<Click on image for larger picture> Comment In the interview above, Jim Bianco says the sovereign debt crisis in Europe “will hurt our economy and disrupt our markets.” He talks with Bloomberg’s Ken Prewitt and Tom Keene on Bloomberg Radio’s “Bloomberg Surveillance.” To listen to the interview click here. The transcript of the interview is… Continue reading More On How Good Is The Economy?
The Wall Street Journal – Kelly Evans: A World at Bay Over Europe’s Debt Crisis Global economies can only go their own way if the financial system can hold its own. “Decoupling” is all the rage again on Wall Street. Put simply, many strategists and economists say there is little reason a European recession should… Continue reading The Euro Crisis Has No Solution!
Reuters – Investors ready for EFSF leverage when confidence improves-official A majority of investors would be ready to invest in euro zone debt on the back of the soon-to-be leveraged euro zone bailout fund, the EFSF, but need an improvement in market confidence to commit big money, a senior euro zone official with knowledge of… Continue reading The EFSF
The Financial Times – Gillan Tett: Greek bond losses put role of CDS in doubt Many investors, unsurprisingly, are outraged; some observers, such as Janet Tavakoli, a consultant, conclude that the saga has exposed the CDS market as a sham, with ISDA acting in bad faith. But ISDA officials vehemently deny this – and insist… Continue reading The End Of The CDS Market?
<Click on chart for larger image> The Financial Times – Lex: Risk-on / risk-off markets Correlation has indeed been climbing all year. Since January, stocks as diverse as Dow Chemical, Honeywell (engineering) and Loews (insurance) have done exactly what the S&P 500 index has done, nine days out of ten. The third quarter was particularly… Continue reading Correlation
The New York Times – MF Global Is Said to Have Used Customer Cash Improperly MF Global improperly diverted customers’ cash for its own use in the days before its bankruptcy, an act that regulators believe may help explain why $600 million of customer funds remains missing, people briefed on the investigation say. Investigators have… Continue reading MF Global, Worse Than Everyone Thought?
The Financial Times – US deficit ‘supercommittee’ hits impasse over tax The deficit ‘supercommittee’ in Washington appeared close to unravelling on Thursday night with no movement on the critical issue of tax revenues. Meetings are expected to continue through the weekend and brinkmanship is standard practice for budget negotiations but there was increasing pessimism among… Continue reading Will The Supercommittee Produce Nothing?
Bloomberg.com – Caroline Baum: Wannabe Homebuyers Get No Encouragement From Fed Yes, there can be too much of a good thing. Like most observers of the business cycle, I have been thinking a lot about housing, the small sector of the U.S. economy with the big footprint. Housing started the ball rolling — both uphill… Continue reading The Federal Reserve And Homebuyers
The Financial Times – Lex: Gold: banking on bullion “Tradition”. That was Ben Bernanke’s succinct reply recently when asked why central bankers continue to hold so much gold even while insisting that it is not money. Now, after a decade in which official gold reserves shrank continuously – outpacing growth in exchange traded funds nearly… Continue reading More On Central Banks Buying Gold
Bloomberg.com – Zoellick Says Europe May Get Support From China, U.S. Via IMF Countries from China to the U.S. may be willing to support Europe through the International Monetary Fund if the region’s policy makers agree on a plan to stem their debt crisis, World Bank President Robert Zoellick said. The 17-nation euro region is… Continue reading Another ‘China Will Save The World’ Story
Nov. 17 (Bloomberg) — Jim Bianco, president of Bianco Research in Chicago, says the sovereign debt crisis in Europe “will hurt our economy and disrupt our markets.” Bianco talks with Bloomberg’s Ken Prewitt and Tom Keene on Bloomberg Radio’s “Bloomberg Surveillance.” The interview run 13:46 Listen to Interview