Wednesday, July 26, 2017

The Netflix Global Economy

Ponzi schemers haven't figured out that the asset bubble IS the economy. Now that the Fed has belatedly realized reflation is a self-deluded fantasy, the rest of the world is next...

As long as Netflix doesn't roll over, record global risk exposure will all be fine:

Recall, just prior to the election...

"The world’s biggest central banks are bulking up their balance sheets this year at the fastest pace since 2011’s European debt crisis to boost lackluster economic recoveries with asset purchases that are supporting stock and bond prices"

Now that record capital has been put at risk...

Looked at through the lens of the second largest economy in the world, I call this centrally planned circle jerk "overtime":

We see that Hong Kong is a leveraged bet on China, just retracing the first leg down of a new bear market:

"It's almost time to buy Netflix"

July 24, 2017

"Many of the world's central bankers, including in Canada, had been stubbornly tied to low-for-longer interest-rate regimes following the recession. That time has ended"

We see that Canada is a leveraged bet on the U.S., now through the 200 dma, confirming weakness in the U.S. economy.

"Time to take shelter in Netflix"

ECB's Nowotny: Wise To Begin Scaling Back European QE

"policymakers must decide this autumn, possibly in October, whether to continue the scheme or start winding it down, a potential milestone for a bloc that looks to have finally emerged from nearly a decade of economic malaise."

"Everyone rollover to Netflix"

"Global policy error"