News
Bloomberg | Fed’s Bullard Says QE Cuts Could Be About $100 Billion
We are still feeding the fire at this moment, so I think we have to start thinking about turning this around in the near future. If the economy is as strong as I think and hope it will be in 2011, I think it will be time for us to start to reverse our ultra-aggressive and ultra-easy monetary policy.
NYT | Food Inflation Kept Hidden in Tinier Bags
As an expected increase in the cost of raw materials looms for late summer, consumers are beginning to encounter shrinking food packages.
Bloomberg | Dying Banks Kept Alive Show Secrets Fed's Data Will Reveal for First Time
U.S. regulators closed Chicago- based Park National Bank in October 2009 when it owed $345 million to one of the lowest-cost lenders in town: the Federal Reserve’s discount window. Park National had been a constant customer at the window for more than 18 months before it failed, records show.
WSJ | Australian Dollar Thriving On Chaos
Less than three months ago, investors were wrestling with the implications of Australia's own economic shock in the form of the devastating Queensland floods. And, this month, the disaster in Japan was followed by a rush among Japanese individual investors out of the Australian dollar and back into the yen.
Bloomberg | European Bank Funding Threatened as Basel III Rules Clash With Solvency II
European banks are being forced to sell more long-term bonds as regulators seek to prevent another financial crisis. European insurers say their own regulator will stop them from buying such debt.
WSJ | Inflation Picks Up Across OECD
The pickup in inflation rates to their highest levels since the intensification of the financial crisis in the wake of Lehman Brothers' collapse is likely to lead to a round of interest-rate rises at a time when growth remains fragile in many parts of the developed world.
Fox News | Auditor: Financial overhaul law cost $1B per year
Government Accountability Office figures, obtained Monday by The Associated Press, show that it will cost 11 agencies an estimated $974 million to hire employees and for other costs carrying out the new statute.
Econ Comments
Minyanville | Gold's Average Price Is Second-Most Overvalued Since 1791
The inflation-adjusted price of gold is a valuation technique that remains one of the more brilliant carnival-barker efforts in the annals of Wall Street. Here's why.
Reports
Daily Capitalist | The End of Sound Money and the Triumph of Crony Capitalism
“In the present era of massive quantitative easing, newly issued Treasury securities amount to non-interest-bearing currency without the circulation privilege.”
