I’ve written about the “bifurcated economy” by which I mean that Wall Street has done well with QE and fiscal stimulus, but it hasn’t hit Main Street. Zero Hedge published a contributed article on the price rise of high-end diamonds which must be in demand from the wives and girlfriends of bailed out bankers and auto companies, as well as the companions of wealthy hedge funders.
I noticed this quip on the announcement of the new Porsche 911 today:
Germany is the most attractive market in the global car industry, a survey of 300 auto managers by accounting firm Ernst & Young found, citing product quality and innovations. BMW, VW’s Audi and Mercedes, the world’s three largest makers of upscale cars, are targeting record deliveries this year, boosted by growing wealth in China and rebounding spending in the U.S.
Since we know that spending in the U.S. is going down, then that must mean Wall Street.
By the way, you know you want one ($123,000):