Archive for June, 2014

Supreme Court Today

Monday, June 30th, 2014

The Supreme Court is expected to end its session today with a very important decision today on the topic of ObamaCare and religious freedom. A company owned by evangelicals has sued because they object to the provision of ObamaCare which compels an employer to pay for contraception services for women ...

June 30 2014 Opening

Monday, June 30th, 2014

Prices of Treasury coupon securities are registering very marginal gains on overnight trading. The yield on the 5 year noted has slipped to 1.636 from 1.64 at the close of trading Friday. The yield on the still investment grade 10 year note is 2.532 versus 2.536. The yield on the ...

Europe As Japan

Sunday, June 29th, 2014

Via the WSJ: Europe Is Closely Studying Lessons From Japan They Fear Euro Zone Is Falling Into Similar Lethargy By Marcus Walker Updated June 29, 2014 5:15 p.m. ET BERLIN—If Europe is tilting toward becoming the next Japan, does that mean it needs its own version of Abenomics? Japanese Prime Minister Shinzo Abe's announcement last week of ...

Financial History

Sunday, June 29th, 2014

This is an excellent piece of financial history suggested by a fully paid up subscriber. It discusses the actions the FOMC employed to keep rates low during World War 2 and the subsequent financial market results when the Fed ended what the author suggests was an early form of QE. History ...

Subprime Redux

Sunday, June 29th, 2014

The NYTimes with an article on the rebirth of subprime lending.

Detached From Reality

Sunday, June 29th, 2014

The Bank for International Settlements used that phrase, "detached from reality" to describe the current state of global markets. The BIS said that governments should ditch policies that "risk stoking unsustainable asset booms". Via the FT: June 29, 2014 11:33 am Bank for International Settlements warns on ‘euphoric’ markets By Sam Fleming and Claire ...

Carney Weekend Talk

Saturday, June 28th, 2014

Via Bloomberg: BoE Monitoring ‘Evolution of Economy’ on Rates, Carney Says 2014-06-28 10:12:55.639 GMT By Gabi Thesing June 28 (Bloomberg) -- Bank of England Governor Mark Carney says exact timing of interest rate increases depends on the “evolution of the economy,” Belfast Telegraph reports, citing an interview. * The “appropriate path for interest rates is likely to be limited ...

House for Sale

Saturday, June 28th, 2014

The New York Times reports that investment funds which had bought foreclosed homes as rental properties are now looking to ring the register and unload that real estate to others. The article notes that institutional purchasers have bought 386,000 homes since 2011. If some reasonable chunk of those homes were ...

Financial Nirvana

Saturday, June 28th, 2014

The WSJ leads today with a story on the rally in virtually all financial markets with equities and fixed income and commodities all enjoying gains in the first half of June 14. One money manager who commented for the article went so far as to wheel out the Goldilocks orthodoxy ...

Aging Baby Boomer Alert

Friday, June 27th, 2014

This one is filled with a bit of irony as I consider it . The WSJ has a music column and today it carries an excellent interview with David Crosby and Graham Nash of the 60s super group Crosby, Stills, Nash, and Young. The interview also includes the groups engineer and ...