A phony war on terror that has been going on since 2003. A phony war on poverty that has been going on since 1964. A phony war on drugs that has been going on since 1971…And now…a phony trade war, too! This phony trade war has the potential to blow up, too, big time. Over the next few days, we’ll explore why that is so.
Politics and History
Our editors look back to previous periods in politics and history to discover the parallels with today’s market and how this can help your investing.
History doesn’t repeat, as writer Mark Twain once wrote, but it rhymes. For an entertaining and informative romp through financial disasters and bull markets of yesteryear, plus the legendary investors who made a fortune and the foolish knaves who lost their shirts, read on…
Two big surprises yesterday, both concerning the White House. First, President Trump announced his long-awaited shake-up of his staff. No details were provided as to who was let go. Reporters said they saw the Gray Nonentity, Mike Pence, packing up over at the vice-presidential mansion. But it could not be confirmed that Mr. Pence had been removed from the team.
Good Friday and Easter Sunday are holy days in the Christian faith. They mark the crucifixion and resurrection of Jesus. And whilst that is so, the moveable dates also point to a hidden meaning. A reading different to the one commonly accepted. Here’s why Easter can fall anywhere between 22 March and 25 April.
The Dow Jones Industrial Average dropped a total of 500 points the first trading day of April — closing at 23,644.52 points. There are a few reasons driving the market lower, including fears of a trade war and of regulation in the tech industry.
Using all of the information we willingly upload to the internet, extremely complex character profiles are built and recorded. Our political views, interests and fears are all laid bare — allowing software to create a tailored shopping list of consumers that is then sold to marketing companies.
To be honest, most people are downplaying the vote. There’s a serious risk that we’ll see a referendum by year’s end. I believe Italy will hold a referendum to leave the Eurozone this year. You can’t ignore the majority of Italians voted for Eurosceptic parties.
Until the 1970s, America was the world’s leading exporter. Then, in a few years, it became the world’s leading importer. From having the biggest trade surplus, it soon had the biggest deficit. Why? Did Americans suddenly forget how to make things?
Although both parties want different things, those in power don’t want to risk another election. Italy could leave the Eurozone. But could Italy's nightmare be fueling the gold market?
The country´s election last Sunday delivered a stalemate. The new Italian electoral law, Rosatellum Bis, rewards coalitions that achieve 40% of the votes. But none of the coalitions have the required 40% to govern.
Thanks to Merkel’s hard-line policies, multiple countries could leave the European Union within the next five years. Will Italy be next following the Italian election? It’s clear that people aren’t happy and want something different. That’s why we’re seeing old governments thrown out and extreme politicians, whether left or right, elected around the world.
We are suspicious of all history. It records little of what actually happened and is subject not only to our Law of Ignorance, but also to ‘victors’ spin’. Long-term Diary sufferers will recall our Law of Ignorance: Ignorance increases by the square of the distance, in time and space, from the events.
While private citizens have generally become less violent (win-win is a better way to get what you want in a modern, civilised society), public policy — at least if the last century is anything to go by — has become more violent.
This latest ‘no sex with staffers rule’ to pretty much stop ministers from being immoral jerks is the Nanny State’s crowning glory. Meanwhile, politicians elsewhere threaten to bring an end to the first decent bout of post-2008 coordinated global growth by starting a trade war.
Restraining trade with tariffs and regulations, on the other hand, produces winners and losers…and makes society poorer. As to the winners from the latest trade barriers, there was one obvious one: US home appliance company Whirlpool. So who were the losers? That is the dot we hope to connect today.
Malcolm Turnbull is taking a leaf out of Donald Trump’s playbook: Betting the house — and his re-election hopes — on businesses to save our economy. And it seems as though this is where the battlelines will be drawn for the next election.