At the end of January, the Euro soared following an FT piece in which Trump's trade advisor and director of the White House National Trade Council, Peter Navarro, launched what was then seen as the first shot in the transatlantic trade wars, when he accused Germany of using a “grossly undervalued” euro to "exploit the US and its EU partners", comments which triggered alarms in Europe’s largest economy.
With spreads at post-crisis tights, equities making new highs, and new issues oversubscribed, markets are clearly exuberant. But could it be rational this time? We’re not convinced.
- Citi's Matt King
Via Michael Shedlock of MishTalk.com,
In light of my posts on robots, driverless vehicles, and automation, readers keep asking: where will the jobs come from?
I do not know, nor does anyone else. But does that mean jobs won’t come?
Is technology destroying jobs for the first time?
Daniel Lacalle on the Hedgeye blog offers this bold claim: Face It, Technology Does Not Destroy Jobs.
Francois Fillon has confirmed that he will stay in the race for the French presidential election following a rally he said proved his legitimacy as candidate. Taking a jab at the Republican Party establishment's pressure for hism to step aside, he exclaimed "I am innocent, no one has the power to force me to step down, it’s my decision." While his odds of victory remain low (sub-10%), we do note Le Pen's odds dropped below 30% for the first time in six weeks.
Turkish President Tayyip Erdogan accused Germany of "fascist actions" reminiscent of "Nazi practices" in a growing diplomatic rift over the cancellation of political rallies aimed at propping support for him among the 1.5 million Turks living in Germany. Erdogan's latest outburst on Sunday took place days after German authorities withdrew permission for two rallies by Turkish citizens in German cities, at which Turkish ministers were to urge a "Yes" vote in a referendum next month on granting Erdogan sweeping new presidential, almost dictatorial according to some, powers.