The implications of the tradables sector, the dollar, and Fed policy.
Category Archives: Federal Reserve
Helicopter money
Despite aggressive actions by central banks, many of the world’s economies are still stagnating and facing new shocks, leading to renewed calls for helicopter money as a serious policy prescription for countries like Japan and the U.K.. And, if things go badly, maybe the United States?
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Markets post-Brexit
U.S. stock prices fell more than 5% in the two-day aftermath of the British vote to leave the European Union. But equities have since regained those losses and are back near all-time highs.
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Guest Contribution: “The Effects of Unconventional and Conventional U.S. Monetary Policy: The Role of Expected Inflation”
Today we are pleased to present a guest contribution by Yi Zhang, Ph.D. candidate at the University of Wisconsin-Madison. This post draws upon this paper.
More on Uncertainty in Open Economy Macro
In my last post, I noted a conference on uncertainty in macroeconomics. Here are two papers of particular interest to me.
“Spillovers of Conventional and Unconventional Monetary Policy”
That was a title of a conference last summer held by the Swiss National Bank, and noted in this post. Mark A. Wynne and Julieta Yung discuss the conference proceedings.
Expectations of inflation
The FOMC and professional forecasters expect the Fed eventually to achieve its 2% inflation target. The market seems more skeptical.
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Fed Tightening: Reasons to Go Slow from the GDP Release
The 2016Q1 advance release, discussed at length by Jim, provides additional evidence in favor extreme caution in tightening monetary policy — maybe even a reconsideration of the June rate hike that seems, according to conventional wisdom, a done deal.
The Financial Regulatory Policies of Senator Sanders…Again
The ironies abound
Recent moves in oil prices
Today I discuss the factors that brought oil prices so far down and more recently back up.
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