News
WSJ | ECB to Reassess Inflation Threat
It is a "close call" whether the European Central Bank will pull back on its warning against inflation, a top official said in an interview, suggesting sharply weaker economic growth and falling oil prices are spurring the bank to rethink its view of the greatest risks to the economy.
Bloomberg | Surging Yuan May Signal Boost for Recovery
The currency climbed 0.8 percent this week, more than any weekly increase since December 2007, breaking through 6.4 per dollar for the first time in 17 years. Today’s closing price in Shanghai was 6.3895. Yuan forwards had the biggest weekly gain since February 2009.
RCM | The Aura Of the Fed Is Gone, Good Riddance
In the wider financial discussion of where we are and where we are going, I think it is safe to say that we are at the end of an era. Not just in one specific aspect, but across a broad spectrum of how we see the world and how we attempt to operate within it.
Econ Comments
Financial Times | First of all do no harm, then start thinking
It goes without saying that central banks in western countries should not raise short-term interest rates any further and if possible quietly rein them back towards near-zero. But the US Federal Reserve’s semi-undertaking to hold rates until the middle of 2013 seems a pretty cack-handed way of doing this.
Fiscal Times | Word on the Street: QE3 Is Coming!
The buzz on Wall Street suggests that the Fed is about to embark on another round.
Cato Institute | The Fed Surprises
Instead, the Fed issued a press release in the aftermath of the meeting that caught even its closest watchers off-guard, and is indicative of the state of turmoil in the U.S. economy and financial markets.
