By Chris Becker
Friday night saw the confidence fairy vanish into thin air as CPI prints in Europe and the US pointed to more disinflation and the Hydra like Greek crisis arose once more. This followed some more poor earnings results on Wall Street although this news may be tempered locally by the Chinese authorities cutting reserve requirements again over the weekend.
Recapping Asia on Friday, only the mainland Chinese bubble continued anew with the Shanghai Comp up another 2% to almost 4300 points, while the Hang Seng fell on broad sell offs by institutions, cashing in on the bubble. This disconnect is concerning as the smart money leaves town and the “dumb” money is enticed by ever higher stock prices. Sound familiar?
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