<Click on chart for larger image> <Click on table for larger image> The Wall Street Journal – Bonds Rise as ECB Fires Up QE Program ECB’s bond purchases failed to support stocks which were weighed by prospect of higher U.S. rates The European Central Bank fired up its long-awaited bond-buying plan Monday, lifting the price… Continue reading QE And The Bond Market
The Wall Street Journal – HILSENRATH’S TAKE: AS FED OFFICIALS BEGIN BLACKOUT, CONFIDENCE GROWS THEY CAN DROP PATIENCE ASSURANCE Federal Reserve officials enter their self-imposed blackout period today, in which they stop making public comments about the economy and monetary policy and engage in intensifying discussions about the statement that will come out of their… Continue reading Hilsenrath Discusses The Word “Patient”
<Click on chart for larger image> The Wall Street Journal – Euro’s Fall Accelerates The fall in the euro accelerated Tuesday and bond yields in the eurozone hit fresh lows, showing how the effects of the European Central Bank’s bond-buying program continue to grip the region’s markets. The euro fell over 1% to trade at… Continue reading The Euro Continues To Fall
<Click on chart for larger image> The Financial Times – The big drop: Riyadh’s oil gamble For years Saudi Arabia acted as a safety net in the market, but as prices fell the game changed, writes Anjli Raval The oil traders and hedge fund managers who gathered for dinner at Mike’s Bistro in Manhattan vied… Continue reading Why Saudi Arabia Did Not “Save” Crude Oil
The Financial Times – Whiting Petroleum considers sale amid oil price slump As the price of crude has plunged, speculation about which US oil company would be first to accept a takeover bid has risen. Over the weekend, Whiting Petroleum went to the top of the list of possible candidates when it emerged that the… Continue reading Falling Crude Continues To Hurt U.S. Oil Producers
Yahoo Finance – I won’t be surprised by a stock correction: Siegel Longtime stock bull Jeremy Siegel warned on CNBC on Monday that the markets may be in for a correction by summer if the Fed moves to raise interest rates. “On a historical basis, the current price [to] earnings ratio is above that historical… Continue reading Siegel: We May See A Stock Market Correction
The Financial Times – Bonds: How firm a foundation? Regulators question if corporate debt could withstand a sudden reversal After years of low interest rates, US corporations have been on a borrowing spree. And investors, hungry for yield, have been eager buyers of the debt. Companies issued $1.43tn of corporate bonds in the US last… Continue reading Corporate Bonds
Real Time Economics – Fed’s Fisher Says Raising Rates Soon Will Allow for More Gradual Path In his final speech as a U.S. central bank official, Dallas Fed President Richard Fisher again pleaded with his colleagues to get to the business of raising interest rates. Citing the robust gains seen in the job market that… Continue reading Richard Fisher Gives His Final Speech Before Retirement
Comment What is the most famous British Gilt ever issued? A good case can be made for the 5% 1917 “war loan” issued to finance WW1. At 2 billion pounds outstanding, for decades it was the largest gilt issuance ever. It was converted to a 3.5% coupon in 1932 and survived the inflation of the… Continue reading The Most Famous British Gilt Ever Issued
Forbes.com – Income Investor Alert: Buy These Asset Classes When Rates Rise Diversifying beyond bonds can also aid Baby Boomers’ efforts to maintain their purchasing power. Bond buyers merely hope to avoid default losses and, at maturity, get back as many dollars as they initially invested. At best, they will realize some minor gains on… Continue reading Investing In A Rising Rate Environment
Business Insider – MARK CUBAN: This is just the start of the college implosion After 114 years, Sweet Briar College revealed this week that it would close after the spring 2015 semester, an abrupt announcement that shocked students, alumni, and many people active in higher education. One person not surprised by Sweet Briar’s news was… Continue reading Mark Cuban Weighs In On The Student Loan Crisis As Sweet Briar College Closes
Real Time Economic – Janet Who? Most Americans Have Never Heard of Fed Chairwoman Janet Yellen Most Americans have not heard of Federal Reserve Chairwoman Janet Yellen, according to a new NBC News/Wall Street Journal poll published Monday. Despite the political backlash in some quarters against the Fed since the financial crisis led the central… Continue reading Janet Who?