The Financial Times –Two Sigma rapidly rises to top of quant hedge fund world Fund now on par with Renaissance with assets under management reaching more than $50bn Two Sigma has vaulted over the $50bn assets under management mark to put it on a par with Renaissance Technologies as the biggest global quantitative hedge fund,… Continue reading Quant Funds Rule Despite Poor Performance
Bloomberg.com – Taylor’s Walk on Supply Side May Leave Him More Dove Than Yellen Half of Goldman clients think he’s more hawkish than market His support of tax cuts may make him reluctant to hike rates A Federal Reserve led by Stanford University professor John Taylor may end up being more relaxed about inflation than current… Continue reading The Race For Fed Chair
Business Insider – The stock market just made history 2017 could go down as one of the most boring years ever for the stock market. Sure, the S&P 500 has closed at record highs 66 times this year, the most since the mid 1990s. But volatility has remained historically low. And on Monday, the S&P 500 completed its… Continue reading The Nasdaq Breaks A 40-Year Old Record
The Econtrarian – Paul Kasriel: Where Has All the Inflation Gone? When Will the Fed Ever Learn? My data tests (not all included here) have convinced me that percent changes in “broad” thin-air credit lead percent changes in the PCE Chain Price Index. There has been a marked slowing in the growth of “broad” thin-air credit since the… Continue reading Where Is The Inflation?
The Financial Times – Gavyn Davies: The (non) disappearing Phillips Curve: why it matters In this blog, I want to comment on two aspects of the debate. First, I want to cast doubt on whether we should expect to observe the PC in actual data, even if it exists somewhere in the underlying model that actually… Continue reading Does The Phillips Curve Still Exist?
The Wall Street Journal – Central Bankers Cling to Stimulus Amid Weak Inflation Officials at Washington conference say low wages and consumer prices make it tough to remove measures quickly, despite global economic upturn Leaders of the world’s largest central banks indicated that weak inflation in advanced economies could prolong the postcrisis era of easy money policies.… Continue reading Central Banks and Inflation
The Financial Times – Emerging market rally leaves currencies behind Unsurprisingly in this environment, EM currencies have risen by a chunky 5.4 per cent, putting them on course for their best year since at least 2010, as least as measured by the widely followed JPMorgan Emerging Markets Currency Index, as the chart shows. Yet this is… Continue reading Emerging Markets
Bloomberg.com – Bond Traders Are Piling Into a Fed-Proof Bet? Flattest U.S. yield curve since 2007 may just keep flattening All potential Fed leaders seen as more hawkish than the market Traders in the $14.2 trillion Treasuries market have found a way to avoid fighting the Federal Reserve, or at least its imminent leadership change. Whether President… Continue reading The Yield Curve
Dealb%k (NYT Blog) – Andrew Ross Sorkin: In the Saudi Desert, World’s Business Leaders Follow the Money “Saudi Arabia is moving aggressively to diversify its economy and implement important reforms,” Mr. Schwarzman told me, explaining why so much of the world’s business community has become intrigued by the kingdom as an economic and business partner.… Continue reading The Saudis Future
Bloomberg.com – Wolfgang Schaeuble’s Staff Rate Him a Great Big Zero 400 employees pose for picture forming human black zero Schaeuble takes over as Bundestag president on Tuesday Wolfgang Schaeuble, who’s departing the German Finance Ministry after eight years at the helm, got a parting gift that was surely music to the ears of a fiscal… Continue reading Schaeuble Is A Big Zero