The news lull of August is in full swing. I have been looking for two hours for a shred of meaningful news to opine about.
A quick look at the financial headlines tells you everything you need to know about global markets. Currency devaluations in Turkey and China are making markets jittery for lack of any real news.
Now don’t get me wrong, China cutting the value of the yuan as a response to President Trump’s tariff threats has meaning to the backwater currency trading markets, but to make global markets move on the scale they have this morning is a bit of overkill and a result of lack of news on other fronts.
The same with the Turkish lira devaluation taking down the emerging markets. This is less than a blip on the screen any other time of the year. Today it’s leading the WSJ.com website.
So now we have big moves in currencies and sovereign bonds — two markets that most investors know very little about — driving overall stock markets.
Well perhaps later today we can get back to real market-driving news like Tesla’s Elon Musk on Twitter showing the check he received from Amazon’s Jeff Bezos to take the electric automaker private.
If this continues tomorrow, I think I’ll give you an update on my honey bees and the honey I harvested. It’s a helluva more interesting than currencies and sovereign bonds.
The hypocrisy of Jeff Bezos and Howard Schultz is so absolutely delicious.
The blowback Amazon and Starbucks are giving the city of Seattle over a new tax being levied on employers to help fund homelessness programs in the city is classic “do what I say, not what I do”. Continue reading →
President Trump — bolstered by the 750-point snap back in the Dow Wednesday — tripled down on his China tariffs Thursday stating the US was looking at an additional $100 million in imports.
Market futures on Friday morning seem to confirm that the new ploy has a much smaller effect on the markets. Futures this morning are down 200 points as oppose to -500+ Wednesday morning. Continue reading →