Tag Archive for Capital Flight

Market Not Twisting Fed’s Direction

Liquidity measures were mixed last week. Fed pumping continues at a minimal pace and Operation Twist won’t change that. Foreign central bank buying of Treasuries and Agencies remains exceptionally weak. However, the massive deposit flows from Europe into the US system continued. In spite of that, banks continued to dump Treasuries, adding to the supply.…

“Miracle” Europanic Trumps US Debtmageddon, Boosts US Markets

Massive inflows of cash into the US financial system from elsewhere around the world boosted liquidity indicators last week and kept a bid under US financial asset prices. Under normal circumstances, in the absence of quantitative easing we would expect prices to fall, but these are not normal circumstances. It’s not a matter of investors…