From Bloomberg:
Euro to Weaken to $1.20 This Year Amid Crisis, Taylor of FX Concepts Says
John Taylor, founder and chief executive officer of FX Concepts LLC, said the euro will end the year at $1.20 before falling to parity with the dollar as the currency union struggles through a sovereign debt crisis.From ZeroHedge, served with a side of snark, gratis:
Taylor, who restated his call for another recession in the U.S. and Europe, said the common currency has remained supported in the past week as leaders pledge to deliver a plan to support banks amid the crisis. Taylor, based in New York, runs the world’s biggest currency hedge fund.
“I would be surprised to see the euro hold above $1 through this crisis,” Taylor said in a Bloomberg Television interview with Michael McKee. “It’s not over. The banks are going to be in trouble when Europe goes into a recession next year."...MORE
Throw Away The Shackles Of Your Birinyi Rulers And Be Free! Hungarian No Longer Bull; Now Just bull
Hark - either the end is nigh, or we are about to see one of the biggest market melt-ups in history: the man who conceived, developed, and distributed the Birinyi Ruler to a Comcast financial comedy cable channel near you, and to late night comedy in financial circles everywhere, is no longer a Bull. He is merely a bull, which is the also the first word one may apply to another very appropriate word to describe his predictions from early on in the year. For those who have their ultrasound babel fish on, here it is:
"The S&P 500 has been perilously close to a 20 per cent decline in recent weeks which would, by definition, terminate the bull market which began in March 2009. Given the economic circumstances and the continuing political turmoil on both sides of the Atlantic, most commentators believe it is only a matter of time before such a landmark is reached. Having been bullish, I am – as expected – disappointed but not undaunted. I remain bullish if only now with a lower case “b”. Some months ago I conceded that making market forecasts was increasingly difficult as they entailed an understanding of American politics, Chinese monetary and financial policy, Greek and Italian attitudes, German elections in addition to the usual economics, corporate developments and actions and comments by the Federal Reserve Board."
Obviously, all these are superfluous 'things' that a man of Birinyi's intellect should not need to be concerned by.
After all, what is good is the 'ruler' for if not to predict the future? But before you go ahead and pledge a 4th lien on your 3rd born to go all in stocks, here is the Notorious BIGGS, who bottom ticked the market a few weeks back with laser-like precision : "Barton Biggs Increases Bullish Bets in Traxis Macro Fund to 65%." Needless to say, every time Biggs has done something, the market has done the opposite. So for all those confused what they should do when two of the market's most hilarious permabulls say the opposite things, fear not - i) you are not alone, and ii) just buy a collocated vacuum tube-based algo, and watch as the High Frontrunning Trading algo makes you rich beyond your wildest dreams....MORE
