Commentaries

from Rolfe Winkler:

Defining the “extended period”

November 13, 2009

Another tidbit from Rosenberg, who offers guidance on what the Fed means when it says it will keep rates low for an "extended period"...

Automatic debt-to-equity swap?

October 8, 2009

That’s what Fed Governor Daniel Tarullo seems to be advocating in his speech, which you can find here.

from Rolfe Winkler:

Fed: Stop the presses

August 7, 2009

On Thursday, the Bank of England said that it would run its printing press a bit faster while the European Central Bank hinted that theirs might slow down sooner than expected.

Goldman’s trading secret

July 22, 2009

LONDON, July 22 (Reuters) – Goldman Sachs last week reported record net revenues from trading and principal investments ($10.8 billion) during the three months ending June, with the major contribution coming from the fixed income, currencies and commodities segment ($6.8 billion).

Fed’s TALF not stimulating much of anything in CMBS

July 16, 2009

The numbers are out and they’re not looking too good for the commercial real estate market. Investors only applied for $669 million of loans using old, or legacy, CMBS, as collateral, Reuters is reporting. No one requested loans from the New York Fed using new CMBS, but that’s hardly a surprise since the market has been frozen since last year.

Is the ECB too cautious or too reckless?

By Paul Taylor
June 30, 2009

The European Central Bank has long been criticised for being too cautious in its response to the financial crisis. Didn’t the inflation hawks of Frankfurt raise rates in July last year just as the credit crunch was about to reach its climax? Despite their massive injections of liquidity into the money markets, Jean-Claude Trichet and his colleagues were pilloried as timorous clones of the Bundesbank for cutting rates too slowly and refusing to follow the Fed and the Bank of England into Quantitative Easing by buying government and corporate debt.

Just in case you were wondering, no exit yet

June 25, 2009

Earlier today the Fed announced that it would extend a number of programs slated to expire this year until February 1, 2010, making it clear for any of the doubters out there that the Fed is not ready to pull the plug on its patchwork of support for financial markets.  It probably would have made a bigger exclamation point if the Fed Board had made the announcement yesterday when the FOMC stood pat on its policy, but no matter.

ECB outshines the Fed with its record funding

June 24, 2009

Though the Federal Reserve continues to capture the undivided attention of global markets, the real fireworks Wednesday were found across the Atlantic.

First exit for the Fed

June 23, 2009

Call it a battle for beginnings and endings, and the Federal Reserve is smack in the middle.

Who is the Fed accountable to?

June 15, 2009

It’s pretty clear the Federal Reserve is going to emerge as the big winner in the Obama administration’s proposed overhaul of the financial regulatory system. But any grant of new powers to the Fed must come with legislation requiring greater accountabilty from the nation’s central banker.