Archive for November, 2015

Chasing the Caboose

Sunday, November 8th, 2015

The Federal Reserve is poised to hike rates for the first time since W was President and corporate Treasurers who have not yet issued are racing down the train platform to grab hold of the caboose before it leaves the station. Via the FT: A spate of jumbo corporate debt offerings has ...

Wage Growth and Labor market

Sunday, November 8th, 2015

The labor data released Friday morning showed average hourly earnings rising 0.4 percent and an annual gain t 2.5 percent. The annual gain is the biggest since 2009.Greg Ip of the WSJ dissects the wage portion of the report and concludes that evidence is not conclusive (yet) of wage pressures. Via ...

Exports and Imports Fall in China

Sunday, November 8th, 2015

Via the WSJ By Mark Magnier Nov. 8, 2015 1:01 a.m. ET BEIJING—China’s exports fell in October for the fourth consecutive month, as a once-powerful engine of the country’s growth continued to sputter in the face of weak global demand. The world’s appetite for China’s goods—the world’s second-largest economy accounts for nearly one-fifth of ...

San Fran Fed President on Full Employment

Sunday, November 8th, 2015

Via Bloomberg: The U.S. economy has reached at least one measure of full employment and the decision to keep interest rates near zero in October was a close one, said John Williams, president of the Federal Reserve Bank of San Francisco. “To my mind, the decision was a close call, in part ...

Evidence Supports Theory That Savage Act of Terrorism Destroyed Russian Jet

Saturday, November 7th, 2015

Via FT: Investigators rule out technical failure in Metrojet crash Black box evidence suggests a terrorist bomb onboard the plane brought down Metrojet flight 9268 6 hours ago by: Tanya Powley and Jim Pickard in London, Kathrin Hille in Moscow and Heba Saleh in Cairo French air accident investigators have ruled out technical failure as ...

Kuwaiti Oil Minister Sees Long Glut

Saturday, November 7th, 2015

Via Bloomberg: November 7, 2015 — 5:24 AM EST   Oil markets will continue to be oversupplied for as long as five years as producers in the Middle East ramp up output, according to Mohammed Al-Shatti, Kuwait’s representative to the Organization of Petroleum Exporting Countries. Iraq pumped a record 4.4 million barrels a day ...

Catalonian Debt

Saturday, November 7th, 2015

Secessionists in Catalonia are looking to renegotiate some of he regions debt. Via Reuters: Catalan Pro-Secession Parties Push for Changes to Region's Debt By REUTERSNOV. 7, 2015, 10:27 A.M. E.S.T.   MADRID — Pro-independence parties in Catalonia, which are gearing up for a vote in their local parliament on whether to begin a process to ...

China FX Reserves Rise in October

Saturday, November 7th, 2015

ViaWSJ: By Chuin-Wei Yap Updated Nov. 7, 2015 12:56 a.m. ET   SHANGHAI—China’s massive foreign-exchange hoard rose in October, snapping a five-month streak of capital outflows in a development that could help Beijing shore up the value of its currency. The rise reported by the central bank on Saturday follows five consecutive monthly ...

More on Pace of Tightening

Friday, November 6th, 2015

Via Bloomberg: Bullard promises `very hot' discussion over meaning of gradual Probability of December rate rise jumps to 70 pct after data With the U.S. October jobs report cementing expectations for a December interest rate rise, the next big fight on the Federal Reserve’s policy-setting committee will be over the pace of future ...

Pace of Lift Off

Friday, November 6th, 2015

This is the next iteration (great Latin root) in the process as the discussion regarding the pace of tightening begins. Ms Yellen has always averred that she favors the gradual approach and that an earlier lift off means that the pace can be gradual. Via the FT: Fed debate shifts to pace ...