The Financial Times – Role of banks recedes in wake of crisis It looks as though the greatest long-lasting victim of the global financial crisis could be the bank itself. In different places, and for different reasons, banks’ centrality to the economy is being nibbled away. At a retail level, there is the growth in… Continue reading The Banking Industry Is Losing Market Share
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Comment Yesterday Jim Bianco hosted a webcast/conference call titled “The Federal Reserve, Interest Rates and The Economy.” If you missed it: [pageview url=”https://www.biancoresearch.com/bianco/wp-content/plugins/PDFViewer/plugin.php?id=194″] Audio [audio:https://www.biancoresearch.com/bianco/SubscriberArea/061914.mp3|titles=Conference Call ] [hana-flv-player video=”https://www.biancoresearch.com/bianco/SubscriberArea/062014.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 Jim Bianco was on Bloomberg TV debating markets with Dr. Jeremy Siegel of Wharton. To view the interview, click on the image above. To view any of our recent interviews click here. In the interview Dr. Siegel was aggressively bullish on stocks, which is hardly new for him. Jim was the bear, arguing stocks… Continue reading Will Inflation Be A Problem?
The Economist – Higher rates can wait In both Britain and America financial excesses are best countered with rules, not with interest rates INVESTORS lulled into believing that low interest rates would last for ever got a cold dose of reality this month. First, Mark Carney, the governor of the Bank of England, told an… Continue reading Regulation vs. Interest Rates When Battling Bubbles
<Click on chart for larger image> The Economist – Yuawn Buzz about the rise of China’s currency has run far ahead of sedate reality IF HEADLINES translated into trading volumes, the yuan would be well on its way to dominating the world’s currency markets. It once again graced front pages this week after moves to… Continue reading The Yuan
The Economist – Is it secular or is it stagnation? What secular stagnation means for interest rates Secular stagnation is a delightfully alliterative description of America’s economy, but also an ambiguous one. “Secular” implies the depressed state of the economy is down to structural, supply-side factors, whereas “stagnation” suggests cyclical obstacles to demand are to… Continue reading Secular Stagnation And Interest Rates
The Economist – Counting the cost of finance A new paper shows the industry’s take has been rising EVERYBODY knows that the collapse of the financial system in 2008 was hugely costly for Western economies. But finance was taking a heavier toll on the economy even before Lehman Brothers went under. That is the conclusion… Continue reading The Cost Of Finance
The Financial Times – The perils of returning a central bank balance sheet to ‘normal’ Asset holdings enable policy makers to regulate the economy, writes Benjamin Friedman With the US Federal Reserve on its way to bringing its bond-buying programme to an end, many are asking how to return the central bank’s balance sheet to… Continue reading The Exit Strategy
The Financial Times – Hedge fund chiefs and former bankers enter the shadows In the six years since the financial crisis, the financial services world has seen all kinds of new institutions take over lending deals and clients that were once the domain of traditional banks. There has also been a parallel transformation: the mutation… Continue reading The Appeal Of Shadow Banking
Naked Capitalism (blog) – Yves Smith: The Fed’s Ever-Burgeoning Market Manipulation Support A set of articles in the Financial Times puts a nasty spotlight on what mission creep, or more accurately, mission leap, at the Fed. The central bank is moving unabashedly into price-setting, and stealth or formally backstopping, of more and more markets. It’s… Continue reading Mission Creep At The Fed
MoneyBeat – ‘Wall of Liquidity’ Headed to Emerging Markets The fear that emerging markets will lack liquidity has been overstated, partly because the “wall of liquidity” beginning to come out of Japan has been ignored by the market, Franklin Templeton Investments fund manager Michael Hasenstab says. The Bank of Japan is embarking on its largest… Continue reading Abenomics’ Effect On Emerging Markets