Bloomberg – Americans Are Cutting a Shorter and Cheaper Path to Decent Pay Just because it’s becoming harder to get by in America on a high school diploma doesn’t mean a four-year college degree is the only ticket to a solid salary. That’s because the number of so-called “good” paying job held by people with… Continue reading Stay In School Kids
Bloomberg View – Narayana Kocherlakota: Don’t Let the Dollar Fool You, Fed Its effect on inflation could lure the central bank into removing stimulus too soon. Here’s yet another reason for the Federal Reserve to be cautious about removing economic stimulus over the next couple years: The declining U.S. dollar might make it look like… Continue reading The Dollar’s Effect On Inflation
MoneyBeat (WSJ Blog) – Weaker Dollar May Boost Corporate Results, and Stocks Could Follow The dollar’s unexpected fall this year is poised to boost the earnings of some of the biggest U.S. companies, adding another support for a stock-market rally that some say is starting to look stretched…If the index ends 2017 where it is… Continue reading The Dollar’s Effect On Earnings
Bloomberg Business – China Bond Carry Trade Re-Emerges as Yuan Hedging Costs Ease The offshore yuan’s 12-month forwards’ implied yield — a measure of the cost to protect against currency swings — has fallen below the yield on bonds issued by China Development Bank. This means that a global fund can make money by buying the… Continue reading The China Bond Carry Trade
The Financial Times – Enthusiasm for US corporate debt near post-crisis high Investor enthusiasm for corporate debt has neared levels not seen since before the start of the credit crisis, in a deepening endorsement of a global economic recovery that has already propelled US stock markets to record heights. In several parts of the US… Continue reading Corporate Debt
The Financial Times – ‘Super firms’ claim record share of euro bond sales The largest sellers of euro corporate bonds are taking a greater share of overall issuance than ever before, fuelling a debate about whether the European Central Bank’s bond-buying programme is mainly benefiting those who need the least support. The top 20 issuers… Continue reading Big Firms Take Advantage Of ECB’s Corporate Bond Program
The Upshot (NYT Blog) – Neil Irwin: Maybe We’ve Been Thinking About the Productivity Slump All Wrong In the context of the minimum wage debate, pretty much everyone agrees that this kind of response — “capital substitution,” to use the technical term — is to be expected. But there’s no reason it would happen only… Continue reading A Different View Of The Productivity Slump
The Wall Street Journal – Cohn and Yellen Are Among Trump’s Contenders to Lead Fed President Donald Trump is considering renominating Janet Yellen as Federal Reserve chairwoman but also views his economic adviser Gary Cohn as a top candidate, he told The Wall Street Journal in an interview Tuesday. Mr. Trump reiterated that he thinks… Continue reading The Search For The Next Fed Chair
Bloomberg – Bankers Ditch Fat Salaries to Chase Digital Currency Riches Critics say many ICOs are built on little more than hyperactive imaginations. A cross between crowdfunding and an initial public offering, they involve the sale of virtual coins mostly based on the ethereum blockchain, similar to the technology that underpins bitcoin. But unlike a traditional… Continue reading IPOs Are So 2000, Now It’s All About ICOs
Bloomberg – Goldman Says Global Growth Trumps Strong Euro for Europe Stocks Currency’s gains reflect broader recovery: Mueller-Glissmann The thesis that a stronger euro is bad for European equities isn’t as clear-cut as many in the investment community believe. That’s the message from Goldman Sachs Group Inc., which says that a solid global economic backdrop can outweigh… Continue reading Stronger Euro May Not Dent European Equities
View PDF Summary After more than 100 companies have reported, the earnings and revenues beat rates are well above average. The projected earnings growth rates are looking good at more than 8.5%. However, good news often comes first and bad news follows later. With nearly 400 companies left to report, one should not necessarily… Continue reading Earnings Update – A Good Start, Will It Last?