Post Tagged with: "United States"
Regulatory handicapping: the CFTC edition
And just two days after I reported on the starve-the-beast strategy that’s forcing the SEC to pursue Mickey-Mouse settlements with the big banks, we learn of plans to handicap the Commodities and Futures Trading Commission in a similar fashion
60 Minutes: Congressional Insider Trading
In case you missed it last night here is one that is sure to get your feathers up. It’s about time they Occupy Congress
Key data to focus on in the week ahead
Economic data has been of tertiary concern to the market recently, overwhelmed by the drama in Europe. Given that the drama may die down, with new governments in Greece and Italy, the economic data may become somewhat more important
Downgrading the US in China
This video is about the Chinese view of America’s budget battles. The US congress has until November 23rd to figure out on how to reduce its public debt. If it doesn’t, eventually mandatory budget cuts will go into place. As a result, Guan Jianzhong, the head of China’s only independent credit rating agency, has warned Dagong Credit might have to downgrade the US again
Chart of the Day: U.S. Payroll Employment By Industry, October 2011
A breakdown of Friday’s numbers with net loss and gain by key industry
On the CDS market, the Greek referendum and US banks’ selling insurance
There is much truth to the generalization that European banks took on direct exposure to European sovereigns through the bond market, while top banks took exposure through selling insurance, primarily CDS, on the sovereigns. The latest BIS data suggest that in H1 2011, US banks increased their CDS sales by almost $81 bln to $518 bln. Two thirds are tied Greece, Ireland, Portugal, Italy and Spain. Five US banks count for more than 90% of the CDS exposure
Quantitative Easing!!!
The BoJ announced today that it will expand its asset purchase programme by JPY5trn (USD66bn), with all the purchases being directed at JGB’s. Add that to the GBP75bn (USD120bn) by the BoE, CHF50bn (USD57bn) by the SNB and the EUR341bn (USD477bn) expansion of the ECB balance sheet since the end of June, and it collectively adds up to USD720bn. Clearly this explains the market rally from the low
BEA Adjusts Second Quarter GDP Growth Rate Upward
The public has been seeing their (per-capita) “slice of the pie” contract now for six months, and no amount of well spun “sluggish growth” can alter their view of a shrinking reality
US Durable Goods Orders: Another Point for a Good Q3 GDP
Today’s durable goods orders data lends credence to our projection of fairly robust Q3 US GDP after the dismal 0.8% expansion in H1. The durable goods report is the third important piece of data that should encourage economists to look for something close to what is regarded as trend growth in the US (2.5%-3.0%). The sharp rise in July personal consumption expenditures and the smaller real trade deficit were the other two piece
Additional US dollar liquidity-providing operations over year-end
A statement by the Bank of England on market liquidity to be provided in co-ordination with other major international central banks
France: wealthiest ask government for special tax on the super-rich
This is a temporary tax proposal to demonstrate solidarity in tough times. It reminds me of the solidarity tax Germans paid to deal with their reunification
Grantham: European and American policy makers are clueless
In America everyone has been bellyaching about the S&P ratings downgrade like its an affront to the greatness of America. This is absolute rubbish. It’s pure denial and economic nationalism. Do you think the Germans would threaten to default on their bonds for purely political reasons? The Swiss? Even the Belgians aren’t threatening to default for no reason and they don’t print their own money. I say S&P should have downgraded the U.S. even more – maybe to Ba for Banana Republic!