The New Yorker – David Wolman: A Blunder at the Money Factory For the past few years, the Federal Reserve has been preparing to introduce a redesigned hundred-dollar bill into circulation. It will have a Liberty Bell that changes color, a new hidden message on Ben Franklin’s collar, and tiny 3-D images that move when… Continue reading Ben’s Printing Press Is Breaking!!
Source: The Federal Reserve. *Members who are expected to step down in 2014 or whose 2014 plans are unknown. Note: Only Board Members and Voting District Bank Presidents vote at FOMC policy meetings. Charles Schwab – Schwab Bond Insights: Fed Chairman’s Seat Could Be One of Several Turning Over Speculation about who will replace Federal… Continue reading Next Year’s Federal Reserve Could Look Very Different
The Wall Street Journal – Bond Funds Outflows Shouldn’t Panic Investors Bond Investors May Be Better Off Waiting for Falling Rates Despite Exodus Many investors are fleeing bond funds. Those who have stuck around this long might be better off staying put. Investors yanked more money out of bond funds in June than they put… Continue reading Bond Funds
<Click on chart for larger image> Forbes – Marilyn Cohen: Bernanke’s Head Fake Exposes High Yield Bargains All good action adventure authors, like Lee Child, Tom Clancy and the late Vince Flynn, use the false-ending technique. Just when the reader thinks the bad guys are caught or the bomb has been defused, something even more… Continue reading High Yield
The New York Times – Robert J. Shiller: Why Innovation Is Still Capitalism’s Star CAPITALISM is culture. To sustain it, laws and institutions are important, but the more fundamental role is played by the basic human spirit of independence and initiative. The decisive role of the “spirit of capitalism” is an old concept, going back… Continue reading Innovation & Capitalism
<Click on chart for larger image> CNBC – Dodgy data may add $1 trillion to Chinese economy: Report China may be exaggerating the size of its economy to the tune of $1 trillion by releasing “willfully fraudulent” inflation and GDP [gross domestic product] data, according to a study out this week. Numbers from the world’s… Continue reading China’s Suspect Data
The Wall Street Journal – 1,223rd in the World, and Loving It Sam Barnett’s View of His Pro Tennis Career Is More Positive Than the Returns Sam Barnett runs a hedge fund with more than $100 million in assets under management. The 23-year-old is also studying for a Ph.D. in finance at Northwestern University, drawing… Continue reading Hopefully His Returns Are Better
The Wall Street Journal – Open All Night: America’s Car Factories More U.S. auto plants are cranking out cars around the clock like never before, a change that is driving robust profit increases at Detroit’s Big Three. After years of layoffs, plant closures and corporate bankruptcies, U.S. auto makers and parts suppliers are pushing factories… Continue reading The Auto Industry
The Financial Times – Central banks and asset prices Should moderating excessive rises in asset prices be on the agenda? Alien economics students find the reverence in which central bankers are held on planet earth puzzling. Zog textbooks clearly state that one of the biggest ever financial crises occurred during Ben Bernanke’s chairmanship of the… Continue reading Centrally Planned Markets
CNBC – OK, Warren Buffett’s stock picks aren’t that great lately When I first saw the headline “Breaking Buffett: The Oracle has underperformed” on CNBC.com, I was skeptical. After years of following him for the “Buffett Watch” blog, I’ve seen quite a few “Has Buffett Lost His Touch?” stories and posts over the years, like… Continue reading Keeping Tabs On Buffett’s Picks
Barron’s – China’s Pain Is Kenya’s Gain Stratfor’s George Friedman contends that China will be replaced as the world’s low-cost producer. Its successors will emerge in Africa, Southeast Asia, and Latin America. Samsung and Microsoft move into Ethiopia. Where some see random events, George Friedman often sees geopolitical trends of great import. In a recent… Continue reading Emerging Markets
The Wall Street Journal – Fannie and Freddie Bet: A Political Time Bomb? Mutual fund managers holding preferred shares of Fannie Mae and Freddie Mac are divided about whether it’s the best bet ever – or a political time bomb. Bruce Berkowitz said in an interview with The Wall Street Journal this week that he’s… Continue reading Fannie/Freddie, What To Do With Them And Who Gets The Profits