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Trump will take the market to a fiscal bloodbath

After Trump’s address to Congress, which said nothing new, the Dow Jones surged to its all time high of 21,000. Trump’s speech was widely praised for its positive tone. But the problem is it lacked specifics about tax reform and deregulation, two key components of the market’s postelection rally. So for now, investors are trusting Trump…

Trump’s mental condition

There’s been a lot of speculation about the President’s mental health. Practising pyschotherapist John D Gartner told US News that Trump “is dangerously mentally ill and temperamentally incapable of being president.” Gartner acknowledges that he has not personally examined Trump, but says it’s obvious from Trump’s behavior that he meets the diagnostic criteria for malignant narcissism, which…

Adani’s results tell us the company will not develop in Australia

Adani, the Indian company that for years has championed construction of the proposed Carmichael project in Australia, a multi-billion-dollar undertaking that would purport to supply coal to India, is in trouble. According to its 3QFY2017 quarterly results to December 2016, pretax profit excluding one off extraordinary items was down sharply year on year. Drilling into the…

Why the Coalition’s “clean coal” plan is crap

This week Australia saw Coalition ministers and MPs cradling a lump of coal brought to Question Time on Thursday by the Treasurer Scott Morrison who accused Labor of “coal-phobia” The Coalition has spent the last few months promoting “clean coal” and modern coal plant technology as a solution for Australia’s power crisis, resulting in high prices and…

It’s Trump versus the courts

And so in the latest news, a Bush-appointed Federal judge in Seattle issued a temporary nationwide restraining order stopping President Trump’s executive order banning citizens of seven Muslim-majority countries from entering the United States. h The ruling, made at the request of Washington and Minnesota, is the broadest to date against Trump’s executive order. Washington Attorney General…

The cost of Trump’s wall on consumers

Donald Trump always said the US taxpayer was not going to pay for the wall separating Mexico from the US. He always said Mexico was not going to pay for it. And Mexico has refused. Trump wants it so bad? He can pay for it. So what’s Trump’s solution? A 20 per cent tax on imports from Mexico.…

A look at Europe’s future

Take a look at this map. It shows areas in Europe with strong nationalist tendencies. Some have active separatist movements, others are demanding increased autonomy but not independence In many of these regions, secessionist movements may be favored by a minority of the population. In all these regions, there is some degree of national consciousness…

Can Trump make America great again?

“Make America great again” may be a catchy slogan but after Trump takes the oath of office today, they’ll become more than words. The reality is it’s going to be a lot harder and messier. And it might take more years to achieve than the four that Trump now has. First, there is the debate…

Trump parallels with Iraq

Anyone trying to make sense of the markets now should go back to 2003 when the US invaded Iraq. The markets expected a decisive victory. During the days and weeks when American troops advanced on Baghdad, the market climbed. As they entered Baghdad and marched on the center of the city, the market traded higher…