Mixed signals this week leave Bernanke still needing to earn his pay.
Category Archives: inflation
And they all lived happily ever after
Can high-flying stocks be reconciled with an inverted yield curve? David Rosenberg of Merrill Lynch, via Felix Salmon and Business Week thinks “it is highly doubtful that both asset classes can be getting the story right.” But here’s one scenario under which both markets in fact might be telling the same story.
Amaranth hedge fund losses
How in the world did hedge fund Amaranth Advisors manage to lose $6 billion in September on natural gas trading?
Inflation expectations
So where’s the surge in inflation expectations, now that the Fed has stopped tightening?
Good and not-so-good reasons to disagree with Bernanke
Some of the reasons people have given for why the Fed should keep raising interest rates make sense to me, and some don’t.
Econbrowser (and hopefully Bernanke) gets it right
As we predicted here last Friday the Federal Reserve announced today its decision to hold the fed funds rate constant at 5.25%.
Bernanke’s latest testimony
A more optimistic assessment from the Fed chair than I had been expecting.
The Fed speaks and markets listen
Tim Iacono at The Mess That Greenspan Made had some interesting graphs this week.
Inflation and the Fed
Certainly the recent inflation data have been– Dave Altig says
insert something negative here, so I’ll just say “unwelcome”. But when Fed Chair Ben Bernanke declared that’s exactly the way he sees it, too, markets stood up and took notice. Let’s review some of the dramatic market adjustments that have occurred since Bernanke’s June 5 remarks.
Hawk or dove?
The pundits continue to be frustrated in their efforts to pigeonhole the Federal Reserve Chair.