What you need to know before the open April 8, 2014 A lower open for European markets this morning, as they continue the sell-off seen yesterday. With first quarter earnings season beginning in the US, stocks have seen some sharp declines. Although some European companies have been affected, markets will remain safely above their recent range lows. Having said that, ongoing tension over Ukraine remains in [...]
How QE has harmed the economy April 7, 2014 LET ME begin with a confession. I admire former Fed chair Ben Bernanke for undertaking quantitative easing (QE) back in 2008. It was a brave decision, which involved taking a bold step across an unknown monetary horizon. It was also the right decision for the time, as it prevented the money supply from collapsing – [...]
What the other papers say this morning – 08 April 2014 April 7, 2014 FINANCIAL TIMES EU bank failures deal risks unravelling A landmark EU agreement on a common rulebook for handling bank failures is in danger of unravelling over the fine print restricting when a state can intervene to rescue a struggling bank. Britain is facing objections from several other member states as it scrambles to revise a [...]
How QE has harmed the economy April 7, 2014 LET ME begin with a confession. I admire former Fed chair Ben Bernanke for undertaking quantitative easing (QE) back in 2008. It was a brave decision, which involved taking a bold step across an unknown monetary horizon. It was also the right decision for the time, as it prevented the money supply from collapsing – [...]
What you need to know before the US open April 7, 2014 Last week was rounded off with a late selloff on US markets, following the latest, and disappointing, jobs report. Fed chair Janet Yellen has been trying to persuade investors that the central bank intends to keep interest rates low, taking into account a jobs market that’s “not back to normal health”. Be that as it may, [...]
What you need to know before the US open April 2, 2014 Yesterday, the S&P 500 closed at a record high of 1,885, but futures suggest a flat to slightly lower open for stocks today. There’s some noteable economic data for investors to take in, with factory orders for February later on. Private employers added 191,000 workers in March – marginally below the 195,000 forecast and suggesting [...]
How strong does a central bank staffer have to be? April 1, 2014 Ever considered a career in the arena of monetary policy? Those wanting to walk the halls of Threadneedle Street, particularly those tasked with working in the Bank's vaults, may be stronger than you'd expect. This afternoon, a tweet from the Bank of England's official account warned a potential visitor to the newly reopened central bank [...]
What you need to know before the US open April 1, 2014 Stocks across the globe have been given a boost after positive remarks by Janet Yellen yesterday on the Fed’s attitude towards a rate hike – soothing worries one would come earlier than expected. Futures point towards a positive open, as markets continue the moderate gains seen in the first quarter. Investors will also have the [...]
Yellen pledges easy money March 31, 2014 US MARKETS jumped yesterday after Federal Reserve chair Janet Yellen said the Fed will keep providing “extraordinary support for the recovery for some time to come”, pulling back from her previous remarks on hiking rates. Yellen’s dovish comments implied the Fed will keep supporting the economy for some time, as she admitted that there is still [...]
New York Report: First quarter gains for S&P and Nasdaq March 31, 2014 US STOCKS rose yesterday, with the S&P 500 ending both March and the first quarter of 2014 with moderate gains, after Federal Reserve chair Janet Yellen relieved concerns about a rate hike coming earlier than expected. This was the fifth straight quarterly rise for both the S&P 500 and the Nasdaq, though it was the [...]