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Tuesday, May 24, 2011

Monetary

News                                                                                                                             
Bloomberg | Treasuries Decline Before $35 Billion Two-Year Auction; U.S. Equities Gain
Treasuries fell before the U.S. government sells $35 billion in two-year securities in the first of three note offerings this week totaling $99 billion.
Market Watch | Euro falls to lowest since March on debt fears
The dollar gained against the euro on Monday, pushing the European unit to a March low, after Standard & Poor’s cut its outlook on Italy and weekend elections in Spain heightened worries European governments were sinking under too much debt.

Econ Comments                                                                                                             
WSJ | The Return of Stagflation
We enter the summer of 2011 facing an ugly combination of inflation and high unemployment. Blame the Federal Reserve.
Minyanville | Why Bernanke Will Be Forced to Institute QE3
Here, the two factors that suggest it's likely we'll see more quantitative easing.