Despite the remarkable recovery in crude oil prices today, traders were not buying the bounce-back in one crucial market. Bets on the future devaluation of the Saudi Riyal surged by the most in 3 weeks today.
The 45 pips drop in 12-month forward USDSAR rates is the 2nd biggest jump in 2 months...
This weekend's biggest, and most shocking story, was the report that in response to a proposed Congressional Bill that would allow a probe into the Saudi role behind the Sept 11 terrorist attack, Saudi Arabia had threatened the US with dumping its roughly $750 billion in Treasury holdings.
Via MauldinEconomics.com,
You often hear me harping on the dangers of too much debt, and I keep my eyes peeled for significant work that backs up my concerns.
In my recent Outside the Box, good friend Dr. Lacy Hunt of Hoisington Investment Management gave us more ammunition to take on those who just don’t seem to get that the endless piling up of debt is not a sustainable way to run an economy.
The following shocking drone footage of the aftermath of Japan's earthquake cluster this weekend (from Thursday through Monday, more than 500 quakes shook the region) shows the scale of the damage wrought. As one comment noted, "it looks like a Godzilla movie," but sadly this is very real as Satoshi Matsumoto, associate professor at the seismology institute of Kyushu University, warned the ground underneath the island cracked unusually easily, which could allow one quake to cause others in a cascade, spreading them through a wider-than-usual area.