Central Banks, Inequality & Market Manipulation
The Pew Research Center last week released a report showing that from 2009 to 2011 the top 7% of American households (based on net worth) realized a 28% gain in wealth while the bottom 93% saw a 4% decline. In a statement of the blatantly obvious, Pew said the difference was a result of the .. read more
Pot Meets Kettle
Late Friday the Treasury Department released its semi-annual report on global exchange rates or as I like to call it, the semi-annual report on why all other countries on planet earth should let their currencies rise against the UD Dollar. Or maybe the semi-annual report on how easy monetary policy by other countries’ central banks .. read more
We’re All Monetarists Now
Japan last week announced a radical plan to finally slay the deflation dragon that has stalked their economy for the last 25 years. The sheer magnitude of the BOJ’s program should put to rest once and for all whether monetary policy can truly work as the growth tonic that policy wonks such as Ben Bernanke .. read more
State Of The Union
The President will deliver the State of the Union address Tuesday night. He will probably offer a laundry list of programs that he’d like to spend more money on and the Republicans will respond with a laundry list of reasons why the President’s list is a bad idea. The President will say that he intends .. read more
Morons & Oxymorons
American Taxpayer Relief Act of 2012. That’s the title of the recently passed legislation to avoid the so called “fiscal cliff”. I don’t know whether to laugh or cry. It isn’t a true oxymoron since that term is generally reserved for things that are surprisingly true and paradoxical but it certainly fits the more common, .. read more
A Perfect Storm?
As the Northeast prepares for Hurricane Sandy, markets are preparing for their own perfect storm. The first feeder bands are coming ashore now and whether we feel the full brunt depends to a large degree on how the political class responds. The Fed is already in full FEMA mode with results similar to those witnessed .. read more
Time To Prepare For A Stronger Dollar
Well, I’m back from vacation, five days of golf in the wilds of Sea Pines Resort on Hilton Head Island. Okay, I wasn’t exactly roughing it unless you count the number of my golf shots that veered out of the fairway but it isn’t Miami. It was an opportunity to renew old friendships, develop some .. read more
The Joyless Street
By Brian Cronin In striking a blow for democracy, it looks like the preliminary decision of the German Constitutional Court has had an effect on other nations signing on for the permanent bailout fund, the European Stability Mechanism. You will recall the court said that any change to the upper limit of Germany’s commitment (€190 .. read more
