Fed hiked as expected. Focus is now on the E$ to close below 1.0850 for the year to confirm that the E$ will test parity or crash below parity as the $ dragon continues burning currencies globally. This will be tough to watch especially for emerging nations. CBs will burn their reserves trying to fight this dragon. It's time to start praying like Zambia did last year in order to defeat the dragon...!
So between the euro and yen who will blow up their debt into pieces first? The $yen has gained 17 handles from 100 to 117 post election as yen bulls got smashed! The E$ can hardly maintain a bounce post 2015 selloff with EU nations lining up to exit! This is where the brexit detractors will keep quiet and celebrate it!
2017 is posed to start with a bang as volatility picks up. How emerging nations cope with the looming global bond market madness will determine their fate.
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!