China has cut its rates, and thus becomes the last bull to go bear. It’s good to see a Communist State which isn’t a Communist State heading for the same worn out Zirp as everyone else, as it proves that they’re mad too. But always with Beijing, there was a twist: lending rates were cut, and deposit rates were raised. All across the West, bankers fainted with fright.

To over 88% of Chinese, of course, it will make no difference at all, as they have no savings. To those lucky few wealthy enough to buy a property, it means a cheaper mortgage, and thus the potential for another overheated property rush. However, I think not, as unemployment there will soon lead to China’s first experience of negative equity, and that will cool the market down….but heat up discontent. It’s another triumph for contemporary economics, and a bold attempt by the Chinese to try something new. I’m thinking of trying to cross the Atlantic on a lawnmower next week myself.

A Russian missile test was described last night as ‘swirling about’ in the skies above the Middle East, which must be reassuring for those who thought the Big Bear might be any more efficient under Rasputin than it was under the Soviet system. Russian tests are like North Korean tests: they go off course and land somewhere embarrassing, after which a statement is issued saying that’s where the rocket was meant to land, and so just you watch out, we’re jolly dangerous, don’t mess with us. Yesterday yet more Russians traipsed into Switzerland to swap their plunging Roubles for rising Francs. One senses all is not well in Putinescania.

All this week, shares have been rising on Spanish hopes, and falling on Berlin obduracy. Now Reuters announces that shares are falling on unclear. It’s always best not to do unclear with the markets, because the markets are decisive and like something easy to grasp. By all means tell them lies, but don’t look muddled. Today, following another session with Ben ‘Uncle Valium’ Bernanke and Angela ‘Austere Stimulus’ Merkel, the world is awash with unclarity. Ben disappointed investors looking for a clear signal of further U.S. monetary stimulus, and Geli baffled investors by calling for a Fiscal Union alongside a euro-using slower bit just next door to a very slow bit using Pounds and Drachmas, or not depending on how things pan out. I think it may be time to get out of equities.

The only clear on offer this morning is a cunning move by Newt Gingrich, former speaker of the House of Representatives, and an ex-candidate for the 2012 GOP presidential nomination. In a bid to unsettle the Black Dude, he’s been telling Bloomberg that America will “become just like Europe” if Barack Obama is reelected. That’s a serious charge, and if he can back it up, it could be yet another baton for Mitt to drop. The problem for Newt is that the US is already like Europe, only worse: it has a bigger debt growing faster, two opposing schools of thought at loggerheads 24/7, expensive exports, and an economics F-student in charge. But that’s not the main credibility problem here. The idea that Mitt Romney would know any more than Obama WTF to do is beyond silly.

Finally, a think tank gets featured in the Daily Telegraph for saying that gas energy is more ecologically sound than wind power, and has a smaller carbon footprint. Thus at last we see proof of the old adage, “The gas is always greener than the downside of the windmill”.