The post below is from a reader, DS. He focuses on the fact that the Fed has basically admitted that its powers are limited due to the extent of financial activity that takes place outside its purview (the Fed supervises federally-chartered banks; securities firms, which are regulated by the SEC and hedge funds, which are […]
Read more...Most sophisticated financial people I know take great comfort from the happy resolution of the LTCM debacle. As you may know, LTCM (Long Term Capital Management) was a hedge fund created by John Meriwether, a star trader from Salomon who headed its highly profitable bond arbitrage group, and included two Nobel prize winners among its […]
Read more...Those who remember the paranoid days immediately following September 11 may recall Nuke-O-Matic. The site let you pick a location and size of nuclear weapon, and then see how extensive the damage would be, with concentric circles color coded for the level of devastation. This article, “Study details catastrophic impact of nuclear attack on U.S. […]
Read more...Paul Krugman, in his Friday New York Times op-ed piece, “The Big Meltdown,” gives his vision of how this week’s market events will play out. Per the title, his take is apocalyptic. Frankly, although it’s a plausible scenario, this isn’t Krugman’s best work. He is a very good political economist, but investment strategy isn’t his […]
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