Brazil Archive

More on latest Fed swap lines

[Skip to the end] The Fed is able to unilaterally lend (functionally unsecured) $30 million each to Mexico and Brazil?!?! There are far more sensible ways to restore prosperity. Last figures I saw indicate $522 billion in these loans that have been advanced so far. It’s looking more and more to me ...Read More

More USD swap lines

[Skip to the end] The problem is the Fed doesn’t see the risks involved in this program. They are only seeing ‘success’ as USD interest rates fall for lesser credits around the world. The question is why they would want USD rates to come down for lower quality borrowers? This policy does ...Read More

Re: Russia/OPEC

[Skip to the end] (email exchange) Thanks! it’s all about price setting, as previously suspected. Warren >    >   On Thu, Oct 23, 2008 at 10:09 AM, Scott wrote: >    >   Moving on, we note that Russia and OPEC held high level talks >   yesterday in Moscow as President Dmitry Medvedev met with OPEC’s >   Secretary-General, Abdallah ...Read More

OPEC to cut output

[Skip to the end] Saudis still price setters, this is just a smoke screen to disguise that. The great Mike Master’s sell off that also triggered the last leg of the financial crisis must have run it’s course in the crude markets. Price hikes may return, this time with no excess inventory ...Read More

EU leaders to agree to relax stability rules

[Skip to the end] This will only move them closer to brink of investors refusing to buy their debt. EU leaders agree to relax Stability Pact rules (Roundup) by Siegfried Mortkowitz Paris – To help prop up their banking systems, European leaders meeting Saturday in Paris agreed to loosen the requirements of ...Read More

MoneyBlog: Saudis cut production?

[Skip to the end] The Saudis will ‘meet demand’ but at their price. So the question remains as to what their price is. With their production (to meet demand) nearing their max capacity, seems they want higher prices to try to cool demand so as not to lose control of price on ...Read More

AFP: Burning up more food for fuel

[Skip to the end] The monetary system will burn up the world’s food supply for fuel until the marginal individual about to starve to death has enough political influence to stop the process. I’m pretty sure that’s not the millionth one to die of starvation. And probably not the ten millionth. As ...Read More

Competing for fuel

[Skip to the end] Here’s what I see happening at the macro level: The US, for all practical purposes, was able to successfully compete for the world’s fuel supply such that nearly everyone in the US could afford to drive. Now other populations/regions of the world where almost no one could afford ...Read More

Bloomberg: Exports booming

(Yes, I know, just anecdotal.) Honeywell Wins $23 Billion Jet Award, Its Biggest, From Embraer by Courtney Dentch (Bloomberg) Honeywell International Inc. won its biggest business jet engine order, beating two rivals for a $23 billion contract from Empresa Brasileira de Aeronautica SA. Honeywell will build engines for two new Embraer planes ...Read More

Delta Farm Press: aggregate demand

Looks like inflation as measured keeps ripping.True, there isn’t a shortage of available crude. the issue is that at the margin the available crude is sold by a ‘swing producer’ /monopolist who can hike prices indefinitely until there is a supply response as in the 1980’s when OPEC production dropped by 15 ...Read More