<Click on chart for larger image> The Financial Times – Hedge funds miss out on equity surge Even in their darkest moments, hedge fund managers have been able to cling to the reassuring mantra that gives order to their world: “Don’t fight the Fed.” For hedge funds that make money by trying to predict the… Continue reading Hedge Funds Miss Rally In Stocks
<Click on chart for larger image> The Wall Street Journal – Mortimer Zuckerman: The Full-Time Scandal of Part-Time America Fewer than half of U.S. adults are working full time. Why? Slow growth and the perverse incentives of ObamaCare. The great American job machine is spluttering. We are going through the weakest post-recession recovery the U.S.… Continue reading Part-Time Workers
CNBC – Employers say they can’t fill jobs—and here’s why A declining unemployment rate—now at 6.1 percent—would seem to mean that employers are packing their payrolls with workers. But many businesses say they are having a harder time filling open positions this year than last year, according to a new survey. The poll, conducted by… Continue reading Unskilled Workers And The Skills Gap In Jobs
The Telegraph – BIS chief fears fresh Lehman from worldwide debt surge The world economy is just as vulnerable to a financial crisis as it was in 2007, with the added danger that debt ratios are now far higher and emerging markets have been drawn into the fire as well, the Bank for International Settlements… Continue reading BIS Fears A “Lehman II”
Reuters.com – ECB interest rates too low for Germany, says Bundesbank chief The European Central Bank’s interest rates are too low for Germany, Bundesbank chief Jens Weidmann said on Saturday, adding that ECB monetary policy should remain expansive for no longer than absolutely necessary. Speaking at a Bundesbank open day for the public, Weidmann noted… Continue reading The ECB’s Interest Rates Are Too Low For Germany
Coppola Comment (blog) – Creeping nationalisation In fact the entire financial system is becoming completely dependent on government. In our quest to make the financial system safe, we have made its very existence as a private sector function impossible. Central banks are no longer just players in a market: they dominate and control the market.… Continue reading The Creeping Nationalization of the Financial System
Comment Yesterday we hosted a conference call/webcast. If you missed it: Audio Audio [audio:https://www.biancoresearch.com/bianco/SubscriberArea/071014.mp3|titles=Conference Call ] Handout [pageview class=”PDFViewer” url=”https://www.biancoresearch.com/bianco/wp-content/plugins/PDFViewer/plugin.php?id=195″] Webcast [hana-flv-player video=”https://www.biancoresearch.com/bianco/SubscriberArea/071014.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” /] Comment Among the topics discussed was the Q2 bounce in the economy. As explained here, when an economy rebounds from poor weather,… Continue reading Mixed Signals: The Economy And The Markets
Comment The table below shows the latest survey of economist as conducted by Bloomberg. 67 economists were surveyed last week and 100% (all 67) expect higher 10-year yields at the end of the year. As of this writing the 10-year was 2.51%. Of the 67 economists surveyed in July, the range of estimates for year-end… Continue reading 100% Bearishness Is Back!
The Wall Street Journal – Regulators Ready Money-Fund Rules U.S. regulators are poised to complete long-awaited rules intended to prevent a repeat of the investor stampede out of money-market mutual funds that threatened to freeze corporate lending during the 2008 financial crisis. The Securities and Exchange Commission is expected to vote on a plan as… Continue reading Regulators Preparing For The Bond Market Crash
Bloomberg.com – Noah Smith: What Good Is a Crash to Prevent a Crash? To many, the implication is clear: The Fed needs to raise interest rates in order to prevent a destabilizing market crash. That isn’t a good idea. Let me explain why. First of all, higher asset prices due to lower safe interest rates… Continue reading Is The Federal Reserve “In A Corner?”
The Financial Times – Robin Harding: Fed explores overhaul of key rate Concerns have grown about the reliability of the Fed funds rate since the Fed began buying trillions of dollars of assets during three rounds of quantitative easing. US banks now have huge amounts of cash and have stopped borrowing or lending Fed funds,… Continue reading What Is The Federal Funds Rate?