WE'RE BACK

...and leaving again tomorrow.  Of note, in our absence was

1. the Presidential debate, and
2. little change in Europe.

As to the first, The Leader got slaughtered.  He would have been better off with Dirty Harry's empty chair and a teleprompter.  Whether it will make a difference, one can only guess.  I would guess a slight  righting what appears to be a very close election if Romney was in fact behind.

As to the second, nothing is apparently good news for although it is clear the Euroland is already in recession indices continue to rise.  As predicted Lejoy stated rather forcefully that Spain would not seek a bail-out.  I think they will be forced to do so but with the specter of the ECB and particularly the IMF standing in the wings waiting to govern Spain, political suicide is not high on his agenda.  The numbers are dreadful and the Catalans continue to agitate for independence; think of the stink if/when Spain looks for help.  Interestingly, Moody's appears to have read the b log and announced the other day that there was no way Oliver Wyman's assessment of the condition of the Spanish banks could be correct.  Of course one would have to be operating without a cerebral cortex not to come to that conclusion, but the banks will continue along their merry way for as I have explained, it is not capital but liquidity that counts and worry not dear hearts, between the Bank of Espana and the ECB there will be plenty of that.  Of course it will not be used to make loans, that would be stupid.  It is needed to keep transferring  deposits to German institutions.  For that a common currency is a wonderful thing.

Great story about the Greek P.M.  "Wonderful bloke, great to have in the room, very decent chap...'corse he hasn't a hope in hell but might as well keep him around, what?  No point in rocking the boat til we must, right?"  And so you have it, he's a nice guy...what ever that is supposed to mean other that the graveyard is unending and the lads are not yet dry enough to stop whistling.

September jobs reports tomorrow.  Consensus seems to be in the range of 120,000 which stinks but presents a pretty low bogie at which to shoot.  I might actually get up in time to listen to the reaction of the talking heads.  It's an important number at this point in time made even more so by The Leader's performance last night.  The pundits will be anxious to promote a better than expected number but if we get another bad one they might have to preside over a wake.  I'm kinda getting interested in this thing at this stage...maybe I'll start delving into politics...............nah.

See you next week.