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December 16, 2016
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Comment Jim Bianco was on CNBC yesterday discussing the FOMC meeting and press conference. To view the interview, click on the image above. To view any of our recent interviews, click here. [pageview class=”PDFViewer” url=”https://www.biancoresearch.com/bianco/wp-content/plugins/PDFViewer/plugin.php?id=341″] <Click on chart for larger image> The Federal Reserve – December 14, 2016 Press Release Consistent with its statutory mandate,… Continue reading The FOMC Meeting – Modest Move Or A Sea Change?
Comment After each FOMC meeting, we highlight a St. Louis Fed study on the rising complexity of the FOMC statement. As the charts below show, both the word count and the Flesch-Kincaid level have come down from their peaks of the past couple years (the Flesch-Kincaid Grade Level measures the number of years of school… Continue reading Understanding Fedspeak
<Click on graphic for larger image> AQA – Ben Breitholtz: Economic, Market, and FOMC Expectations Beginning to Converge We contended current economic growth suppressed market-based expectations for rate hikes, while the FOMC relied on much more lofty economic growth forecasts. Unfortunately for the FOMC economic growth had previously not lived up to model forecasts. In… Continue reading Reflating Inflation Instead Of Reflating Real Growth?
<Click on graphic for larger image> The Wall Street Journal – How a Monte dei Paschi Rescue Is Unlikely to Solve Italy’s Banking Problems A nationalization of troubled Banca Monte dei Paschi di Siena SpA appears increasingly likely. But a rescue of the Tuscan lender—expected as soon as next week—will do little to resolve broader… Continue reading Bailing Out Italy’s Banks
<Click on graphic for larger image> The Wall Street Journal – Having Addressed Supply, Oil Markets Face New Threat: Demand Even as oil has rallied on OPEC’s agreement to cut supply, slowing demand could bring the price back down again. After years of healthy growth fueled by low prices and Asia’s expanding appetite, demand for oil next year could increase at its… Continue reading Crude Supply/Demand
<Click on graphic for larger image> Bloomberg.com – Tracking Oil and OPEC? Wait for the New Year Crude oil is nearly always drained from storage tanks in the U.S. in December, and particularly in Texas and Louisiana, because December 31 is usually when taxes are assessed on whatever barrels refiners hold on that date. Looking… Continue reading Seasonality In Crude Oil Inventories
CNBC – A crisis that could implode the European Union Greece is approaching political and economic turmoil as the country’s creditors and the leftist government of Prime Minister Alexis Tsipras dispute over the mixture of the policy measures that will ensure the medium-term fiscal solvency of the country. On Wednesday, euro zone lenders halted 45… Continue reading Another Greek Crisis
<Click on graphic for larger image> The Wall Street Journal – China Halts Trading in Key Bond Futures as Panicky Investors Sell Securities Slowing growth, capital outflows fuel concerns that bull market is coming to an end Chinese authorities halted trading in key bond futures for the first time on Thursday, as panicky investors sold… Continue reading This Is What Happens When You Have A Capital Flight Problem
<Click on graphic for larger image> The Wall Street Journal – Dow 20000 in 2016, Maybe Again in 2030 Big round numbers in the Dow Jones Industrial Average make people feel good, if only because they are an occasion to trot out the smooth and ever-rising 100-year stock market chart. Barring some major change… Continue reading Dow 20K
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Charts of the Week Topics Covered This Week Include: What To Expect From The Fed In 2017 Chinese Capital Outflows Chinese Capital Outflows – 2 Bond Sentiment Finally At An Extreme Bond Sentiment Finally At An Extreme – 2 30-Year Bond Total Return Drawdown A Look At S&P 500 Fundamentals Real Estate In The U.S.… Continue reading Untitled