deleveraging

by Comstock Partners For some time it has been our view that the recent recession, unlike all other post-war recessions, was caused by a credit crisis, and that it would therefore be followed by a series of weak recoveries and frequent…

by Annaly Capital Management Asset bubbles and leverage are kindred spirits. Just look at housing, tech stocks, and tulip bulbs. But if this is a necessary bubble condition, bonds don’t make the cut. Thanks to data provided by AMG and the…

From Comstock Partners In a scholarly paper that was released today James Bullard, President of the Federal Reserve Bank of St. Louis, stated, "The U.S. is closer to a Japanese-style outcome than at any time in recent…

Wow! We see the word "Deflation" everywhere; we see it in every financial publication and hear it every time we turn on financial TV. We see that the pundits who were bearish because of runaway inflation have just recently…

From the Consumer Metrics Institute What credit numbers? During the past week there has been a flurry of Federal Reserve reports and commentary concerning the levels of credit in the current economy. The two most notable were: On July…

Excerpts from Comstock's latest weekly: Debt is discussed by the pundits on financial TV also, but in almost every case the discussion revolves around government deficits relative to GDP or government debt relative to GDP.  They…

By Annaly Salvos. We breathlessly await the release of the next Z.1 from the Federal Reserve on June 10 to check on a number of things, such as the change in the amount of equity in the average American’s home in the first quarter, but we…

The following is the weekly commentary from Comstock Partners, which makes the point that debt deleveraging is a multi-year event and that we are in the early stages of this deleveraging cycle. ...market reactions are widely out of…

Richard Koo was on Bloomberg yesterday making a lot of good points about what public sector retrenchment will mean, namely a decrease in private sector savings. With households already highly indebted in many countries, this cannot be a…