malinvestment

I don't buy into the core inflation number that the press or Federal Reserve use. Today's Wall Street Journal has an article on the front page entitled "Inflation at 44-Year Low." When you read further, you realize they are using…

Michael Pettis is out with another great piece on the likelihood that non-performing loans (NPLs) will rise in China when the present spate of malinvestment comes a-cropper.  What caught my eye were his statements about the hidden ways…

Earlier today, I had a brief e-mail exchange with Marshall Auerback in which I said that I had basically thrown in the towel on US (and global) policy makers. Early on in this crisis, I had advocated a number of policy paths which I think…

Yesterday, I wrote a post which examined three different reasons the savings rate in the US could have been falling over the last year. Rebecca Wilder thinks this is a meaningless exercise: Edward Harrison at Credit Writedowns is…

I was talking to a friend of mine who does emerging market investing for a living and I asked him what he made of recent China-bullish comments by Stephen Roach.  The Morgan Stanley Asia head was in Germany speaking to German…

So why did we rescue this institution with a massive bailout? Elizabeth Warren, who chairs the Congressional Oversight panel of the TARP program, doesn't understand any more than taxpayers do. This is another example of the malinvestment…

Christopher Wood is bearish on Western stocks but still bullish on emerging Asia, especially India and China. He recommends an overweight Asia – Underweight West position for international investors in large part because he believes the…

Expect a companion piece to this based on what is now happening in Europe. To put it simply, it is all bailout all the time as officialdom desperately uses extend and pretend liquidity to forestall the inevitable solvency problems. This…

Bloomberg reports: The Japanese government’s net assets in 2009 may have fallen below zero for the first time, the Nikkei newspaper reported, citing an unidentified government official. The result, which includes the central and…

Below is a Jim Chanos video on China now making the rounds in the financial blogosphere.  Chanos says that most financial bubbles are the result of excess credit creation and believes that is exactly what we are witnessing in…