2013

By Frances Coppola In my post on the anatomy of a bank run, I suggested that the rule should be "provide central bank liquidity support to everything, taxpayer support to nothing". This is because in a bank run/liquidity crisis, it isn't…

By Marc Chandler Today, ECB President Draghi essentially repeated his comments from last month. The key is that rates will remain at current levels or lower for an extended period and, although the economy is gradually recovering, growth…

By Sober Look Here is a quick update on India's ongoing financial stress. Capital outflows from stocks over the past couple of months reached a post-2008 high, prompting Goldman to downgrade the nation's equity market. Bloomberg: -…

News links for 1 Aug 2013

With many observers expecting the Fed to taper in September, disappointment that there was nothing in the statement to support such ideas has seen the dollar fall and the stocks and bonds traded higher.

I will make this as brief as possible. I have just learned via Twitter that President Obama is reputed to have given a "full-throated" defense of Larry Summers in his meeting with Congressional democrats. It is clear now that Obama wants…

News links for 31 Jul 2013

Economists and the markets have been cheering the jump in housing prices and improving construction statistics. But for many Americans rising demand and higher house prices bring more bad news.

I thought this chart was a good one. It shows how quickly house prices have recovered in a number of markets. WHile DC and LA are the areas where the Case-Shiller index is at its highest, over the last year, Atlanta, Las Vegas, Phoenix and…

I don't put a lot of stock into economic sentiment surveys but the time series of this particular survey, the European sentiment indicator caught my eye. It suggests a recovery in Europe is almost here.