economics
Imported tag from Readwise
economics
Relatively high interest rates in Australia and Canada resulted in high-yield currencies that attracted foreign capital. Their relatively high interest rates were due largely to rising commodity prices.
John J. Murphy • Intermarket Analysis
buying power is wiped out to the same extent as productive power is wiped out.
Henry Hazlitt • Economics in One Lesson: The Shortest and Surest Way to Understand Basic Economics
underlying imbalances that explained the sources of growth in the global economy,
Michael Pettis • The Great Rebalancing
in 2022, both consumer sentiment and the misery index (the sum of inflation and unemployment levels) reached recessionary levels, but again without an NBER-defined recession:
This, I would argue, is a hallmark of fiscal dominance. The credit cycle on its own over the past couple years was typical for a recession, but the credit cycle is now smaller
... See moreLyn Alden • September 2024 Newsletter: Why Nothing Stops This Fiscal Train
They asked a basic question of their portfolio: If we can find many different arbitrage or relative value strategies that all look individually attractive, might they look even better when combined in a certain way?
Ludwig B. Chincarini • The Crisis of Crowding
Global current account balances widened by a sizable 0.6 percentage points of world GDP in 2024. When adjusted to account for the volatility around the pandemic and Russia’s war in Ukraine, the widening is a notable reversal of the narrowing since the global financial crisis and may signal a significant structural shift.
Pierre-Olivier Gourinchas • Global Current Account Balances Widen, Reversing Narrowing Trend
At that time the short U.S. swap spread, the European cross-swap trade, and the short volatility trade were by far LTCM’s largest trades.
Ludwig B. Chincarini • The Crisis of Crowding
India is the world's second-largest consumer of edible oil. Our per capita consumption reached 19.7 kg per year or possibly even more — much higher than the WHO's recommended 13 kg. To give another perspective: in the 1960s, we consumed just 3.2 kg per person annually. That means an increase of more than 500% .
Zerodha • The Trade Chaos Behind Your Cooking Oil
The main weakness of China isn’t the money or talent, but the ideological underpinning. The strategy of internal self-sufficiency for food, raw materials, energy, and now technology, coupled with a focus on exports to push other countries into dependency is essentially mercantilism, a 17th century doctrine which failed both practically and
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