A low interest drug withdrawal mini-test
An instance of what really the low interest drug means is very well seen today. The controversial signals from FED on the QEs have kicked almost all markets in uncontrollable moves up and down with general trend of down. May be this will mean Fed will soon announce another money print round this time in an effort to save the stock exchange whose fall is not less important than the government debt of the official reason for money print - economy and unemployment. USA simply cannot allow long periods of assets devaluation as much social systems are dependent on the asset prices for instance pensions. So the too bearish symptoms on Wall Street are a good excuse for another QE.
Read more...Who is selling gold?
Who is selling gold? This is the most interesting question today. To be honest, we must point that gold is not the only asset that is going down. Most of assets are going down due seemingly to Bernanke verbal market manipulations. But in fact the same comments from the outgoing FED Chairman could do exactly the opposite. They could be interpreted as a risk for increasing interest rates that will lead to a bankrupt of the Federal government and this could make safe havens more attractive. So who is selling gold?
Read more...EU ministers to punish banks, while still obligating them to make stupid investments
EU finance ministers have made a right decision to move the losses of banks to shareholders and creditors. Anyway they have left some options for losses for taxpayers that make the decision not clearly capitalistic.
Read more...Bernanke has made Italy a guinea pig of financial future
Bernanke verbal action on QEs will remain only verbal and in fact almost nothing will be changed. This is clear for everyone that understands basic financial principles and looks at the government budget. But it looks as Bernanke speaking will hit some of the weaker parts of the world financial system.
Read more...How Snowden and CIA will poison the US business environment
The spy case with Edward Snowden will have much bigger than seen at the moment consequences. And most of them will be not political, but economical.
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