macroeconomics and why we're fucked
1) dollar drops
2) treasuries rise - this contradicts 1).
3) inflation numbers suck so the rates need to be raised
4) unemployment numbers suck so the rates need to be cut (contradicts 3)
5) ECB wants to raise rates so Euro gains (hence 1)
so what does one do? buy treasuries? Sell stocks? get out of dollar denominated Fixed Income? Buy commodities? These are all conflicting and self-contradicting signals. The main message is that it's going to be very rough and fundamentally unstable. |