Monetary Policy

 

• Fed stops short of the clarity global markets crave http://t.co/fdQUJlHDX3 Fed has shown that it does not understand global debt markets $$ Jul 12, 2013
• Unintended consequences made the PBOC?s strategy fail to work http://t.co/iQGNVFelw3 Highlights lack of liquidity in Chinese banking $$ Jul 12, 2013
• Bernanke Supports Continuing Stimulus Amid Debate Over QE http://t.co/oPhi1HGF40 Bernanke really doesn’t know, but he is afraid 2 tell u $$ Jul 11, 2013
• Bernanke reduces future policy accommodation &sez Fed is stimulating, then criticizes fiscal policy as tight for running smaller deficits $$ Jul 11, 2013
• Fed Affirms Easy-Money Tilt http://t.co/62OXSxaCNu Transparent communications requires many words & misunderstandings to get msg right $$ 🙁 Jul 11, 2013

 

Michael Pettis

 

• Pettis: An analysis that points to an unsustainable trend is always right if the trend turned out indeed to be unsustainable. $$ Jul 11, 2013
• Pettis: That it took many years before the limits were reached is not an indication the model was wrong. It’s how the economy works. $$ Jul 11, 2013
• Pettis does not like those who criticize those who pointed to unsustainable debt trends as “Stopped clocks that are right twice a day.” $$ Jul 11, 2013
• It’s impossible to precisely time leverage unwinds, merely seeing it in advance qualifies as a win, whether US Housing, Eurozone, China $$ Jul 11, 2013

 

PPACA [Obamacare]

 

• Obamacare called ‘The fiasco for the ages’ http://t.co/ZHFA72sIGe Call it an unforced error; stupid policy that destroys better policy $$ Jul 09, 2013
• Decision to Delay Employer Mandate Will Cause More Employers to Drop Coverage http://t.co/02lqVlAdxN Obamacare the dumbest idea out there $$ Jul 09, 2013
• Part-Time America http://t.co/ikzsOSOeaG There r more people “employed” but many have several part-time jobs, b/c of Obamacare [PPACA] $$ Jul 07, 2013

 

Rest of the World

 

• Haredim Harassing Women Prompt Ultra-Orthodox Backlash http://t.co/tj4aXNM7IU Q: has wailing wall become an idol 2 some Jews? $$ Jul 11, 2013
• After all, u can pray anywhere. God is everywhere, so he will hear u. Whether he will favor u is another matter. Jul 11, 2013
• Greek outlook bleaker than lenders think, local think tank calculates http://t.co/Ktuc9JMRUS Austerity should not increase from here $$ Jul 11, 2013
• Value of the Syrian Pound Hits an All-Time Low http://t.co/wz8t1hkqZP Unsound currency is a common casualty of any war, especially civil $$ Jul 10, 2013
• Pimco Shuns Korea to Turkey Covered Debt on Liquidity http://t.co/HN0wdw7xqo Liquidity is not free: requires quality, size & simplicity $$ Jul 10, 2013
• The Muslim Brotherhood?s Legacy: Controls, Shortages and Inflation http://t.co/GaTU9LBp16 Brotherhood wanted power for Islamic reasons $$ Jul 09, 2013
• Japan in a Bind on Planned Tax: Fears Are It Will Hurt Rebound http://t.co/43NQV3EXFd Far better to cut government spending; much wasted $$ Jul 07, 2013

 

Market Impact

 

• Hedge Funds Are for Suckers http://t.co/RBpyL1c84z There are limits to leverage, arbitrage, good ideas, no limits 2 high costs, though $$ Jul 12, 2013
• Property Crushes Hedge Funds in Alternative Markets http://t.co/SDCFgPHxxE Fell hard 2007-9, has come back hard since, but so have stocks $$ Jul 12, 2013
• US Banks Seen Freezing Payouts Under Harsh Leverage Rule http://t.co/ZRMqXy2Z2k This will eventually be gamed, as capital is squishy $$ Jul 11, 2013
• Corporate Insiders Shift From ‘Buy’ to ‘Sell’ as Bankruptcy Nears http://t.co/uk2QIagvIz Now u tell us. Really? Potent Inside information $$ Jul 11, 2013
• REITs Deepening Bond Losses as Leverage Forces Sales http://t.co/3fQ15I9ITC Is it possible we get another self-reinforcing selloff? $$ $NLY Jul 11, 2013
• SEC Lifts Ban on Hedge Fund Ads http://t.co/2jcKBcpDaS Probably a mistake, but let the big guys take their lumps w/survivor bias $$ Jul 11, 2013
• Senator Hatch says insurance firms can ease US pension crisis http://t.co/yAJMEf43zs Cute idea, but life insurance industry is 2 small $$ Jul 11, 2013
• U.S. Boosts Bank Capital Demands Above Global Standards http://t.co/J8jHFQ3Qdk Big banks will squeal, but their size poses systemic risks $$ Jul 10, 2013
• Kevyn Orrs’ plan for paying bondholders could cost Michigan cities http://t.co/vSLW5f8h2d 2nd-order effects r neglected by the desperate $$ Jul 09, 2013
• S&P Raises Puffery Defense Against US Ratings Case http://t.co/V0HGTyPjeV Reasonable. Wise investors know to ignore rating, read review $$ Jul 09, 2013
• The New Breed of Income Fund http://t.co/ryMg2SN47u Risks r higher on these funds b/c stocks r not as safe as bonds, they can fall more $$ Jul 07, 2013

 

Companies & Industries

 

• Fracking Firms Face New Crop of Competitors http://t.co/iVhNbNkQkw High profit margins drive competition; benefit goes 2 E&P firms $$ Jul 10, 2013
• Tanker Cars in Fatal Quebec Rail Crash Had Drawn Scrutiny http://t.co/O3i6GCVKEh Relative safety of pipelines becomes apparent post-fire $$ Jul 10, 2013
• Deadly Train Derailment Fuels Crude-by-Rail Concerns http://t.co/V3CPfaTGMP This was a case of operator error; it does not generalize $$ Jul 09, 2013
• Alcoa Facing ?Hard Decisions? on Aluminum Plants http://t.co/wuZO515yrS Plant shutdowns teach investors where good opportunities may be $$ Jul 09, 2013
• At 88, Former AIG Boss Is Building a New Empire http://t.co/I8x1siazJn He did not deserve to be thrown out of AIG; now he builds anew $$ Jul 07, 2013

 

Other

?

• Oregon Tuition Plan Punishes Graduates? Success http://t.co/Li3tr4X95J Will attract the less successful, paying 3% of earnings 4 25 years $$ Jul 13, 2013
• Math, Science Popular Until Students Realize They?re Hard http://t.co/UXA00o0Sqc Yes, math & science r hard & not squishy, but rewarding $$ Jul 12, 2013
• Gangs Ruled Prison as For-Profit Model Put Blood on Floor http://t.co/8HxXWEZ5sR Long article describing lousy control at some prisons $$ Jul 12, 2013
• Father Cancels Tiramisu to Cable Under Pentagon Furloughs http://t.co/kNdLn2PuEm Watch 4 the impact of the next round of base closings $$ Jul 12, 2013
• Can Spider Web Be Replicated? A Japanese Startup Thinks So. http://t.co/N4B0yKprnU Something 2watch, many uses 4 light ultrastrong fabric $$ Jul 10, 2013
• Non-Farm Payrolls Revisited – Strong Weaknesses http://t.co/JsMeYetfNh Part-time work grew, full-time work fell. Does this look healthy? $$ Jul 09, 2013
• Show Me the Jobs That Immigrants Steal http://t.co/mwfUqVVEUj Immigrants do things that the native-born won’t do. Who wants 2 pick fruit? $$ Jul 07, 2013

Wrong

• Dumb: Fed?s risky codependency with the markets http://t.co/KxfOrHxD9j Increased communication yields more losses than gains, duh $$ Jul 12, 2013
• Wrong: ?Middle-class revolution? fuels Pentagon war plan – MarketWatch http://t.co/CNxA1AO9JJ What a dope, Marketwatch should be ashamed $$ Jul 12, 2013
• Dumb: 8 Things Really Successful People Do http://t.co/EvhKoxfpWK Points 6 & 7: Religion necessary for Spirituality & Ethics $$ Jul 11, 2013
• Wrong: The Second Great Depression http://t.co/5WUd24YZlk If u don’t c the problem as 2 much private debt creating a boom, u don’t get it $$ Jul 10, 2013
• The Fed facilitated that boom, & when excess liquidity was gone, a scad of broken balance sheets resulted; leverage still 2 high now $$ Jul 10, 2013

?

Replies, Retweets, and Comments

• @auaurelija Not sure I would have analyzed it that way. That piece only highlights increases, and many cos in the table still have low debt Jul 12, 2013
• @felixsalmon Yes, & the dual mandate led to providing too much stimulus 1987-2007, leading to the mess we r in now. Single mandate better Jul 12, 2013
• @auaurelija So where do you see the increase in leverage? Most companies seem not to be doing that, as far as I see. Jul 12, 2013
• RT @pdacosta: The Fed’s message to the markets is clear: the path of rates will depend on stuff happening or not happening. Jul 12, 2013
• A great time w/ @japhychron as we discussed math, computing, economics, security, secuities, equities, bonds, FX, banking, & work. Jul 11, 2013
• “I disagree; there is emotionless investing. It depends on realizing that you have a long time?” ? David_Merkel http://t.co/qoT1BrMgIt $$ Jul 11, 2013
• RT @ggreenwald: Don’t worry: a court that meets in total secrecy, housed inside the DOJ, with only the Govt allowed to be present, is reall? Jul 08, 2013