OldLimey

Where Will Markets Go from Here?

MM: another interesting post. I gather from earlier posts that you're sparing the FX market your attentions at the moment, but I'd be interested in your views on the NZD. With kiwi banks having to go offshore for around a third of their borrowing and paying a hefty premium for the privilege (despite being soundly run institutions), I'm wondering whether Bollard might be lining up some 'shock and awe' on the domestic interest rate front in order to average down their overall cost of funds more quickly than the market expects. I've got a bit of 'pocket money' in a kiwi bank left over from when I lived there. I asked for a 6-month rate last week and was quoted 7%; this morning an unsolicited email offered me 8%. Makes a bit of a mockery of that 50bp cut, methinks.

Smarty_Pants: I like your portfolio choices but can't help wondering who's going to stump up your bail bond. I mean - all that shorting.

carey_jim: suggest you invade Switzerland via Italy. The French and Germans might notice.

wpdragon: another interesting comment. The evidence suggests you're dead right about 11k on the Dow. Regarding another Black Swan before November, it seems utterly crazy - but I've used the 'coup' word already myself on a couple of SA comments. I hope I'll be looking back on that with embarassment by Christmas. It certainly does seem that the US political system is as stressed as the financial system.