Recent Articles
Dykstra Tells Creditors To Pile it On And They Oblige
Let’s re-visit one of the more salacious stories to hit the papers in the post-Bernie Madoff era. I’m talking about the story of Lenny ‘Nails’ Dykstra, the former all-star baseball player turned stock picker made by TheStreet.com’s Jim Cramer. Dykstra ran into a bit of trouble last year after the market turned down. The Wall
Economic News And World Cup Links
World Cup: Good World Cup 2010: Golden generation passes on after 12 frustrating years| Richard Williams | Football | The Guardian Argentina 3-1 Mexico | World Cup 2010 match report | Football | The Guardian World Cup 2010: Five reasons for England’s failure | Football | The Guardian World Cup 2010: Didn’t he used to
Hussman: A Double Dip Recession is Coming
The following is an excerpt of the Weekly Market Commentary By John Hussman. Based on evidence that has always and only been observed during or immediately prior to U.S. recessions, the U.S. economy appears headed into a second leg of an unusually challenging downturn. A few weeks ago, I noted that our recession warning composite
G20 Post-Mortem: No Fresh Trading Incentives
The G20 meeting did not provide much in the way of fresh trading incentives. However, there were a couple of developments that were noteworthy. The most important of these is the balance struck between growth and fiscal austerity. Ahead of the meeting much was made of the different directions that the US and Europe appeared
Why Stimulus Is No Panacea
I fully support deficit spending as a means to prevent a debt deflationary spiral in a deep downturn. However, there are limits to what stimulus can actually do. Stimulus is no panacea for an unbalanced economy. In particular, when large imbalances build up, deficit spending is limited and can actually perpetuate the existing imbalances and
FX Market Looking for Direction
Highlights The US dollar is narrowly mixed to start the new week. It is hanged against most of the major currencies as the market waits for fresh trading incentives. The euro was turned back on the initial test of the $1.24 area, Initial support is near $1.2320, but only a break of $1.22 would signal
Demographics and Macroeconomics – Part 1 (Wonkish)
Blog post series, like the vuvuzela, is the new bacon; it works with everything and with John Hempton’s recent excellent series on the economics of default in the Eurozone and Edward Hugh’s recent postings on AFOE in which he pulls out some of our old paper abstracts has inspired me to a series in which I
Financial Reform Update And Other Links
G-20 Financial Reform Efforts Update Osborne tries to put the brakes on banking reform – Telegraph Obama pushes U.S. bank tax – National Post The Usual Fare Bill to Extend Unemployment Benefits Dies – WSJ.com BBC News – Why China’s currency has two names BBC News – Romania plans big VAT rise to secure bail-out
The Risk of Recession
A post by John Mauldin. In this issue: The Risk of Recession The Leading Indicators Are Starting to Turn Terms of Trade and US Real GDP Bernanke at the Crossroads Vancouver, Maine, and San Francisco We are halfway through the year (where did the time go?) and it is time to make some predictions about
Financial Reform Bill Encourages Risk-Taking
As the details of the agreement struck by the key House and Senate conference on financial reform has been embraced favorably by the US equity market, that is being led by the financials, and the foreign currencies. In the past three months the major foreign currencies, like the euro, sterling, yen, and the Canadian and
Bair: Financial Reform Bill Will End Too Big To Fail
In this video from the Wall Street Journal, Sheila Bar talks to the Journal’s David Wessel explaining her view that the financial reform bill due to be passed by Congress will end too big to fail. Also see the associated WSJ article, "Bair Says Bill Will End ‘Too Big to Fail’"
What might history tell us about the Greek crisis?
By Michael Pettis. With the PBoC’s currency announcement last Saturday and the surge (!) in the value of RMB on Monday (all very kindly timed to add zest to my meetings this week in Boston, New York, and Washington), you would assume that today’s entry would be all about the RMB and the effect of