Sign in
Sign in
Recover your password.
A password will be e-mailed to you.
Abenomics and Japan’s disastrous macro plans
Abenomics has been very successful in goosing the Japanese economy thus far. However, the question remains whether this success will be short-lived or durable. I believe it is likely to be short-lived because of the policy constraints that…
China: Rebalancing and long term growth
As analysts and official entities like the World Bank continue to downgrade their forecasts for medium-term growth in China, I have been asked increasingly often for the reasons I believe that 3-4% average annual growth rates is likely to…
Corporate profits: In the long run, valuation means everything
Regardless of the metric that you use, deviations from the long term growth trend are unstainable and will eventually mean revert.
Yield Bubble Intact and Inflating
Emerging economies are reeling as rising US bond yields are squeezing the most vulnerable and funding intensive parts of the market. But the squeeze in EM yields is merely an hors d'oeuvre to what is likely waiting in the wings.
Indonesia: Falling Behind the Curve
Bank Indonesia has fallen far behind the curve in its currency management tactics. After fairly steady intervention kept USD/IDR trading near the 10,000 area from May through early August, the authorities have been allowing the pair to move…
Chart of the day: QE3 has been ineffective in growing credit in the US
Based on the data from the Federal Reserve Bank of St. Louis here is a single chart that shows credit growth in the US is continuing to decline while the Fed's balance sheet is expanding.
More on P/E ratios and whether this market is cheap
The P/E ratio is a statistic that, while all-encompassing, can be misleading in determining under- and overvaluation. Nonetheless regarding valuation it can be a useful guide in context.
On the Microsoft – Nokia merger
I have been saying for two years now that Nokia is toast because it has hitched its wagon to an also-ran in the smartphone race. The only out for the company is a takeover by Microsoft and now this is done. Will it work though?