There are $9.3 trillion in deposits at the US banks...they have $7.3 trillion in loans and leases at these banks...explain to me again why a bank should pay up for a deposit...
More Bernanke: "Many households remain more financially fragile than might be inferred from the aggregate statistics alone," he says, touting new, even more detailed data the Fed is monitoring. The Fed never saw the greatest macro event in generations coming (even when it was on top of us), and Bernanke lays some of the blame on a lack of intricate numbers coming across the desks of central bank economists. [View news story]
It would have helped if Residential Investment to GDP had been only 4 to 4.5% to GDP and not above 4.5% for effectively 8 years with a high of 6.3%....
The S&P 500 (SPY) has yet to have even a 4% correction this year, with the only other time since 1980 the index made it to this point without one being 1995, according to Miller Tabak. The S&P went on the finish 1995 with a 34% advance that was but a small precursor to gains yet to come. One difference: 1995's gain was led by cyclicals and tech. This year's by defensive sectors (though showing signs of rotation). [View news story]
1995 was a different time....Baa rates dropped most of the year (going from 9.1% to 7.4%) while earnings jumped 19%...
The Australian dollar (FXA) sinks below parity with the greenback for the first time since last June, a victim of a slowdown in the Aussie economy and weak commodity prices (the two are surely intertwined). Aussie stocks are rising along with the rest of the world, but the Australian Index Fund ETF (EWA) - unhedged against the currency - is lagging. [View news story]
This weakness is something to note...look at FXA versus FXF
Apparently behind the mid-afternoon drop in the S&P 500 (SPY) (a not insignificant 10 points), the soaring dollar (UUP), and sinking commodities (GLD, USO) was the rumor of a Jon Hilsenrath article set to hit the WSJ claiming "tapering" of asset purchases is coming sooner rather than later. Thus far, nothing is up. [View news story]
Apparently behind the mid-afternoon drop in the S&P 500 (SPY) (a not insignificant 10 points), the soaring dollar (UUP), and sinking commodities (GLD, USO) was the rumor of a Jon Hilsenrath article set to hit the WSJ claiming "tapering" of asset purchases is coming sooner rather than later. Thus far, nothing is up. [View news story]
Another weird day...SPY...TLT,GLD,FXF. negative...
The yen (FXY -0.8%) has weakened sharply in the last few minutes, with the dollar making another run at ¥100, currently buying ¥99.80. A move into triple digits would be the first time that high for the greenback in 4 years. [View news story]
Yen/Dollar rate on the Friday before Lehman...107.51
The dollar (UUP +1%) is soaring across the board (not just against the yen, where it's now spiked through ¥100 to ¥100.56). The greenback is threatening parity vs. the aussie (FXA -1.1%) for the first time since last summer, and the euro (FXE -1.1%), swissie (FXF -1.4%), loonie (FXC -0.5%), and pound (FXB -0.6%) are seeing sizable declines as well. Commodities? Red. Gold (GLD -1.1%), Silver (SLV -1.2%), Oil (USO -0.6%), Copper (JJC -0.8%). [View news story]
King Dollar...and all without having high real interest rates...
The Treasury sells $16B in 30-year bonds at 2.98%, just a hair under the pre-auction 3%. Bid-to-cover ratio of 2.53, vs. a recent average of 2.58; indirect bidders take 38.8%, vs. a recent 36.9%. Direct bidders take 15.5%, vs. a recent 13.8%. [View news story]
30 years ago...May 9,1983...30 year yield...10.37%
Lessons From Earnings Season And The Dog That Did Not Bark [View article]
G....I use the ratio approach to GDP ...in other words comparing it S&P to GDP...example 1632/ 16130 (est,2q Nominal GDP) or 10.12% Then I look at historicals for reference....just another metric to satisfy my overactive mind....
On Being Rick Santelli [View article]
Is The 'Fed Rage' Unwarranted? [View article]
in loans and leases at these banks...explain to me again why a bank
should pay up for a deposit...
More Bernanke: "Many households remain more financially fragile than might be inferred from the aggregate statistics alone," he says, touting new, even more detailed data the Fed is monitoring. The Fed never saw the greatest macro event in generations coming (even when it was on top of us), and Bernanke lays some of the blame on a lack of intricate numbers coming across the desks of central bank economists. [View news story]
The S&P 500 (SPY) has yet to have even a 4% correction this year, with the only other time since 1980 the index made it to this point without one being 1995, according to Miller Tabak. The S&P went on the finish 1995 with a 34% advance that was but a small precursor to gains yet to come. One difference: 1995's gain was led by cyclicals and tech. This year's by defensive sectors (though showing signs of rotation). [View news story]
earnings jumped 19%...
On Being Rick Santelli [View article]
The Australian dollar (FXA) sinks below parity with the greenback for the first time since last June, a victim of a slowdown in the Aussie economy and weak commodity prices (the two are surely intertwined). Aussie stocks are rising along with the rest of the world, but the Australian Index Fund ETF (EWA) - unhedged against the currency - is lagging. [View news story]
Apparently behind the mid-afternoon drop in the S&P 500 (SPY) (a not insignificant 10 points), the soaring dollar (UUP), and sinking commodities (GLD, USO) was the rumor of a Jon Hilsenrath article set to hit the WSJ claiming "tapering" of asset purchases is coming sooner rather than later. Thus far, nothing is up. [View news story]
Apparently behind the mid-afternoon drop in the S&P 500 (SPY) (a not insignificant 10 points), the soaring dollar (UUP), and sinking commodities (GLD, USO) was the rumor of a Jon Hilsenrath article set to hit the WSJ claiming "tapering" of asset purchases is coming sooner rather than later. Thus far, nothing is up. [View news story]
Jobless Claims: A Positive Barometer, For Now [View article]
The yen (FXY -0.8%) has weakened sharply in the last few minutes, with the dollar making another run at ¥100, currently buying ¥99.80. A move into triple digits would be the first time that high for the greenback in 4 years. [View news story]
The dollar (UUP +1%) is soaring across the board (not just against the yen, where it's now spiked through ¥100 to ¥100.56). The greenback is threatening parity vs. the aussie (FXA -1.1%) for the first time since last summer, and the euro (FXE -1.1%), swissie (FXF -1.4%), loonie (FXC -0.5%), and pound (FXB -0.6%) are seeing sizable declines as well. Commodities? Red. Gold (GLD -1.1%), Silver (SLV -1.2%), Oil (USO -0.6%), Copper (JJC -0.8%). [View news story]
The Treasury sells $16B in 30-year bonds at 2.98%, just a hair under the pre-auction 3%. Bid-to-cover ratio of 2.53, vs. a recent average of 2.58; indirect bidders take 38.8%, vs. a recent 36.9%. Direct bidders take 15.5%, vs. a recent 13.8%. [View news story]
Lessons From Earnings Season And The Dog That Did Not Bark [View article]
S&P to GDP...example 1632/ 16130 (est,2q Nominal GDP) or 10.12%
Then I look at historicals for reference....just another metric to satisfy my
overactive mind....
Lessons From Earnings Season And The Dog That Did Not Bark [View article]
Initial Jobless Claims: -4K to 323K vs. 335K consensus, 327K prior (revised). Continuing claims -27K to 3.00M. [View news story]