liquidity

Foreign news for 1 December 2011 focuses on Europe, and in particular Spain.

What is clear is that, with the U.S. dollar as the world’s major reserve currency, this move to lower the price on U.S. dollar liquidity swap arrangements is due to the world’s banks being short U.S. dollars. In the past few days, there…

"The Bank of Canada, the Bank of England, the Bank of Japan, the European Central Bank, the Federal Reserve, and the Swiss National Bank are today announcing coordinated actions to enhance their capacity to provide liquidity support to the…

Below are the five ways now being discussed to tackle the euro zone sovereign debt crisis. I should say that overall, it is still unclear how far along European leaders are in defining a mutually agreeable outcome. Just this morning, I have…

Financial news links for 30 November 2011

I anticipate a large enough move toward limited fiscal integration in the coming days that enables the ECB to move toward a full monetisation euro area national debt by the end of the year. Interestingly enough, the initial reaction by…

Given the flurry of activity this past weekend in the euro zone, it seems clear that the Europeans have pushed the panic button. I anticipate that some sort of systemic response is likely in order to deal with Italy (and Spain), two large…

Editor’s note: the IMF musings would be difficult politically, especially in the US. And any deal for Italy would also have to involve Spain too. However, Perhaps most important, operationally, the ECB lending to the IMF, which then lends…

A decision tree on what the future of the euro would look like based on different policy responses

Foreign news links for 27 November 2011. We have a variety of links here today with most focused on the European sovereign debt crisis. Protest and terrorism are two other topics of great interest.