He’s right, the economy is sick – and businesses like Trump’s are part of the disease | Mariana Mazzucato

Protectionism and infrastructure projects aren’t the cure for a system built on asset stripping, minimal job security and low pay

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Trump won because he unashamedly stood as the champion of the dispossessed. More than the 16 Republican rivals he left in his wake, and more than the Democratic party standard-bearer he defeated, he led the cry of those who felt they had been left behind by globalisation. He channelled and inflamed inchoate anger, inflamed racial divisions and exploited a sense of burning injustice at a system “rigged” against the little guy. He was the self-styled winner who knew how to play the system, the strong man who alone could fix it.

Related: My journeys in Trumpland

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China Money Market Rates Spike To 1-Month Highs As Yuan Hits 7-Year Lows

In what appears to be yet another effort to spook shorts out of speculative positions in offshore Yuan, China appears to have tamped down its liquidity spigot driving overnight HIBOR rates up a shocking 194bps to 3.53% – the highest in over a month. The spread between offshore and onshore yuan has collapsed, even as the Yuan plunges to to its weakest against the dollar since September 2009.

As Yuan hits its post-leg record lows, it seems each streak of selling is met with a kneejerk liquidity plunge in money markets…


Which has spooked the specs out of the arb between onshore and offshore Yuan…again

Of course, while 3.53% is notable for overnight money and a big shock, there is plenty of room to go if the capital flight and speculation continues – ON/HIBOR neared 25% in September as turmoil re-appeared.