My morning train reads (continues here):

• Incredible Shrinking Yields (Bespoke)
• Ten Charts That Show Us Something New About The IPO Boom (Moneybeat)
• Investors Turn Bearish; Is this a Buy Signal? (Barron’s) see also Stop Worrying About the Next Market Crash (JDavidstein)
• Summertime Living Isn’t Easy for Macro Funds (WSJ)

continues here



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.

16 Responses to “10 Thursday AM Reads”

  1. ch says:

    Reuters joins bloomberg in the inflation truther camp – coca cola unit prices rising from 3 cents per oz to 7 cents per oz

  2. hue says:

    The carbon dioxide trapped in your meeting is making you think more slowly (Vox)

    Don’t Fight Flames With Flames. Social Media Arguments: Can’t-Win Propositions (NYTimes)

    AI, Robotics, and the Future of Jobs (Pew Research Internet Project) Robots didn’t participate

  3. RW says:

    You cannot fix an ideology that rejects history and empirical knowledge any more than you can fix stupid: Austerianism and its floggings will continue until morale improves or come the revolution.

    Italy Is Back In Recession Because The European Union Is Defying Economic Logic

    Students learn in introductory economic that Y = C+I+G +(X-m), which means that GDP is equal to the sum of consumption, investment, government spending and net exports. Those who remember their intro econ are not surprised to see that Italy has slid back into recession for the third time since the 2008 crisis. …

    In short, there is no plausible story whereby the countries of southern Europe can expect to replace the demand lost from the deficit reduction demanded by the European Union. ….

    PS: That monkey selfie copyright issue (in links above) cracks me up but I suspect Wikipedia is on thin ice WRT copyright ownership.

  4. ch says:


    You are thinking of that as a westerner. Imagine you are an oil exporter. You (and Paul Krugman and others) would say that printing money to stimulate the economy would be a positive.

    Yet, if you are an oil exporter and know that oil is a depleting asset, why would you ever sell oil today that you know is going to be more valuable tomorrow b/c the Fed is printing money to stimulate the economy?

    And lastly, whose economy is in a better position long term, the Europeans whose oil costs will be cheap b/c they are managing their currency conservatively or the Americans whose oil costs just keep rising?

    If you do not think that producers of real goods think about these things, take a look at today’s headlines re: Russia cutting out US & EU food and importing instead from Brazil.

    • willid3 says:

      not really sure the Eu is really managing their economy all that well. they do seem to be having lots of nations in recession, almost constantly, and they are also trying to fight off deflation. and for the most just barely keeping from falling into it. and that deflation will make their products worth less in the future than now. course if you look at EU oil prices they are already higher. Brent oil is and has been more expensive that WTI (aka American oil) for a long time now. its why in the EU they are much more into smaller and more economical vehicles than in the US. course geography helps them with this. they are also a lot more likely to have public transit too. in fact some of the nations actually try to discourage owing a vehicle out right

      wonder where Russia will get the replacement for those banned foods?

      and will there be more reaction to those bans?

    • RW says:

      ch, you need to do some serious work modeling your position — I mean spelling it out in terms of mechanism — because frankly it looks like hand waving and non sequiturs to me.

      Just for starters:

      If you are a country that only produces one thing the world needs and, eo ipso, have only one reliable source of foreign exchange to manage your current account just exactly where do you gain the leverage to withold sales for any length of time and how do you prevent your own collapse in the meantime?

      Since all modern currencies are produced by fiat by their respective Treasuries just how does “printing money” qualify as a descriptor of anything meaningful? See A primer on money and modern banking for appropriate terms.

      As willid3 intimates the EU is not in fact being managed particularly well and there is no evidence their currency has any more global respect than the most widely used reserve currency which remains the $USD. But assuming your theory is correct then are you are arguing stronger currency is better for a national economy. SInce that makes a country’s exports non-competitive among other problems you need to spell out just how that is a winning position even if it makes importing oil cheaper.

      Regardless the oil market is global and whether a spot bid is settled in Dollars, Euros, Yen, or Yuan or some combination just exactly why would this make any difference?

    • OkieLawyer says:

      Yet, if you are an oil exporter and know that oil is a depleting asset, why would you ever sell oil today that you know is going to be more valuable tomorrow b/c the Fed is printing money to stimulate the economy?

      Because there is a risk of “disruptive technologies” (in this case, alternative energy sources and increases efficiencies in mechanisms that utilize oil-based products), such that the demand for your product will be destroyed to such an extent that the value is greatly diminished. Secondly, the destabilization of your country due to domestic combatants that make the risk of buying your product too expensive, given the risk of acquiring the product.

      This is not to mention even the competition from the U.S. and Canada, who are now starting to really rev up their respective exports of petroleum-based products, including oil.

  5. VennData says:

    Does that Wiki supposition mean the monkey is a corporation?

    If Europe would be half as tough on Putin and Snowden as they are on themselves, Russia and Ukraine would be BFFs

  6. VennData says:

    If you are going to expose immobile labor to global price arbitrage, causing wages to stagnate, while propping pluralist Middle classes… then the rich need to pay more in taxes and not saddle us with these massive debts with their uneconomic tax cuts and protected offshore financial infrastructure.

  7. Jojo says:

    Will food prices in the USA decline due to losing business to Russia?
    Now that it has banned billions of dollars in food imports, how will Russia feed itself?
    By Jason Karaian
    7 Aug 2014

    Russia banned food imports from the US, EU, Norway, Canada, and Australia today, in retaliation against the sanctions imposed on it by those countries in recent weeks.

    In a way, the Russian announcement codifies a number of restrictions already in force, generally justified by officials on health and hygiene grounds. The latest move (pdf in Russian), which will be in force for a year, affects 10% of Russia’s supply of pork, fish, and fruit, according to the agriculture minister.

    Last year Russia imported $43 billion worth of food, or around a third of its total consumption. Now that it has banned imports from so many of its largest suppliers, how will it fill the gap?

  8. willid3 says:

    the journals are corrupting science?

  9. willid3 says:

    remember that big tobacco settlement?
    seems like some states messed that up. and have now put tax payer money on the line
    wonder how that big deal for bad mortgages will turn out? the same?

  10. willid3 says:

    wall street is like man with 15 pounds of semtex around it waist . wants to make sure all around them, know it, and will safe them from their own malfeasance?

  11. ilsm says:

    Gulf of Tonkin Resolution.

    While US wriggles on the debacles in Iraghistan, it should be observed that 50 years ago today both the US Senate and House passed the Gulf of Tonkin Resolution, a 10 year plus debacle based on misinformation larger than Iraghistan by a factor of at least 10 in terms of US casualties.

    What delusion will sell the next military mess?