![]() After dropping to 6.11% post-summit, Spanish 10-year yields traded back to almost 6.95% today. And while it might appear that the June 28/29 summit provided an inflection point for a more pragmatic – and decidedly less principled - German position, one could also envisage a scenario where such public embarrassment engenders a tougher German stance. German public opinion is clearly hardening the German constitutional court is preparing. Merkel was pilloried at home – by the press, by her political opposition and even within her own governing coalition. And if Merkel was willing to bend on EU bailout oversight and emergency lending directly to Spanish banks, surely she would eventually capitulate on Eurobonds, EU system-wide deposit guarantees and other forms of debt “mutualization.” Those believing that the Germans would have no alternative than to eventually backstop troubled eurozone debt issuers were emboldened – at least momentarily. The Germans gave into the demands (to some, “blackmail”) of the contingent from Italy, Spain and France, as the European powerbase lurched southward. After stating rather unequivocally that there was a line that would not be crossed (“as long as I live”), Chancellor Merkel was seen as buckling under the pressure. More specifically, global risk markets rallied significantly after Germany’s capitulation at the latest European summit. The precarious “risk on, risk off” global market trading dynamic has become only more overbearing. And as systemic stress escalates the markets anxiously anticipate even more powerful policy responses. ![]() Buffeted by countervailing forces, global risk markets have bounced between crisis-induced de-risking/de-leveraging and policy intervention-driven speculative excess. Policymakers were, once again, forced into desperate measures. The European debt crisis, again, began to spiral out of control. It’s certainly been an eventful few weeks. Having wrapped up my working holiday this week, my end-of-week writing schedule should now return to normal. The ultimate destination will see us multiples from where we are now and I don’t think it’s out of the realm of possibilities what we will once again reattain our ATHs.Īlas, please stay with your risk tolerances I am not giving any investment advice.Editor's note: This was originally writen July 6, 2012. Price fluctuations are inevitable but are only a concern if your looking short term. ![]() The decentralization of systems and the openness of blockchain is what allows this to happen. You have heard me speaking about the landscape of the opportunity, Proxy is primed with its unique and integratable protocol for tokenization of BTC to allow some really important holders to be able participate with little or almost no risk. We are positive that we will achieve our targets and the last few months have revealed this to us. ![]() ![]() You have to understand that adoption by major entities is not influenced around the expectations of the general investors instead it will revolve around their own needs which are required to be satisfied in order for them to feel comfortable enough to move forward. I begin with saying that I am 100% confident that we are set to achieve a status that is unprecedented in our sector of DeFi. ![]()
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