Friday 23 January 2009

Prudent Bear 


Quotable

"The fallout from the US subprime mortgage crisis has added further pressure to structured investment products, prompting ratings agencies to act on the deterioration in performance at a number of different vehicles. Standard & Poor’s issued a string of downgrades and negative watch notices on a number of SIV-lite programmes…"

Financial Times, August 23, 2007

Commentary

Credit Bubble Bulletin

by Doug Noland | Jan 16

A Divergence

Bank stocks trade as if the world is coming to an end.  At the same time, some indicators point toward system stabilization.

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The Bear's Lair

by Martin Hutchinson | Jan 19

Where is the safe haven?

As the $1.19 trillion forecast 2009 U.S. budget deficit combines with the forthcoming $825 billion (and counting) stimulus package, observers seem convinced that for some mystical reason U.S. Treasuries are a “safe haven” – endlessly attractive to Asian and Middle Eastern central banks and therefore able to yield considerably less than the expected rate of inflation over their life.

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Featured Commentary

by Satyajit Das | Dec 15

Where did all the money disappear? Liquid fantasies

In this current financial crisis, the quantum of available capital, the munificent resources of central banks and sovereign wealth funds, and the globalization of capital flows may be some of the accepted "facts" that are revealed to be grand illusions.

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Guest Commentary

by James Quinn | Jan 5

Unintended Consequences - 20th Century and Beyond

The president, Congress, Federal Reserve, and Treasury try mightily to direct our economy. It is an impossible task.

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