My morning reads:

This is the best thing you will read today: Saving Investors From Themselves (Moneybeat)
• Who Goes to Cash Shows Extent Bonds Will Become Bear Market (Bloomberg)
• Using Money to Buy Happiness (Scientific American)
• Money as Credit (Mainly Macro) see also Gold Swings With Silver After Drop to Lowest Since 2010 (Bloomberg)
• Japan’s New Growth Strategy: Bringing Rapid Reform To the Country (LinkedIn)
• New threats to China’s property bubble (Sober Look) see also China’s ghost cities epitomize the problem with printing money Paul Krugman-style (Quartz)
• When Italians Chat, Hands and Fingers Do the Talking (NYT)
• Baseball’s Battle for Silicon Valley (WSJ)
• The Physics Behind Traffic Jams (Smart Motorist)
• Daft Punk’s ‘Get Lucky’: How to Build the Song of the Summer (Businessweek)

What are you reading?


Low Inflation Highlights Fed Dilemma
Source: WSJ

Category: Financial Press

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

7 Responses to “10 Monday AM Reads”

  1. RW says:

    Continuing the theme of how the Fed screwed up its communication channel: Never mind their exact phrasing, the market reads between the lines and detected a lack of strong commitment to zirp; smart traders who have no problem with reading comprehension got the message whether the FOMC intended it or not.

    Weighing the Week Ahead: What do higher interest rates mean for stocks?

    Last week I suggested that the market might need to ‘digest’ the FOMC announcement. …We got a lot more than digestion. It was a full-fledged hissy fit. Since the issue has not been settled, the debate continues.

    We have a rather strange week ahead – plenty of data, an ongoing debate about the Fed, and a mid-week holiday that usually sends market participants on vacation by Tuesday, if not for the full week.

    I predict that the market focus will be on the new higher interest rate environment, especially the question of the implication for stocks and overall asset allocation.

    NB: WRT the Quartz article by this Hinds fellow. Aside from the laughable caricature of Krugman’s position and treating macroeconomics as a morality tale, the article consistently confuses correlation with causation and cause with effect. Not really surprising that the author — apparently the former finance minister of a Central American country or its capital — was a winner of the Hayek prize I suppose but, regardless, Quartz would be wise to seek a rebuttal article.

  2. MaxMax says:

    I wish I had read Zweig when I was 20 rather than getting drowned in bad advice. I was lucky and didn’t take any major hits, but I’d have done way better doing nothing.

  3. Bush defends surveillance programs, says Snowden ‘damaged’ U.S. (WAPO)

    I can only imagine he’s hoping memories have faded regarding the diaster he was when he makes these statements. One will also recall his far from truthful characterization of NSA wiretapping during his administration:

    “When the wiretapping operation was exposed in the news media two years later, Bush defended it as a program “that listens to a few numbers, called from outside of the United States, and of known al-Qaeda or affiliate people.” Subsequent revelations have made clear that the scope was far greater than his words would suggest.”

    Misinformation on classified NSA programs includes statements by senior U.S. officials (WAPO)

  4. KeithOK says:

    From the quartz article: ” The People’s Bank did that in the spirit of Nobel laureate Paul Krugman, who promotes monetary creation as the cure of all ailments.”

    So the tie to the problem being discussed and Paul Krugman is just a totally false statement.

  5. Joe Friday says:

    Zombie Propaganda Never Dies

    Hank Paulson was on Bartiromo’s ‘On The Money’, telling Maria that the financial crash was all the fault of Fannie & Freddie, calling them “Ground Zero” of “flawed government policies”.


    Nevermind that it was the unregulated and under-regulated PRIVATE-SECTOR
    financial industry, which Paulson was and is now a member, with a short stint as Treasury Secretary in between.

    Oh, and he’s also warning of a new “housing bubble”.

    Who would even by a used car from this guy ?

  6. DHM says:

    Zweig’s article (see Moneybeat) is indeed excellent. It is a profoundly introspective article that contains nothing new in terms of investment advice – but that is its exact point.