Posts from Tuesday Jun 11 2013

The Closer


Macro Man on the EM sell-off — with lyricsRead more

When money multipliers become divisors

Alternative title: the slow death of the money multiplier.

Bank of America Merrill Lynch’s Michael Hanson and team note on Tuesday that while the world and its dog obsess about an upcoming QE exit, things continue to look pretty bleak on the money multiplier side of things. Read more

How about that, SEC & CBOE edition

From the SEC’s order setting out a $6m fine in a settlement with the Chicago Board Options Exchange, over some serious failings relating to this probe of an online broker’s obligations under Regulation SHO (on short-selling)…

Self-regulation is a unique and fundamental component of federal securities regulation in the United States…

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Here’s the thing about Abenomics…

It’s hard to escape the effects of demographic determinism.

Japan appears very keen to give it a shot, but aside from policymakers taking a disturbingly direct hands-on approach, their choices are somewhat limited.

From Credit Suisse: Read more

Translation competition: Algebris edition

Here’s a close up of the pic from ITV News that got tongues wagging on Tuesday. Click to enlarge. Young eyes recommended…

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The regulatory repo contradiction

Courtesy of Bloomberg, a fine addition to FT Alphaville’s ongoing coverage of the “collateralise everything” trend:

Goldman Sachs Group Inc. (GS) accepted almost 15,000 bottles of fine wine as loan collateral from a former high-ranking executive, according to a regulatory filing last month. Andrew Cader, a former senior director at Goldman Sachs’s specialist-trading unit, pledged a secured interest in the wines, which are primarily from the Burgundy and Bordeaux regions of France, the filing showed. Read more

Markets Live: Tuesday, 11th June, 2013

Live markets commentary from 

The (early) lunch wrap

Turkish police move in on Taksim Square in Istanbul || ECB prepares to defend monetary policy in German court || Eurozone banks cut cross-border debt holdings || World has 10 years of shale oil, reports US || Apple announces iOS redesign || US to crack down on virtual currency tax fraud || SoftBank raises bid for Sprint to $21.6bn Lululemon seeks new CEO Read more

Don’t mention the R word

That’s recession and the merest hint of the word sends Australian policymakers in to paroxysms of anger.

For example, here’s David Gruen (the Treasury’s chief macroeconomist) speaking before a Senate hearing last week.

From the Sydney Morning HeraldRead more

Guest post: Regrets, IMF had a few

The International Monetary Fund’s “ex post evaluation” of its involvement in the Greek bailout continues to generate debate over the weaknesses revealed. Gabriel Sterne, a senior economist at Exotix with two decades of public sector experience including at the IMF, argues that the issues for the fund go much deeper.

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Further reading

Elsewhere on Monday,

– Sleep is just very necessary .

– What has the government done to our ice cream?

Freeports are the safe-deposit boxes of the offshore tax-haven world… Read more

The London 6am Cut

Report urging bank shares handout ‘well researched’ says Treasury: “A report urging George Osborne to hand out shares in Royal Bank of Scotland and Lloyds to the public was described by the Treasury as “quite robust and well researched”. Mr Osborne is expected to set out his ambition to return the two banks to the private sector next week, with the Treasury eyeing a possible start of that process with a disposal of 10 per cent of Lloyds shares this year.” (Financial Times)

Better news on economy boosts house sales, says Rics survey: “The number of homes sold in the UK has soared to its highest level in three and a half years over the past quarter, according to a property survey. The Royal Institute of Chartered Surveyors said on Tuesday that home sales rose to their highest level since January 2010 in the three months to May on the back of better news on the British economy.” (Financial TimesRead more