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July 21, 2005

China shifts to a basket peg

But the change against the dollar is small.  Very small. Too small in my view to have much of an economic impact, in any way.  On trade flows.  Or on capital flows.  I would still bet on a furth…

February 27, 2006

Financial Markets
A butterfly flapped its wings in Iceland …

If you read the financial press closely, it was hard not to learn a bit about the Icelandic krona over the past week.   The krona pays a high interest rate, you see - enabling Iceland to attract the …

April 19, 2006

United States
You can not put dark matter in a container …

So says Michael Mandel.   Some of us might say you can't put dark matter in a container because it doesn't really exist.That is not Mandel's argument.  He believes in dark matter, though apparently n…

December 11, 2006

Financial Markets
The GCC’s dollar peg …

China will have a current account surplus of over $200b this year.  China has about 1.3 billion people.   The GCC countries (Saudi Arabia and the small states on the Gulf) will also have a current ac…

February 28, 2008

Emerging Markets
$1 trillion, $100, $1.50

A lot of milestones have been passed in the last few days. Most aren’t positive for the United States. Nouriel Roubini is no longer the only economist putting the eventual toll of the financial crisi…