In The News Today

Posted at 11:21 AM (CST) by & filed under In The News.

Bill Holter’s Commentary

David Rosenberg “smells a rat”!

David Rosenberg: This Turbocharged Debt Cycle Will End Miserably — It’s Just A Matter Of When
February 7, 2020

It is clear that it would have been a very hard sell a year ago that every single risk-on asset class from equities, to corporate bonds, to commodities would end up rallying as much as they did in 2019.

And so perhaps the message for 2020 is to fade all the optimism since fading the pessimism a year ago paid off very well. The sharp slide in Treasury yields this past year does not exactly comport with the risk-on view that has morphed into the consensus forecast.

Fed policy, the trajectory of GDP growth and global economic fundamentals in general all tell a cautionary tale. Both bonds and stocks can’t be right at this moment in time.


Bill Holter’s Commentary

…and so it begins.

China Starts Giving ‘Force Majeure’ Slips to Virus-Hit Companies
February 11, 2020

A car-parts supplier became one of the earliest known companies to obtain a “force majeure” certificate in China that may help it avoid penalties for breaching contractual obligations because of the coronavirus outbreak.

The manufacturer, eastern China-based Huida Manufacturing (Huzhou) Co., supplies steering-system components to a plant of Peugeot maker PSA Group in Africa, a Chinese trade body said Tuesday.

The organization, China Council for the Promotion of International Trade, said it issued the certificate on Feb. 2. More companies have since received the document, which is recognized by enterprises, governments, trade associations and customs officials in more than 200 places around the world, CCPIT said.