US military strike on Syria risks Israel’s involvement

Rising energy prices have been the first signs of another potential blow to the US economy due to a military confrontation in Syria (see post) – something the US can hardly afford at this stage. Strangely, after numerous shocks the economy has experienced in the last few years, there has been little dialogue about how well the US may be able to absor…

On Reinsurance

From a reader: Was reading a history of AIG and it was discussing the early years. There was a line to the tune of ‘anything Hank reinsured paid off’. You’ve written many times usually in the context of LTC, that insurers should not insure anything where the customers have a better idea of future claims […]

Guest Post: If The Syria Issue Were An ‘SNL’ Skit

Authored by Jim VandeHei, originally posted at Politico,
The Ironic War Plan
Imagine Dick Cheney in a “Saturday Night Live” skit fantasizing about Barack Obama handling the pressures of going to war.
Cheney’s sitting there, yucking it up with Rummy and the boys, eating yellow cake. He laughs off his own reckless rush to an unwinnable war fought…

Japan Seeks to Hike Taxes then Waste Money on Stimulus to Make Up for Decline in Spending; Currency Crisis Awaits

Politicians and economic illiterates frequently assume two wrongs make a right. Here is a case in point: Japan panel backs sales tax hike coupled with stimulus.

Japan’s government won backing for a controversial decision to raise the national sales tax in 2014 after influential members of a special advisory panel said the step would not threaten ec…

Gearing Up For September

September is likely to be dominated by a number of key event risks, in addition to ongoing uncertainty around the US growth outlook, the Fed’s reaction function and heightened EM volatility. We highlight the major events and likely market implications.
Via BofAML,Fasten Your Seatbelts
1. Potential US strike on Syria
US officials are reportedly …

We Are Now Going To See Chaos & Panic In Global Markets

Today one of the top economists in the world boldly predicted that investors are now going to see chaos and panic take hold in global markets. He also gave investors specific recommendations regarding exactly how they can safely navigate the coming panic in global markets with their own portfolios. Michael Pento, founder of Pento Portfolio Strategi…

Recipe for Investment Success

Glenn Frey offered up a pretty good recipe for investment success in this description of what’s behind Jackson Browne‘s brilliance in Showtime’s excellent documentary on the Eagles. Elbow grease. Time. Thought. Persistence. Rinse. Repeat.

And Now, It’s Golfing Time (Or Putin +1, Obama 0)

After bringing the world to the edge of WWIII and nearly launching the ironically named Patriot cruise missile, then dramatically punting in the very last second the decision to invade Syria to Congress, something he should have done from the every beginning, Obama went on to do what he does best.
Politico explains:

Right after shipping respons…

Mapping America’s Dwindling Invasion Coalition

Via Stratfor,

U.S. President Barack Obama is evidently not getting the multinational coalition his administration was expecting to share the burden of a limited strike operation against Syria. The British parliament has voted against a military intervention, and NATO has said it would not participate in a U.S.-led mission. The United States can eith…