2014

News links for 1 Feb 2014

It may be something symbolic such as a small rate cut or possibly a more substantial move such as a new LTRO program, but the European Central Bank will be forced to loosen monetary policy in the near future.

Themes for today: US economic growth is poised to be decent in 2014 Europe will recover but not at the same pace as the US EM is really a China contagion story. I am concerned but not alarmed Watch high risk sectors like leveraged…

News links for 31 Jan 2014

Behind all the noisy economic data over the past month, one key measure is telling the central bank to remain cautious. The Fed's preferred inflation measure, the so-called PCE price index has grown less than 1% over the past year (chart…

This is an addendum to this mornings news links. Most See Inequality Growing, but Partisans Differ over Solutions | Pew Research Center for the People and the Press The Behavioral Psychology of Netflix's Plan to Charge Higher Prices -…

By Win Thin and Ilan Solot With their backs against the wall, policy changes are ramping up amongst major EM countries. Yet the positive impact has been limited so far. We do note that countries that tightened aggressively and…

News links for 30 Jan 2014

I got a lot of feedback from my January 5 blog entry because of my argument that the implementation of the reforms proposed in the Third Plenum all but guarantees that growth rates in China will slow down. For that reason I thought it might…

According to Wikipedia, the Taylor rule is a “monetary-policy rule that stipulates how much the central bank should change the nominal interest rate in response to changes in inflation, output, or other economic conditions.” It is named…