If the Fed cuts rates, and goes negative, it will have a direct impact on top consumer banks' balance sheets.» Read More
Every day we see it in the headlines. Four dollar a gallon gas has just hit this city or that one. Concerns over whether this will lead to a consumer crunch are widespread.
Retail Analyst, Brian Sozzi at Wall Street Strategies, recently analyzed the impact of the gasoline prices on discretionary spending.
Sozzi says that right now the consumer has yet to change their spending habits due to rising gas price. But there is an important target price he's looking at that could change that trend.
Experts in finance are probably some of the most dangerous people in the world when it comes to forecasting.
Too many of them believe that their unusual accumulations of facts and knowledge about a subject—say, muni debt or mortgages or derivatives—are readily translated into predictions about the future.
When bond marketing makes for a hilarious internet video, you know there's a credit bubble somewhere.
Much of the discussion over the debt ceiling assumes that the final word on the matter will rest with Capitol Hill lawmakers. A note today from Citigroup analyst Brett Rose suggests that this assumption might not be sound.
Rose argues that the US Treasury Department has several tactics to keep funding government operations and debt obligations in the event that the debt ceiling is reached, according to Business Insider .
Ugh!$6 buck gas? [CNBC.com's Jeff Cox]
If big banks are swimming in cash, why aren't they lending? [CNNMoney via Fortune]
Benny and the Press: Bernanke to speak to a room full of journalists today. [WSJ]
There's a batch of earnings today including GE, McDonald's and Morgan Stanley. Get your earnings coverage here . [CNBC.com]
A new paper from Rockfleet Financial argues that claims that municipal debt investors will incur hundreds of billions of dollars of losses are outlandish. Muni default rates, however, are likely to rise above historical levels and cost investors between $10 billion and $20 billion over the next ten years, Rockfleet argues .
The Minneapolis Fed study on the myth of American mobility is meant to put to rest the fear that unemployed workers can’t move to states with stronger job markets , perhaps stalling the economy for years.
I’m not sure it actually accomplishes this.
Most folks on Wall Street assume that investors in U.S. government debt will grow skittish as the deadline for raising the debt ceiling approaches, pushing up interest rates. If the debt ceiling is reached without an agreement to raise it, many think interest rates will skyrocket for fear of an impending default.
But things might go exactly the opposite way.
The "doom loop" is shaking up stock markets as worries of negative interest rates in the US may come.
The rivalry between Bill Gross and his former company Pimco looks set to hinge on the U.S. economy this year. FT reports.
Tender issued for euro-denominated unsecured bonds worth 3 billion euros and dollar-denominated bonds worth $2 billion.