Archive for the 'Federal Reserve' Category
Fed be nimble, Fed be quick, Fed deploys another monetary fix
The compelling question following the Fed’s action, in conjunction with the world’s other, major central banks, is whether it will work. Will it be adequate to get the U.S. economy moving again?
And as is so often the case in economics, the reply depends on three unknown factors, a pair of econom…
The Fed: The true lender of final resort
The Federal Reserve announced that dawn several measures to deal with the current liquidity crisis on Wall Street. It is creating a new Term Securities Lending Facility (TSFL) that will lend Treasury securities for 28 days as opposed to overnight under the current program. The key element of tha…
ECB’s Trichet says he’s ‘concerned’ about euro’s rise
European Central Bank President Jean-Claude Trichet said he’s “concerned” about the euro’s appreciation - - his most direct comments since the euro’s rise to record levels above $1.50 versus the dollar, Bloomberg News reported Monday.
The euro rose about one-half cent to $1.5407 versus the dollar…
Safe Money seeks safety in Treasuries
“Derivatives - the ‘global Vesuvius of debts and bets’ that we have been warning about since 2006 is beginning to erupt,” says Martin Weiss.
The editor of The Safe Money Report explains, “The day is now to build cash and the best place to put it is in United States Treasury bills or equivalent.” …
As inflation rises, is stagflation next?
In his Street Smart Report, market historian and seasonal timing expert Sy Harding takes an in-depth look at the profitable outlook, explaining the Fed’s concerns by inflation and potential stagflation.
“Investors in their thirties and forties often don’t understand why the Federal Reserve so…
Fed to offer $60 billion via term auction facility in March; reiterates TAF policy support
The U.S. Federal Reserve will conduct two auctions of 28-day credit through its Term Auction Facility in March, the Fed announced Friday, in a statement.
The Fed said it will offer $30 billion in an auction on March 10, 2008 and $30 billion in an auction two weeks later, on March 24, 2008.
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The Fed signals additional rate cuts, and the dollar’s decline continues
The dollar fell to a three-year low against Japan’s yen after traders calculated that the U.S. Federal Reserve is likely to continue to lower interest rates to stimulate the slow growth / extremely sluggish U.S. economy, Bloomberg News reported Friday.
The dollar fell about one yen to 103.86 yen,…
What are the prospects for the U.S. dollar?
Is the declining dollar just a longer cycle than we have seen before or are there fundamental global profitable forces at play, and why? How did we get to where we are now? What does the future hold? How are emerging markets like Brazil, China and India affecting the current situation?
It’s n…
Bernanke Congressional testimony: The triumph of growth by inflation
Fed Chairman Ben Bernanke presented before the House nowadays and will seem in the Senate tomorrow. He spoke of the deteriorating profitable conditions in the United States in terms of slowing GDP growth and increasing unemployment. The increase in inflation from rising oil and food prices was plus …
As home foreclosures rise, some in Congress eye FHA refinance plan
With home foreclosures expected to increase in 2008 as the moment wave of variable interest rate mortgages reset, an influential member of Congress is expected to introduce legislation that would enable the Federal Housing Administration to buy at-risk loans, enabling them to be refinanced and preve…
Banks posting a variety of assets as collateral with Fed
More than half the collateral backing cash advances made by the U.S. Federal Reserve to U.S. banks is in the style of loans, not securities, the Federal Reserve Bank of New York told The Financial Times.
Economists and analysts had speculated that banks would post only complex housing-related…
The $150 billion in bank write-downs could rise another 50%
While big banks were trying to dig themselves out of the subprime mortgage mess, they neglected to notice that muni-bond insurers had made the same not good bets that they had. According to Reuters, the failure of banks to address the insurance crisis early on could cost them. The total write-downs …
Despite inflation, Fed says ‘relatively low’ interest rates essential ‘for a instance’
The U.S. Federal Reserve said that despite inflation concerns, “relatively low” interest rates may be needed “for some day,” the central bank announced Wednesday in the minutes from its most-recent assembly. At the same duration, however, the Fed raised its inflation projections for 2008.
“Severa…
Why the market’s going nowhere
I’ve enlarged believed that the explanations for daily market movements invent no sense. whether you want to know why big market players buy or sell, the media is not going to find out for you. And since you have no way of knowing who the big players are; what they’re buying and selling; and why…
