The ECB has promised dramatic action to save the euro. The Federal Reserve has announced it will expand its balance sheet until well after the economy recovers. Attention turns to the BOJ whose two-day meeting concludes...
The outcome of the FOMC meeting is not just a new round of quantitative easing. What the Fed announced represents a new chapter in its policy response. The first distinguishing aspect of its decision is the...
ECB President Draghi has stepped up his campaign to buy Spanish and Italian bonds, even though neither country has been inclined to formally ask it to do so. Reports indicate that yesterday (Sept 4) sent national central...
ECB President Draghi appears to have gotten as much as he can get with his word play. He has been fairly successful. The pressures that were threatening Europe via Spain and Italy in late July were reduced and summer...
Today is the third anniversary of the publication of my book, Making Sense of the Dollar: Exposing Dangerous Myths about Trade and Foreign Exchange. The book presented big picture and long-term arguments about the future...
There is one main feature of the euro zone economic data next week. Yet the flash PMI readings are unlikely to be sufficiently different from the July readings to prompt a reassessment of the trajectory of the regional...
A Spanish newspaper is reporting today that a formal request for EFSF aid for domestic banks can come as early as this week. This would be seen to clear the way for the payment of the first tranche of the 100 bln euro...
The agreement struck earlier this year projects that Greece’s debt to GDP ratio will near 120% in 2020. At the time, officials, including at the IMF, claimed this was meant the definition of sustainable. Investors were...
Here is a Great Graphic posted on FT Alphaville. It illustrates the magnitude of Spain’s regional debt challenge. The regional debt is one of three separate but related debt problems Spain face. The other two...
There have been some noteworthy developments on interest rates over the past week. The ECB’s cut of its deposit rate to zero has pushed some short-term market rates below zero. France sold bills earlier this week with...