Category Archives: Federal Reserve

Who Holds All These US Treasuries? Update on the Investors in the Ballooning US National Debt in Q2

As the Fed unloads Treasuries, others are purchasing them…including foreign central banks.

Days After Rate Cut, S&P’s Flash PMI Sees Rising Inflation and Exhorts the Fed to “Move Cautiously” with “Further Rate Cuts”

S&P: “The “reacceleration of inflation” suggests “the Fed cannot totally shift its focus away from its inflation target.”

The Fed’s Reactive-Looking Half-Point Rate Cut

The Fed’s half point rate reduction was unseemly large. What gives?

The Myth That the US is Rapidly Approaching Bankruptcy

Michael Hudson and Richard Wolff take apart widespread myths about Federal spending and debts.

Bloodletting in Semiconductor Stocks Kicks Off September: Nvidia -11.7% Regular & Late Trading, Stock Market Cap Drops by Half a Tesla

The Nasdaq Composite dropped 3.3% yesterday. If the tech stock index declines another 6.7%, it’ll be back to November 2021.

The Rate Cuts Powell Dangled in Front of Markets May Slam into Inflationary Fiscal & Economic Policies of Whoever Is in the White House Next Year

Are both parties set to continue stimulative fiscal policy, leaving Powell or a successor to reapply the monetary policy brake?

The Irrationality of Markets

More evidence that the current level of advanced economy secondary market trading is bad for economic health.

Despite the Recession-Emergency-Rate-Cut Buffoonery, the Services Sector Expands Strongly on Growth in New Orders & Employment. Inflation Pressures Still On

Services are two-thirds of the economy; as long as they’re firm, the economy will plug along just fine, even as manufacturing stalled

Repaying Bank Loans Destroys Money

Richard Murphy discusses a key, and not well understood, implication of repaying bank loans.

Economy Re-Accelerates in Q2. Our Drunken Sailors Splurge on Durable Goods, Investment Jumps, Federal Gov Undoes Blip

The US economy looks a bit perky. Party on! But will the Fed continue to apply the interest rate brakes?

US Fed-Induced World Stagnation Deepens Debt Distress

US and Fed bad cooking has led to weak growth the world, and by urging poor countries to borrow at once-low rates, debt distress.

The Fed’s “Chicken Run”: Why Sticking with High Rates Will Crash the Economy

How the Fed is acting like James Dean in the famous “chicken run” auto race in Rebel Without a Cause.

Private Equity Becomes Roach Motel as Public Pension Funds and Other Investors Borrow As Funds Remain Tied Up

Oopsie! Private equity firms are hanging on to investor money for an unseemly amount of time! What to do?

Global South Suffering Due to Powerful Nations’ Elite-Serving Policies

The World Bank projects the worst slowdown in over four decades in 2024. This is mainly due to Western powers’ contractionary policies

Status of Banks’ Unrealized Losses in Q1: Worsened After Brief Rate-Cut-Mania Relief

US banks are still sitting on losses, with Fed relief nowhere in sight.