Monday, October 28, 2013
Some noontime reading
A bit of stuff:
Calculated Risk - data release schedule for the week. Lots of opportunities for algos to puke gold into nonexistent bids this week!
Reformed Borker (Bork Bork Bork!) - the state of the rally. The US market has gone up 518 days without a major correction. However, in the bull move of 2003-2007 it went 1153 days; and in the secular bull of 1990-1997 it went 1767 sessions without a >10% correction. So really, the takeaway is that regular 10% corrections are not normal market behaviour.
Bloomberg - China signals unprecedented changes on agenda at Plenum. Again, Billy Bishop would note that these "changes" will take years to implement, it's really just a policy meeting; nevertheless, it looks like the Chinese leadership are interested in doing all the right things, from hukou replacement to property taxation.
FT Alphaville - prepping for the Plenum. More on the topic. Read the whole article, Dong Tao from CS summarizes the significance of the advance document.