Bank for International Setlements

“Exponentially rapidly rising or falling markets usually go further than you think, but they do not correct by going sideways”

Companies and investors have some big decisions ahead of them as we start the second half of the year.  They can be summed up in one super-critical question: “Do they believe that global reflation is finally now underway?” The arguments in favour of this analysis were given last week by European Central Bank President, Mario Draghi: […]

Will 2014 be a repeat of 2008, but worse?

Will 2014 turn out to be a repeat of 2008 for the US economy? 6 years ago, after all, not a single mainstream forecaster – including the IMF and World Bank – was forecasting a recession.  Even in September 2008, the consensus was still confident about the economic outlook.  Yet the National Bureau for Economic Research […]

“It’s worse than 2007, because then it was a problem of the developed economies”

William White was the only central banker to publicly warn of the risks to the world economy long before the Crisis, when he was chief economist of the Bank for International Settlements (the central bankers’ bank).  He also warned of the problems that would be caused by their stimulus programmes as early as September 2009. A blog […]

More Greek debt passes to the European Central Bank

Stock markets soared after the eurozone meeting this week. But the head of the German central bank warned “The envisaged leverage instruments are similar to those which were among the origins of the crisis, because they temporarily masked the risks.” …