Tag Archive for Liquidity

Dark Pools of Liquidity Are a Big Problem for Free Markets – Money Morning

Everything runs on liquidity. Unless you know something I don’t, that dollar bill in your pocket is just as likely to buy a can of Pabst Blue Ribbon today as it was yesterday, and will be tomorrow.

Or you could sell 1,000 lbs. of gold – if you have that lying around – without fear of completely scuttling the global gold market. Your bank has to have cash, liquidity, lying around somewhere in the back if it wants to stay in business.

And in many cases, it’s easy to see or verify this liquidity. It helps everyone feel better about doing anything.

Austerity: the Political Struggle over Who Controls the Economy’s Liquidity – New Economic Perspectives

This is a syndicated repost courtesy of New Economic Perspectives. To view original, click here. By Michael Hoexter The austerity campaign, a favorite for the last four years of politicians and financial tycoons, remains a seemingly self-contradictory and baffling phenomenon for those who know that it goes against at least 80 years of economic wisdom…

Credit hedge funds will continue to demand appropriate liquidity terms from investors – Sober Look

This is a syndicated repost courtesy of Sober Look. To view original, click here. JPMorgan’s prime brokerage division recently published a report on hedge fund liquidity terms (2012 Hedge Fund Terms Analysis). Here are some key highlights: Over 60% of funds have quarterly or longer redemption frequency – which is to be expected. A large…

Euro crisis hits Global Profits says Bloomberg, but June US tax collections hit 4 year record

Bloomberg says that global corporate profits are being hit by the Euro crisis. Maybe so, but second quarter corporate taxes in the US hit a 4 year record. Europe’s debt crisis is putting pressure on corporate earnings globally with companies from Procter & Gamble Co. (PG) to Danone (BN) cutting forecasts and signaling profits will…