Posted by Jack Crooks - Black Swan Capital

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“A liberal is someone who feels a great debt to his fellow man, which debt he proposes to pay off with your money.” – G. Gordon Liddy     

FX Trading –  Jim, are you talking your BRIC book?

Talk about talking your book!  I read this in the Financial Times this morning:

“Jim O’Neil of Goldman Sachs says policy crisis in the eurozone is unlikely to be a source of global financial market contagion.  ‘Nearly 70 per cent of the eurozone economy is made up of three countries—France, Germany and Italy—and unless sovereign debt crisis derails their economies, it is tough to see how the eurozone could weaken sufficiently.’”

Question: Jim; did you recently get hit by a BRIC upside your head?  Or maybe the question should be: How do you define contagion?  Jeez Louise!

Where does one even begin with that type inanity, from a person who is far from inane?  Yo Jim!  Germany, that little country holding it all together over there; well, they send about 50% of their exports to the eurozone each year.  If demand craters precisely because austerity works, staving off sovereign default, Germany will have to find some other customers very fast.  Danger Will Robinson, danger!  Back to short-term Treasuries and gold!

…….read more HERE