Some days, I get bored. Maybe it is the normalcy of life, or maybe I lack inspiration some days, or, maybe, the repetitive nature of life events bores me. For example, the market bores me these days. Frankly, I am tired of Europe as a daily factor in almost every consideration I have about the market. Europe and the market’s constant reaction to the latest “news” out of Europe bore me. I just want to say, “Hey! Get on with it politicians. Bite the bullet and do what you need to do to save Europe, or spit the dang bullet out and let the whole thing collapse.”
Yes, I would like the pols to get on with it, but how often do we get what we would like in life? Hmmm … Thinking about that, maybe we get what we would like more than what I just alluded to. For example, again, maybe even the politicians in Europe are getting bored with the situation. Maybe, they too are tired of the repetitive nature of things on the continent, and, maybe, finally, inspiration, or pressure, or recognition of reality is spurring them toward the political and fiscal integration needed to make the euro and the Eurozone work well.
The next step on the road to redemption is the introduction of a banking and funding union.
The whole nature of the conversation has changed. Agenda items, such economic stimulation, banking unions, fiscal integration, and eurobonds are now on the table, whereas, a month ago, France and Germany had effectively kept the conversation focused on austerity. True, that step had to happen, but now the impetus has shifted.
Maybe the folks that can pull Europe together are getting bored with the status quo. Maybe, but if I am wrong about that, I am right about this – the people are bored with the status quo, and if there is anything that will get politicians to get something done, it is the people and their ability to vote. Clearly, the voice of the European people is now screaming from the ballot box, which makes me want to yell, “Hey! Get on with it politicians. Just bite the bullet and do what you need to do to save Europe …”
The European Central Bank must decide Wednesday whether to stand on principle and insist that political leaders take their turn at dealing with the euro zone’s banking and debt crisis, or bend to market forces and once again ride to the rescue.
On the economic fundamental front, I still seek the flow of solid news underneath the mainstream current, and I am still finding it …
- Eurozone factory prices were unexpectedly stable in April marking the fourth straight month of weakening inflation pressures and offering the European Central Bank some space to cut interest rates. High world oil prices this year have limited the ECB’s ability to cut rates below its record 1 percent level.
- US service companies expanded for a 29th straight month in May.
Oil prices are still falling and the US economy is still moving forward. Keep in mind, the services sector makes up some 70% of all US economic activity. The market is gonna eventually like this stuff, especially if it needs something else to relieve its boredom with Europe.
Trade in the day – Invest in your life …
