Previously on MoreLiver’s:
EUROPE
“Herman’s Egg”, Iceland’s strategic relevance, and reflections on
Europe Day.
The latest IMF Fiscal
Monitor, published last month, comes about as close to declaring Spain insolvent as you are ever likely to see in
official analysis of this sort.
(or why German growth
alone cannot save the eurozone periphery)
'Can't Call That Savings': German Central Bank
Head Blasts France – Spiegel
German central bank
head Jens Weidmann has strongly criticized French efforts to reduce its budget
deficit, just days after the European Union granted Paris more time to meet EU
requirements. He warns that French delays could damage the credibility of
euro-zone rules.
Netherlands: 2013 Article IV Consultation --
Public Information Notice – IMF
Netherlands: 2013 Article IV Consultation – IMF
Charlemagne: Enter Herr Präsident Schulz – The
Economist
The head of the
European Parliament wants the top job in Brussels
Toothless truth
tellers: Chancellor likely to ignore IMF’s advice
UNITED STATES
When Will The Divergence Between PCE and CPI
Matter? – Tim
Duy’s Fed Watch
I suspect that at this
point the Fed tends to think the costs of additional action still outweigh the
benefits, and thus below-target inflation only induces pressure to maintain the
current pace of QE longer than they currently anticipate rather than increase
the pace of purchases.
Stability through instability – Free
exchange / The Economist
This spring, the
economics commentariat is discussing the relationship between monetary policy
and financial stability. The concern that loose monetary policy might lead to
financial excess is not a new one
*No Lehman Moments as Biggest Banks Deemed Too
Big to Fail – BB
“Because of this reform, the American people
will never again be asked to foot the bill for Wall Street’s mistakes,” Obama
said on July 15, 2010.
“There will be no more taxpayer-funded bailouts -- period.” Investors, it turns
out, don’t believe that,
The Multiplier in Action – Econbrowser
MARKETS
Bernanke, Blower of Bubbles? – Krugman
/ NYT
All in all, the case
for significant bubbles in stocks or, especially, bonds is weak. And that
conclusion matters for policy as well as investment.
Weekend Sentiment Summary – The
Short Side of the Long
Guidance Spread Negative But Inching Higher – Bespoke
Updated Q1 Earnings Season EPS and Revenue Beat
Rates – Bespoke
FED
Monitoring the Financial System - Ben Bernanke – FED
Bernanke Warns of Continued Financial
Vulnerabilities – WSJ
Bernanke: "Monitoring the Financial
System" – Calculated
Risk
Bernanke warns on excessive risk – FT
The Unapologetic Regulator – CFR
Economists: Fed Will Taper Bond Purchases This
Year – WSJ
The Hilsenrath "Tapering" Article Is
Out – ZH
Previewing The Market's "Taper"
Tantrum – ZH
Fed Maps Exit From Stimulus – WSJ
Timing of Wind-Down Is
Uncertain, but Focus Is on Managing Unpredictable Market Expectations
ASIA
Investment and consumption – mpettis
Credit Shock Dead Ahead – ZH
China money formation soars
to 2-year high as delinquent loans surge by 29%
China Poised For Surprise Rebound – Asia
Confidential
Abundant liquidity to
kick in * Other reasons for short-term uptick * Still a troubling long-term
picture * Investment implications
Japan and the curious incident of the dog in
the night-time – alphaville
/ FT
UBS’s Donovan’s point
is that Y100 and above might not have the effect everyone hopes it will on
Japanese exports, and through them, the economy.
OTHER
Balancing the Technocrats – Project
Syndicate
Electoral cycles are
such that monetary policy, banking, and many other areas must be regulated by
those with professional competence and a much longer time horizon than that of
politicians. But, if technocrats are allowed to determine long-term policy and
set objectives, democracy itself is in serious jeopardy.
Buttonwood: Age shall weary them – The
Economist
http://www.economist.com/news/finance-and-economics/21577414-productivity-challenge-rich-worlds-demography-age-shall-weary-them
Canada’s new central-bank governor – The
Economist
The world economy: Shaken, not stirred – The
Economist
Securities lending: Spring break – The
Economist
Economics: Horror story – The
Economist
Regulation: The bite is worse than the bark – The
Economist
A pro-growth economic plan – voxeu.org
The world economy
seems to be acting in unexpected ways. This column argues that austerity and
quantitative easing do not seem to be working out as advertised. There is an
urgent need to review the effectiveness of alternative macroeconomic policy
approaches, and prepare an internationally agreed pro-growth plan to reflate
distressed economies. The outlines of one such plan are presented.
Why Sovereigns Default on Local Currency Debt – PragCap
I’ve had a number of
emails and comments this morning on this report from Fitch titled “The money
printing myth – why sovereigns default on local currency debt”. So here’s my view on their paper.
http://pragcap.com/why-sovereigns-default-on-local-currency-debt
Reasons for the latest US dollar rally – Sober
Look
Sheedy on NGDP targeting and debt contracts – Mainly
Macro
Weekend Reads for Financial Advisors – CFA
Institute
Emotional Finance and
Chaos Theory
What has"econophysics" achieved? – The
Physics of Finance
G-7
G-7 Focus on Bank-Rule Overhaul to Reduce
Stability Risks – BB
Moving toward
revamping banking rules and ensuring that any lender on the brink of failure
can be shut down without threatening financial stability.
Agreed on Saturday to
redouble efforts to deal with failing banks and gave a green light to Japan's drive to galvanize its economy.
G-7 Vows to Avoid Currency Manipulation – WSJ
Japan is pushing the boundaries of international agreements to avoid
competitve currency devaluations, the US Treasury Secretary has warned, as the
International Monetary Fund said unprecedented monetary easing could lead to a
"serious boom and bust".
BLOOMBERG
Bloomberg CEO says client data access for
reporters a mistake – Reuters
After reports that
users of the company's financial terminals were investigating potential leaks
of confidential information, Bloomberg LP CEO Daniel Doctoroff said that the
company had made a "mistake" by giving journalists access to data on
clients' terminal usage.
How to snoop on your customers,
the Bloomberg way – alphaville
/ FT
Privacy Breach on Bloomberg’s Data Terminals – DealBook
/ NYT
Bloomberg News confirmed
that reporters for its news service used the the company’s terminals to monitor
subscribers’ usage.
OFF-TOPIC
What does nearly every genius have in common
when it comes to work habits?
– Bakadesuyo
Carbon dioxide passes symbolic mark – BBC
Science fiction novels for
economists – Noahpinion
The Life of Richard Feynman – Farnam
Street