Stock Operator’s Page—Euro & China

I don’t want to do too many money pieces on the blog as I’m drifting towards the Cheesy Jesus vibe, so as not to scare people, and have more of them at least reading bits of the site. The numbers are climbing quite fast. But a couple of things I predicted on the financials are coming true.

China: I’ve been saying for a long time the China story of the country’s economic triumph and it’s 8.5% growth is a load of rubbish. China’s real growth is estimated to be 0%, or even in a minus. The China short ETF is FXP, it is bound to come good over a period of time. Check out this China article on CNBC, it’s fascinating.

http://www.cnbc.com/id/47296930

Euro: A couple of years ago I said the Euro would collapse. In July 2011 it took US$ 1.46 to buy a Euro, today you can get a Euro for US $1.295. That is a 13% fall in the Euro in less than a year.

The Eurozone is stuffed.

Citizens are revolting against the political parties that have brought in austerity budgets to save the toxic banks and force the debts on the voters. Merkel of Germany is very keen on the austerity-save-the-banks policies, but the voters in Greece, Ireland, and Spain are giving her the middle finger. Of course, there is no reason for the people to pay off their country’s debts and save the banks, as they didn’t benefit from the rampant corruption and frenzied speculation that went wrong.

The next benchmark for the Euro is a fall down to US$1.20

Spanish bonds crossed the 6% mark today, tells ya something. I heard in the Aluna the other day “Spain has spectacular crashes”. I presume it meant financial crashes not something else.

There was a big protest vote in local elections yesterday against Three-Card-Monti, the unelected Goldman Slags banker in charge in Italy that’s busy stuffing the toxic debt to the Italians. So they are on the cards as well as the other debt-ridden countries for a popular revolt. Should be good, Italian riots are loads of fun. Stuart Wilde