FED/ECB Divergence

bonds: optimise convexity
currencies: usd/eur/jpy

Eur/Chf & Snb

Eur/Chf ~ 1.20

Swiss Franc

GBD/USD & Scottish Independence

Pound Sterling Sell-off Ahead of Scottish Independence


Europe & Recession

The European Central Bank (ECB) has to take a page out of the Bank of Japan’s (BOJ) recent playbook and become much more aggressive in combating deflation

Japan’s case also shows that monetary policy alone can’t raise growth. The BOJ is currently injecting a torrent of cash into the Japanese economy, but still the economic recovery is weak.