Posts from Tuesday Oct 22 2013

The Closer


Peter Eavis and Felix Salmon on the JPM settlement. Read more

The kids are moving out

The chart from Goldman Sachs shows that the share of 18-34 year olds in the US who live with their parents has (possibly) peaked and started to decline.

This is the subject of much talk about the boomerang generation and Millennials and whatnot, but it also has great relevance for the recovery of the housing sector and overall economic growth. Read more

Ground-truthing at Threadneedle Street

So, McKinsey consultants will be allowed to stalk the halls of the Bank of England, to review “strategic investment decisions, working methods, and allocation of time and resources.”

FT Alphaville already have some ideas. Read more

September payrolls: +148,000, and unemployment rate 7.2 per cent

Patience in waiting for the September employment situation report was rewarded with another letdown.

Aside from a modest upward revision to the August payroll numbers, which itself was partly offset by a downward revision to July’s, there was little to feel good about in this report. Read more

You’ll never be a Yale superman

David Swensen is an investing superman. His pioneering use of alternative investments after he took over the Yale endowment in 1985 prompted a thousand imitators and created an industry.

Indeed, the Yale model became the endowment model, so widely was it embraced. Then, with alternative investments legitimised as suitable for big investors, pension funds began to follow his lead, albeit tentatively. Read more

Markets Live: Tuesday, 22nd October, 2013

Live markets commentary from 

The (early) Lunch Wrap

Good morning New York,

NEWS Read more

A wide circle for stability, with the FPC

Not surprisingly, and as Financial Policy Committee external member Martin Taylor predicted, his comments on the housing market have got plenty of attention.

Reading his speech from Monday though, we think there was another comment in there worth keeping an eye on.

It’s clear that the safety of the banking system is an absolutely central objective, and one which the FPC has already worked on and will continue to address. But is that enough?

 Read more

So, Australia has a debt ceiling too

Noted simply because we didn’t know it existed before:


Limit on stock and securities on issue

(1) The total face value of stock and securities on issue under this Act and the Loans Securities Act 1919 at any time must not exceed $300 billion

 Read more

Further reading

Elsewhere on Tuesday,

– Is alpha dead? Read more

The 6am London Cut

Markets: Australian stocks advanced to fresh five-year highs, but sentiment in Greater China markets dimmed after new home price data showed efforts to cool the mainland property market have yet to have any tangible impact. (Financial TimesRead more