China’s conciliatory power play on AIIB

As talks continue on the Chinese-backed Asian Infrastructure Investment Bank, China has promised other signers that they will not exercise its veto power on funding projects.

This appears to be an attempt by China to placate EU countries fears of joining an Asian version of the World Bank, where their voices are not heard.

The deadline for joining the AIIB is March 31 launch, so much backroom haggling is expected.


Interesting development this week.

News stories being pitched concerning US banks and insurance companies scrambling to reallocate portfolio holdings because of cratering euro.

So naturally stories would be floated in more arcane publications about annuities and whether people are better off taking lump sum payment rather than collect monthly stipend.

My radar says this could be the canary desperately blowing its last gasp whistle as we limp into the end of the quarter.

Since most annuities have a large bond holding usually on the longer end of exposure, this bears watching.

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