I’m just back from 2 weeks in Asia and I’ve been asked to head right over to CNBC studios for a debate with Santelli and company on Fed policy efficacy. They seem to hate QE2 so it should be a fun one. The segment goes on just after 11am. We are putting the finishing...
The surest sign that the Fed’s move to drive inflation expectations higher is working will NOT be most apparent in BEIs, 10yr Treasuries or even commodity prices. It will be outrage from top US trading partners in Asia and Europe that signals the policy is working....
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Well, the big week has come and gone and what do we have to show for it? US equities are up 10% YTD, investment grade credit spreads are back to late 2007 levels, US individual tax rates are not likely to rise and the economic data continue to surprise on the upside....
Below, I have put the Ben Bernanke op-ed piece from yesterday into a format that should be a little more transparent. Rather than an article, I have reformatted it as an open letter to the key holders of US sovereign debt. Dear Global Reserve Asset Managers, I regret...
The most important part of yesterday's fed announcement came this morning during Asian trading (maybe I should always plan to travel around Asia on fomc days). Around 9am Singapore time, Ben released an op-ed piece in the Washington post to clarify the fomc actions....
The statement suggests the Fed is going to focus on the 2-10 year sector. Long maturity bonds will struggle after this announcement. The 600 number gives them a "more aggressive" ease relative to expectations, especially with a commitment through Q2 2011. The...
It’s a big week for the US - landmark elections, epic monetary policy changes and of course a host of key economic data releases culminating with payrolls. The tone for year-end (and probably even 2011) will almost surely be set this week! Resolving the current...
It’s been a whirlwind tour through Austin, San Antonio, Houston and Dallas. Trying to find time to write has been difficult. But I wanted get some quick thoughts out as the market moves are starting to get very interesting. Most importantly, we are now almost back to...
It’s been a whirlwind tour through Austin, San Antonio, Houston and Dallas. Trying to find time to write has been difficult. But I wanted get some quick thoughts out as the market moves are starting to get very interesting. Most importantly, we are now almost back to pre Aug-10 FOMC meeting yield levels in cash […]
