Archive

Reuters blog archive

from Christopher Whalen:

Ben Bernanke: The ‘Repo Man’ goes global

Back in October, after the meeting of the Federal Open Market Committee, the Associated Press reported that “The Federal Reserve is likely to take additional action to rejuvenate the economy and lower unemployment, an influential member of the central bank's policymaking group said.”

Of course the Fed neither rejuvenates economies nor creates jobs.  For some reason members of the media attribute magical powers to the US central bank and its employees.

Part of the reason for this divine veneration is that there is little in the way of ideas or resources elsewhere in the federal government, thus the holy printing press is now well and truly the only game in town.

Since October the Fed has purchased hundreds of billions of dollars in US Treasury debt in an effort to force liquidity into private assets.  But while the U.S. central bank is able to float the Treasury’s red ink on a sea of new fiat paper dollars, overseas the great deflation has left global central banks largely emasculated.  Unable to create their own money with the ease of the Fed, even the largest central banks in Europe have gone begging for alms in the form of dollar swap lines from Chairman Bernanke.

from Tales from the Trail:

Washington Extra – People’s choice

The United States has decided -- it is up to Egyptians to decide.

CANADA/Anyone looking for a clear sign that the United States does or doesn't back its ally of 30 years, President Hosni Mubarak, won't find it in the official words out of Washington today.

Instead, Washington took the firm stance to perch on the tightrope -- call for Democratic reforms, stay away from public opinions about Mubarak.

from Tales from the Trail:

Washington Extra – Job prospects

The U.S. economy grew 2.9 percent in 2010, the biggest GDP gain since 2005, but still too weak to make a big dent in the unemployment rate which ended the year at 9.4 percent.

EGYPT/USAEgyptian protesters again took to the streets seeking to oust President Hosni Mubarak from the job he's held for 30 years.

from Tales from the Trail:

Obama misses walks, not leaving home without shaving

President Obama is staying neutral on the Super Bowl, dislikes the "bubble" of being president, and enjoyed (go figure) political science in college.

Those were some of the takeouts from the president's roughly 45-minute interview Thursday on the Internet site YouTube, which posed questions to him from viewers across the country.

from Tales from the Trail:

2012 possibility? The candidate speaks Mandarin

President Barack Obama was asked bluntly about the buzz that his Ambassador to China may turn into a Republican rival for the White House in 2012.

A Newsweek article about Ambassador Jon Huntsman has been seen by some as hinting at a potential run for the White House by the former Republican governor of  Utah.

from Tales from the Trail:

Guess who’s not coming to dinner with Hu

Usually politicians flock to a high-profile event like moths to a flame.

But we're learning that isn't quite the style of the new Speaker of the House.

OBAMA-CHINA/The White House is rolling out the red carpet for China's President Hu Jintao with one of the most formal of all events -- the State Dinner.

This will be only the third hosted by President Barack Obama during the two years of his presidency -- the previous ones were for the leaders of India and Mexico.

from Chrystia Freeland:

Why the Wall Street-Washington door revolves

As President Barack Obama’s new lieutenants settle into their offices in the White House, talk has turned again to the revolving door between Washington and Wall Street: William Daley, the president’s chief of staff, arrives from JPMorgan Chase, where he earned millions; Gene Sperling, the new top economic adviser, collected $887,727 from Goldman Sachs for advice on a charity project on a recent hiatus from government.

There’s nothing new about this tradition – indeed there was a time not so long ago when it seemed as if actually running Goldman Sachs was a prerequisite for serving as Secretary of the Treasury. But the triple whammy of the financial crisis, the trillion-dollar government bailout and the return of lavish bonuses to many on Wall Street while unemployment in the United States is stuck above 9 percent has cast the intimacy between political and business elites in a new, often more jaundiced light.

from Tales from the Trail:

White House commission wades into “Deep Water”

OILSPILL-BP/COMMISSIONThe great thing about presidential commissions is that they can soberly consider complicated matters and then offer unvarnished reports on what to do. The tough part is when that information rockets around Washington, as occurred after a White House commission issued its final report on the BP disaster in the Gulf of Mexico.

The "Deep Water" report, apparently titled in reference to the doomed BP Deepwater Horizon rig, blames the deadly blowout and oil spill on government and industry complacency, and recommends more regulation of offshore drilling and a new independent safety agency. But as my colleague Ayesha Rascoe reports, the commission lacks the authority to establish drilling policies or punish companies.

from Tales from the Trail:

Washington Extra – It’s genetic

Forget about the branch. President Barack Obama offered the whole olive tree to the business community today with the appointment of JP Morgan Chase executive William Daley as White House Chief of Staff.

OBAMA/STAFF-DALEYDaley also knows something about politics. He comes from Chicago where politics has a history of being played bare-knuckled style. Oh, and his brother is the Daley who is stepping down as Chicago mayor, which opened the way for Rahm Emanuel, Obama's former White House chief of staff (whom Daley is replacing), to run for that office.

from Tales from the Trail:

Washington Extra – hello goodbye

She says goodbye and he says hello.

The House Speaker's (HUGE) gavel changed hands today, symbolizing the transfer of power to Republicans. Outgoing speaker Nancy Pelosi, attacked by Republicans as a symbol of Democratic excesses, took the high road as she repeatedly congratulated new House Speaker John Boehner and his Republican majority.

Boehner started off with some levity and humility -- "It's still just me." And he didn't disappoint those watching for his now trademark show of emotion when he dabbed his eyes with a white handkerchief while standing behind Pelosi before the handover. Reuters photojournalist Kevin Lamarque captured the moment, you can see it on our politics blog at http://blogs.reuters.com/frontrow/ OBAMA/STAFF-GIBBS

  •