China And The ‘FX/Liquidity Contradiction’
While the world's eyes are fixed squarely on U.S.-China trade tensions, traders are laser-focused on the asset that's perhaps most exposed in the event the situation deteriorates further: the Chinese yuan.
After snapping a 11-day losing streak on Friday, the offshore yuan resumed declines on Monday alongside Chinese equities, which fell a disconcerting 2.5% as index heavyweights suggested capitulation.
As this continues to play out, the 2015 analog is becoming increasingly hard to ignore.
"As
This shit is getting serious and the public is watching a train wreck and doesn’t even know there is a wreck in progress. All is well and the stock market margin debt just set another record. The public asks “what is margin debt”? “The unemployment rate is at a all time low ” at least “that’s what they’er telling me”. They also said “inflation is low and I’m an idiot”. What the hell……………..
When this turd blows don’t be anywhere near the markets folks, get out of as much debt as possible right fucking NOW. This could ugly very quickly and lots and lots of people are gonna get smashed.