Uncategorized Archive

Bloomberg: Calpers to Increase Commodity Assets to as Much as $7.2 Billion

And 3% of assets is on the low side. I think most were targeting 4% allocations, and now I’m hearing some are moving north of 10%, which should keep the commodities going for quite a while. Calpers to Increase Commodity Assets to as Much as $7.2 Bil by Saijel Kishan (Bloomberg) The ...Read More

Bank of France says Fed overreacted to market decline

Interesting they would take a shot like that at the Fed. Probably concerned about Euro strength and the US gaining export share. Bank of France Says Fed Overreacted to Market Decline By Francois de Beaupuy (Bloomberg) The Bank of France said the U.S. Federal Reserve may have cut interest rates too much ...Read More

2008-02-14 JN Highlights

News Headlines: Japan Economy Grows 3.7%, Twice as Fast as Expected Oct-Dec GDP Grows Annual 3.7% On Brisk Domestic, External Demand Consumer Sentiment Fell For 4th Straight Month In Jan Dec Revised Industrial Output Rises 1.4% MOF Tsuda: GDP Confirms Recovery Despite Some Weakness GDP COMMENT: Consumer Confidence Key To Future Growth ...Read More

Es el momento de comprar acciones en Wall Street

I don’t speak sufficient spanish to know how this reads. Comments welcome! WARREN MOSLER, UN ECONOMISTA SINGULAR “Es el momento de comprar acciones en Wall Street” Mosler es a la vez un típico financista que administra fondos de inversión y un pensador poskeynesiano que fabrica autos deportivos. En la peor semana de ...Read More

Caterpillar report – what export economies look like

Caterpillar Sees ‘Definite Threat’ of US Recession (CNBC)Caterpillar’s fourth-quarter earnings rose more than 10 percent, helped by strong sales to mining, energy and construction customers outside the United States, but the company warned it sees a recession as a “definite threat” to the U.S. economy. The Peoria, Ill. company, which is often ...Read More

Falling default credit crisis

The jobless recovery morphed into the full employment recession characterized by falling credit defaults: Global loan defaults down in 2007 but expected to rise in 2008 (Thomson Financial) Twenty issuers defaulted on 2.9 bln usd in syndicated bank loans in 2007, down from 32 issuers and 6.3 bln usd in loans in ...Read More

THE ECB HAS A SINGLE MANDATE, INFLATION, WITH NO INCENTIVE TO DEVIATE

Not to mention my bent is inflation and growth are, at best, very weak functions of interest rates, and they work mostly through the cost side, but that’s another story – see ‘MANDATORY READINGS‘. ECB’s Weber Says Interest Rates ‘Accommodative’, Dismisses Cut Bets by John Fraher and Andreas Scholz (Bloomberg) European Central ...Read More

Mortgage applications soar

Home loan demand surges to near four-year high By Julie Haviv (Reuters) U.S. mortgage applications surged last week, with demand hitting its highest in nearly four years as interest rates plunged, an industry group said on Wednesday. The Mortgage Bankers Association said its seasonally adjusted index of mortgage applications, which includes both ...Read More

Indexing French wages

A bit of structural inflation being introduced: Sarkozy Plans to Index Civil Servants’ Salaries to Inflation by Helene Fouquet and Francois de Beaupuy (Bloomberg) French President Nicolas Sarkozy said he’d index civil servants’ salaries to inflation and make good on unpaid overtime hours to improve their purchasing power. “It’s a fact that ...Read More

Countrywide fundings up

Another sign of a possible October/November bottom: Countrywide fundings inch higher CALABASAS, Calif. (AP) – Countrywide Financial Corp., the nation’s largest mortgage lender, said Wednesday its December loan fundings rose 1 percent from November and were ahead of internal forecasts. The stock, which lost nearly a third of its value on Tuesday ...Read More