Bloomberg.com – The Hunt Is On for a New Way to Measure the World’s Economies Measurement struggles to keep up with changes in technology Widening revisions undermining confidence in its accuracy Gross domestic product is so 20th century. The measure has risen from humble beginnings during the Great Depression to be an essential gauge for governments… Continue reading The End Of GDP
<Click on graphic for larger image> The Wall Street Journal – Everyone Wants Emerging-Market Bonds, But There Aren’t Enough to Go Around With prices high for emerging-market debt, any uptick in supply or deterioration in demand could tip the balance in an unpleasant way As the hunt for yield stretches into emerging-market bonds, investors are finding… Continue reading Running Out Of EM Bonds?
Barron’s – Stephanie Pomboy: A Grim Outlook for the Economy, Stocks MacroMavens’ founder says investors ignore data that proves the financial crisis changed everything. Where, when, and how will helicopter money begin? Japan is the most natural place for it to start, but Japan isn’t dramatically different from the U.S., the U.K., or Europe. We’re all… Continue reading Stephanie Pomboy Speaks
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Zacks – Looking Beyond the Q2 Earnings Season The Q2 earnings season is now effectively behind us, as even Retail sector earnings reports are mostly out now. With results from 480 S&P 500 already out and another 13 index reports reporting results this week, we will have seen Q1 results from 493 index members by… Continue reading An Earnings Update
Financial Sense – Bianco: Brexit Probably Most Bullish Thing That Happened This Summer In the upside-down world of financial markets, bad news is often good news. Case in point: Brexit. Speaking last week on our podcast, Jim Bianco of Bianco Research told listeners the Brexit vote on June 23rd may have been the most bullish catalyst for the US… Continue reading Bad News Is Good News
<Click on graphic for larger image> The Wall Street Journal – Jon Hilsenrath: Fed Officials Brace for (Familiar) New Normal For much of the post-financial-crisis era, U.S. Federal Reserve officials have held to a belief that they could get back to their old way of doing things. Growth would resume at a modest pace, annual… Continue reading Hilsenrath Offers A Preview Of Jackson Hole
The Wall Street Journal – Greg Ip: The Case for Raising the Fed’s Inflation Target Events have weakened the rationale against it, chief economics commentator Greg Ip says Six years ago, Olivier Blanchard, then chief economist at the International Monetary Fund, floated the idea that central banks should target 4% inflation instead of 2%. I remember… Continue reading Rethinking The Fed’s Inflation Target
The Wall Street Journal – Political Risks Loom Over Buoyant Markets What exactly is the market trying to say about the state of the global economy? Do the recent record highs in U.S. stock markets signal growing confidence in the recovery, or do soaring government borrowing prices and flattening yield curves as borrowing costs tumble at… Continue reading Central Banks’ (In)Effectiveness
The Wall Street Journal – Some Shale Drillers Return to Oil Patch As the price of U.S. crude marches back toward $50-a-barrel territory, several big shale drillers are tiptoeing back into the oil patch, and that is making some energy experts nervous. Devon Energy Corp. , Pioneer Natural Resources Co. and other prolific shale producers are telling… Continue reading Oil’s Catch 22
The Wall Street Journal – Seller’s Paradise: Companies Build Bonds for Central Bank to Buy Two European firms have sold debt directly to the ECB through private placements, a startling example of how the market is adapting to extremes of monetary policy The European Central Bank’s corporate-bond-buying program has stirred so much action in credit markets… Continue reading A Perversion Of Capitalism
Kenneth Rijock Blog – CHINA ARRESTS 450 FOR LAUNDERING $30bn THROUGH UNDERGROUND BANKS The Peoples’ Republic of China has announced that it has arrested 450 individuals, and charged them with money laundering. The figure 200bn Yuan (USD $30bn) has been quoted by the Ministry of Public Security, which announced the closure of 192 so-called underground (unlicensed)… Continue reading China Cracks Down On Those Trying To Get Money Out Of Country