The following post is a long form read about the principles of Market Thinking as applied to currencies.

The sharp response in markets to assorted mildly positive news items was less a vote of confidence and more a reflection of a lot of hedges (against things ‘ we know for certain to be true’) catching fire if not blowing up entirely.

Forgive the rather obvious innuendo, but it was in fact intentional by Elon musk to label his cars this way.

The UK press are once again discussing the candidates for the next Governor of the Bank of England, focussing primarily on the political ‘suitability’, but I would put in a plea that we need to see a technocrat rather than an academic or would be politician.

In our current upside down world of investment, where bonds are bought for capital gain and equities for income, and where an obsession with low volatility has driven a dangerous rush by institutional investors into ‘alternatives’,...