vineri, 30 septembrie 2011

Title Tags - Is 70 Characters the Best Practice? - Whiteboard Friday

Title Tags - Is 70 Characters the Best Practice? - Whiteboard Friday


Title Tags - Is 70 Characters the Best Practice? - Whiteboard Friday

Posted: 29 Sep 2011 02:06 PM PDT

Posted by Aaron Wheeler

It's often pretty difficult to make a short title for a webpage that offers a lot of varied or super-specific information. At SEOmoz, we say that the best practice for title tag length is to keep titles under 70 characters. That's pretty pithy considering that the title also includes your site or brand name, spaces, and other nondescript characters. So, does it matter if you go over 70 characters? How important is it to strictly adhere to this best practice? Cyrus Shepard does SEO for us here at SEOmoz, and he'll answer that very question in this week's Whiteboard Friday. Think title tags could or should be longer? Shorter? Let us know in the comments below!

 

Video Transcription

Howdy SEOmoz! Welcome to another edition of Whiteboard Friday. My name is Cyrus. I do SEO here at SEOmoz. Today we're talking about title tag length. How long is your title tag?

Bad title tag joke. For years, we've been telling people, the length of your title tag should be 70 characters or less. That this is best practices. But what does this really mean? Is it absolutely true? What happens if your title tags are longer than 70 characters? For example, the title of today's post within the meta description is 77 characters. Not this title, but the actual HTML title tag, if you look at the source code, you'll find that the title tag of today's Whiteboard Friday is 77 characters. We're actually over the 70 character title tag limit. Is that bad? Are we going to go to SEO hell for that? What does that mean?

Well, recently people have been doing some experiments to see just how many characters Google will index within a title tag. For years, we thought it was 70s. It's fluctuated. But recent experiments have shown that Google will index anywhere between 150, one person even showed that they will index over 1,000 characters, and I will link to these experiments in the post. But does this mean that you should use all of those characters to your advantage? Can you use them to your advantage? Well, I got really curious about this. So I decided to perform some experiments here on the SEOmoz blog with super long title tags. We're talking extreme title tags, like 200 characters long, 250 characters long, just blew them out of the water just to see what would happen.

Experiments

On the first experiment, I took 10 posts that did not get a lot of traffic, but they were pretty consistent traffic from week to week. I kept the old title tags and I just extended them with relevant keywords up to about 250 characters long. The results blew me away. In that first experiment, my traffic, over about a 12-week period, rose 136%. You can see, I'll try to include a screen shot in the comments below of the Google Analytics. It exploded. I got really excited. So, I tried a second experiment. (Correction, the experiment took place over a 6 week period, not 12 like I stated in the video.)

Analytics

The second experiment I tried with existing successful pages, pages that were already getting a fairly high volume of traffic, that were getting a consistent level of traffic every week. On that experiment, over about the same 12-week period, traffic rose 8%. Cool, but overall site traffic rose 9%. So it was actually 1% below the site average.

For a third experiment, I tried again on a completely different site, a personal site. I changed a few pages, title tags. Traffic actually went down over a 12-week period 11%. On that site overall site traffic went down 15%.

So, in one of these experiments, the long title tag seemed to work really well. In the other two, it just seemed to be a wash. Why did this happen, but not here? I am going to get to that in a minute.

Title Tags less than 70 Characters

Now, what are the arguments for short title tags? The best practices that you always hear about, keep it less than 70 characters. There are reasons why this is best practices and why we recommend it time and time again.

The first reason is that Google will only display the first 70 characters, in general, in their SERPs. After that, they're truncated. Users aren't going to see them. So, if you are writing title tags longer than 70 characters, you're basically writing it for the search engines, and time and time again we've found that if you're doing something specifically for search engines and not for users, there is probably not a lot of search engine value in it. There might be some, but probably not much.

The second reason is our Correlated Ranking Factors, a survey that we perform every couple of years. Our highest on page correlation value for keyword specific usage was if it is found, if the keyword is found in the first word of the title tag, that was a 0.09 positive correlation. It is not a huge correlation, but it was our largest on page keyword factor. Year after year after year when we perform these correlation studies, we see a direct correlation between the position of the keyword in the title tag and how important it is in the query. So, the closer the keyword is to the beginning of the title tag, the more likely it is to be important in the query. You're going to see this time and time again. It's very consistent. Hundreds of webmasters know this from personal experience. You want your keywords at the beginning of the title tag to rank for those keywords. The further out you do it, at 220 characters, those keywords aren't going to count for very much.

Title Tag Best Practices

Now the third reason is kind of new in today's world, and that is the rise of social media. Twitter limits characters to 140 characters. So, if you have a 220 character title tag and you're trying to share it on Twitter through automatic tweets or Facebook or whatever, they look spammy, they're not shareable, people don't want to share them. Shorter title tags, snappy, work really well.

For all these reasons, and for most of the time we found that longer title tags don't help you, we say that less than 70 is best practices. Now, people get confused by when we say best practices what that means. Does it mean an absolute rule? No. It just means best practices works most of the time. It's going to be your best bet. All other things being equal, it's going to be what you want to implement, what you want to teach people to do, and generally how you want to practice.

So, what happened here? Why did this experiment rise 136%? Well, if you remember, these were low volume pages, pages that weren't getting a lot of traffic anyway. The reason it rose, we suspect, is because those title tags were poorly optimized in the first place. They didn't match the content. When we added a few keywords to the end, Google interpreted that as, hey, these match a little bit better to the content, and that's why it rose. It was a fluke. If we would have wrote the title tags better in the first place, we could have seen this traffic all along.

So, with this in mind, I have some suggestions for your future title tag use, and best practices is going to continue to be less than 70 characters.

Best Practices are Guidelines, Not Rules

The first rule is always experiment. Like I said, if we would have tried something else, if we would have written different title tags in the first place, it could have helped us. What did it cost us to change those title tags? Zero. If your pages aren't performing well, you can always try something different and you should try something different. I still see sites all the time, large eCommerce sites, that on thousands of pages they have their brand name, the first 20 characters of the title tag in places where they shouldn't necessarily do that. SEOmoz did that for a number of years up until a few months ago. So, always experiment, not too much, but always try different things to see what title tags are going to work best for you.

Second is write for users. Here at SEOmoz our title tag is the same as the title of our post on our blog because we think it is important to meet users' expectations. When they see a title tag in the SERP and they click through to your page, you want them to feel like they've arrived where they thought they were going to arrive. So, it doesn't always have to match the title of your post, but something similar, something to make them comfortable, and something to talk to the users.

Third, remember to keep your important keywords first. Putting your important keywords out here isn't going to help you much unless your titles are so poorly optimized in the first place that you really should rewrite them. So, put your important keywords, they don't always have to be in the very first position, but as close to that first position as you can.

Lastly, what happens if your title tag is over 70 characters, such as the title tag of today's Whiteboard Friday post at 77? Don't sweat it. In our web app, in our Pro Web App, if you go over 77 characters, we issue a warning. It is not an error. It's a warning. We just want you to know that maybe if your title tag is over that limit that it might not be the best written title tag. You might want to have a look at it, but here at SEOmoz we have thousands of title tags that go over the 70 keyword limit, and for the most part, we're going to be fine. Best practices means that it's best most of the time, but you can go outside of best practices if it's warranted.

Remember, experiment, try different things out, find out what works best for you.

That's it for today. Appreciate your comments below. Thanks everybody.

Video transcription by Speechpad.com


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West Wing Week: Behind the Scenes Video

The White House Your Daily Snapshot for
Friday, Sept. 30, 2011
 

West Wing Week: Behind the Scenes Video

Welcome to the West Wing Week, your guide to everything that's happening at 1600 Pennsylvania Ave. This week, the President announced reforms to No Child Left Behind, traveled to California to hold a town hall on job growth at LinkedIn, spoke on what the American Jobs Act could mean for America's schools and gave his third annual Back To School address.

Watch the video.

In Case You Missed It

Here are some of the top stories from the White House blog.

What You Missed: President Obama's Open for Questions Roundtable
President Obama discussed a range of issues from immigration and education to Social Security and the American Jobs Act during a round table with representatives from three of the largest Hispanic online outlets.

Tackling Waste in Contracting
Agencies will save taxpayer dollars by leveraging their purchasing power.

Kansas City Mayor: Jobs Are at the Forefront of People’s Minds
The American Jobs Act will help the people of his Missouri city find work and put more money in their pockets.

Today's Schedule

All times are Eastern Daylight Time (EDT).

10:00 AM: The President and the Vice President receive the Presidential Daily Briefing

11:00 AM: The President delivers remarks at the "Change of Office" Chairman of the Joint Chiefs of Staff ceremony at Fort Myer. The Vice President also attends

12:30 PM: Press Briefing by Press Secretary Jay Carney WhiteHouse.gov/live

1:40 PM: The President will be interviewed live by Michael Smerconish

8:05 PM: The President delivers remarks at a campaign event 

WhiteHouse.gov/live Indicates events that will be live streamed on WhiteHouse.gov/Live

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When SEO appears on The Archers…

Posted: 29 Sep 2011 04:38 AM PDT

…There can be no further doubt that it's mainstream. Yes, a discussion around search engine optimisation has featured on never-ending Radio 4 farming-community soap opera The Archers.

You're probably wondering why I would know this. The answer is that, being prematurely middle aged enough to refer to the radio as "the wireless", I am also middle aged (and countrified) enough to tune into The Archers from time to time (I don't follow it religiously or anything, honest!).

For anyone who isn't a regular listener, let me update you. Bridge Farm has been responsible for an outbreak of e-coli, spread through its ice cream. It effectively poisoned some kids at a gymkhana and landed two customers in hospital. Naturally, the national and local press has gone to town on the story and the Bridge Farm dairy has lost all of its customers.

But the farmers now plan to rebuild their reputation and their business. The only problem is that anytime anyone searches for 'Bridge Farm', the top stories are all about e-coli – not exactly a message that's going to get people excited about your ice cream.

So, they want to use an SEO agency to work some online reputation management magic and allow them to restore their brand. Here's what I would advise:

Address the issues
Tony and Pat Archer need to draw a line under the crisis. Unfortunately, they can't talk to the press – every time they do, the journalist reignites the e-coli story and they feed the flames. But they do need to ensure they've addressed the issues behind the outbreak and show that they have done so.

One option would be to fire the source of the outbreak – one of their dairy staff – and tell their customers what they've done. But Tony and Pat seem like nice people and don't want to make their employee a scapegoat.

Instead, they should issue a press release highlighting the changes they've made that ensure greater hygiene standards are observed.

Move the story on
After that press release, they need to stop talking about the outbreak. Not on their website and not to journalists.

Each time they do that, they ruin their chances of moving the story on. Even a sympathetic journalist wanting to document how their business is recovering will be telling the story of how they put two children in hospital.

Create new buzz
Instead of dwelling on the negative story, they need to do other newsworthy things, so there are more recent, positive news stories that will potentially appear in the search engine results.

Perhaps they could attempt some silly news story, like making a record-breaking sausage, or a serious but positive story such as launching an organic farming awareness day.

They should probably steer clear of stories relating to any of their dairy business, as this simply invites mentions of the e-coli crisis.

Push other products
Bridge Farm's website should be overhauled so that it is primarily optimised for their non-dairy products.

Rebuilding their dairy business is going to take time and the farm needs to maintain its income in the meantime. One way to do that is to ensure that the meat products are being strongly marketed.

If you search for 'Bridge Farm' and a load of content on organic sausages and happy pedigree pigs ranks first then you have an initially positive experience of the brand.

Drive their reputation socially
The farmers should use their website, write a blog, tweet and encourage supporters to 'like' Bridge Farm on Facebook.

Using these platforms, they can build customer loyalty and increase the amount of positive mentions of their brand on the web.

These help drive new customers and maintain ties with their current ones.

If all else fails, ditch the brand
Potentially, Bridge Farm has simply become a toxic brand. Giving a bunch of gymkhana kids e-coli is one hell of a reputation crisis.

If none of the above methods work and the end seems near, it could well be time to rebrand, repackage and begin their promotional campaign from scratch.

Then they can instigate some positive reputation management tactics and build a loved brand.

Now, how to boost business at The Bull…

© SEOptimise - Download our free business guide to blogging whitepaper and sign-up for the SEOptimise monthly newsletter. When SEO appears on The Archers…

Related posts:

  1. How to Perfect Your Press Releases
  2. How to get ready for Christmas NOW
  3. Social Media Marketing

Seth's Blog : Welcome to infinity

Welcome to infinity

How many Twitter followers will be enough?

How many Facebook fans does your company page need?

How much traffic to your blog?

In the digital age, for the first time ever, most of us come face to face with the opportunity for unlimited. No bakery can handle an infinite line, no orchestra could possibly have an infinite number of violins, no teacher in a classroom covets a classroom of infinite size...

But in the digital world, the pursuit of infinity isn't just possible, it's the norm.

The question: What price are you willing to pay for that pursuit?

Deciding that the only audience that is enough is everyone completely changes the way you measure your worth and your work. If pursuing a number you will never reach changes you or your approach or your beliefs, is it worth it?

(The corollary of infinity is zero. As in zero people disagreeing with you, questioning you or ignoring you).

 

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joi, 29 septembrie 2011

Mish's Global Economic Trend Analysis

Mish's Global Economic Trend Analysis


Seton Hall to lower tuition rate by $21K matching Rutgers; Cost of College Education will Crash; Moronic Educators Object to Lower Costs

Posted: 29 Sep 2011 04:23 PM PDT

I have been waiting for and expecting news headlines just like this one: Seton Hall will lower tuition rate by $21K to match Rutgers for some incoming freshmen
Getting good grades and high SAT scores could save some Seton Hall University freshmen more than $21,000 a year in tuition costs under an unusual new program that could pit the Catholic school against Rutgers University for some of the state's top students.

Starting next fall, Seton Hall will match Rutgers' tuition — which is currently $10,104 a year for most in-state undergraduates — if freshmen score at least 1,200 on the combined reading and math sections of their SAT tests and graduate in the top 10 percent of their high school class.

Other students on the South Orange campus will continue to pay Seton Hall's regular annual tuition rate, which is currently $31,440 before room, board and other fees are added.
Expect Plans to Spread

Drew University in Madison rejected the plan as a publicity stunt. However, I expect such plans to spread. I also expect more competition from online classes.

If Congress really wants to do something about the high cost of education, it would:

  1. Cancel student loan programs
  2. End support for the University of Phoenix and all for-profit universities
  3. Accredit more online universities
  4. End collective bargaining of public unions

Cost of College Education will Crash
Within a Decade

The cost of college education would sink like a rock with those four structural improvements.

Interestingly, even with piss poor government policies, places like Seton Hal, prices have collapsed for some students. Right now the opening toss applies to 10% of the students. Next year it may be 25% of students and offered at more universities.

For those who have kids in grade school, I would not advise programs that lock in today's rates if paid in advance.

The cost of college education will crash within a decade, simply because it has to. Moreover, the free market would lower costs sooner and far more dramatically, if only given the chance. Wages are not supportive of current education costs.

Addendum:

I wrote the above quoting the New Jersey Start Ledger article written yesterday. I received two emails just now pointing to additional articles in the Wall Street Journal and New York Daily News.

Please consider the Journal Article Seton Hall Cuts Cost For High Achievers
Seton Hall University will radically restructure its tuition for next year, slashing costs by more than 60% for all incoming students who have achieved a set of academic standards in high school, officials announced on Wednesday.

Some national education experts expressed concerns that the plan could accelerate a national trend: a shift in the focus of financial aid toward merit-based scholarships rather than awards based on need.

"There's only so much money, and at the end of the day every college needs to make decisions about who they'll subsidize," said Patrick Callan, the president of the National Center for Public Policy and Higher Education.

The proposal raised concerns among some education experts, who said that schools are moving further away from the original intent behind subsidizing higher education: to help people attend college who couldn't afford it otherwise.

"When you just flat out across the board knock the price down for high-achieving students, you're going to be subsidizing a lot of students who don't really need the money," said Mr. Callan.

This form of subsidization "tends to help the institution attract the freshman class that it wants to raise the academic profile, raise the U.S. News rating," he said. "It doesn't have much to do with providing opportunity to people who wouldn't have it."

"It becomes, from a budget point of view, a race to the bottom," said Jerome Sullivan, the executive director of the American Association of Collegiate Registrars and Admissions Officers. "Someone else will do the same thing only they'll do it $50 better. And then someone else will do it $100 better."

The ultimate result, he said, is that "the budget gets ravished because revenue begins to disappear and in the end it's low-income families as well as the institution that lose out."
Failure of Subsidies

One of the reasons college education is so high is because union activists and socialists want to send everyone to college whether they are qualified or not. When that drove up costs, government "aid" programs were invented, not for the benefit of students, but rather for the benefit of educators. Students became debt slaves in the process.

The education mess has gotten bigger and more costly ever since programs were put in place to subsidize students, many of whom did not belong in college in the first place, but rather a trade school or apprentice program.

Moronic Thinking of Jerome Sullivan

Note the moronic thinking of Jerome Sullivan. He is actually complaining about costs of education dropping, complaining price wars will hurt low-income families.

The fact of the matter is the more prices drop, the more people can afford to go to college.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List


Peter Oborne 'Idiot' Comments Prompts EU Spokesman To Storm Off Newsnight

Posted: 29 Sep 2011 11:22 AM PDT



link if above video does not play: http://www.youtube.com/watch?v=QNq9MOc5CBY

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List


China Loan Shark Market Crashes; Scores of Chinese Business Owners Unable to Pay Black Market Loans Commit Suicide or Disappear

Posted: 29 Sep 2011 09:30 AM PDT

Here is an interesting email from reader "Kevin" regarding the crashing loan-shark market in China.
Hello Mish

I am a long time reader and want to bring to your attention on a new development in China: private business owners are disappearing or jumping off buildings because they can no longer pay off black market shark loans.

According to national new paper Economics Information (part of state media Xinhua), on 9/22, Hu Fulin, owner of the biggest eyeglass manufacture of the city of Wenzhou disappeared, leaving behind 2 billion RMB debt.

On 9/25, 3 more business owners in Wenzhou disappeared (owners of copper, steel and shoe manufacture).

On 9/27, owner of "Zhengdeli", a shoe manufacture jumped off of a 22 story building and killed himself.

Since April this year 29 private business owners have disappeared, all of them had over 100 million RMB businesses. 11 of the 29 owned shoe manufacturing businesses.

An analyst from China Investment (China's Sovereign investment fund) pointed out that it's because they are squeezed by a rapid increase of component and labor costs. A rising RMB is also a reason why many export oriented companies are hit. In August, Zhou Dewen, President of Wenzhou Small-Medium Business Development Association said the profit margin of Small-Medium businesses in Wenzhou has dropped to under 5% and absent of policy changes, 40% of businesses in Wenzhou will go out of business by next Spring Festival (late Jan 2012)

The complete article is here (in Chinese): http://www.jjckb.cn/2011-09/29/content_334954.htm.

Another article http://finance.sina.com.cn/roll/20110929/005910558780.shtml (titled: China's Shark Loans Crashing; "Grey Finance" Brewing the Chinese Crisis) states that most of those owners have borrowed "private" loans (typically 70% of all loans), with MONTHLY interest rate ranging from 3% to 10%.

About 89% of families/individuals and 59% of companies in Wenzhou participated in such "private loan" schemes. In Erdos (the ghost city you blogged many times), such "private loans" are more than 200 billion RMB with annual interest rate over 60%. Now they are crashing, causing rampant unfinished real estate projects in Erdos.

Note that Wenzhou is one of riches cities in China (No. 3 in disposable income per capita), and is considered the "Birthplace of China's Private Economy". Wenzhou people are among the first that got in trades, manufacturing, export, and in recent years real estate investment/speculation. The Wenzhou economy is considered the "weathercock" of Chinese economy.
Loan Shark Credit Crisis Brewing

Courtesy of Google Translate please consider Gray Chinese-style financial credit crisis brewing area
"Economic Information Daily" correspondent from the multi-confirmed the day before and then there were two causes of Wenzhou City, inability to repay loan sharks and jumping events. According to informed sources, the two business owners are the local shoe factory owner, debt of millions.

Since April this year, Wenzhou, missing more than 80 business owners, the company closed, the event staff pay talks, since September alone, there are up to 25 cases. A local lender told reporters, "At present, only the flight of capital Longwan area estimated to have 100 million or more, many SMEs liabilities, the banks accounted for 30%, accounting for 70% civil usury."

Crazy expansion of private lending market chaos

Some sharks can reach up to 180% per annum. ... "many companies debt snowball, private lending market has not been given attention now has about 25% local to 30% of companies in trouble, some in the suspension or semi-shutdown state, but by the end of this class companies are more likely accounted for 40% to 50%. "
Financial Earthquake Triggered by Loan Shark Business

Also courtesy of Google Translate, please consider loan-sharking business owners who jumped to escape
September 22, Wenzhou, Zhejiang Jiang Xintai largest optical company chairman Hu Fulin liabilities 2 billion fled, triggering a major earthquake Wenzhou business. Wenzhou Zhou German SME Development Association president, said Hu Fulin liabilities involving nearly ten thousand people, dozens of companies, including upstream and downstream Nobuyasu and creditors, the incident is still fermenting, the impact will be further expanded.

Hu Fulin fled after the September 25 Wenzhou enterprises have three big boss fled; afternoon of September 27, Wenzhou shoe boss is profit because of debt problems from Wenzhou Shun Building, 22 Floor, Jin jumped to death.
The translations are choppy, but the ideas very easy to spot.

$SSEC - Shanghai Exchange -Daily Chart



click on chart for sharper image

China is down another 1% (not reflected in the above chart), to 2368 as of 2:00 AM Thursday. It closed at 2365.



click on chart for sharper image

The Shanghai stock market depicts a credit bubble that collapsed in 2008, partially rebounded, and is sinking once again.

China did not decouple from the global economy, nor is there any reason to believe it will, or should. China's debt bubble, housing bubble, and copper Ponzi financing schemes are collapsing.

Copper Ponzi Scheme: See Ponzi Financing Involving Copper Trade Gone Wild In China for details of a copper financing scheme now gone bust.

Shark Loans: See Ponzi "Shark Loans" Fuel China's Housing Bubble; Home Sales Plunge 44% in Xiamen; Bubble Busts in Tianjin for details on how loan shark operations fueled China's real estate bubble.

Ghost Cities: I have done many stories on China's ghost cities, most recently World's Biggest Property Bubble: China's Ghost Cities Revisited; 64 Million Vacant Properties

Property Loans Halted: Property Loans Halted in China's 2nd and 3rd-Tier Cities; Is China's Spectacular Real Estate Bubble About to Pop?

All of these schemes are starting to unravel in a major way.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List


Enron-i-sation of Europe; Is the Euro "Beyond Rescue"?

Posted: 29 Sep 2011 01:21 AM PDT

Steen Steen Jakobsen, chief economist for Saxo bank in Denmark discusses the Enron-i-sation of Europe in an Email "Macro Brief"
The Enron-i-sation of Europe: Finding solutions through SPV's speak for themselves. Apart from the inability to being implemented (if German constitutional court is heard) it's also a slippery road towards permanent aid. Hiding debt in more and more obscure vehicles is similar to Enron having 1000s of SPV hiding the "real issue". Debt is debt. It needs to be paid back or someone needs to take a loss!

New financial tax: This is major game changer – this is in my opinion the beginning of the end for Europe – the "new new" in this scenario is that G-20/EU seems to have found an academic documentation that the tax may not need be applied "universally" – they mention domestic taxes in India(not freely trading market) and UK.

The suggested (not confirmed) level of taxes are 0.1 pc on shares and bonds (1 mio. EUR equals "tax" of 1.000 EUR) and 0.01 on derivatives or 1.4 pips on each side of EURUSD! This is MASSIVE tax……. And as such shows that my Maximum Intervention concept is now operating a top speed.

Banks are now meeting around Europe to move their operation outside the EU.

We are no longer doing two steps forward, three steps back, but one step forward and ten back. Furthermore the so called "Plan" for saving Europe is not reality.

All my sources confirm, again and again, this is a desperate attempt to find the right path through this mess. The people in the know, realize there are no longer any good solutions only pain. The pain from here is either 2-5 years of recession or 10-15 years. Enron-i-sation & tax makes this week the new low in solidarity, rationality and solution seeking.

Cash is king – and cash in UK, Switzerland, Singapore, and US even more King-ish. I remain EXTREMELY bearish on this.
Notes on SPVs

Investopedia describes the Special Purpose Vehicle/Entity - SPV/SPE
What Does Special Purpose Vehicle/Entity - SPV/SPE Mean?

1. Also referred to as a "bankruptcy-remote entity" whose operations are limited to the acquisition and financing of specific assets. The SPV is usually a subsidiary company with an asset/liability structure and legal status that makes its obligations secure even if the parent company goes bankrupt.

2. A subsidiary corporation designed to serve as a counterparty for swaps and other credit sensitive derivative instruments. Also called a "derivatives product company."

Thanks to Enron, SPVs/SPEs are household words.
Euro is "Practically Dead, Beyond Rescue"

Bloomberg reports Euro Is Beyond Rescue in Debt Crisis, Szalay-Berzeviczy Says
The euro is "practically dead" and Europe faces a financial earthquake from a Greek default, according to Attila Szalay-Berzeviczy, global head of securities services at Italy's biggest lender UniCredit SpA. (UCG)

"The euro is beyond rescue," Szalay-Berzeviczy said in an opinion piece for index.hu., a Hungarian news portal, which he signed as former chairman of the Budapest Stock Exchange. "The only remaining question is how many days the hopeless rearguard action of European governments and the European Central Bank can keep up Greece's spirits."

"It's one scenario among many, one which may lead to the breakup of the euro area via a banking crisis," he said in the interview. "This can still be averted. It primarily depends on the Germans, and secondly on European citizens, especially on how much the Greek population can tolerate."

Szalay-Berzeviczy's "are his own personal view and do not reflect the position of the company," Claudia Bresgen, a spokeswoman at UniCredit in Munich, Germany, said by e-mail.
"Beyond Rescue" and "This can still be averted" are logical opposites.

Nonetheless, it's interesting to see such blunt comments from high places at major lenders, even if those comments "do not reflect the position of the company".

For more on the twisted mess in Europe, please consider these recent posts



I struggle to see how the Eurozone can survive intact. No currency union without a fiscal union has ever survived and the German court ruled out a fiscal union without a new constitution and popular referendum. Good luck with that given 75% of Germans oppose more bailouts. See the above articles for details.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List