interest rates

When faced with a balance sheet recession and anaemic demand growth, Japan pushed short-term interest rates to zero and preceded to print money. This created the infamous Japanese carry trade in which Japanese investors would buy…

Japan's Finance Minister Noda has indicated that he will take advantage of the upcoming G7 and IMF meeting to explain its Sept 15 intervention. While US Fed and Treasury and the ECB did not comment on the intervention, several others did,…

Highlights The US dollar rise yesterday looks like a one-day wonder, with the euro returning to the $1.38 area, sterling moving through yesterday’s highs and the Swiss franc at new record highs vs the greenback.  The Australian…

From Win Thin Inflation data out of Asia today points to rising risks of food-driven inflation. While that should not have monetary policy implications if due solely to supply side disruptions, it could lead to policy responses if…

by Michael Hudson, President of The Institute for the Study of Long-Term Economic Trends (ISLET), a Wall Street Financial Analyst, Distinguished Research Professor of Economics at the University of Missouri, Kansas City and author of…

by Michael Pettis I am often asked, especially by my Peking University students, to list what I think is the sequence of steps China will take to address its economic imbalances.  Remember that rebalancing, in the Chinese context, has…

by Annaly Capital Management We attended Chairman Bernanke’s lecture last Friday at Princeton University, primarily because there was going to be open Q&A. As it turns out, despite our eagerly raised hand we were not called, the…

by John Lounsbury David Rosenberg, chief economist at Toronto's Gluskin Sheff, says at least two more years to a top with rates significantly lower than today.  Here is Rosenberg's graph: From today's "Breakfast With…

Here's my initial reaction to Fred Sheehan's last post on Bernanke: inflation in goods, deflation in assets. I think this is something that Fred got into in one of his previous posts. Inflation versus deflation discussions are the…

Frederick Sheehan is the author of Panderer to Power: The Untold Story of How Alan Greenspan Enriched Wall Street and Left a Legacy of Recession  (McGraw-Hill, 2009). It is unfortunate the media does not make better use of an…