News
Market Watch | Dollar wavers against the euro
The dollar gave up small gains against the euro Monday, following back-and-forth action in the U.S. stock market as traders worked through reports that European officials are weighing a broad plan to ensure a default by Greece wouldn’t spread contagion to the euro zone’s banking system or to other sovereigns.
CNN: Money | How transparent should the Federal Reserve be?
"Potent" and "appropriate" were the words two Federal Reserve officials separately but simultaneously used to describe the central bank's tools to boost the economy Monday. But they differed on which of those tools are effective and which could be detrimental.
Econ Comments
Forbes | The Federal Reserve Produces A Black Swan
The Fed has made a horrible mistake. Its new policy has hit the economy with a deflationary shock that puts the U.S. recovery at risk and undermines Europe’s efforts to stem its own debt crisis.
Bloomberg | Fed Officials Express Doubt About Faster Inflation as Tool to Boost Growth
Fed Governor Sarah Bloom Raskin said the central bank’s use of tools has been “completely appropriate” and that she would be “quite leery” of allowing higher inflation or price expectations in an attempt to lower real interest rates. St. Louis Fed President James Bullard said faster inflation won’t reduce the housing glut. He also said “monetary policy is ultra-loose right now, and appropriately so.”
