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News from around the web: 2009-07-23

Bernanke Says Add Consumer Protection to Fed Mandate – Bloomberg.com You have to respect the chutzpah behind this. Audacious NAB raises $2b in oversubscribed placement Banks are getting capital everywhere. Buffett’s $91,000 shares are a steal Barrons thinks they could get 125K by next year No time to waste in […]

WSJ Video: The End of Wall Street – Part One

Here’s a credit-crisis video retrospective from the Wall Street Journal. It is chapter one of a three part series.  Notice the Wall Street meme that subprime borrowers caused the crisis which is patently false.  It’s all about dodgy credits and Fannie and Freddie? Total rubbish.  But, of course, if you […]

Germans must get their head out of sand on banks

Germany never participated in the upswing of the housing bubble. This fact has led German politicians of all stripes to mistakenly believe their banking system was somehow immune to the problems infecting bubble markets like the US or Spain.  Unfortunately, it has not worked out that way because the globalization […]

Roach: “Liquidity is seeking return”

  Here’s a nice clip from Stephen Roach from last week asking “where’s the demand?”  His thesis is pretty simple:  we have an inventory-induced upturn that might actually show positive GDP growth in the U.S. for Q3, what I have termed the mother of all inventory corrections.  But, that’s it.  […]

Obama and health care: Wasting political capital

President Barack Obama was elected last year in a sizable victory over his Republican competitor. Bolstering his position was the huge Democratic majority in both houses of Congress. Given these advantages, combined with intelligence and his natural talent as an orator, the President could pretty much chart his own course. […]

Links from around the web: 2009-07-22

S&P upgrades CMBS to AAA week after downgrading to BBB- – Rolfe Winkler Inexplicable. Digg Stops Hijacking Your Twitter Links, Not Sorry About It Agree 100% with this post. Very untrustworthy. Department store sales slip 11% | The Japan Times Online Ugly. ugly. ugly. Three Myths about the Consumer Financial […]

Is quantitative easing really inflationary?

On numerous occasions you will have heard me use the term ‘monetizing debt’ to describe what happens when the central bank creates money out of thin air in order to increase reserves in the banking system. The central bank is certainly increasing the monetary base in this regard, but are […]