Epstein Secrets

with QE2. As shown below, Chinese inflation is on the march again, as are Chinese real estate markets. Price satisfaction surveys conducted by the Central Bank show that Chinese consumers see inflation as a bigger issue than government CPI figures suggest. Chinese CPI increases largely driven by food Perce

n stark contrast with the West, Asia's fiscal accounts are in excellent shape should they be needed to respond to another round of global weakness. Michael Cembalest Chief Investment Officer Sources "A Peace Dividend for North Korea? The Political Economy of Military Spending, Conflict Resolution, and Reform",

inflation components. In 2007-2008, when the dollar weakened, Saudi inflation peaked at II% despite higher bank reserve requirements and increased Central Bank bill issuance; food prices played a major role in this increase. Saudi Arabia is a large wheat importer, and has begun to phase out domestic subsidi

since 2001 remains uninvested. We're watching for opportunities in transportation, infrastructure and consumer goods in case the landscape changes. Michael Cembalest Chief Investment Officer [a] Bemanlce wrote in 1999 about the "self-induced paralysis" of the Japanese, and how Roosevelt's best contributions in

ovember 29,2011 January 24. 2012 5Y 10Y 20Y 30Y Source: Bloomberg. Source: Bloomberg. It should not be lost on anyone that first prize in the Central Bank balance sheet expansion race is not necessarily one you want to win. After all, Europe is poised to surpass Japan, whose (admittedly belated) Centra

rn to the mundane topic of investments. Next week, a detailed look at opportunistic US commercial real estate investing in the current environment. Michael Cembalest Chief Investment Officer 1991 1994 1997 2000 2003 2006 2009 1985 1988 Source: European Commission. Postscript: As a reminder, the Institute o

s, perhaps by converting the EFSF into a government-owned bank which would buy government-issued bonds using debt financing from the government-run Central Bank (1 know, the government is sitting in all the seats; don't ask). Commissioner for Economic and Financial Affairs Olli Rehn acknowledged that the EFS

er, the timing, magnitude and realism of the official sector response will determine how positive the market reaction will be. Seeing is believing. Michael Cembalest Chief Investment Officer [see Appendix for some charts on European banks] I Peak home price to income ratios: Ireland I2.Ox, Spain 8.0x, US 4.5x.

s, perhaps by converting the EFSF into a government-owned bank which would buy government-issued bonds using debt financing from the government-run Central Bank (1 know, the government is sitting in all the seats; don't ask). Commissioner for Economic and Financial Affairs Olli Rehn acknowledged that the EFS

er, the timing, magnitude and realism of the official sector response will determine how positive the market reaction will be. Seeing is believing. Michael Cembalest Chief Investment Officer [see Appendix for some charts on European banks] I Peak home price to income ratios: Ireland I2.Ox, Spain 8.0x, US 4.5x.

we get to Iran, there are other factors contributing to higher prices: a pick-up in global growth expectations for 2013 and beyond; the explosion of Central Bank balance sheets and associated reflation goals (see last week's EoTM); and the possibility that China's will build strategic crude oil reserves to the

ted in discussions about reducing reliance on foreign oil: we do a lot more with it than just drive cars. HOUSE_OVERSIGHT_031149 --- PAGE BREAK --- Michael Cembalest Chief Investment Officer [Note a] Austin Long at Columbia University walked me through the geodynamics of the MOP and how many would be needed to pen