Newsclips
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December 30, 2011
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<Click on chart for larger image> Zero Hedge (Blog) – Update On The “Non-Printing” ECB’s Parabolically Rising Balance Sheet While the surge in the ECB’s balance sheet has been discussed to death on these pages, with a particular emphasis on what we believe the key correlation driver-cum-pissing contest of 2012 will be – namely the… Continue reading The ECB’s Balance Sheet
MarketBeat (WSJ Blog) – Wonk Alert: Stocks Closing The Year Not So Tightly Correlated While the tight correlation that has dominated U.S. stock trading in recent months has eased of late, investors aren’t expecting a traditional stock-picker’s trading environment to return soon. Macroeconomic worries have been the main culprit for why stock moves have been… Continue reading Correlations
<Click on chart for larger image> The Wall Street Journal – Gold, Silver Plumb Recent Lows Worries about the debt crisis in Europe dragged silver and gold lower, sending the battered markets limping into the end of the year and highlighting investor demand for cash. Precious metals sank in near lockstep with the euro, as… Continue reading Gold
<Click on chart for larger image> MarketBeat (WSJ Blog) – Yes, Low-Volume Moves Matter Low volume, holiday-week moves do matter. Volume is a measure of participation, so it is widely-believed that rising volume validates market direction. Many assume that also indicates a lack of volume refutes a move. But the opposite can also be true,… Continue reading Should Low-Volume Moves Be Ignored?
The Wall Street Journal – The Fed’s Mission Impossible The Federal Reserve last week announced its new “Enhanced Prudential Standards and Early Remediation Requirements” for big banks, as required by the Dodd-Frank law. You have to pity the poor Fed because it faces an impossible task. The Fed’s proposal opens with an eloquent ode to… Continue reading Too Big To Fail
<Click on chart for larger image> The Financial Times – Traditional lenders shiver as shadow banking grows They are two of the most starkly contrasting trends in the world of finance. The banking system, as measured by total assets, has slowly reduced in scale since the 2008 crisis. But the so-called shadow banking system has… Continue reading Shadow Banking
The Wall Street Journal – Global Concerns to Keep Lid on U.S. Rates How low can they go? America’s national debt is growing by the second, its triple-A credit rating has been stripped by one major firm and some strategists are yelling that the country is destined to be the next Greece, whose 10-year rate… Continue reading The Case For Lower Rates In The U.S.
The Wall Street Journal – Dithering at the Top Turned EU Crisis to Global Threat A Wall Street Journal investigation, based on more than two dozen interviews with euro-zone policy makers, revealed how the currency union floundered in indecision—failing to address either the immediate concerns of investors or the fundamental weaknesses undermining the euro. The… Continue reading A Brief History Of The European Crisis
MarketBeat (WSJ Blog) – Tough Markets: Punishing Hedge Funds Since 2003 Much has been made about hedge funds’ failure to keep up with the major stock market benchmarks this year. But 2011 is merely the latest disappointment in a string of misses that stretches back nine years, according to one analysis of the hedge fund… Continue reading Hedge Funds’ Woes Are Nothing New
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Charts of the Week Topics Covered This Week Include: Long Term Interest Rates Back To 1790 Short Term Interest Rates Back to 1831 Long Term and Short Term Interest Rates Back to 1831 “Real” Long Term Interest Rates Back to 1914 “Real” Long Term Interest Rates Back to 1801 The Reuters/Jefferies CRB Index Back to… Continue reading Charts of the Week