Meet the new regulator, Mr. Market

By Peter Boockvar - May 28th, 2009, 7:45AM

A new regulator has come to Washington, DC to oversee the Fed and the
political class to make sure they abide by certain constraints. His name
is Mr. Market (thank you legendary investor Ben Graham for the metaphor)
and he is finally speaking up and has a very large presence. As with
many govt actions to help the economy, they are paved with good
intentions but with unintended consequences. The question now is how
does DC respond, particularly the Fed as they have their next FOMC
meeting in June. The 7 yr note auction today will be key as it will be
more influenced by inflation expectations than the 2′s and 5′s this
week. Bankrate.com said the average 30 yr rate rose to 5.08% (and will
go higher in coming days) from 5%, the highest since Apr 7th. May Euro
Zone economic confidence rose 2 pts to the highest since Nov and was a
touch higher than expected. Durable Goods, Jobless Claims and New Home
Sales are out today.

PERMALINK
Category: MacroNotes.

Comments

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data, ability to repeat discredited memes, and lack of respect for scientific knowledge. Also, be sure to create straw men and argue against things I have neither said nor even implied. Any irrelevancies you can mention will also be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

One Response to “Meet the new regulator, Mr. Market”

Bruce in Tn Says:
May 28th, 2009 at 8:49 am
May 28 08:30 Durable Goods Orders Apr 1.9% 0.0% 0.5% -2.1% -0.8%
May 28 08:30 Durables, Ex-Transport Apr 0.8% -0.5% -0.3% -2.7% -0.6%
May 28 08:30 Initial Claims 05/23 623K 620K 628K 636K 631K

http://briefing.com/Investor/Public/Calendars/EconomicCalendar.htm

The last two numbers in each category are the originally reported and the true number after revisions this morning…now really, how do you miss by 400% ? (2.7/.6)