Tag Archives: ECB

The Weekend Read: Bikini Wax Indicator

Posted on May 27, 2011 by macromon

If you’re getting a bikini wax in Brazil, you’ll likely find that the cost is rising. And if you’re an economic policy maker, you’ll likely see that as a problem, since the bikini wax is one of the items the … Continue reading →

Posted in The Weekend Read | Tagged , , , , , , , | 3 Comments

Quote(s) of the Day: Living in (Sur)reality

Posted on May 18, 2011 by macromon

“Greece is solvent” — Juergen Stark,  ECB Chief Economist ¡Defenderé el peso como un perro! – “I will defend the peso like a dog!” – José López Portillo,  President of Mexico 1976-82 Liquid?  Yes.  Solvent?  No, unless Greece is willing … Continue reading →

Posted in Black Swan Watch, Euro, Quote of the Day, Quotes, Sovereign Debt, Sovereign Risk | Tagged , , , | 3 Comments

Did Trichet Hear the PIGs Squealing?

Posted on May 5, 2011 by macromon

Wow, what a swan dive!  The Euro fell a rare five handles and 3 percent against the dollar in just twenty-four hours as ECB President,  Jean-Claude Trichet, seemed to back away from his previous hawkish rhetoric at the Bank’s press … Continue reading →

Posted in Black Swan Watch, Bonds, Charts, Commodities, Crude Oil, Currency, Sovereign Debt, Sovereign Risk | Tagged , , , , , , , | 2 Comments

The Weekend Read

Posted on April 8, 2011 by macromon

The single biggest threat to national security is the national debt, the chairman of the Joint Chiefs of Staff said yesterday, underscoring the importance of good fiscal stewardship and a need to stimulate economic growth. American taxpayers are going to … Continue reading →

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Weber’s Exit Highlights Merkel’s Euro Problem – Der Spiegel

Posted on February 15, 2011 by macromon

A must read from Der Spiegel of the inside account of Axel Weber’s resignation. Bundesbank head Axel Weber’s resignation has made one thing clear: The debate about the future of the euro has become intense — and bitter. Indeed, Chancellor … Continue reading →

Posted in Black Swan Watch, Currency, Euro, Monetary Policy, Sovereign Debt, Sovereign Risk | Tagged , , , | 2 Comments

ECB About to PIIG Out on Bonds. Gold to the Moon.

Posted on November 30, 2010 by macromon

Just a few short weeks after German Finance Minister Wolfgang Schaeuble criticized U.S. monetary policy with his “with all due respect, U.S. policy is clueless” statement, the FT reports the ECB is contemplating expanding its sovereign bond purchase program.  That … Continue reading →

Posted in Black Swan Watch, Bonds, Currency, Euro, Fiscal Policy, Gold, PIIGS, Policy, Politics, Sovereign Debt, Sovereign Risk | Tagged , , , , | Leave a comment

Where is Gold Headed?

Posted on November 30, 2010 by macromon

In 1996, we visited the Bulgarian central bank at a time when the country was experiencing economic turmoil and a loss of confidence that the government could rollover its maturing debt.  After a long discussion on the domestic economy and … Continue reading →

Posted in Black Swan Watch, Commodities, Currency, Euro, Fiscal Policy, Gold, PIIGS, Policy, Politics, Sovereign Debt, Sovereign Risk | Tagged , , , , , , , | 1 Comment

Is Ireland’s Rescue Package a Veiled Bailout of the ECB?

Posted on November 23, 2010 by macromon

Not that it needs a one, but some in Ireland are starting to ask the question.   The European Central Bank exposure in Ireland is above €130 BN, a quarter of its book, and now wants its money back.  In the … Continue reading →

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Quote of the Day: “Although insolvent, Ireland is still liquid…”

Posted on November 8, 2010 by macromon

Morgan Kelly writes in today’s Irish Times, As a taxpayer, what does a bailout bill of €70 billion mean? It means that every cent of income tax that you pay for the next two to three years will go to … Continue reading →

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Europe’s Ricardian Equivalence vs America’s Keynesianism

Posted on October 11, 2010 by macromon

We thought this to be the most interesting chart of the recently released World Economic Outlook from the IMF.  Japan’s 2011 public sector funding requirement is a stunning 60 percent of GDP, which includes the rollover of maturing debt equivalent … Continue reading →

Posted in Bonds, BRICs, China, Commodities, Credit, Currency, Monetary Policy, Politics, Sovereign Risk | Tagged , , , , , , | 7 Comments