monetary policy

by Comstock Partners In our view the market, at current levels, is highly vulnerable to a major downturn as a result of negative fundamentals and high valuations. Following is a summary of important factors likely to impact stocks in the…

Randall Wray shows that quantitative easing will be ineffective except to the degree it can induce a shift in private portfolio preferences. He uses a recent post by hedge fund manager Warren Mosler to demonstrate that QE is the equivalent…

Fed Governor Elizabeth Duke predicts at least two more years of foreclosures at current rates and gives specific details about exposures of the current crisis.

I know I have seen that QE2 is failing a number of times in the last 24 hours. In support of such statements I offer the following two graphs from the 5 Min. Forecast: Since QE2 hasn't really started yet, it might be more…

“The issue of the renminbi is one that is an irritant not just to the United States, but is an irritant to a lot of China’s trading partners and those who are competing with China to sell goods around the world. It is undervalued. And…

The ECB confirmed market talk that it had stepped up if sovereign bond purchases last week as the debt strains reached crisis levels.  The European central banks bought 1.074 bln euros vs 711 mln the prior week.  This is the most…

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) and "The Coming Collapse of the Municipal Bond…

Stephen Roach argues that the U.S. is not equipped to turn the Fed's liquidity into domestic demand so the liquidity provided by quantitative easing will simply leak out abroad to form asset bubbles somewhere else. He is principally…

Unless the ECB takes fast and dramatic action, it risks destroying the currency it is paid to manage, and allowing a political catastrophe to unfold in Europe. If mishandled, Ireland could all too easily become a sovereign version of…

Here's another classic video, this time on Gold!  Who comes up with this stuff? Classic. Hat tip Scott.