While we await the final details of the fiscal policy panic from government, the Fed announced unlimited QE in its monetary policy panic. I am not using the words “panic” and “manipulation” lately in the usual negative or dismissive sense. They have to do this, sadly. We see on full display and in real time how a debt-based Keynesian system operates after it has decades … Continue reading QE up, Yield Curve down
Post FOMC The Fed has ended QE 3 as expected. Here is the big picture view that has seen a post-2008 constant in Zero Interest Rate Policy (ZIRP) and systematic applications of QE each time the stock market took a decent intermediate correction. Here is a closer view showing the expansion of money supplies as relates to the 2008 liquidation (QE1), the 2010 market disturbance … Continue reading NFTRH; Post FOMC
A good article (thanks Tom) about a good man trying to get out ahead of a rising interest rate world; India’s head of the RBI, who is raising interest rates while the US Fed keeps things stable for the rest of the world to start deleveraging. Is this really what is in play, a world setting up to clean up its debts and inflationary excesses?
Continue reading “Raghuram Rajan’s Sneaking Out the Door (Raises Interest Rates)”
It is as notable as a 2nd term president handing off the big problems to the next guy, as George Bush did with Barack Obama in 2008; the changing of the guard at the Fed, that is. Alan Greenspan oversaw the making of a stock bubble in the final phase of the great bull market ended in 2000. He then instigated a credit bubble, which … Continue reading Hand Off to a New Fed Chair is Well Timed
How to play the FOMC? Does it matter beyond “manage risk?” asked the robotic blogger.* The Fed has been using its jawbones as well as talking out of every other orifice over the last month or two with regard to ‘taper or not to taper’. The stock market is at the moment on a tout that sees them saying ‘never mind about the taper stuff … Continue reading How to Play the FOMC? Risk Management
