Tag Archive: newsletter

Gun law and corporate tax reforms set to be approved

2019-05-08

by

2019-05-08

Opponents of restrictions on gun ownership in Switzerland have not been able to win substantial additional support over the past months, according to an opinion poll ahead of a nationwide vote on May 19. The No camp lags more than 30 percentage points behind the supporters, a survey published by the Swiss Broadcasting Corporation on Wednesday as found.

Read More »

A spanner in the works

2019-05-08

by

2019-05-08

MSCI China vs. Developed Market Equities - Relative Price Change, 2017-2019
While Trump’s weekend tweets have created fresh uncertainties around US trade talks with China, some perspective is needed.At the weekend, US President Trump threatened to increase the tariff rate on Chinese imports as he believes that US-China trade negotiations are going “too slowly”. Importantly, Trump’s threats do not mean bilateral talks are breaking down. Indeed, the Chinese government confirmed today that its trade delegation would still go...

Read More »

FX Daily, May 07: Markets Steady as China Pushes Forward

2019-05-07

by

2019-05-07

Overview: News that the US tariff escalation did not scupper trade talks with China has helped the global capital markets stabilize today.  China's Vice Premier Liu He is still leading a delegation to the US.  Most Asian equities recouped part of yesterday's losses, including China, Hong Kong, Taiwan, Australia, and Singapore.  Japanese and Korean markets were closed on Monday and bore some selling pressure today.

Read More »

What Would It Take to Spark a Rural/Small-Town Revival?

2019-05-07

by

2019-05-07

Net farm Income, USDA 1970- 2010
There are many historical models in which the spending/investing of wealthy families drives the expansion of local economies. The increase in farm debt while farm income declines is putting unbearable financial pressure on American farmers, who must be differentiated from giant agri-business corporations. This is placing immense pressure on farmers, pressure which manifests in rising suicide rates.

Read More »

Nonmonetary Cause of Lower Prices, Report 5 May

2019-05-07

by

2019-05-07

Gold and Silver Price
Over the past several weeks, we have debunked the idea that purchasing power—i.e. what a dollar can buy—is intrinsic to the currency itself. We have discussed a large non-monetary force that drives up prices. Governments at every level force producers to add useless ingredients, via regulation, taxation, labor law, environmentalism, etc.

Read More »

FX Daily, May 06: Trump’s Tariff Tweets Help Investors Discover Volatility

2019-05-06

by

2019-05-06

Reports that a US-China deal could be struck by May 10 before the weekend left investors ill-prepared for the presidential tweets yesterday that announced that the US was ending the tariff truce. Trump indicated that the 10% tariff on $200 bln of Chinese goods would be lifted to 25% at the end of the week and that the remaining $325 bln of Chinese goods that have not been subject to an extra levy, will be slapped with a 25% tariff soon.

Read More »

Seizures of illegally imported medicines triple in Switzerland

2019-05-06

by

2019-05-06

The Federal Customs Administration seized 3,203 shipments of illegally imported medicines in 2018 – triple the amount of the previous year. Erectile stimulants remain at the top of the list of illegally imported substances, the Swiss Agency for Therapeutic Products (Swissmedic) said on Thursday.

Read More »

Money Metals Exchange Lease #1 (silver)

2019-05-06

by

2019-05-06

Silver Offers for Money Metals Exchange
Monetary Metals leased silver to Money Metals Exchange, to support the growth of its gold and silver bullion  business. The metal is held in the form of inventory in its vault. For more information see Monetary Metals’ press release.

Read More »

Good Riddance to a “Nothing-Burger” Trade Deal

2019-05-06

by

2019-05-06

U.S.Dollar's Share of Global Peyments
China has expanded its domestic debt to fund its growth, much of which qualifies as malinvestment, creating financial vulnerabilities its government is anxious to mask. As I noted in Trade Deal Follies: The U.S. Has Embraced the World's Worst Negotiating Tactics (April 8, 2019), the trade deal was a Nothing-Burger for the U.S. Without any consequences for violating trade deals, China violates all trade deals, starting with the WTO.

Read More »

Geneva blocks the erection of 5G mobile antennas

2019-05-05

by

2019-05-05

Last week, Antonio Hodgers, the head of Geneva’s executive, announced a ban on the erection of further 5G mobile antennas in the canton, according to an interview on RTS. Motivated by uncertainty on the potential health effects of the new technology, the temporary freeze is the most the cantonal government can do to stop the rollout of the technology.

Read More »

Swiss Consumer Price Index in April 2019: +0.7 percent YoY, +0.2 percent MoM

2019-05-04

by

2019-05-04

Switzerland Consumer Price Index (CPI) YoY, April 2019
03.05.2019 - The consumer price index (CPI) increased by 0.2% in April 2019 compared with the previous month, reaching 102.4 points (December 2015 = 100). Inflation was 0.7% compared with the same month of the previous year. These are the results of the Federal Statistical Office (FSO).

Read More »

Income Inequality and the Decline of the Middle Class in Two Charts

2019-05-04

by

2019-05-04

CBO Income Before, 1980 - 2019
These two charts of average incomes of U.S. households by quintile (bottom 20%, middle 60% (20%+20%+20%) and top 20%) have both good news and bad news. (Charts are from the non-partisan Congressional Budget Office -- CBO).

Read More »

UBS Tells Managers They Can Hire 1 Employee For Every 5 Who Leave

2019-05-04

by

2019-05-04

Like the other lagging European investment banks (Deutsche and SocGen immediately spring to mind), UBS is resorting to the last resort of the embattled megabank CEO when shareholders are demanding higher profits 'or else'. After a decade where UBS cut thousands of jobs in its investment bank unit, Sergio Ermotti is turning to one of the few business lines where fat can feasibly be cut: UBS's once legendary asset-management business.

Read More »

Monetary Metals Leases Silver to Money Metals Exchange

2019-05-03

by

2019-05-03

Silver Offers for Money Metals Exchange
Monetary Metals® announces that it has leased silver to Money Metals Exchange® to support the growth of its business of selling gold and silver at retail and wholesale. Investors earn 2.2% on their silver, which is held in Money Metals’ vault in the form of silver products.

Read More »

FX Daily, May 03: Ahead of US Jobs Report, the Greenback Remains Firm

2019-05-03

by

2019-05-03

Overview: The US April jobs data stand before the weekend, and the greenback is holding on to most of yesterday's gains as participants wait for the report. Equities in the Asia Pacific region were mixed without leadership from China and Japan, where the markets remain closed for the extended holiday. On the week, Australia's ASX was the worst performing.

Read More »

Is Europe turning Japanese?

2019-05-03

by

2019-05-03

German Bunds Yield, curve
European investment opportunities remain, despite financial repression in the region.The European Central Bank (ECB) surprised market watchers with its dovish turn in January, wiping out any prospect of an interest-rate rise this year and revising its growth projections for the euro area downward for 2019.

Read More »

The Accelerating Decay of the Middle Class

2019-05-03

by

2019-05-03

The Fruit of Financialization
Ironically, their ample compensation allows them to avoid the poor-quality services they've designed for everyone below them. If we define middle class by the security of household income and what that income can buy rather than by an income level, what do we conclude? 

Read More »

IT managers sentenced in ministry corruption case

2019-05-03

by

2019-05-03

Four suspects have been sentenced in a major corruption case involving a unit of the Swiss economics ministry. But the main defendant is still awaiting a formal indictment. The Office of the Attorney General (OAG) announced on Wednesday that a trustee was given a suspended six-month prison sentence and three external IT managers were ordered to pay fines for offering material contributions and gifts of up to CHF100,000 ($100,000) to a senior...

Read More »

FX Daily, May 02: Dollar Consolidates Fed-Inspired Recovery

2019-05-02

by

2019-05-02

Overview:  The US dollar is consolidating yesterday's post-Fed rally, and this is giving it a slightly heavier tone today.   Equities are mostly lower and Europe's Dow Jones Stoxx 600 is off about 0.5% in late morning turnover, which if sustained would be the largest decline in three weeks.  The S&P 500 posted a potential key reversal yesterday by setting new record highs and then closing below the previous session's low.

Read More »

Claudia Aebersold Szalay to become Head of Media Relations at the SNB

2019-05-02

by

2019-05-02

Claudia Aebersold Szalay will assume the role of Head of Media Relations at the Swiss National Bank on 1 June, replacing Walter Meier who will be leaving the bank having reached retirement age. Ms Aebersold Szalay was previously an economics and business editor at the NZZ newspaper for eleven years.

Read More »