Barack Obama should make Donald Kohn the next Fed chief September 16, 2013 IT WAS pretty sickening, to say the least, to see so many investors cheer the prospect of even easier US monetary policy yesterday. The news that Larry Summers was pulling out of the race to be the next Fed chairman led to a boomlet across a slew of asset classes, bolstering emerging markets in particular. [...]
Summers’ exit from Fed race helps stimulus-happy markets September 16, 2013 US MARKETS jumped yesterday on the hope of more easy money as Larry Summers dropped out of the race to become Federal Reserve governor. His exit leaves deputy chairman Janet Yellen as the bookies’ favourite for the role – a candidate investors see as more dovish, and so more likely to print money to support [...]
Bottom Line: A good deal for all but still far too much in state hands September 16, 2013 DID LARRY Summers and Vladimir Putin conspire to save the Lloyds reprivatisation? This unlikely pair have blown away the macro clouds that just ten days ago were threatening a delay. With neither Syrian escalation nor market turmoil from a tapering Fed looking so alarming, UKFI has seized the day. It was only a matter of [...]
Positive territory for US industry ahead of Fed decision on taper September 16, 2013 INDUSTRIAL production and a survey of factories announced yesterday saw some improvement in the US economy ahead of tomorrow’s decision on whether to trim the Fed’s QE programme. The New York Fed’s Empire State manufacturing index came in at 6.29, signalling slightly slower growth in September than in August. And industrial production across the US [...]
London Report: Summers’ exit from Fed race boosts the FTSE September 16, 2013 BRITAIN’S top share index hit a six-week high yesterday as Lawrence Summers quit the race to head the US Federal Reserve, boosting prospects of a more measured scale-back in economic stimulus measures. The blue-chip FTSE 100 index ended up by 0.6 per cent, or 39.06 points, at 6,622.86 points, marking its highest close since ending [...]
We should replace Fed monetary superheroes with rules-based policy September 16, 2013 LARRY Summers is out of the race to succeed Ben Bernanke as Fed chair. After months of debate, with politicians and media picking over Summers’s personality and background, the spotlight has returned to Janet Yellen, deputy Fed chairwoman. Is she now a certainty? Or is another monetary superhero about to emerge? All of this recalls [...]
Summers exit trumps fears of taper September 16, 2013 But uncertainty surrounding the nomination of the new Fed chair will mean volatility for stocks in the future LARRY Summers, former US Treasury secretary, is out of the race to replace Ben Bernanke as Fed chair. In reaction to the news, the MSCI All-Country World Index rose yesterday by 1.1 per cent to its highest [...]
Daily FX: Analyst picks September 16, 2013 CURRENCY STRATEGIST CHRIS VECCHIO My pick: Long Kiwi-dollar, long Kiwi-yen, looking to exit long dollar-yen Expertise: Fundamental and technical analysis Average time frame of trades: A few hours to a few weeks Dollar-yen has chopped sideways and opened the week lower on news that Larry Summers would not become the next Fed chairman. Weakness related [...]
Donald still in cup contention September 16, 2013 FORMER world No1 Luke Donald scraped into the last FedEx Cup event, after carding a final round 66 at the BMW Championship yesterday to finish tied fourth. Only the overall top 30 players will tee off in the TOUR Championship on Thursday and Donald’s 11 under par score for the week moved him from 54th [...]
Markets seeing a Larry rally as Summers announces he won’t contend Fed job September 16, 2013 An announcement by Larry Summers that he won't be contesting the role of Federal Reserve chairman has sent the dollar down and US stock futures up. Markets are now expecting a more dovish chairman (although Summers is by no means a hawk), and the favourite is Janet Yellen. Kit Juckes, Societe Generale: Five (long) years [...]