2011

The curse of zero - MoneyWeek tags: interest rates banks Global recession…

The dollar is firmer against nearly all the majors amid risk aversion; European stocks at a 6-day low. Markets are likely to focus on the US data in today’s session; downside surprise supportive of USD. PBOC expects to see less upward…

The Italian debt markets are a lot calmer this week than they were the week before last because the level of Italian bond yields is now more or less completely guaranteed by the European Central Bank (the ECB). However, Italy’s problem is…

I appreciate the role that Krugman plays. Like many of you, I enjoy reading his blogs and more often than not, I agree with him. He is almost the lone, sane, voice in a position of authority who argues against the standard deficit…

In 2010, Euro area’s savings were insufficient to finance investment. Business needed to borrow to finance their investments and households savings were not enough to fill the gap. This is why the euro area runs a current account deficit,…

The US dollar fell to 4-year lows against the Canadian dollar late last month near CAD0.94. In the tumultuous markets in the first half of August, the US dollar rallied about 6.5% into August 9th to briefly poke through CAD1.0 for the first…

Once again we are hearing very worried noises from various sectors about the possibility of a reduction in Chinese purchases of USG bonds. Is the PBoC going to stop buying USG bonds?

This says a lot about the President. In his mind, he is dealing with a Madison-, Roosevelt- or Wilson-caliber crisis. And apparently the President also believes the political environment he must manage is even more partisan and poisonous…

I will be blogging very sporadically over the next two weeks. But other writers will fill in some of the gaps in my absence. Part-time Britain hits record high as unemployment soars - Telegraph Staatsbank: Hypo…

Markets stable but tone remains fragile. SNB expanded its sight deposit target; no EUR/CHF peg. BoE’s decision to stay on hold was unanimous. New measures announced by China boost CNY internationalization and integration with HK.