Jan

9

Since the epic crash of 2008, many key relationships have changed and some have gone outright haywire.

Traditional meaning of money for students of demand and supply has been that value of assets and value of money do not move together and rather move in opposite directions. The USD and the S&P500 have been moving up together through a sustained eight years now. In satisfying the mind, which is nothing but a self organising pattern seeking system as per Edward de Bono, one places in the model of the new world the Euro as the new money of this new world.

If this is a perceptive transformation that is acceptable for logical minds, one places on the table a few questions that might deserve indulgence of the specs:

a. What do quants see in the relationship of Eur with other key assets, the extent of the idea that Euro is behaving as the money of the new world?

b. Given impermanence is the only permanence, to prepare better than the rest, in what good ways should one be studying the configuration and the factors working into the significance and role of the Euro in today's world such as when this meme / regime will be about to be ending, the list may be one of the earliest lighthouses to note the changing tide?

c. Will JPY be the next to take over the role of the , howsoever ephemerally in the infinitude of ever changing cycles, to mimic appearing to be the money of the world? There is another question hidden within this simple looking one, that is, will the super bull of equities continue for years further even if the eight year persistence of EurUSD gives in with similar behaviour of a sustained decline coming in the value of the JPY?


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  1. astro the dog on January 10, 2017 2:07 pm

    ‘The Mighty Dollar’ front cover of their magazine.

    Barron’s get ready 20,000 !

    http://www.npr.org/sections/thetwo-way/2016/09/15/494082349/guggen-head-you-can-now-use-a-golden-toilet-at-the-guggenheim

    Behold The Throne: There’s A Golden Toilet At The Guggenheim

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