While everyone likes to hate on Cyprus, it is Italy that is the focal point of today's European "omnishambles" that has seen the EURUSD tumble to a five month low as of this writing. First it was economic data that scared investors, with Industrial Sales and Orders tumbling far below expected, posting numbers of -1.3% and -1.4%, respectively, on expectations of an increase. Retail sales were just as ugly, declining by -0.5% in January, on expectations of an unchanged print, with the December 0.2% number revised also into negative territory.
FINalternatives submits: A key European Parliament committee has approved the European Union’s controversial hedge fund regulations, but have set up a battle with the bloc’s finance ministers at the same time.
Space does not permit a complete discussion of zombified cities. Such a list would be in the many hundreds. Rather this post is about four cities in recent news that are among the walking dead. One is even a dumping ground for the dead.
Fourth Financial Urgency in Miami in Four years
The Huffington Post reports Miami Declares Financial Urgency For Fourth Year In A Row
John M. Mason submits: The economic spokesperson for the Obama administration, Ben Bernanke, and the Federal Reserve System continue to underwrite “big”…Big Companies and Big Banks. The Federal Reserve has just released its survey of senior credit officers. The headlines, “Large United States Banks are Starting to Ease Credit Terms.” Terrific!
EARLIER today, a friend sent me a note from Louis-Vincent Gave of GaveKal Research (sorry, no link) on how the ECB could preserve the euro without doing anything to offend German sensibilities. Mr Gave suggests that the central bank should stop buying assets and start selling “currency insurance.” It is an intriguing idea, so I have copied some excerpts to provide a flavor of the analysis.Mr Gave begins by arguing that convertability risk is inhibiting investment in the troubled countries:
Michelle Galanter Applebaum submits: Commerce Places Final Duties on Chinese Steel. The Commerce Department (DOC) placed final duties in the $119 million antidumping (AD) and countervailing (CVD) case against Chinese drill pipe on Tuesday.