With US markets at new highs, just as earnings season unfolds, this is a nice conjunction of events. The programs appear to have us convinced that earnings don’t matter in the short term. Many firms with earnings growth of 1% or less have seen their stock prices appreciate 10% or more in the last few quarters. All in the backdrop of slowing global growth, bubbly US growth in some sectors, money rushing out of safe havens- gold, bonds and so on.
And with Senator Warren at the helm, can Glass-Steagall make a return, (see here). I fervently hope so.
And Pankaj Mishra, writes eloquently (in Bloomberg of all places, here) of the meaning of citizen demonstrations in public squares (Tahrir in Egypt, Taksim in Turkey, Habima, many in Brazil, where are the one’s for Trayvon). For him, these are mere revolts against their own previous apathy, while the powers that be chug merrily along, promising but never quite delivering on transparency, trickle down economics, and the good life.