At the end of May (26) I penned a missive called "Crowding In." As June came to an end, I did an apocalyptic trilogy. (In Watermelon Sugar, Alas Babylon, Channeling Holden) Finally, on July 30, TheContrarianCorner alerted readers to "Systemic Dysfunction."
Full disclosure, we made a play against the note market on the Employment release in July that was wrong. We did not argue with the structure again. (Hooper drives the boat) The point here is that markets do provide ample time windows for participants to avoid trouble. Trading takes place in micro-seconds and a session is the "long term" but the globe turns much much slower.
A considerable amount of monetary voodoo is going to be thrown at the debt markets as Fall approaches. Unsterilized buying in Japan, operation twist in the US and multi-facility issuing/purchasing in the conglomeration of countries formerly known as "Europe." I see an important glitch in the plan, however. The business of international banking is the gearing of financial products. The regulatory environment and lack of vision are causing a "slow down" order on the factory floor. IBanks are downsizing and layoffs are increasing. FI Depts. need to be strengthened and expanded - now.