometer’s Forward-Looking Monthly Review: An Interdisciplinary View of our Complex Global Economy
As much of the world flirts with deflation or “lowflation”, some pundits turn to Japan to claim “we can happily live with it”. Their rationale: since 2009, Japan has grown by 3% per year in terms of real GDP per capita - faster than the US. Also, despite stasis and...
Lorca on Headwinds and Tail Risks: It’s Five O’clock at the Crossroads of Liquidity and Volatility
Could the markets suddenly unravel? Of course they could. The fiat monetary system is like a mirage, it can tumble because of underestimated circumstances. Imagine for example Greece abruptly leaving the Eurozone, defaulting on its EFSF loans of €240 billion, its...
