Monthly Archives: June 2009

Earnings season coming

[Skip to the end] I am thinking earnings season should be pretty good this quarter. Fiscal policy has been more than supportive since year end, fiscal consolidation is currently still all talk. Negative shock risks are still there, however, California, … Continue reading

Posted in Government Spending | Tagged , |

Valance chart

[Skip to the end] Gasoline demand sort of flat year over year. And GDP growth still negative, though less so now. Doesn’t look like there was an serious ‘demand destruction?’ [top]

Posted in Comodities | Tagged , , |

FT.com / Europe – Exporters warn of German credit squeeze

[Skip to the end] Don’t think markets are ready for this: Exporters warn of German credit squeeze by Ralph Atkins June 26th (Bloomberg) — Germany’s powerful export industry is warning of a credit squeeze in Europe’s largest economy even after … Continue reading

Posted in Credit, Exports, Financial Times | Tagged |

Surging U.S. Savings Rate Reduces Dependence on China

[Skip to the end] This gets more ridiculous by the hour. The dependence on China already was zero. And, as in my previous post, the high savings rate of the non government sector comes dollar for dollar from the deficit … Continue reading

Posted in CBs, China, Deficit, Government Spending | Tagged , , |

JPMorgan, Citigroup Expand in ‘Jumbo’ Home Mortgages

[Skip to the end] Lending follows the markets. As the economy improves banks and other lenders figure it out and jump in. Also, today’s news on personal income is very bullish as well. It shows fiscal policy ‘works’ as it … Continue reading

Posted in Banking, Deficit, Government Spending, Housing | Tagged , |

U.S. Federal Reserve Extends Swap Line with Brazil Central Bank

[Skip to the end] Wonder if they’ve used it? In my humble opinion lending them $30 billion unsecured is a high risk proposition. U.S. Federal Reserve Extends Swap Line With Brazil Central Bank June 25 (Bloomberg) — Brazil’s central bank … Continue reading

Posted in BRIC, CBs | Tagged |

S&P SAYS JAPAN HAS ENOUGH FUNDS TO SERVICE RISING DEBT COSTS

[Skip to the end] Yes, infinite, in fact. Put that into your debt to income calculations… S&P SAYS JAPAN HAS ENOUGH FUNDS TO SERVICE RISING DEBT COSTS [top]

Posted in Deficit, Government Spending, Japan | Tagged |

China pushing domestic consumption

[Skip to the end] Looks like they are moving towards higher levels of domestic consumption to sustain output and employment. (must be reading my blog…) China’s Central Bank Pledges to Keep Money Flowing China to Start Trial Rural Pension System … Continue reading

Posted in CBs, China, Employment, GDP | Tagged |

King Says U.K. Recovery May Be ‘Long, Hard Slog’

[Skip to the end] So how about recommending a suspension VAT for a bit??? King Says U.K. Recovery May Be ‘Long, Hard Slog’ by Robert Schmidt June 24 (Bloomberg) — “There has to be a risk that it will be … Continue reading

Posted in CBs | Tagged , |

India Should Rely on Lower Rates to Stimulate Growth, OECD Says

[Skip to the end] India Should Rely on Lower Rates to Stimulate Growth, OECD Says by Kartik Goyal June 24 (Bloomberg) — India should cut interest rates rather than boost government spending if further measures are needed to stimulate growth, … Continue reading

Posted in Deficit, India, Interest Rates |