The real economy is fractured!

When asked about the impact of the French Revolution, Chinese leader Zhou Enlai said that it was too early to tell.

The world is experiencing the continuing impact of the fall of the iron curtain and the integration of 3 billion people into the free market economic system. Unfortunately, these new entrants are realizing that the erstwhile evangelists of free markets don't like free markets anymore. They now want to change the rules of the game. More...

European endgame

Europe came out with a shock and awe package of Euro 750 billion for the markets over the weekend. The markets heaved a sigh of relief and markets around the world rallied on Monday.

However, the problem is one of solvency not liquidity. Market participants are equating this to the TARP bailout program put together by the US government in 2008. The reality cannot be more different. More...