Japan’s Prime Minister Shinzo Abe declared last week that Japan is no longer suffering from deflation the day after his own government statistics showed that Japanese prices declined for the first time since QQE began. That is actually great news for the Japanese people, though Abe and Kuroda at the Bank of Japan continually pledge to end the relief. Abe’s [...]
Michal Kalecki was a Polish economist whose work in the 1930’s earned him (for what it may be worth) the distinction of being Keynes before Keynes. In other words, because Kalecki was publishing papers and giving lectures in Polish rather than English, his arrival at the same conclusions and outlooks before Keynes in the UK was largely unnoticed. He was [...]
Has the much-anticipated correction finally arrived? After trading within a range of 150 or so points during 2015, the S&P 500 Index (IVV) fell off a cliff in late summer, decisively breaking the 50-week moving average but holding support at the 1900 level. The S&P 500 is now down 4.79% year-to-date. The EMU Index ((EZU)), or the European Economic and [...]
If the consequences for the economy were less important one couldn't help but be amused by the predicament in which Janet Yellen finds herself today. She and her fellow Fed travelers have been "preparing" the market for a rate hike for nearly a year and now it is that very preparation that has kept them from hiking rates as planned. [...]
Top News Headlines House Speaker Boehner resigns Pope visits the US, speaks to Congress VW cheated on emissions tests, CEO resigns Chinese President Xi visits US. Fires trip planner as Pope steals the spotlight Economic News Existing home sales dip, new home sales rise Manufacturing data continues weak; Richmond and KC Fed surveys negative, durable goods disappoint Chicago Fed National [...]
Here is a table of recommendations for regional equity allocation from our research partner. Click here to sign up for our free weekly e-newsletter. For information on Alhambra Investment Partners' money management services and global portfolio approach, Douglas R. Terry, CFA is reachable at: dterry@4kb.d43.myftpupload.com This material has been distributed for informational purposes only. It is the opinion of the [...]
I think it worth noting one more reason Yellen was out front yesterday. Not only is liquidity suffering still globally but that is having an immensely negative effect on asset prices, especially at the bubble points. The S&P/LSTA Leveraged Loan 100 had not been updated since last Friday, which suggested (to me) continued pricing difficulties in leveraged loans. The combination [...]
Janet Yellen wasn’t the only central banker boxed in by recent “dollar” strife. The Brazilian central bank sparked a counter rally in the real after it had crashed to an all-time low. After absorbing a relentless and devastating devaluation, Banco do Brasil had run itself out of further options. They had already claimed that raising the benchmark SELIC rate to [...]
Monthly Chart Review 9-25-2015
Economic Reports Scorecard – 9/14/15 to 9/25/15 If you want a good explanation for why the Fed didn't hike interest rates last week, just take a look at all the red in that chart. They might have cited international concerns but the reality is that the US economic data isn't all that robust either. Okay, things aren't as bad as [...]
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