Europe

The confetti were still littering Paris from Macron's celebration event on Sunday night when the 39-year-old Frenchman became the youngest president in French history, and already he met with one of the biggest challenges facing his new administration: a population, mostly among the local labor unions, that is unwilling to accept any if not all of the proposed economic reforms, and made this abundantly clear on Monday by clashing in violent protests across Paris with the local riot police.

Authored by Howard Kunstler via Kunstler.com,

First mistake: Emmanuel Macron’s handlers played Beethoven’s “Ode to Joy” instead of the French national anthem at the winner’s election rally. Well, at least they didn’t play “Deutschland Über Alles.”

The tensions in the Euroland situation remain: the 20 percent-plus youth unemployment, the papered-over insolvency of the European banks, and the implacable contraction of economic activity, especially at the southern rim of the EU.

In a note from Goldman's cross-asset strategist Ian Wright, the bank points out something troubling: on one hand, over the past six months, or rather since the US elections, equity markets around the globe have soared, and returns across regions have been "strong" - S&P 500, Stoxx 600, Nikkei 225 and MSCI EM ($) have returned roughly 11%, 16%, 20% and 11% in local currency price terms, respectively, with MSCI World ($) up 12% over the same period.  In other words, everything is up.

Well today’s get rich quick scheme didn’t work out so great, writes former FX trader and fund manager Rich Breslow. It turns out that more than a few traders had the idea that they’d go with the huge Macron poll lead and superior debate performance and place a little weekend flutter. After all, not that many other people may have noticed. But whether or not the euro, bund yields and the like behaved as hoped on Macron’s win isn’t really dispositive of anything. Put it all down to noise.

Gold Coins and Bars Demand Rises 9% In Q1, 2017