I will be going into a winter break on Sunday, so my owning posting may be sporadic next week. Other posts will appear as normal.
Emerging Markets
Chances are high of exodus from EM – FT.com
“The risks posed by emerging markets relate less to their own vulnerabilities than to deficiencies in the global financial architecture. Financial intermediation mismatches, volatility mispricing and co-ordination failure threaten a train wreck in emerging markets and an atypical spillover to the weakest developed economies. “
According to a recent study, inflation is the principal worry for citizens in Buenos Aires
Las clínicas privadas piden un aumento por la devaluación – lanacion.com
Hospitals and clinics in Argentina are asking to raise prices in order to deal with increased costs from the recent devaluation. Either the government allows these kinds of price increases to go through or they will find some businesses shutting down and going out of business. This is the inflation predicament.
Peso plunge forces Argentine soya hoarding – FT.com
““Pesos are no use – the worst thing you can do is hold pesos.” “
Mobius Says Emerging-Market Rout Near End as Valuations Lure
India warns U.S. about dumping investigation in solar trade spat | Reuters
China squeeze is hampering Asian growth – FT.com
“China is a big factor in this new dynamic. Today, the world is focusing on the implications of slower growth in China. But it also needs to start focusing on the role of Chinese banks as a source of liquidity for neighbours and emerging markets generally.”
Strong China January trade data sparks cheers, doubts | Reuters
” Many struggled to explain the unexpectedly buoyant trade figures, especially since Taiwan and South Korea both saw export sales slump in January, when the Lunar New Year holiday reduced the number of working days. Four separate purchasing managers’ indices also showed China’s factory and services sectors sliding to multi-month or multi-year lows in January as export and domestic orders fell.”
China Resource Imports Hit New Highs – China Real Time Report – WSJ
interesting viewpoint from China
Australia
Australia Readies More Than $100 Billion in Asset Sales – WSJ.com
Australian Treasurer Hockey: Budget Cuts Won’t Harm Economic Growth – WSJ.com
Australia joins the group of countries saying monetary policy should be an offset to tighter fiscal. This is unbalanced and will end in tears.
Federal Reserve
Fed Chairwoman Janet Yellen’s prepared remarks for Congress – Real Time Economics – WSJ
Yellen: ‘Too many Americans remain unemployed’ – Feb. 11, 2014
Fed Might Pause Taper if Outlook Worsened Notably, Yellen Says – Real Time Economics – WSJ
Fed’s Plosser: Taper Process Might Need To Be Quicker – Real Time Economics – WSJ
North America
A Walmart Worker Explains Why Walmart’s Customer Service Is Horrible
Some Hot Housing Markets Cool – WSJ.com
Is U.S. Housing Unaffordable? It Depends on How You Chart It – Real Time Economics – WSJ
Labor Battle at Kellogg Plant in Memphis Drags On – NYTimes.com
““It’s simple — Kellogg’s is a highly profitable company and just wants to pay people less,” said Mr. Watts, who has worked at the plant for 28 years. “It’s just plain greed.””
Vital Signs: Small Businesses Expect More Customers and Workers – Real Time Economics – WSJ
“The National Federal of Independent Business said its small business optimism index edged up to 94.1 in January, returning to levels posted before the government shutdown caused the index to crater. Important for the economic outlook, small businesses owners are more upbeat about future sales and hiring plans.”
A plan for Puerto Rico | MuniLand
Puerto Rico Expects to Issue Bonds to Refinance Some Debt – WSJ.com
“The offering could be up to $3.5 billion with a final maturity of between 15 and 20 years, according to people familiar with the offering. Puerto Rico legislators have put forth a bill to authorize a sale of as much as $3.5 billion, according to an island government website. The final size hasn’t been determined and will likely depend on the level of investor demand, said investors.”
Boehner Sets Clean Vote for Borrowing Limit – WSJ.com
“Mr. Boehner’s retreat marks a major victory for President Barack Obama and congressional Democrats who have long insisted that the debt limit should be approved without conditions. Democrats and the White House contend increasing the borrowing limit is a routine measure needed to fulfill fiscal obligations already incurred. “The era of threatening default has to be over,” White House National Economic Council Director Gene Sperling said Tuesday at a breakfast hosted by the Christian Science Monitor.”
Europe
House prices: if wages had kept up, we’d earn £44,000 more – Telegraph
Portugal Property Buyers Reappear as Economy Mends, Cushman Says – Bloomberg
ECB Weidmann: ECB Needs Clear Limits To Flexibility | MNI
Japan
Record tumble in Japan machinery orders casts doubt on Abenomics | Reuters
About that 1929 Chart -The Details Matter | PRAGMATIC CAPITALISM
Markets
Why global water shortages pose threat of terror and war | Environment | The Observer
Small Caps hit 24-year high against FTSE 100 – Independent.ie
PIMCO | Viewpoints – Leveraged Finance Outlook: Riding the Low Default Wave
“Following strong performance in 2013, we expect low (1%–3%) defaults in leveraged finance markets this year. Issuance should remain healthy, and continued slow but steady growth in the U.S. economy should offer further stability to these companies. However, careful credit selection and monitoring of sector trends remain imperative. Investors with low tolerance for volatility and more interest rate sensitivity may emphasize loans, while investors with greater risk tolerance and a more benign outlook for rates may look to high yield.”
The Single-Best Metric: EV/EBITDA Crossing Wall Street
Bitcoin
Why nobody can withdraw bitcoins from one of the currency’s largest exchanges – Quartz
Bitcoin hit by denial of service attacks as regulators prepare clampdown | Reuters
Canada Regulators Look at Ways to Get a Better Handle on Bitcoin – Canada Real Time – WSJ
The Bitcoin bump: stores turn to virtual currency for a marketing boost | The Verge
Technology
Sochi Olympics is a cyber war zone, experts warn – FT.com
How to Watch the Sochi Olympics Online Without a Cable Account
‘Flappy Bird’ Creator Dong Nguyen Pulled Game Because It Was ‘Too Addictive’ – WSJ.com
New iPhone – now upsized – set for release in September | South China Morning Post
Biggest DDoS ever aimed at Cloudflare’s content delivery network | Ars Technica
Exclusive: Lithium Technologies to Acquire Klout | Re/code
NSA
Rand Paul Joining NSA Lawsuit | TIME.com
Maryland lawmakers want to cripple the NSA’s headquarters | The Verge
Elsewhere
KTLA’s Sam Rubin Apologizes to Samuel L. Jackson – News Distribution Network, Inc.
This interview is a train wreck
Getting a Parking Ticket Has Never Felt This Good [VIDEO]
De de Gaulle à Sarkozy… les présidents français en visite aux Etats-Unis, Diaporamas
In anticipation of Hollande’s visit to the US, here are photos of French and American Presidents together over the last 50-60 years. Good photo review.