And the risk markets are always hoping for Central Banks to intervene and to bail them out. This continues to look like a pyramid scheme. The latest optimism comes today from a Chinese press report suggesting that the Chinese will cut the Reserve Requirement Ratio in the coming weeks, ahead of most analysts expectations. It […]
Dramatic Market Moves — FIU
A market move of the kind saw at the end of last week is hard to comprehend. Two stories caused the dramatic moves. Firstly both the WSJ and the NY Times ran stories at the beginning of the last week declaring that the FOMC was ready to act at this week’s FOMC meeting. Reading the […]
The Phili Fed Survey — FIU
The Phili Fed survey is now showing that deflation is indeed now a real risk in the US economy. If the Fed hadn’t announced an extension of Operation Twist last night, I would have said that they would certainly be looking at additional stimulus as soon as possible. The Survey released today had more Mid- […]