On inflation, the rhetoric was the most dovish for some time, as Trichet said that inflation risks were no longer on the upside.

We noted recently that Scandies seem to have decoupled from the normal pro-risk correlation (historically much stronger for SEK, as NOK tends to be more strongly correlated with crude)

. For support of the idea that the market is attempting to use the Scandies as the next best safe havens after the CHF blow-up we offer the chart below.

Jumping on the bandwagon has never been my style. It`s when I have moved away from the crowd that I have usually made my best investments.

Roubini said. “In the short term, we need to do massive stimulus, otherwise there’s going to be another Great Depression. Things are getting worse and the big difference between now and a few years ago is that this time around we’re running out of policy bullets

bonds of countries with small budget deficits and low public debt, such as Canada and Australia, and avoid stocks and commodities. If we see a nasty global recession, then risky assets, starting with equities, are going to hurt and going to hurt big time

0-year fixed-rate mortgage (FRM) averaged 4.12 percent with an average 0.7 point for the week ending September 8, 2011, down from last week when it averaged 4.22 percent. Last year at this time, the 30-year FRM averaged 4.35 percent

http://www.calculatedriskblog.com/2011/09/mortgage-rates-fall-to-record-low.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+CalculatedRisk+%28Calculated+Risk%29&utm_content=Google+Reader

Yes, I’m sure money printing will come back. We will not have an official QE3 announced immediately, but I think that if the stock market weakens further, they (central planners) will take some additional printing measures along with Europe for sure.

Greece's economy sank deeper into recession in the second quarter than previously forecast, with gross domestic product contracting by 7.3% on the year

Without the aid, Greece is expected to run out of money within weeks

9.1 percent unemployment rate, proposed extending unemployment insurance at a cost of $49 billion, modernizing schools for $30 billion and investing in transportation infrastructure projects for $50 billion.
But the bulk of his proposal was made up of $240 billion in tax relief by cutting payroll taxes for employees in half next year and trimming employer payroll taxes as well.

The President’s proposal will probably not have an enormous impact on GDP (in principle, it should have been larger, but I bow to political realities), although the estimates vary since the details are still coming out. Macroeconomic Advisers guessed about a percentage point acceleration, more than a week before the speech (they are to have a more specific estimate soon). Mark Zandi from Moody’s, with more details at hand, estimated 2 ppts acceleration relative to baseline, according to Bloomberg. What perhaps is of key importance is that these measures prevent the economy from falling below stall speed.

http://economie.hotnews.ro/stiri-finante_banci-10075600-aflat-cine-controleaza-lumea-cine-formeaza-super-organismul.htm

http://economie.hotnews.ro/stiri-finante_banci-10076510-oficial-chinez-china-permite-liberalizarea-cursului-yuanului-pana-2015.htm