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Saft Says: Volatility can hide now but will return

Wednesday, August 22, 2012 - 02:10

Aug 22 - Reuters Columnist James Saft says the recent run of low volatility in markets shouldn't lull investors into thinking it has been eliminated.

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Reuters columnist genes that. Volatility in financial markets is an incredibly lose. Reaching levels we haven't seen since the ordinance -- financial crisis. This is astounding given the fact your -- resident time hadn't -- crystal clear and US presidential election. The Chinese economy's rapid. I understand why this might be true. And whether or not this low volatility is here this day it's a good idea look at another period of the so call great moderation in the between 1980. Is the idea beloved economists. That central bankers if you left him alone. No decent job good job managing the economy and wouldn't have any more depressions. We only had mild recessions and -- wouldn't. Of course this is all -- The real truth was that central bank's quarter. Ending liquidity everywhere and -- financial markets difficulty whenever the economy. And they weren't firing -- and the others. -- -- for huge expansion again. Abdullah for a long period Sahara. Volatility wasn't. Us. And that -- really came out loose -- And great start to force which steel and concern that the same thing is happening in financial markets. And a low volatility we're seeing just. Remember everyone's counting on central banks to humans everything that we need in order to allow markets to go -- -- And Mikey. Then again he might as well. My feeling is you can except crass politics. And to limit its gonna come back. And if we're having appeared it will volatility man and -- -- -- -- we may find ourselves or. Sometime in the near.

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Saft Says: Volatility can hide now but will return

Wednesday, August 22, 2012 - 02:10