Submitted by FF Wiley of Cyniconomics
Explaining January’s Volatility In One Chart
In a month of disturbing images from troubled countries in all parts of the developing world, the biggest threat to the global economy may have been lurking in the shadows (via Google Trends)
For more on recent shenanigans in China’s shadow banking sector, click here. Also, this link has an interesting account of excesses in the market for bankers acceptance notes, in particular.
Note that we excluded China from the conclusions of Thursday’s post, “Fear the Equity Bubble, but Don’t Sweat the Emerging Market Crisis.” It’s a little late for early-year predictions, but here’s one for sometime in the next few years if not 2014: Richard Koo becomes the most sought after economics pundit and possibly the world’s most famous economist after China’s epic balance sheet expansion morphs into the mother of all balance sheet recessions.
via Zero Hedge http://ift.tt/1kyHBnl Tyler Durden