Market News – U.S. debt load falling at fastest pace since 1950s In fact, since the recession ended in June 2009, total U.S. debt has risen at the slowest pace since they began keeping records in the early 1950s. While Washington has taken on a lot of debt since then, the private sector has paid… Continue reading Are U.S. Debt Levels Now Manageable?
The Big Picture (Blog) – Oversold Bounce Or Return to Risk On? Is this the end of market weakness and the start of the next significant rally?That’s the question on Traders’ minds in the wake of the Spanish €100 billion Euro bank bailout.A few factors make assessing this action especially challenging. The bailout in Europe… Continue reading Is This The Return To Risk On?
<Click on chart for larger image> Bloomberg.com – Italy Moves Into Debt-Crisis Crosshairs After Spain The 100 billion-euro ($126 billion) rescue for Spain’s banks moved Italy to the frontline of Europe’s debt crisis as an initial rally in the country’s bonds fizzled on concern it may be the next to succumb. Italy’s 10-year bonds reversed… Continue reading Is Italy Next?
The Wall Street Journal – Greek Election Poses the Next Major Threat Spain’s agreement to recapitalize its troubled banks marked a critical step to calm global financial fears, but another giant threat still looms: Greece’s elections on Sunday. Both events could prove more influential than anything President Barack Obama can do at home in determining… Continue reading How The Greek Election Could Impact The U.S.
The Financial Times – Niall Ferguson and Nouriel Roubini: Berlin is ignoring the lessons of the 1930sIs it one minute to midnight in Europe? We fear that the German government’s policy of doing “too little too late” risks a repeat of precisely the crisis of the mid-20th century that European integration was designed to avoid. … Continue reading Germany
Bloomberg.com – Bond Bubble Dismissed as Low Yields Echo Pimco’s New Normal Mohamed El-Erian knows why bond markets from the U.S. to Germany to Brazil, where yields have dropped to record lows even though debt has ballooned to more than $40 trillion worldwide, aren’t a bubble waiting to burst. “We may be in a synchronized… Continue reading Low Yields Are The New Normal
The New York Times – CHRISTINA D. ROMER: It’s Time for the Fed to Lead the Fight THE next meeting of Federal Reserve policy makers, on June 19 and 20, will probably be contentious. The latest employment report, showing anemic job growth for a third consecutive month and an uptick in unemployment, will surely make… Continue reading Will The Federal Reserve Take More Action At The Next Meeting?
BusinessWeek – Swiss reserves surge as pressure on franc grows Switzerland saw its foreign currency reserves balloon by 66.2 billion Swiss francs ($69.5 billion) over the past month as the country’s central bank spent heavily to prevent its currency from appreciating against the euro, according to data released Thursday. The franc is considered a safe… Continue reading Swiss Reserves
Business Insider – Before The Bailout Talks, The Spanish Prime Minister Sent A Stunning Text Message To His Finance Minister According to El Mundo, Spanish PM Mariano Rajoy sent a stunning text message to FinMin Guindos prior to the bailout negotiations. He said, according to El Muno editor Pablo Rodriguez: “Resist, we are the 4th… Continue reading Spain Is Not Uganda!
Factset – Ten of the largest S&P 500 companies generated 23% of Q1 sales from Europe In Q1 2012, ten of the largest 25 companies in the S&P 500 by market cap generated 23% of their revenues from Europe on average. It is interesting to note that seven of these ten companies are projected to… Continue reading U.S. Businesses In Europe
Ekathimerini – Withdrawals up again due to uncertainty The political polarization and uncertainty regarding Greece’s position in the eurozone generated a fresh spike in bank withdrawals last week. In the last few days, withdrawals have increased again as bank clients convert their money into foreign bonds (mostly German) or opt for various alternative investments based… Continue reading Bank Withdrawals Rise In Greece Again
The Onion – Goldman Sachs Hires Single Morally Decent Human Being To Work In Separate, Enclosed Cubicle Seeking to mollify critics over its role in the global financial crisis, Goldman Sachs announced Friday the hiring of junior analyst Greg Kohler, who executives said is the investment bank’s first and only employee to possess a clear… Continue reading Goldman Hires Someone Morally Decent