Video: Discussing US economy, Debt Ceiling, Europe and Banks
In this video, we discuss a few issues, including:
- ECB is caught between a rock and a hard place with the Euro.
- Strong Euro could derail the European Stock Market recovery. Bad for banks and inflation linked assets.
- Reflation Trade is over. Inflation expectations falling in US and Europe
- Market was too worried about the debt ceiling.
- Expect less rate hikes from the Fed. Financial conditions easing. Buy US stocks
- Oil below $50 in the middle of North Korea tensions and Hurricane Season means it will drift lower when things normalise
- Tensions with North Korea will likely hurt global trade
Daniel Lacalle is Chief Economist at Tressis, SV a PhD in Economics and author of Life In The Financial Markets, The Energy World Is Flat (Wiley) and Escape from the Central Bank Trap (BEP).