Live markets commentary from FT.com
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Anyone who hasn’t read the Securities and Exchange Commission’s complaint against Leon Cooperman and his hedge funds should do so ASAP, because it is a heckuva story.
Here’s a quick summary of the allegations, which Cooperman and his funds categorically deny: Read more
That is, by diluting if not outright abandoning the quantitative/ balance sheet expansion aspect of its policy with a move to QQE with yield control has the BoJ admitted that the current stage of central bank action is nearing its limits?
Citi’s Buiter et al seem to think so: Read more
– Bernanke and Beckworth on the BoJ’s new yield control policy.
– Branko Milanovic on how income inequality is cyclical.
– Lorcan on Target2, redux.
– Tony Yates burning through RSI to Tweet-critique Romer.
– How to hide it, back inside the offshore wealth management world.
– And persuasion in a post truth world. Read more
Dissenting central bank trio votes for an immediate lift Read more
A cryptic Tweet from Iron-Man Elon Musk stating “Turns out MCT can go well beyond Mars, so will need a new name…” delighted the tech/science internet community when it was posted on Sept 17. Read more
If you picked up the papers this morning you might have seen an interesting story about “a renowned conservationist” and an alleged £60m tax fraud. Here’s part of The Times’ take on it:
A renowned conservationist took part in a £60 million tax fraud marketed as a means of tackling climate change, a court was told yesterday. Read more
The Fed is expected not to raise rates at the conclusion of Wednesday’s meeting, but that doesn’t mean the FOMC statement or the subsequent presser will be uneventful.
On the table are a change in the trajectory of future rate hikes, a signal that the next hike is very likely in November or December of this year, and changes to the Fed’s estimates for US growth. Read more
Like the movement of a currency in 30 seconds time, The Mail’s editorial stance on binary-option trading is impossible to predict. Read more
– Kuroda’s conundrum
– The BoE on the unintended consequences of higher capital requirements
– Tyler Cowen on Dodd-Frank
– And Tim Duy on how the dots outlived their usefulness when they signaled a pace of policy tightening that never happened Read more
Elizabeth Warren tells John Stumpf he should be ‘criminally investigated’ over phantom accounts Read more
Three months down the line, enough time has passed to properly assess the impact of Brexit on the London property market. Read more
It’s almost BoJ comprehensive assessment time with Kuroda’s massive JGB purchases and NIRP policy standing naked beneath the spotlights awaiting judgement from their own creators.
Part of that judgment involves the pain that a NIRP and QQE induced flattening of the yield curve has wrought on financials. Thus, as we’ve talked about already, part of the recommended remedy might involve some sort of Japanese Operation Twist to steepen said yield curve and help out said financials.
Of course, the range of things the BoJ can actually do is large and the subject of predicable disagreement. So before we get to the yield curve question, here’s some summary for those who want it. Those who don’t can skip down to below the breaks. Read more
Technology startups aren’t known for their humility, but British unicorn Ve Interactive seems to have particularly ambitious forecasting.
In January 2015, the company confidently predicted close to a billion pounds of sales in 2016, along with an impressive £866m of profit, according to an investor document seen by FT Alphaville. Read more
“To say that most of the jobs we expect people to do today make full use of their potential is a vile slander, even if we are only measuring potential by the narrow standards of GDP” … Overcapacity, productivity and central bank largesse … Any paper that can say things like “our findings contradict the factional purge view” is ok by us … Love, friendship and public accounting don’t mix … Of Nordvig’s new shop … “‘Big Short’ guru tells whiny bankers to shut up” … Read more
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US police on Monday arrested Ahmad Khan Rahami in connection with bombings in the New York area over the weekend after a shootout that left the suspect injured. Mr Rahami, a US citizen who was born in Afghanistan, had been wanted for questioning concerning the Saturday night explosion in Manhattan that wounded 29 people, as well as a blast on Saturday morning in the New Jersey shore community of Seaside Park. Read more
The short answer: Both bondholders and issuers could be in an awkward spot.
Many corporate bonds have “floors” in place, which means their coupon payments can’t go below zero. But in a recent note, S&P Global Market Intelligence calls attention to a host of floating-rate securities that don’t have coupon floors. Read more
Knight Frank’s annual ski property review is out. The good news for the chalet market is… Brits don’t have that much of an influence on chalet prices these days, so Brexit’s been no problem so far. Read more
Here’s a snippet from the latest annual accounts of Ratesetter, one of the UK’s top three “peer-to-peer” lenders, and shows the startup taking £2m of risk on to its own balance sheet in order to fund a borrower in “financial difficulty”.
blockchain distributed ledger technology (DLT) of course.
The good news is that with the release of its new consultation paper on Friday titled A new RTGS service for the United Kingdom: safeguarding stability, enabling innovation, the BoE finally seems to be acknowledging that its real-time gross clearing system (RTGS) is far from perfect and does need overhauling.
But before we get to the role DLTs may play in that overhaul, some background on RTGS first. Read more
|FTSE 100 Index: FSI
As of Sep 15 2016 16:35
|FTSEurofirst 300 Index: FSI
As of Sep 15 2016 17:15
|Euro/US Dollar FX Spot Rate
As of Sep 15 2016 20:19
|ICE Brent Crude Oil Front Month: IEU
As of Sep 15 2016 20:40
|COMEX GOLD 1 FUTURES CHAIN Front Mon: CMX
As of Sep 15 2016 19:36