Bill Blain’s Morning Porridge – April 30 2012
By Bill Blain, senior director, special situations, Newedge (as seen on TV)
T: +44 207 676 8615; Mobile: +44 777 088 1033; E: Bill.Blain@newedge.com
Sorry for late comment this morning. A combination of trains, storms and computers!
What we got to look forward to this week? Markets feel a tad more constructive on higher earnings and commodities, but we've got US employment data this Friday, and I got a soggy feeling about it – just my usual pessimism perhaps. Preparing for the worst means I’m seldom that disappointed.
Meanwhile, UK premier David Cameron’s observation the Euro-crisis isn't half-way done crystalised some of my thoughts on Euro-sustainability over the weekend. There is a determination across Europe for the Euro to succeed which we should not underestimate. It’s all-too-easy for we Anglo-Saxon cynics to look at Europe and rationalise it’s an unfixable mess – which misses the effort that is going in to make it work. However, even if Europe moves from austerity to more electorally sustainable period of growth based policies, it’s going to take years for the structural changes necessary across Europe to take effect.