1/8/07

Is it different this time?

China is raising reserve requirements against new loans, central banks around the world are tightening and short-term interest rates are moving higher and equity markets are soaring.

I have never seen anything like it. Equity markets invariably peak following an increase in short-term interest rates of this magnitude and breadth.

Is it different this time?

George Dagnino
aka Peter Dag
www.peterdag.com

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