QOTD: Vive La France!

Posted on February 3, 2017 by macromon

Maybe, just maybe, France will turn out to be the place where the populist tide is turned. – Philip Stephen, FT

We concur!

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Why Billionaire Investor Ray Dalio Did an About-Face on Trump – Bloomberg

Posted on February 2, 2017 by macromon
Feb.01 — Billionaire Ray Dalio, who in November was bullish on the incoming president’s ability to stimulate the economy, is now saying he’s more concerned that the damaging effects of Trump’s populist policies may overwhelm the benefits of his pro-business agenda. Bloomberg’s Simone Foxman reports on “Bloomberg Markets.”
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Recall we warned of the “Bad Trump” policies lurking in our post,“Good Trump” Catapults Dow To 20K As “Bad Trump” Lurks.
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But keep in mind there are some very nasty policy proposals lurking out there and, if realized,  will cause a world of hurt for the global markets and economy.
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The prospects of the “Good Trump” policies,  tax cuts, deregulation, etc., should keep markets afloat and jam them higher when implemented unless a geopolitical shock arises out of the blue or as the result of the “Bad Trump” policies.
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 At the end of the day, however, we believe the imbalances – more debt, fiscal deficits, higher inflation, ballooning trade and current account deficits, border taxes and reduced trade, and a panicked Fed –  will cause, in totality, President Trump’s economic policies to end in tears.
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 President Obama, his economic team, and Ben Bernake and the Fed,  get an A+ in our book for stabilizing a global economy on the brink of an economic disaster 10x the Great Depression when they took over.  At best they get a C for the structural adjustment that was needed to create high paying jobs and prepare the U.S. for the new economy of the 21st century.   Much of that failure was political constraints from the “do nothing” Congress.
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We see some rays of hope in the Trump policies but they fail in their central focus to prepare the workforce for the coming automation that will destroy up to 50 percent of all current jobs.   Infrastructure spending, a one-time shot, will not, tax cuts will not, and deregulation will not — in fact, will accelerate automation.   Trump’s policies are mostly cyclical in nature and won’t fix the economy’s structural problems.
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We have been warning of this since 2011.   See here, here, and here.
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“Tech companies are creating plenty of jobs for robots.”
— Daniel Honan,  The Robot Hiring Boom Has Arrived – Global Macro Monitor, 12/28/2011

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Teaching Python in the second grade would be a good start.
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Apple’s Revenue Breakdown

Posted on February 1, 2017 by macromon

Apple’s stock was up over 6 percent today.  Here is the breakdown by region and product.  Note, the continued decline in China and the 18 percent increase in services, which the market is all lathered up about.

apple-earnings

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Will Fillon Scandal Boost Le Pen and Macron? – WSJ

Posted on February 1, 2017 by macromon
Published on Feb 1, 2017
He was the front-runner in the race to become France’s next president. But have allegations that François Fillon misused public funds created an opening for far-right leader Marine Le Pen and centrist Emmanuel Macron? WSJ’s Niki Blasina reports.
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Quote of the Day: Joe Nye, The Havard Guy

Posted on February 1, 2017 by macromon

Caligula made his horse a senator. Why? To show disdain for institutions  – Joe Nye

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Here’s Why Super Bowl Ticket Prices Are So Low – Bloomberg

Posted on January 31, 2017 by macromon
Published on Jan 31, 2017

Jan.31 — CAA Premium Experience Executive Robert Tuchman discusses demand for tickets for the Super Bowl and package deals for the big game in Houston. He speaks with Scarlet Fu on “Bloomberg Markets.”

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US Sector ETF Performance – Jan 31

Posted on January 31, 2017 by macromon

etf_dayetf_month

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Global Risk Monitor – January 31

Posted on January 31, 2017 by macromon

Click on table to enlarge and for better resolution

riskmon_1riskmon_2riskmon_3

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The French Presidential Race: Who’s who?

Posted on January 30, 2017 by macromon
Published on Jan 30, 2017

The Socialists

The winner of the French socialist primary, Benoit Hamon, much to current Prime Minister Emmanuel Vall’s disappointment, will be the party’s presidential candidate. The main candidates have now been chosen for the two-round elections on 23rd April and 7th May.

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The Amazon Effect

Posted on January 29, 2017 by macromon

amazaon-effect

But still lots of room for growth:

is-amazon-a-monnopoly_jan27

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