Between today and Thursday, the US Treasury will pound the market with $194 billion in net new supply. The total since March 24 will be $283 billion. And it’s only the first week of it. That will have consequences.
Last week’s Fed intervention reminded me of The Charge of the Light Brigade.
Investors shouldn’t get too excited about the rally, says Joe Calhoun.
The Fed injected around $600 billion into the markets and the banking system last week. That’s about $2,000 for every American, and it was just…
We can anticipate a federal bailout of pension funds and one-time aid to state and local governments, but bailouts won’t repair the eroding foundations of tax revenues.As we all know, the federal government can “print” money but state, county and city …
Massive Fed intervention turned the market, although cyclicality was favorable. The 6 month cycle low was overdue. But is it something more than that?
The year is 2020. A new virus is spreading across the planet like a wildfire. More lethal than the flu, highly contagious with no cure. Stocks markets collapse, global economies are shutting […]
There are only two ways to survive a decline in income and net worth: slash expenses or default on debt.In post-World War II America, the cultural zeitgeist viewed frugality as a choice: permanent economic growth and federal anti-po…
Every segment of the economy will be impacted – many deeply. Expectations for a quick recovery are wishful thinking.
It’s one of those crisis-level-of-illiquidity things that if you heard about it in normal times it would make you shake your head in disbelief. During a full-blown meltdown maybe it’s not standard stuff, but given the chaotic conditions it doesn’t seem so preposterous, either. Negative convexity is an otherwise benign phenomenon in fixed income that […]