Markets are showing a little less extreme risk aversion as the third week of June draws to a close.  Former Greek Finance Minister Papconstantinou has been replaced by Defense Minister Venizelos, and Prime Minister Papandreou is believed likely to survive a confidence vote that will probably occur on Sunday.  Plus there are rumors of progress [...]

The U.S. $119.3 billion current account deficit last quarter equaled 3.2% of nominal GDP.  That ratio matches the full-2010 ratio and perpetuates a generally flat trend of 3.3% of GDP in each of the first three quarters of 2010 followed by 3.0% in 4Q10.  During the previous decade (2000-2009), the current account averaged 4.7% of [...]