Charts of the Week Topics Covered This Week Include: The Savings Glut Recycled For 2012 The Savings Glut Recycled For 2012 – 2 Gas And Stocks Market Correlations The Latest On The Economy Retail Investors Continue To Leave The Stock Market Volume The Bank of Japan Eyes A 1% Inflation Rate ECB Balance Sheet At… Continue reading Charts of the Week
<Click on chart for larger image> <Click on chart for larger image> Bloomberg.com – Bernanke Seen Accepting Faster Inflation Federal Reserve Chairman Ben S. Bernanke spent six years pushing for an inflation goal. Now that he has it, some investors are betting he’ll breach the 2 percent target in the short run to lower unemployment.… Continue reading Bernanke, Inflation And Unemployment
The Telegraph – IIF warns of €1 trillion Greek default risk A disorderly Greek default would probably leave Italy and Spain needing outside help to stop contagion spreading and cause more than €1 trillion of damage to the eurozone, the group representing Athens’ bondholders warned. Greek private creditors have until Thursday night to say whether… Continue reading Greece
<Click on chart for larger image> The Financial Times – Bernanke’s QE silence a blow to gold price The 5 per cent fall, gold’s largest daily drop in more than three years, has triggered a nervous reappraisal of the precious metal among some investors: how strong can the fundamentals of the market be, they ask,… Continue reading Time To Sell Gold?
<Click on chart for larger image> The Wall Street Journal – Flood of Loans Reflects Rising Risk at ECB The European Central Bank’s balance sheet soared past the €3 trillion ($3.96 trillion) mark last week after the ECB flooded banks with more than €500 billion in cheap loans, an indication of just how much risk… Continue reading The ECB
<Click on chart for larger image> CNBC.com – Stocks Double in 3 Years, But Many Stay on Sidelines Stock prices have doubled over the past three years, but that still hasn’t convinced many Americans to invest in the market. Still, average investors hurt by the volatility have avoided stocks, choosing instead to pile into bond… Continue reading Retail Investors Remain Out of The Stock Market
<Click on chart for larger image> CNBC.com – Is This Stock Correction the Start of Something Bigger? Stocks had their worst and most volatile day of the year Tuesday, in a selloff that dragged down risk assets across the board. The Dow lost 203 points to 12,759, a 1.6 percent decline and the worst loss… Continue reading Stock Correlations
The Financial Times – Corporate debt: when cheap is expensive It looks like a complete no-brainer for companies to take advantage of cheap debt. Dollar-denominated corporate bond rates hit a record low last week of 3.27 per cent, according to Barclays Capital. And while US investment grade issuance last year was still about one-third below… Continue reading Corporate Debt
Smart Money – Foreclosure Sales Flood Market Foreclosures and other distressed properties account for more than a third of all home sales, and data released today suggests that figure may soon grow even bigger. Lenders in January took back nearly 91,100 distressed properties, which includes foreclosures and short sales, up 29% from the previous month,… Continue reading Foreclosures
<Click on chart for larger image> The Financial Times – Martin Wolf: The pain in Spain will test the euro One definition of insanity is to do the same thing over and over again and expect different results. Germany’s determination to impose a fiscal hair shirt on its eurozone partners did not work in the… Continue reading How Spain Will Test The Euro
Bloomberg Businessweek – Libor Links Deleted as U.K. Bank Group Backs Away From Rate Twenty-six years after helping to design the London interbank offered rate, Britain’s bank lobbyists are distancing themselves from their creation amid regulatory investigations and lawsuits. The British Bankers’ Association, the century-old lobby group that oversees the rate, last week deleted references… Continue reading The BBA Distances Itself From LIBOR
None Today