Little noticed at the time, October 2012 was quite the roller coaster. Most anyone cared about was QE3, the wonderful, awesome flood of liquidity kindly wise-man Chairman Bernanke had restarted for reasons that didn’t seem so important. Did it matter to the public that the repo market went haywire late in that very same month, at the very same time [...]
The payroll report for May was a shock because it came in as a plus when analysts, whomever they are, were expecting another huge minus. It seemed to set the tone for a realistic pathway being made out in the shape of the most perfect “V” ever written down. The mistake, such that there has been one, was interpreting the [...]
Back in the middle of 2018, this kind of thing was at least straight forward and intuitive. If there was any confusion, it wasn’t related to the mechanics, rather most people just couldn’t handle the possibility this was real. Jay Powell said inflation, rate hikes, and accelerating growth. Absolutely hawkish across-the-board.And yet, all the way back in the middle of [...]
Where central banks are concerned, it’s not conspiracy theory so much as the term “off-balance sheet.” There’s a reason Enron kicked off that mass-migration into the footnotes. For monetary officials, there’s the choice to be like Montagu Norman and what he thought of good practice at central banks. Silence.For years, the Chinese have tried it the other way. Big Mama [...]
When Argentina requested, and received, a ~$50 billion bailout from the IMF in mid-2018 it was a total shock (to those who follow only central bankers and Economists when it comes to anything, though especially relating to the global dollar system). The platitudes were issued alongside standby financing which lasted only a couple of months before the stricken country pleaded [...]
For awhile there, a few weeks anyway, the 30-year US Treasury long bond had become the star of the mainstream show. Showered with its 15 minutes of fame, everyone loved how, for once, it seemed to agree with Jay Powell and the preferred narrative about the effectiveness of his technocracy. The idiocy of this attention was exposed by just how [...]
I guess in some ways it’s a race against the clock. What the optimists are really saying is the equivalent of the old eighties neo-Keynesian notion of filling in the troughs. That’s what government spending and monetary “stimulus” intend to accomplish, to limit the downside in a bid to buy time. Time for what? The economy to heal on its [...]
The lack of issuance and supply over the last almost year or so, that’s what makes the TIC data so fascinating. And relevant, if for other reasons, too. CLO issuance, according to a bunch of sources, peaked back last June. Remember that whole “recession scare” with the yield curve last summer? It wasn’t just a scare, at least not in [...]
Apple: https://apple.co/3czMcWN Castro: https://bit.ly/30DMYza Google: https://bit.ly/3e2Z48M TuneIn: http://tun.in/pjT2Z Spotify: https://spoti.fi/3arP8mY Stitcher: https://bit.ly/2C1M1GB Overcast: https://bit.ly/2YyDsLa PocketCast: https://pca.st/encarkdt AlhambraTube: https://youtu.be/UTTjUGp-K-o Twitter: https://twitter.com/JeffSnider_AIP Twitter: https://twitter.com/EmilKalinowski Art: https://davidparkins.com/ [Emil's Summary] Econometrics? Sure. But are you familiar with the study of tasseomancy? Never given it any serious thought? Then how can you possibly understand the Chinese economy?Your podcaster shunned traditional university education and instead [...]
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