What can European economic problems do to us?
Plenty. You knew that. We all know there’s no such thing as a separate American economy. They sneeze, we get the flu. Simply put, contagion is a fact of life in our interconnected global economy and financial markets. And that means investors must strap in for more gyrations in the stock and bond markets as the great and painful deleveraging that began in 2007 continues around the world. …Gretchen Morgenson, NYT Unemployment stats are a little bit better in the US. The dollar is doing fine. The US is doing a bit better than everywhere else (leave China out of it for a moment.). But we still have plenty to worry about what (leaving Europe out of it) we are doing to ourselves. What’s next?”This is a reminder that every country has its limit,” said David A. Rosenberg, chief economist and strategist at Gluskin Sheff & Associates in Toronto, one of Canada’s top wealth management firms. “And our heightened concerns over sovereign credit quality are not going to abate anytime soon.” … …
