Posts from Monday Feb 18 2013

The Closer


Markets: The Tokyo stock market enjoyed a sparkling start to the week, but elsewhere signals were more cautious as investors struggled to rediscover the bullish impetus that has pushed many equity barometers to multiyear highs. Activity had been bolstered by the return of China to the trading fold – the Shanghai Composite index lost 0.5 per cent – after the country’s week-long Lunar New Year holiday. However, that was counteracted by Wall Street’s closure on Monday for President’s Day. (FT’s Global Market OverviewRead more

In America, bigger is better, especially when you’re a bank, and also defaulting

Bloggers on FT Alphaville are, from time to time, asked how we decide what topics or events to write about. This post is no tell all, but is rather an example of exactly how funny the road travelled can be.

The end of the road saw us reading about whether banks still can get much bigger (to fail), despite the regulatory and legislative efforts of the last few years, particularly in the US. What we found is that there’s a big escape clause in the legislation that makes us a bit queasy. Read more

Japanese investors, the AUD and everyone else

Japanese investors are a powerful bunch in world markets. For a microcosm of this, just look at Australia; Japan plays a big role here in debt and in turn, in currency; and it’s a market that has been very attractive to foreigners of late, keeping the currency stubbornly high regardless of price changes in the country’s key exported commodities. BUT, as with everything yen at the moment, there is a serious shift going on. Read more

Markets Live: Monday, 18th February, 2013

Live markets commentary from 

The (early) Lunch Wrap

G20 to Japan: Just don’t talk about it || UK defeated over banker pay curbs || Obama’s plan sees 8-year wait for illegal immigrants || Chavez is home || Anastasiades wins first round in Cyprus || Basel considers specifying VaR model time range || Readers’ Digest files for bankruptcy || Natixis to cut ties to retail lenders || Thailand grows at record rate || Dollar Sibor may be dropped || German growth depends on eurozone, says minister || New Man Group CEO Emmanuel Roman will shake up management || Only one in three support UK staying in EU || Chinese holiday week retail sales grew at the slowest rate since 2009 || Nigerian kidnappings || Not so sterling || Markets round up Read more

[Updated] Yes, but how much did China REALLY grow in 2012? How about 5.5%?

We’ve read two very interesting and distinct pieces of analysis today that raise quite dramatic questions about China’s GDP data. Yes, we know you probably weren’t too credulous to begin with, but the details of both are interesting. Read more

Turning mobile money into M0

In our previous post we explained why Jean-François Groff, CEO of Mobino, believes mobile payments systems could be a lot more honest and more money-like.

How does Groff’s company fit into it all? Well, his big idea really is to keep M0 (as economists like to call base money) exactly what it is, M0. Read more

Why central banks should take charge of their digital currencies

The mobile money/virtual currency arena is getting more and more crowded. And the question remains: will the concept ever gain the critical mass needed to become the next big thing in finance?

From Bitcoin to M-pesa, Square, Paypal, Dwolla and Ven (to name just a few) … the number of new concepts is piling up. Read more

Alphachat returns

Downloadable for your commute, we had a chat about a few topics we’ve been covering lately and even answered some of the questions you, the readers, submitted last week. If you want to jump directly to a topic, below is a time guide and some links we refer to in the podcast: Read more

Further reading

Elsewhere on Monday,

– Beating the twitter-infected index.

Grantham on progress in a resource-constrained world.

– NYT seeks Weisenthal correspondent. Read more

The 6am Cut London

Japanese stocks rallied and the yen fell on Monday as the G20 did not single out the country for criticism over currency manipulation. The yen weakened 0.6% to 94.12 and the Nikkei rose 2.3% by early afternoon in Tokyo, pulling the MSCI Asia Pacific Index 0.5% higher. (Bloomberg)(Reuters)

G20 to Japan: Just don’t talk about it. At the weekend, global finance ministers “signaled Japan has scope to keep stimulating its stagnant economy as long as policy makers cease publicly advocating a sliding yen”.(Bloomberg) Meanwhile Japan’s president Shinzo Abe on Monday referred again to changing the BoJ’s remit: “It would be necessary to proceed with revising the BOJ law if the central bank cannot produce results under its own mandate,” he said, referring to the new 2% inflation target. (Wall Street JournalRead more