Germany takes a beating because they decided to implement green electricity (read costs double) where French nuke plants churn out stably priced electricity.
German businesses are afraid to expand, margins have shrunk, purchasing expectations down.
So the Purchasing Manufacturer’s Index is down encouraging a lower interest rate and probably a continuance of QE and the market is up?
The outlook is bad and the market is up? So this is all a house of cards again?
OK. Makes perfect sense. You can’t give money away to encourage growth. Seems a demographic thing to me. No need for increased capacity since there are no buyers.... the rich have already moved all the disposable income over to their side of the ledger. Most people are on subsistence wages or the dole.
I read the article the other day beating up on oil companies for adding to debt. With rates so low that is what the smart money is doing if they have a place to employ capital.
If I planned on working longer I would go out and borrow to the hilt.
I wish these market boffins would speak in plain language instead of a bunch of insider acronyms.