<Click on chart for larger image> Bloomberg Business – Investors Pull Out of Mutual Funds at the Fastest Rate in Two Years Investors pulled more money from U.S. mutual funds last week than they have in any seven-day period in the past two and a half years. Net redemptions reached $28.6 billion in the week… Continue reading Mutual Fund Outflows Continue
<Click on graphic for larger picture> The Wall Street Journal – Big Winners as Fed Raises Rates: Foreign Banks Units of foreign banks collect a large share of interest that the Fed pays on reserves Some of the biggest beneficiaries of the Federal Reserve’s recent interest-rate increase will be foreign banks. Units of foreign banks… Continue reading Foreign Banks Win As Fed Raises Rates
<Click on graphic for larger image> <Click on graphic for larger image> <Click on chart for larger image> <Click on graphic for larger image> Real Time Economics – Which Housing Markets Have the Most to Worry About Home prices are closing in on their records of the last decade, reigniting fears of bubbles. Time to… Continue reading Housing Markets To Keep An Eye On
The Financial Times – US banks hit by cheap oil as Opec warns of long-term low US banks face the prospect of tougher stress tests next year because of their exposure to oil in a sign of how the falling price of crude is transforming the outlook not just for energy companies but the financial… Continue reading U.S. Banks And The Price Of Crude Oil
Forbes.com – Which Are Death Spiral States? Does your state have more takers than makers? Check it out. California has a powerful economy, with 14 million private-sector jobs. It also has burdens: welfare recipients (12.6 million), generously paid government employees (2.1 million) and people collecting government pensions (1.3 million). Add up the numbers. There are… Continue reading U.S. States By The Numbers
The Wall Street Journal – Gregory Zuckerman And Matt Wirz: How the Third Avenue Fund Melted Down The end came quickly for David Barse. For 24 years, Mr. Barse helped lead Third Avenue Management LLC, a mutual-fund company founded by legendary investor Marty Whitman known for profiting from beaten-down investments. At its peak in 2006,… Continue reading More On The Third Avenue Failure
The Financial Times – ECB’s ‘whatever it takes’ may no longer cut it – Citi The European Central Bank may be “too close for comfort” to reaching the point where even extremely accommodative monetary policy is ineffective in stimulating economic activity and lifting inflation. That’s the view from Willem Buiter, Citigroup’s chief economist. ECB head… Continue reading When “Whatever It Takes” Isn’t Enough
None today
<Click on chart for larger image> <Click on chart for larger image> Seeking Alpha – AAII Sentiment Survey: Bearish Sentiment Jumps After having fallen to a four-week low, bearish sentiment rebounded strongly to almost 30% in the latest AAII Sentiment Survey. Neutral sentiment fell, while bullish sentiment declined further. Bullish sentiment, expectations that stock prices… Continue reading Investor Sentiment
<Click on chart for larger image> The Wall Street Journal – Bond Market Gauge Shows Investors Skeptical on Rate Increases Index decline underscores general apprehension about the pace of U.S. economic growth A gauge of price swings in the U.S. government bond market has fallen to the lowest level in nearly a year, the latest… Continue reading Bond Market Sentiment
<Click on chart for larger image> Bloomberg View – Marc Champion: Cheap Oil’s Great, Except When It Isn’t IHS, the consulting group of which Yergin is vice chairman, projects that oil companies around the world will invest $600 billion less in developing new production between 2015 and 2020 than it had been forecasting in 2014,… Continue reading Crude Oil Continues To Fall
<Click on chart for larger image> Comment On Friday we noted: Zoltan Pozsar of Credit Suisse probably understands this topic as well as anyone. [H]e expects the Fed’s RRP facility to swell to $1 trillion in the coming weeks. This will come about as investors park their money with MMMF (Money Market Mutual Funds) as… Continue reading RRP Continues To Grow