Posts filed under “Inflation”

Fed Deflation in One Picture

Hilarious:

fed deflation

 

Via VolSlinger

Category: Federal Reserve, Humor, Inflation

2010 Reminder: QE = Currency Debasement and Inflation

One of my biggest complaints about the media is the lack of accountability. People say things on TV in print an on radio, and then . . .  Poof!  No consequences. They influence public perception of issues, affect policy debates, drive legislation. This is a perfect example of a stern warning of currency debasement and…Read More

Category: Currency, Inflation, Really, really bad calls

How Columbus Caused Inflation

Click to enlarge Source: Economist     According to the Economist: “Some modern economic historians dispute Smith’s argument that the discovery of the Americas, by Christopher Columbus in 1492, accelerated the process of globalisation. Kevin O’Rourke and Jeffrey Williamson argued in a 2002 paper that globalisation only really began in the nineteenth century when a…Read More

Category: Inflation

Category: Inflation, Think Tank

U.S. Health Care vs. The World

 

click for ginormous graphic
US healthcare

 

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Category: Digital Media, Economy, Inflation

Commodity Prices and Inflation: The Perspective of Firms

Commodity Prices and Inflation: The Perspective of Firms Mike Bryan, Brent Meyer and Nicholas Parker July 16, 2013     We’ve been thinking a lot about commodity prices lately. In case you haven’t noticed, they’ve been falling. And with inflation already tracking well under the Federal Open Market Committee’s (FOMC) longer-term objective of 2 percent,…Read More

Category: Commodities, Inflation, Think Tank

Friday Funny: Higher Prices

This is brilliant: The Federal Reserve is awaiting That prices may start re-inflating, So they can foresee Unwinding QE, Whose tapering they’ve been debating. The Fed will not bother to taper Its purchase of Treasury paper ‘Til the jobless rate now And inflation allow An end to their stimulus caper. Bernanke must act with agility…Read More

Category: Federal Reserve, Humor, Inflation

Following the Fed Out of Bonds?

Click to enlarge Source: FT.com   Excellent explanatory chart from the FT.   Source: Bond Traders Take Cue to Exit Treasuries By Michael Mackenzie and Stephen Foley FT, June 20, 2013 4:52 pm http://www.ft.com/intl/cms/s/0/6d98edbc-d8dd-11e2-84fa-00144feab7de.html

Category: Federal Reserve, Inflation

What is Behind the Inflation Numbers?

Category: Inflation, Think Tank

Really!?! With Ben & Janet

Look Out Below, Fed Tapering Edition
click for updated futures
6.20.13 futes

 

Really!?!

Really traders!?! Did you really believe that the Fed was never going to stop buying bonds? Really?!?

Do you think that the Fed was going to have an infinite accommodation, and that rates were going to stay at zero forever? Is that what you expected from the Central bank. C’mon, Really!?

And what about the dreaded hyper-inflation you have been warning us about for so long? Inflation has been so low for so long that it had its name legally changed to Deflation. Really!

united-states-inflation-cpi
Source: Trading Economics

 

Where you out the day Bernanke said he was targeting Unemployment, which has fallen from nearly 11% to 7.6%? Did you forget about that? Really!?!

UNRATE_Max_630_378
Source: FRED

And this entire Risk On rally — did you really think it was going to last forever? Really? US Equity are up nearly 150% over the past 5 years, didn’t you think it had to eventually slow down? Did you actually believe Markets were a uni-directional bet? Really?!?

SPX 5 year

 

The Fed has a dual mandate — stable prices and maximum employment. Did you really think there was a third component of maximizing your risk free equity returns? Really!?

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This has been Really!?! With Ben & Janet.

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Category: Economy, Employment, Federal Reserve, Inflation, Trading