Business

As we do every quarter, just before CAT announces its result, we show the monthly retail sales for the heavy industrial conglomerate, and in the month of December things went from really bad to even worse, when the company reported what in our estimate was the worst month since the financial crisis, with global retail sales matching the worst annual decline this decade, while the duration of the sales contraction is now unprecedented in company history.

• Unease over Fed rate path dents European stocks (Reuters)
• Global Stocks Pressured After Fed Statement (WSJ)
• Japan's Economy Minister Amari to Resign Over Graft Scandal (BBG)
• Authorities working to clear remaining protesters in Oregon occupation (Reuters)
• China Sharpens Efforts to Halt Money Outflow (WSJ)
• Eurozone January Economic Sentiment Falls Sharply, Hits 5-Mth Low (MNI)
• Glencore Said to Store Oil in Ships Off Singapore Amid Contango (BBG)
• Investors Hedge Bets on Crude-Oil Revival (WSJ)

Following the Fed's disappointing "dovish, but not dovish enough" statement which effectively admitted Yellen had committed policy error by hiking just as the US economy "was slowing down" which in turn lowered the odds of a March rate hike to just 18%, it was up to oil to pick up the correlation torch, and so it did, rising in an otherwise mixed session which has seen European stocks slide on continued weakness surrounding Italian banks, many of which have been halted limit down, while Asia was unable to pick a direction after the resignation of Japan’s "Abenomics" minister Akira Amari to

It should surprise nobody that when it comes to perpetuating the global central bank "put", China - which is at daily danger of having its house of trillions in non-performing loan card collapse at any moment - has perfected moral hazard better than any western central banker. However, even the staunchest cynics will be stunned by the latest development out of the Shanghai government where starting next month, venture capital firms which invested in high-tech startups since the beginning of 2015 can apply for government compensation if their investment loses money.