<Click on chart for larger image> Bloomberg.com – Treasuries Losing Cachet; Weakest Foreign Demand Since 2001 The $11.6 trillion U.S. government bond market is losing some of its luster…While lawmakers reached an agreement last week to avert the country’s first default in its 237-year history, overseas investors who own almost half the Treasuries outstanding have… Continue reading Treasuries Losing Their Luster?
MoneyBeat (WSJ Blog) – Investors Bolted From Money-Market Funds in Latest Week Amid worries about the threat of a U.S. government default, investors rushed to pull cash from money-market funds, normally considered a safe haven. As the date for when the U.S. Treasury would run out of cash approached, threatening key holdings of money-market funds,… Continue reading Money Market Funds
The Washington Post – Alan Greenspan still thinks he’s right Alan Greenspan’s last book, “The Age of Turbulence,” was published in the fall of 2007, more than a year after he stepped down as chairman of the Federal Reserve and months before the financial implosion that would badly tarnish his reputation as the “maestro” of… Continue reading Alan Greenspan, Remember Him?
<Click on chart for larger image> Real Time Economics (WSJ Blog) – Treasury Quickly Unwinding Emergency Debt Ceiling Moves The Treasury Department is quickly unwinding emergency measures it had used to stay under the debt ceiling, rebuilding a cushion that kept the U.S. from defaulting for about five months…With the short-term deal in place, the… Continue reading The Debt Ceiling
The Wall Street Journal – Top Bear’s Bullish Tilt Has Followers Growling One of Wall Street’s leading bears has turned more bullish, riling some longtime clients. David Rosenberg, a former chief economist at Merrill Lynch & Co. who since 2009 has been chief economist and market strategist at Toronto money manager Gluskin Sheff & Associates… Continue reading David Rosenberg Turns Bullish, Has Anyone Noticed?
Harvard Business Review – What We’ve Learned from the Financial Crisis The basic idea that had governed economic thinking for decades was that markets work. The right price will always find a buyer and a seller, and millions of buyers and sellers are far better than a few government officials at determining the right price.… Continue reading Learning From The Crisis
The Wall Street Journal – China Seeks Clearer View of Government Debt Mountain In the next few weeks, the Chinese government is expected to release the results of an ambitious effort to calculate a seemingly simple figure: just how much the country’s local governments have borrowed from banks and investors in the past few years.… Continue reading Chinese Debt
The Wall Street Journal – Record Pact Is on the Table, But J.P. Morgan Faces Fight J.P. Morgan Chase & Co. reached a tentative deal this weekend to pay $13 billion to end a number of civil investigations into its sale of mortgage securities before the 2008 financial crisis, but a separate and potentially more… Continue reading JP Morgan’s Legal Woes
MoneyBeat (WSJ Blog) – Fiscal and Monetary Policy Turn Bullish For Shares Two main and one minor driver of global equities have been flipped back to green. Both fiscal and monetary policy–dominant forces behind booming share prices during the past four years–have been dialed back up. At the same time, global economic growth–the least important… Continue reading Are Stocks Overvalued?
The Wall Street Jounral – Jon Hilsenrath: Fed Unlikely to Trim Bond Buying in October Shutdown Upends Timing, Though Officials Could Act in December or January The government shutdown might be over, but the long-running drama about when the Federal Reserve will start scaling back its $85 billion-a-month bond-buying program might now last longer. Just… Continue reading When Does The Taper Start?