13 August 2015 - safe haven Germany

Why do I think so slowly? In Europe, German Bunds (government bonds) are the safe haven investment, and that explains why the Greek crisis can’t be solved. As long as the crisis stays hot and sharp in front of investors’ eyes, investors buy Bunds and drive down Germany’s cost of finance. Thinks Germany, “Money in the pocket is well worth trampling a small country. This sure beats the old way.” It’s a good thing that Europe is at least as slow in the head as I am, because if they weren’t, then right about now they’d be plotting to even things out and reinstate the Treaty of Versailles.