MONETARY SCENARIOS

Of importance to us at Monetary Scenarios is the identification of speculative story-telling in financial markets. The contagious spread of these stories is a key component of the asset price inflation process, as highlighted in the work of behavioural finance theorists. Hence, we aim to recognize any new, fast spreading narrative, alerting our clients to its potential to move markets irrespective of its own merit. By the same token, we regard it as critical to assess when the contagious spread of a narrative has peaked and begun to reverse... At Monetary Scenarios we seek to keep out the noise of day-to-day news commentary, focusing instead on the unasked yet big questions which will likely shape market and economic outcomes. We do not wait until the eve of a general election to discuss its possible impact. Monopoly capitalism and cronyism are part of our everyday environment. We do not subscribe to the blithe view often heard that geo-politics rarely impact markets except at crisis..