Mint – Blain’s Morning Porridge - May 30 2013
The most dangerous of all falsehoods is a slightly distorted truth...
It’s getting messy out there as the Nikkei tumbles a further 5%. The streets of Mayfair are awash with hedge fund blood, and many will be wishing May was something that only happened to other people. It really has been one of the worst months for the bond market in many a year. On the plus side, May is nearly over. But...it’s not over yet.
One suspects a degree of overreaction going on.. Can someone explain why Toyota is down 4%+ when only 15% of its revenues are Japanese? I can understand the weakness in property and banks. Hey-ho. Kuroda was in the Japanese parliament this morning arguing the cumulative effects of BoJ bond purchases haven’t yet taken hold – pleading for time. But confidence is a fickle factor.