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Some interesting observations here:
http://watch.bnn.ca/#clip268256
- scrap metal prices have only taken a breather in the crash
- the recent peak in scrap coincided with Bernanke's rate "hike"
- metals upturn and spurt in the PPI preceded the 70's inflation run
A counterbalance to the China bears. Or really just a forest-for-the-trees call.
On the one hand (always a bad start I agree)... the thing that bugs me about the China bears argument is it seems a double standard... we have nations in the Anglo world with incredibly dodgy accounting in both private and public accounts looking down their noses at China and Greece...
My point is not that China's a paragon but that, at this point, it seems like it's all about sovereign debt and the relative credibility of the same when they are the best credits going (because the private sector has blown its collective brains out in an orgy of derivatives poker playing... and is actively working on destroying the sovereign credits one by one as well.)
In this situation and given that its all a form of "Kremlinology" in EJ's great analogy, are we sure we can fade Coxe's analysis...
http://watch.bnn.ca/#clip268256
- scrap metal prices have only taken a breather in the crash
- the recent peak in scrap coincided with Bernanke's rate "hike"
- metals upturn and spurt in the PPI preceded the 70's inflation run
A counterbalance to the China bears. Or really just a forest-for-the-trees call.
On the one hand (always a bad start I agree)... the thing that bugs me about the China bears argument is it seems a double standard... we have nations in the Anglo world with incredibly dodgy accounting in both private and public accounts looking down their noses at China and Greece...
My point is not that China's a paragon but that, at this point, it seems like it's all about sovereign debt and the relative credibility of the same when they are the best credits going (because the private sector has blown its collective brains out in an orgy of derivatives poker playing... and is actively working on destroying the sovereign credits one by one as well.)
In this situation and given that its all a form of "Kremlinology" in EJ's great analogy, are we sure we can fade Coxe's analysis...