News
WSJ | Inflation Surges in South Korea
South Korea's February consumer prices topped forecasts to rise at their fastest clip in more than two years, prompting the government to convene another price-stability meeting and raising pressure on the Bank of Korea to increase its policy interest rate next week.
WSJ | Fed Chief Discusses Exit From Stimulus
Federal Reserve Chairman Ben Bernanke, after spending much of the past six months formulating and then defending a new central-bank effort to stimulate the economy, is turning his eyes toward an eventual exit from the program.
Bloomberg | Gross Says U.S. Yields Too Low as Fed Approaches End of QE2
Bill Gross, who runs the world’s biggest bond fund at Pacific Investment Management Co., said yields on Treasuries may be too low to sustain demand for U.S. government debt as the Federal Reserve approaches the end of its second round of quantitative easing.
Bloomberg | Bernanke Signals No Rush to Tighten Credit When Fed Stops Bond Purchases
Federal Reserve Chairman Ben S. Bernanke signaled he’s in no rush to tighten credit after the Fed finishes an expansion of record monetary stimulus, seeing little inflation risk and still-slow job growth.
Econ Comments
Minyanvile | Fed Digging Its Heel: Employment and Inflation
This Friday, good news on employment could be bad news for asset prices.
CNN Money | Gross warns QE2's end could sink markets
Bill Gross says stocks and bonds could be in for a world of hurt this summer.
WSJ | Why the Dollar's Reign Is Near an End
For decades the dollar has served as the world's main reserve currency, but, argues Barry Eichengreen, it will soon have to share that role. Here's why—and what it will mean for international markets and companies.
Fox Business | Fed's Hoenig: Fed Should Prepare Markets for Higher Rates
"I really want to take away the punch bowl before the room gets drunk because I think this punch bowl is a little bit spiked," Hoenig, who has repeatedly voiced dissent against the Fed's ultra-low monetary policy, said in an event organized by the Council of Foreign Relations
Bloomberg Inflation Above 9% Shows Bankers No Longer Gods: William Pesek
Several asset bubbles and one global crisis later, we know better. The ongoing surges in prices of commodities such as food are fanning Asian inflation and they require bold action. Higher rates will only do so much. It’s time for politicians to do their part to reduce fiscal-stimulus excesses.
