201410.29
5
0

I Think The FOMC Meant Something Else Entirely

As if it needed further clarification, the FOMC has gone its own way publicly against pretty much everything else because there is no other course that could even possibly end Hollywood-style. The constant reference to “slack” in the labor market is what gives this away. A potential reduction in labor slack would mean emphasis on…

201410.29
1
0

Crumbling Foundation of QE’s

In another piece of the puzzle ending the reign of Bernanke’s monetary influence, there remains deep dissatisfaction with the economy. Poll after poll just ahead of the coming midterms shows the economy as “somehow” the top concern. The discontent in the latest ABC News/Washington Post poll is palpable. Despite its fitful gains, seven in 10…

201410.29
1
0

The Monetary ‘Evolution’ Hasn’t Been Televised

It might be a close race to decide which day of the month is the silliest, the Friday of the “jobs” report or the FOMC meeting (which are two-day events, but only the second day seems to count; and the FOMC meets every six weeks or so which means the Establishment Survey has a few…

201410.28
2
0

PBOC’s Hong Kong Bypass?

I think there remains a lot of misunderstanding about global finance simply because very few people, including every economist I have seen, realize the systematic arrangement has drastically altered way beyond orthodox comprehension. The eurodollar system that replaced the gold standard has even itself morphed broadly in the past few decades (especially around 1995), and…

201410.28
3
0

Pity Them: Sweden Relents To Krugman

We have clearly entered unchartered financial and economic terrain, a sentiment that applies so broadly as to lose almost all meaning. In fact, the world has strayed off the beaten path for so long “we” have little memory of what “normal” actually feels and looks like. The latest figment toward that direction is the growing…

201410.28
1
0

Durable Goods Cycles

The unfortunately established narrative for all economic accounts in 2014 relates (still) to depressing winter earlier in the year and “better” from there. At first glance, the latest figures on durable goods seem to be following that idea, though a “rough patch” has perhaps developed over the past two months. A wider context, however, is…

201410.27
Off
0

What Happens When You Don’t Actually Own It

The very character and content for “money” has undergone a radical shift particularly as banking and central banking has attained its latest incarnation. However, even making that statement is somewhat misleading since “money” has been absent from the United States for almost a century. For the most part, nobody seems to have missed it, at…

201410.27
0
0

Europe ‘Forgets’ To Stress Gov’t Bonds

The problem with European monetarism is not that it is trying to swim against the tide of fragmented “markets” and national boundaries that represent very real hurdles in terms of legal and systemic bottlenecks. For the most part, everything that the ECB has tried, including a great deal that predates the bright spotlight on Mario…

201410.27
2
0

UST Warning In Vivid Detail

Almost two weeks after the event, there is still more than a little nervousness about what took place on October 15 in UST trading – and for very good reason. Up to that point, proclamations about systemic liquidity degradations were just theoretical to most people. The reason was, and continues to be, that nobody seems…

201410.24
2
0

Not A Lot of Bets On Stress Tests

We will find out Sunday if all the rumors are correct (and by how much) about a significant portion of European banks either failing or still with their “feet wet” after the usual comedy of the stress tests. You never really know with these types of weighty events, as there are all sorts of biases…