Jack the Pipper

Different year, same problem—debt overhang! Despite the best efforts of governments and central banks we remain stuck in the same vicious feedback loop.

It’s an interesting aspect of the human condition—clinging to our view despite the fact reality has already invalidated them. The Federal Open Market Committee seems to have this characteristic firmly embedded in its DNA.

I noticed Bloomberg’s barely sufferable bow-tied Tom Keene had some of what the globalist crowd considers the big guns of economics and analysis on his show this morning.

We narrowed our favorite issues of Currency Currents written in 2016 to seven. Check’em out on the jump!

It’s always difficult to pinpoint where we are in terms of a trend. Long-term trends in the currency markets have ranged from six to ten years, measured by the various bull and bear markets in the dollar since the inception of the free-floating currency market back in 1971.

The krone is an oil currency. The currency tends to track very closely with the price of oil over time.

I know it may sound odd, especially given what we’ve seen lately, but markets do correct. And usually, albeit these times may not be usual, markets correct when most of the players become complacent.

Momentum is clearly waning, but has not yet turned down.

As you well know, markets have reacted very favorably to the recent election of Donald Trump to be the next US President, despite the continued obsessive sniping among the mainstream press and assorted metrosexuals (defined as hubris-filled big city dwellers).

A gap open on Thursday morning, ending in a doji candlestick. With the long wicks on both sides, this is known as a Rickshaw Man…indicates major indecision.