Global Macro Perspectives
*** The Big Picture: Tactical Shift in Portfolios: Reducing Cash ***
*** The Big Picture: Europe’s Undercapitalized Banks ***
*** The Big Picture: First Look At US Pay Data, It’s Awful ***
*** Calculated Risk: Builders to deliver record low number of housing units in 2011 ***
*** FT Alphaville: Albert Edwards: Hold on for a hard landing in China ***
Total deterioration in fundamentals.
Philadelphia FED General Business Conditions Index rose from -17.5 to 8.7. Consensus was at -9.4.
Very strong inventory data is not translating into price strength.
*** FT Alphaville: [Explaining backwardation] The curious case of super-backwardation ***
*** FT Alphaville: [Explaining backwardation] Are index funds the new swing producers? ***
*** FT Alphaville: [Explaining backwardation] The WTI-Brent anomaly ***
*** FT Alphaville: EFSF as bond-buyer (and repo monster) ***
*** FT Alphaville: Steeling for more commodities volatility ***
*** The Big Picture: Understanding Federal Debt & Presidential Budgets, Fiscal Year Edition ***
Initial jobless claims in the U.S. were reported at 403.000 vs. 400.000 consensus and last week revised (up 5.000) reading of 409.000.
U.S. housing starts in September rose 15.0% to 658.000 vs. revised (1.000 higher) 572.000 August reading. Consensus was at 590.000. On year level U.S. housing starts are up 10.2%.
*** FT BeyondBRICs: China: the case of the missing inflation ***
*** FT Alphaville: Are ETFs responsible for short-covering rallies? ***
*** Deal Journal: Goldman Sachs Hedges Its Way to Less Volatile Earnings ***
*** Wall Street Journal: Apple Loses Some of Its Shine ***
U.S. consumer price index rose 0.3% in September vs. 0.3% consensus and August reading of 0.4%. On year level CPI inflation is running at 3.9%.
China retail sales rose 17.7% y-o-y in August vs. 17.o% August reading. Consensus was also at 17.0%.
China fixed asset investments were up 24.9% y-o-y in September; August reading was at 25.0%. Consensus was at 24.8%.
Industrial production in China rose 13.8% y-o-y in September; August reading was at 13.5%. Consensus was at 13.4%.
*** FT BeyondBRICs: China: slowing, but slowly ***
*** FT Alphaville: Goldmaarghn ***
*** FT Alphaville: Bank of America results: DOA or DVA? ***
*** FT Alphaville: European bank compensation, comparing apples to oranges ***
*** FT Alphaville: UK banks and recession ***
*** Infectious Greed: Tracking the Great Canadian Real Estate Bubble ***
*** China Digital Times: China’s New Unofficial Currency: Panbi（潘币 ***
U.S. producer price index rose 0.8% in September vs. 0.2% consensus. August reading was at 0.0%. On year level PPI is up 7.0%.
China third quarter GDP rose 9.1%, vs. second quarter 2011 growth rate of 9.5%. Consensus was at 9.3%.