Follow R*: The Adoration Of The Jackson Hole Magi
“I am often asked, ‘what do central banks do?’ Or, a more penetrating question – usually from schoolchildren.” (Sir Jon Cunliffe)
Summary
· The Jackson (Three) Hole Mudras have been affirmed.
· Mr. Market adores the Jackson Hole Magi.
· Mr. (Bond) Market is on the “steep” learning curve.
· OPEC+ strategy extends the US Exorbitant Privilege and relative economic attractiveness/outperformance.
· US “Swing Producer Status” is a disinflationary tailwind for a soft landing.
· The rekindling of the Special Relationship, and free trade, is now pending the “Ungoverned Kingdom’s” (UK’s) membership of the EU or President Trump.
· A “Friend-Shored Japan” will substitute for China’s Belt and Road.
Abstracts
· Mr. (Bond) Market is on a “steepening” learning curve.
(Source: the Author)
· Extended OPEC/Russian production cuts have had the unintended effect of strengthening the US Exorbitant Privilege, and US economic relative outperformance/attractiveness which are discounted into the “Stronger for Longer” US Dollar.
· American “Swing Producer Status” is, effectively, “Texas Swing Producer Status”.
(Source: the Author)
· The “Friend-Shored Co-AI-lition of the Willing” is in the process of consolidating its dominant global position to the exclusion of China.
· The “Friend-Shored Co-AI-lition of the Willing” is building out capacity for the application of “Replicator Doctrine” commercially and militarily.
· The military and commercial application of “Replicator Doctrine” is protected by the steep monopoly barriers to entry of disinflation and trade rules.
· The steep disinflationary monopolist barriers to entry, of “Replicator Doctrine” are based in Japan and financed through the Yen Carry Trade.
· The BOJ is aggressively prosecuting its global mandate of “Central Bank Debaser in Chief” (CBDC).
(Source: the Author)
· The rekindling of the symbiotic Special Relationship is pending the tall New World Order of the permanent sacking/resignation of the Butler, the conviction of the Oxford Apostles, the UK re-joining the EU, the closure of the VIP Lane, and India leaving the BRICs.
· The rekindling of the symbiotic Special Relationship is also pending the syncretic bicameral Anglo-Saxon political cleansing simultaneously occurring on either side of the Atlantic.
(Source: the Author)
· The Epiphany of Ties rekindles the Special Relationship.
· The Ungoverned Kingdom (UK) will lose its Marbles but regain EU membership.
· The EU has opened the Green Garage Door to UK EU re-entry.
(Source: the Author)