Category Archives: Federal Reserve

Is American Banking Safe? You Might Not Like The Answer from Two Fed Veterans

Walker Todd and Bill Bergman expose the untold story of banking instability, regulatory battles, and the struggle to protect the public.

Prices of New Houses Drop Further, -18% Year-Over-Year, Sales Drop, High Inventories Rise Further, Supply Jumps

More unhappy news on the residential real estate front: lotta unsold houses out there!

Why Biden Is in Trouble About the Economy

Why skeptics are correct to doubt the Biden Administration claims touting how well the economy had done under its stewardship.

Could It Be the Fed’s Mega-QE Created So Much Liquidity That Tightening Doesn’t Work until this Excess Gets Burned Up?

Financial Conditions loosen further: credit markets blow off the Fed to make sure “higher for longer” gets entrenched? That would be funny.

The Fed’s Bank Capital Three-Card Monte: Undermines Tighter Rules by Allowing Synthetic Risk Transfers to Famed Hedge Fund Bad Actors Like Magnetar, Ares

The Fed again seems unable to contain its bad impulses.

Wolf Richter: Why Longer-Dated Treasury Yields Spiked. It’s Not Magic: Yield Solves All Demand Problems

Tsunami of issuance meets Fed QT, Skittish Foreign Buyers, and US buyers demanding to be compensated for the risks of out-of-control deficits in an inflationary environment.

30-Year Treasury Yield Spikes Past 5%, 30-Year Mortgage Rates Hit 8%, Mortgage Applications Plunge

Treasury bond bloodbath, housing Market in deep-freeze, as delusions fade.

Acceleration of Inflation Continues, Core Services Inflation Spikes Despite the Massive Health-Insurance Adjustment

A year of health-insurance adjustments pushed down core CPI and core services CPI; inflation adjustments swing the other way next month.

September Producer Prices Confirm Tailwind of Falling Commodity Prices Has Ended

The commodity price break, which worked its way down to consumers, is ending. What next?

In the Footsteps of Ptolemy: The ‘Science of Monetary Policy’ and the Inflation of 2021-2023

The impenetrability of this continuously expanding Ptolemaic New Keynesian monetary paradigm is maddening.

Crisis Risks Looming, UK Edition

While a UK crisis is not yet brewing, there are plenty of worrisome developments that could keep moving in the wrong direction.

Happy Talk About US Slowdown a Recession Warning as China Growth Also Weakening

Recession complacency means things are wobblier than they seem.

Quelle Surprise! Bank Too Big to Fail Problem Not Solved as Lobbyists Scheme to Make It Worse

Bank lobbyists want to weaken bank regulations even after rich stakeholders in recent “not-to-big-to-fail “bank failures were rescued.

How the Fed Created the Post-2008 Global Safety Net for Banks

The “liquidity” support provided by the Fed to megabanks through cross-border lending in fact acted as subsidies.

Jobs Are Up, Wages Less So – and Lower Purchasing Power Could Still Lead the US into a Recession

Quelle surprise! Trends in wages indicate that the economy is less robust than the officialdom and financial press would have you believe.