Dollar drops like a rock - February 29, 2008 15:06

The dollar has plunged drastically over the last couple days, falling to all-time and multi-year lows against several major currencies.  While dollar sentiment has been low for some time, its most recent decline has been largely attributed to growing concern over potential stagflation.  Stagflation is a combination of flat economic growth and rising consumer prices.

Did Mr Bernanke’s Speech To Congress Mislead The People? - February 28, 2008 12:34

Mr Bernanke went to congress to deliver the semi annual Monetary Policy Report today. For those of us who have the stomach to read the text of his speech it can offer some deeper insight into how the Fed is thinking.

Stagflation concerns face US economy - February 27, 2008 14:15

The US economy is facing what financial experts call ‘stagflation.’ Stagflation is a combination in which consumer prices rise faster than is desired, while the economy slows at the same time. Stagflation is a double edged sword and it is definitely not desirable.

Get Ready – Here Come the Gold Stocks! - February 26, 2008 13:58

You’d have to be a monk living in isolated penury to miss the fact that gold is on a tear. Specifically, it has risen from $277.75 on January 4, 2002 to $950 last week, a gain of 242% in just over 6 years. Over the same period, the trembling S&P 500 is up an anemic […]

A Junk Bond Collapse Is Bullish For Stocks? Someone Better Tell Citigroup - February 26, 2008 10:47

Yes, you guessed it. Someone out there in Fantasy Finance Land is of the opinion that a collapse in junk bonds is a signal to be bullish on stocks. I am really struggling not to start ranting about the stupidity contained in such a thought.

US economy still sluggish - February 22, 2008 10:00

Following a reading of the Federal Reserve Central Board meeting minutes from January, analysts are pricing a likely rate cut as high as .5 basis points into the financial markets.  Discussion during the meeting suggests the Fed intends to remain aggressive in its moves to combat the struggling economy.

Whoever Heard Of A Risqué Virgin - February 21, 2008 12:21

It was that hour between the FTSE cash closing and FTSE futures closing and I was bored. I don’t trade that hour, it’s too illiquid and can cost you a days earnings if you aren’t careful. So I did what I normally do and checked my emails, deleting the adverts and out of date stuff […]

Oil closes above $100 for first time ever - February 20, 2008 10:48

Oil futures closed above $100 per barrel for the first time ever today (February 19).  US equities gave up huge early gains in large part because of heightening inflation concerns.  While much of the government and Central Bank efforts have been focused on stimulating the stale economy, several members of the Fed have recently expressed […]

If it’s February then it must be the bank sector reporting season - February 19, 2008 10:54

We all know the talk about Banks exposure to toxic debt and the possible damage to the balance sheets to the point that its becoming a “normal” item on the newsfeeds. So, rather than bore you with the more of the same I thought it was time to look at the charts of banks due […]