Barrons – 50 Years Isn’t Too Long—To Borrow Cheaply There is strong demand for ultra-long, high-quality assets from institutional investors that need to match very long-term liabilities. But, unlike the U.K. government, the U.S. Treasury has chosen not to take advantage of historically low interest rates to lock in borrowing costs for decades to come—as… Continue reading Making The Case For 50-Year Bonds In The U.S.
<Click on chart for larger image> Bloomberg Business – Fed’s Williams Sees Reasons to Increase Rates Soon and Slowly The Federal Reserve is progressing toward its dual mandate of stable prices and maximum employment and should raise interest rates in the near future, said John Williams, president of the Federal Reserve Bank of San Francisco.… Continue reading Timing The Rate Hike
CNBC – Jack Lew: I worry about ‘terrible’ debt limit accident Treasury Secretary Jack Lew said Monday he worries that waiting until the last minute to raise the nation’s borrowing authority could result in an accident “that would be terrible.” Last week, Lew said the U.S. debt ceiling will be exhausted Nov. 3, two days… Continue reading The Debt Limit
<Click on chart for larger image> CNBC – Earnings ‘recession’ worries could be a drag Earnings could be a bigger driver for stocks Tuesday, after IBM’s disappointing results reinforced concerns that the corporate profit outlook is getting murkier. “We’re getting deeper into earnings season and not watching any one company, but the cumulative effect,” said… Continue reading Q3 Earnings Off To A Slow Start
<Click on chart for larger image> <Click on chart for larger image> Bloomberg Business – OPEC Brings Oil Price War Home in Pursuit of Asia’s Cash When it comes to deciding how much to charge Asian oil buyers, OPEC members are showing little regard for tradition. Suppliers from the Organization of Petroleum Exporting Countries have… Continue reading Crude Oil Production
The Financial Times – Big tent proves too small for the US Federal Reserve It is time for Yellen to put clarity before consensus Central banking is in part a game of confidence. This is the judgment of former Federal Reserve chairman Ben Bernanke, who recalls in his memoirs the damaging impression of indecision his… Continue reading More On The Federal Reserve
The Financial Times – US junk debt regains high-yield status After years of investor enthusiasm, US high-yield debt is once again living up to its name. Yields on lower quality rated securities have soared since January as investors ask a pivotal question: are they being paid enough for the risk of owning junk-rated bonds? Junk… Continue reading Junk Bonds
<Click on chart for larger image> Business Insider – $50 TRILLION IN DEBT: This is what the ‘3rd wave’ of the 2008 financial crisis looks like China’s debt levels have surged particularly rapidly. As a proportion of gross domestic product, debt accelerated moderately from the turn of the century. In 2007, it was 121% of… Continue reading China’s Debt & GDP
The Fed, Earnings, The Economy & Commodities Over The Next Several Months A transcript of the October 15, 2015 conference call. Handout Audio [audio:https://www.biancoresearch.com/bianco/SubscriberArea/101515.mp3|titles=Conference Call ] Webcast [hana-flv-player video=”https://www.biancoresearch.com/bianco/SubscriberArea/101515.flv” width=”600″ height=”495″ description=”” player=”3″ autoload=”false” autoplay=”false” loop=”false” autorewind=”true” splashimage=”https://www.biancoresearch.com/bianco/wp-content/themes/twentyten/images/splash.jpg” /] [pageview class=”PDFViewer” url=”https://www.biancoresearch.com/bianco/wp-content/plugins/PDFViewer/plugin.php?id=273″]
<Click on chart for larger image> The Financial Times – Gavyn Davies: The Fed Board is now seriously split This week has seen speculation about a mutiny from two members of the Federal Reserve’s Board of Governors against the leadership of Janet Yellen and Stanley Fischer, both of whom continue to say that they “expect”… Continue reading The Growing Divide At The Fed