Bloomberg U.S. Financial Conditions Index Reaches a 26-Month High

The Bloomberg U.S. Financial Conditions Index provides a daily measure of the relative strength of the U.S. money, bond and equity markets, and is considered a useful gauge of the overall conditions in U.S. financial and credit markets. The Financial Conditions Index climbed to a level above -0.50 Friday, closing at -0.46, for the first time since August 8, 2007, and is now at a 26-month high (see chart above). Another positive sign that an economic and financial recovery are underway.

Comments

[Dave Wrixon:]

So we now have another bubble?

Oct 11 06:29 AM

[CLH:]

While most investors are standing still--- not believing it. I guess these are the same people who believe we should take from the ambitious and give to the losers.

Oct 11 12:42 PM

[conceptwizard:]

In a sign that more banks are under great pressure from the recession, 34 financial institutions did not pay their quarterly dividends in August to the Treasury on funds obtained under the Troubled Asset Relief Fund (TARP). The number almost doubled from 19 in May when payments were last made, and also raised questions about Treasury's judgment in approving these banks as "healthy," a necessary step for them to get TARP funding.

Oct 12 12:43 AM