And it is why we got bonds and crude oil right.
“Unemployment is sky-rocketing; deflation is in our future for the first time since the Great Depression. I don’t care whose fault it is, it’s the truth.”
John Mellencamp
Greetings!
John Mellencamp can see it. But the average Keynesian-trained Ph.D. has a blind spot.
Another jobs report and more questions abound about the underlying strength of the US economy. Not for us. We expected this continued malaise. It was part and parcel to our long position in US bonds and short position in crude oil for the subscribers of our
Global Investor service. We continue to move stops to lock in open profit on bonds and oil.
…So why did we have any modicum of confidence in these trades? Simple! The Fed alone cannot spur growth no matter how much money it pours into the banking reserves.
Black Swan’s new service: Currency Options Strategist
Please feel free to forward Currency Currents to your friends and colleagues. We are always looking for smart new readers. Thank you. Jack
