Forex Market News
Putin, yes again I start with him but this is nuts, on Friday whilst talking with a bunch of kids throws out a line that he is a leading nuclear power and its best not to mess with him. Yep. That happened. Putin is pushing the world back into a few decades and potentially another Cold War. http://www.telegraph.co.uk/news/worldnews/europe/russia/11064978/Ukraine-crisis-Putins-nuclear-threats-are-a-struggle-for-pride-and-status.html. Crazy stuff and I can’t quite believe it. On the other side, Poroshenko said he is “this close to full stage conflict, war”. All of this is going whilst Obama sits on his butt with his hands covering his head, hoping it will all go away. He started his Presidency with peaceful intentions, pulling troops out of Iraq and doesn’t want his legacy to be a wartime President. He wants to be the benevolent President, having increased the US debt with handouts and “ObamaCare”. But the world does need a policeman and the US has long been that. At times the US has overstepped the mark and been bullies themselves, but in general they have been good cops, supporting action or delivering action when needed, to keep the crazy bastards at bay. The US must now stand up to Putin or he will only continue to be bolden by the lack of real repercussions and push further into Ukraine and other Slavic states that Gorbachev and predecessors gave back.
IS is another example of Obama not wanting to be involved in conflict. Granted the mid-east is a total mess and not easy to fix, but these zealots are out killing anything that isn’t Islamic, and in a very nasty way. Obama has no plan other than arm’s length dropping of bombs and supplies?
Whilst over in China they too are expanding their influence militarily, and also announced more innovation for his army and a strategy for “information warfare amid a global military revolution”…what the heck?? And finally, Iran came out on the weekend and said that they will continue to be in the nuke race too if sanctions (that are being negotiated in the UN right now) get any tougher…in other words, stuff you world we will do what we want…because there is no threat from the US or UK anymore! Sanctions? Phht what a laugh!
Big week this week for news and data with several central banks meeting, RBA/BOC/BOJ/BOE/ECB, and finishing with the US unemployment figures, Non-Farm Payrolls. The US and Canada are on holidays today but expect some safe haven flows to come in thanks to pushy Putin.