Posts from Monday May 7 2012

The Closer


Bank stocks led the S&P 500, which ended mostly flat, up 0.04 per cent to 1,369.58. The Dow Jones Industrial Average closed down 0.23 per cent at 13,008.53 (Reuters). Read more

Cullen Roche in the FT

Previously we covered the belated entrance of Modern Monetary Theory into mainstream discussion after a long Washington Post article.

Cullen Roche of Pragmatic Capitalism, formerly a proponent of MMT until recently switching to a related theory known as Modern Monetary Realism, has an op-ed in today’s FT that we think is worth reading for a succinct take on how the beliefs of these heterodox theories apply to the recent financial crises in the developed world. Read more

One giant leap for America’s credit cards

Quite a blow-out in March’s US consumer credit numbers…

Highlighted in the chart below… Read more

We pause for some big-picture good news

This chart from Credit Suisse is included in a note about the graying of America and the developed world’s demographic problems and future runaway deficits and frightening old-age dependency ratios and blah blah bliggity blah

These are difficult issues and we’ll continue to write about the financial and economic implications of same, but this blogger returned from holiday about five minutes ago and feels like looking on the bright side of things for just one post. So instead we’re going to think about this in the happier and more obviously humane context of living standards rising and people living longer: Read more

‘Loosening’ the memorandum



 Read more

Hollande win, Greek deadlock – the analysts react

It’s a Bank Holiday Monday in the UK so analysis is pretty thin on the ground. But here’s the best of what we have so far. A quick recap: François Hollande won the French election, while the Greeks rejected the country’s main austerity focused parties, opening the country to political uncertainty.

From Kit Juckes at Societe Generale: Read more

Overnight markets: Down

Asian markets
Nikkei 225 down -248.60 (-2.65%) at 9,132
Topix down -18.80 (-2.37%) at 774.07
Hang Seng down -512.86 (-2.43%) at 20,573

US markets
S&P 500 down -22.47 (-1.61%) at 1,369
DJIA down -168.32 (-1.27%) at 13,038 Read more

The 6am Cut London – election edition*

Francois Hollande claimed victory in France and Greece’s two biggest parties were left without a clear majority in election results seen as a challenge to austerity policies, says Bloomberg.

Greece may face another election within months even if New Democracy and Pasok do scrape together a majority coalition, as official projections indicate, says the FT. Minority parties drew Read more