Peter Fisher, head of fixed income at BlackRock, finds little reason for the Fed to act, addressing the four rationales under which it might, and discussing why they would not apply or would not work in the current environment. Read the complete article at Fed risks diminishing returns with more QE – FT.com. There are…
Tag Archive for Bank Balance
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Hey, Germany: You Got a Bailout, Too – Bloomberg
by Newswires • • 0 Comments
Prudent Germany, the narrative goes, is loath to bail out freeloading Greece, which borrowed more than it could afford and now must suffer the consequences. Would it surprise you to know that Europe’s taxpayers have provided as much financial support to Germany as they have to Greece? An examination of European money flows and central-bank…
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For Central Bank Balance Sheet Wonks- Assets Must Equal Liabilities + Capital
by Lee Adler • • 0 Comments
The judgment that such and such a policy was the right choice in current exceptional
circumstances should not make us complacent about possible medium-term risks arising
from such a significant shift in the size and composition of central bank balanc…
Bears Chat, Best of the Forums
The Endgame: Europe Is Finished
by Bears Chat at The Wall Street Examiner • • 0 Comments
Wow, amazing how ugly things look when the banksters don’t have the government in their back pocket to issue a $1 trillion TARP bailout. The article below portrays JPM and BAC as smelling like roses compared to European banks. That’s quite a trick. …
Bears Chat, Best of Capitalstool.com, Best of the Forums
Second-Mortgage Misery – Nearly 40%….
by Bears Chat at The Wall Street Examiner • • 0 Comments
Easy access to home equity loans during the housing boom put borrowers who extracted home equity at more risk. Declines in home prices are felt more severely by people who took out home-equity loans. Middle-class crush and banking system burdened by ex…
Bears Chat, Best of the Forums
50% of at-risk mortgages are second liens
by a Wall Street Examiner • • 0 Comments
The only argument for not forcing banks to take serious write-downs on second-lien loans is the assumption that housing prices are going to return to pre-2007 prices. And that is not going to happen unless we have another real estate bubble.
Second-l…
Bears Chat, Best of the Forums
"Gold and fiat currencies"
by a Wall Street Examiner • • 0 Comments
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Bernanke denies quantitative easing
However, in the Stamp Lecture at London School of Economics on January 13, 2009, Federal Reserve chairman Ben Bernanke, about three years into office, asserted that the Fed’s approach to supporting credit ma…
