Wow it’s warm out there. Just got back from the shops. They’re buying every burger, sausage, kebab and chicken drumstick they can lay their hands on. BBQ time is officially here.
Nobby, oops Jamie, is off today playing with his boat, or something like that. So you got to put up with me. Life’s a bitch sometimes, what can I tell ya.
Jamie dropped me a note telling me to stay alert for co-ordinated intervention.
Crikey, what was that pink thing that just flew by my window. Had a snout, trotters and a little curly tail.
Anyways, being serious for a minute, well 40 seconds.
Just been reading something on Dow Jones re Morgan Stanley and G3 ntervention. Apparently the bank has developed a model to quantify the typical criteria the G3 monetary authorities would consider when deciding whether to use forex intervention. A model reading between 20-30% is seen as a signal for caution of possible move and above 30% suggests high risk of a move. The model currently sees 30% chance of co-ordinated currency intervention compared with it’s long-term average of 12%. Oh eh. Maybe we should be on our guard!!
