monetary policy

This post on macro ideas affecting the global economy originally appeared at Alpha.Sources. With Edward Hugh busy mingling with the economic elite and literally saving Spain one step at the time I thought that it would be time for some…

Australia The Reserve Bank of Australia met earlier today and as widely expected kept the official rate steady at 4.5%.  The tone of the statement was fairly neutral, as one might expect after 6 rates hikes since last October and…

With governments printing money, inflation, now propping up asset prices, will eventually come to consumer prices. First the deflation, then the inflation, I say. Ray Dalio agrees. But, he also has some choice things to say about 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). A speech delivered at the Ludwig von Mises Institute Conference:…

Three month dollar LIBOR has edged up again today.  It has risen every day since May 10th, though the pace has slowed.  This reflects the demand for dollar funding.  While the focus in on European banks, the scramble to…

This post by Paul McCulley,a Managing Director of PIMCO, is from a speech McCulley gave at Levy Institute and it comes via John Mauldin. Edward Harrison has inserted the images. They are not in the original. Enjoy. John Mauldin,…

Strong upward pressure on the dollar emanating from the European debt crisis and the tensions on the Korean peninsula apparently was countered by intervention from several Asian central banks. At one point the dollar was nearly 5.25%…

The following is a letter to clients from RBS’ Chief Market Strategist Bob Janjuah that is making the rounds (hat tip Scott). Dear All I am deeply troubled by the world and markets. THIS IS AN UBER BEAR EARLY WARNING ALERT:...I know its…

The euro has rallied about 1% and has spurred talk of ECB intervention.  We are skeptical.  There seems to be little reason to expect the ECB to intervene outside of its time zone in a unilateral fashion.  Convention, we…

As noted in the daily, Eurogroup head and Lux Prime Minister Jean-Claude Juncker has played down need to intervene in the foreign exchange market, saying there was no need to defend the euro.  Yet in the same interview, he claimed that…