<Click on chart for larger image> Comment The red line above is the ECRI leading index growth rate. It is a measure of where the economy is supposed to be going. The blue line is the Chicago Fed National Activity Index. It is a measure of where the economy is now. Both measures are below… Continue reading Recession Talk
<Click on chart for larger image> <Click on chart for larger image> The Wall Street Journal – Why Home Prices Are Rising: The ‘Distressed Share’ Tuesday’s measure of June home prices from the S&P/Case-Shiller 20-city index is likely to turn positive when compared with one year ago for the first time in two years, according… Continue reading Home Prices On The Rise
The Big Picture Blog – Dow Theory? Comment Dow Theory says a new high in the Dow Jones Industrial Average (first chart below) that is not confirmed by a new high in the Dow Jones Transportation Average (second chart below) is a bearish sign. The argument is that transportation stocks lead the economy and if… Continue reading Dow Theory
Die Zeit (Germany) – Mario Draghi: The future of the euro: stability through change Yet it should be understood that fulfilling our mandate sometimes requires us to go beyond standard monetary policy tools. When markets are fragmented or influenced by irrational fears, our monetary policy signals do not reach citizens evenly across the euro area.… Continue reading Mario Draghi And The Future Of The Euro
Real-Time Economics (WSJ Blog) – Peek Into a Fed Hawk’s Case Against QE3 The Federal Reserve’s policy committee includes several officials strongly opposed to another round of easing from the central bank, and they’ve been increasingly vocal in recent months as the Fed weighs new action. One of those hawks, Dallas Fed President Richard Fisher,… Continue reading Some In The Federal Reserve Say No To More QE
<Click on chart for larger image> MarketWatch.com – Low volume? Forgetaboutit! Repeat after me: Low trading volume is nothing to worry about it. Of course, repeating this mantra doesn’t mean there’s nothing else to worry about. But, I can fairly confidently say: If the stock market does decline from here, it will have nothing to… Continue reading Low Volume Is Nothing to Worry About
The Wall Street Journal – As Europe’s Banks Stall, Companies Look Afar Companies in Southern Europe are going hat in hand around the world in search of funding as local bank lending dwindles, with many of them raising money by tapping assets in healthier regions such as Latin America and the U.S. Many European companies… Continue reading European Banks
The Financial Times – Bob Corker: Bernanke should show some humility I hope that in the coming years Congress will make the necessary changes to our central bank’s charter. But the blame does not rest solely with Congress. It would be helpful to have a Fed chairman who acted with a greater sense of humility… Continue reading Bernanke Needs Humility
None today
Comment On August 30, 2012 at 9 AM CT (10:00 AM ET, 7:00 AM PT, and 15:00 BST), Bianco Research, in conjunction with Arbor Research & Trading, will be hosting a webcast/teleconference moderated by Jim Bianco. Click here to register for the webcast The next 2 ½ weeks contain an incredible amount of potentially market-moving… Continue reading The Next Few Weeks
<Click on chart for larger image> cnbc.com – Gasoline Price Spike Comes Amid Signs of Life Among Consumers Whether it has a lingering impact on fuel prices has yet to be seen, depending on how the storm develops. Isaac is expected to come ashore as a hurricane somewhere between the Florida-Alabama border and Louisiana Tuesday… Continue reading Gas Prices On The Rise
Bloomberg.com – Spanish Recession Deepens as Austerity Damps Outlook: Economy Spain’s recession worsened in the second quarter as the government’s austerity push to reduce the euro area’s third-biggest budget deficit and a slump in consumer spending offset growth in exports. Gross domestic product fell 0.4 percent from the previous quarter, when it declined 0.3 percent,… Continue reading Spain Falls Into A Deeper Recession