Here was a question about the current emerging market crisis coming out of Argentina and Turkey. There also seems to be an unknown crisis happening with India which is not getting a lot of news. The rupee was at a low recently.
Now the question
QUESTION: Hello Martin … I follow emerging markets closely and one thing I note is that the size of the sovereign forex-denominated debt burdens are quite small relative to GDP except in the case of Argentina (48%). Everybody else, including Turkey and Indonesia) is 11% or less. How can you have a debt crisis if everybody is clearly able to service their debts? That’s what confuses me. Today the Bloomberg EM dollar debt index is at 6.05% — whereas in 1998 it was 17%! That is saying the risk is still fairly subdued no?
Answer here: https://www.armstrongeconomics.com/international-news/emerging-markets/emerging-market-debt-crisis-a-reality-check/NOTE I now post my TRADING ALERTS into my personal FACEBOOK ACCOUNT and TWITTER. Don't worry as I don't post stupid cat videos or what I eat!
Here are the highlights:
Sudden, severe stock sell-offs sparked by lightning-fast machines. Unprecedented actions by central banks to shore up asset prices. Social unrest not seen in the U.S. in half a century….
The forces that have transformed markets in the last decade, namely the rise of computerized trading and passive investing, are setting up conditions for potentially violent moves once the current bull market ends…
The current bull rally, the longest in modern history by some measures, has been characterized by extended periods of calm punctuated with spasms of selling known as flash crashes…
“If you have these liquidity-driven sharp sell-offs that come at the end of the cycle, or maybe even causes the end of the cycle, then I think you can have a much more significant asset price correction and even more significant increase in market volatility,”
… this potential meltdown in stock prices could cause the next financial crisis. His name for it: the Great Liquidity Crisis…
“Suddenly, every pension fund in the U.S. is severely underfunded, retail investors panic and sell, while individuals stop spending,” …
Blah blah…very insightful interview you should read about here
Please note about my latest video from last night:
The new video from last night has been posted. It is over 2.5 hours.
You can get access to this via
Here is the kicker:
Also, I will be keeping this up until Friday since the info is quite valuable.
I have found some new potential ways to eliminate unprofitable trades. When you look at how the crypto currency asset class is being crushed over the last few week, it seems it is critical to eliminate these types of trades. I will gladly take the 1+% moves each day. There might be not be many but they will hopefully be profitable.
Here are your ELITE membership options until Friday to access this private video. Just remember this will be treated no different than my Harmonic Pattern source code reveal a few months ago. In other words, this video will disappear forever since it gives you a skill for a true edge in automated trading!
https://quantlabs.net/academy/introduction-quant-elite-membership/NOTE I now post my TRADING ALERTS into my personal FACEBOOK ACCOUNT and TWITTER. Don't worry as I don't post stupid cat videos or what I eat!
Is there a danger lurking in the water of quant? Remember the ‘quant quake’ 10 years ago? Just Google that phrase if you are interested. But for modern day readers, we have this article to present.
From this article:
As the old joke says, “math is what mathematicians do.” Somehow this simple tautology is lost in the dishonest world of finance
Quantitative investing: A crisis waiting to happen
In a recent WSJ article, Jason Zweig brilliantly summarizes the unbearable hype and hubris exhibited by some self-titled “quants”:
BlackRock, the giant asset manager, recently announced it will rely more heavily on computers to pick stocks. Rob Arnott, a leading advocate of mechanical investing approaches, said this past week that it’s “actually relatively easy to beat the market” if you get the math right.
Remember that I have my re-introduction to our weekly ‘pow wows’ for my Quant Analytics members. We have nearly 200 which I am proud since I just rolled my former Elite into this new membership. Also, there will be a FREE introductory to these so you can get a form of the style.
Our first weekly one for all to attend. This will become a major feature of our private new
Quant Analytics members. We will talk general trading with automation programming
techniques if you are interested.
There will be a ‘loose’ agenda on this which I will send within the next 2 days.
Remember, if you want to get my daily human trading call videos, you can join my Quant Analytics here.
Thanks BryanNOTE I now post my TRADING ALERTS into my personal FACEBOOK ACCOUNT and TWITTER. Don't worry as I don't post stupid cat videos or what I eat!
Pseudo quant math: Crisis waiting to happen
If you get people who they are ‘quants’ when they really are not, bad very bad things will happen
http://www.financial-math.org/blog/2017/05/pseudo-quants/NOTE I now post my TRADING ALERTS into my personal FACEBOOK ACCOUNT and TWITTER. Don't worry as I don't post stupid cat videos or what I eat!
Hedge fund performs better in a crisis
Thank the NYC Contact for this
http://www.efinancialnews.com/story/2015-09-09/small-hedge-funds-perform-better-in-a-crisis-says-new-researchFACEBOOK ACCOUNT and TWITTER. Don't worry as I don't post stupid cat videos or what I eat!
4 billionaires worried about financial crisis coming
Read some the of the quotes from high profile billionaires in this article
Thanks to NYC Contact for sending
http://thecrux.com/dyncontent/4-billionaires-worried-next-big-financial-crisis/?cid=MKT015071&eid=MKT061005&affId=475156&s1=414830845FACEBOOK ACCOUNT and TWITTER. Don't worry as I don't post stupid cat videos or what I eat!