What Happens If The Fed Hikes Tomorrow

In this Global Macro Update, Nik covers the global bond meltdown and what happens to Liquidity if the Fed hikes rates. He starts with bitcoin losing the trend line he had been tracking and slipping from $80,000 back to $76,000, then turns to crude oil above $106 a barrel and why the energy shock, including declining refinery capacity and diesel prices, is repricing inflation expectations worldwide. Nik explains why yields are spiking in the United Kingdom, France, and Japan, why he thinks a crisis response is more likely to come from Europe than the United States, and why a strengthening dollar challenges Europe in what he calls the global capital war.