On Friday, FED officials were in damage control mode but I haven`t heard anything that was in conflict with Bernanke`s speech. I`m pretty sure the FED will FIFO QE, as in they were the first in and now they are the first out.
A short H1 recap – the order of the main equity markets: USA, EU, EM. I`m eager to see if there would be a turnaround story on the market but I assume the order won`t change. The tightening of US monetary stimulus might hit EM markets greater than the developed market and the tension in the Chinese financial sector is clouding the prospects for a significantly better second half. And no, I don`t think the staggering EU will overtake.

Sidenote: I was browsing the FED`s website and couldn`t find a single spokesperson. Does anybody know one? Maybe they should consider hiring someone and not going with the current speech-madness situation.


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