Category Archives: Bonds

“Fort Sumter” Opens Fire: Battle for the Public Sector Is On

Posted on February 11, 2011 by macromon

The battle for the public sector is on.  The Governor of Wisconsin just announced what amounts to be the abolishment of public sector unions in his state.   What an incredible contrast of the health of the private sector x/banks, reflected … Continue reading →

Posted in Bonds, General Interest, Muni Market, State and Local Government | Tagged , , , | Leave a comment

Japan: Risk of Sovereign Interest Rate Shock – IMF

Posted on January 27, 2011 by macromon

In the context of S&P’s recent sovereign downgrade of Japan we thought you’d be interested in this IMF piece published in October.  The basic thesis is that Japanese commercial banks have been the main buyers of JGBs over past few … Continue reading →

Posted in Black Swan Watch, Bonds, Budget Deficit, Chart of the Day, Economics, Japan, Monetary Policy, Policy, Sovereign Debt, Sovereign Risk | Tagged , , | 1 Comment

Monetarism Redefined: Crude, Fine Wine & Gold

Posted on January 20, 2011 by macromon

“Inflation is Always and Everywhere a Monetary Phenomenon” – Milton Freidman Monetarism as a theory, which states that the variation in the money supply has major influences on national output in the short run and the price level over longer … Continue reading →

Posted in Black Swan Watch, Bonds, BRICs, Budget Deficit, Charts, China, Commodities, Credit, Crude Oil, Currency, Economics, Monetary Policy | Tagged , , , | 3 Comments

Targets of Yield-Seeking Capital

Posted on January 18, 2011 by macromon

This graph from the World Bank illustrates why Brazil is having such a problem with capital inflows.  Capital will always seek out the highest risk-adjusted return. During times of excess liquidity and low interest rates, however,  markets ignore or jettison … Continue reading →

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Shanghai Breaks 200-day, Commodites Next to Roll?

Posted on January 17, 2011 by macromon

During the 1990’s when the emerging markets were still emerging a friend of ours wrote a research report on pre-restructured busted Russian debt titled, No Rush to Buy, No Russians Buying.  The point was the Russians knew the prospects for … Continue reading →

Posted in Black Swan Watch, Bonds, BRICs, Budget Deficit, China, Commodities, Crude Oil, Currency, Economics, Geopolitical, Monetary Policy | Tagged , , | 3 Comments

The Week in Review: Waiting for Godot

Posted on January 15, 2011 by macromon

This market just won’t quit!  The S&P500 hasn’t had a one percent correction since November 23rd and those waiting for a better entry just keep waiting and waiting and waiting.  France’s CAC was the best weekly performer of the major … Continue reading →

Posted in Apple, Bonds, BRICs, Charts, China, Commodities, Energy, Equities, Euro, Week in Review | 1 Comment

“Tea Party” Opposition to the Euro Grows in Germany

Posted on January 10, 2011 by macromon

  We can’t believe we missed this over the holidays. Germany’s SpiegelOnline reported on December 27, In a survey conducted in early December by the polling firm Infratest dimap, 57 percent of respondents agreed with the statement that Germany would … Continue reading →

Posted in Black Swan Watch, Bonds, Economics, Euro, Fiscal Policy, Geopolitical, Monetary Policy | Tagged , | 1 Comment

The Graying of Calfornia’s Flower Children

Posted on January 9, 2011 by macromon

Well this is a depressing chart and remember California usually leads the nation.    We fear us baby boomers risk eating all the  “seed corn” and leaving nothing for the younger generations to invest in their future, which the quality … Continue reading →

Posted in Bonds, Budget Deficit, Demographics, Muni Market, Policy, Politics | Tagged , | Leave a comment

The [First] Week in Review: A Capital Flows Sandwich?

Posted on January 7, 2011 by macromon

Not a bad start to the year if you were in the right space.  A Frenchman with a long position in “Apple the Sovereign” was up over 8 percent in Euros.   Note, Apple rose another $2.00 to $338 after Friday’s … Continue reading →

Posted in Apple, Bonds, Charts, China, Commodities, Currency, Economics, PIIGS, Sovereign Debt, Sovereign Risk | Tagged , , , , , , , | Leave a comment

California [Bad] Dreamin’

Posted on January 6, 2011 by macromon
Posted in Employment, Muni Bonds, Muni Market | Tagged , | Leave a comment