“In bonds there is truth. In stocks there are dreams. Together they set the economy.”Western economies succeed because bond and stock markets work together. Bond markets enable governments to finance the optimal conditions for invention and innovation, enabling growth and prosperity. Sometimes Markets fall out of line, while Politics are ruled by votes rather than experience – and that’s where the wobbles start to multiply.Just back from holiday. What have I missed? 10 days sailing around the Ionian, re-reading the Odyssey, time spent on sea-girt Ithica with my sketch pad and a paintbrush… I spent days lapping up the Greek Myths! But where once the Gods did tread and toy with us, today its tourists. We truly are in the Age of Men – so we must try to make sense of it rather than accept what was once divine. As I scrabble to pick up the subtleties of the market flows, the overall picture isn’t that complex – it’s the details that matter for where markets are headed. The big picture remains one of challenge - the implications and consequences of:· An oil shock (Iran) on the global economy, · The threat of higher interest rates to contain inflation,· The sustainability of national debt burdens, · Social stability, and· Geopolitical tensions…You can read the Morning Porridge by subscribing on ⁠www.morningporridge.com⁠, and have it delivered fresh to your inbox every morning!

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“What did the council decide on item 42?” — answered with the speaker and the moment.

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