SAO PAULO | By Marcus Nunes | For less bounce! The Philly Fed has called the measure of GDP obtained from “crushing” the usual measure of GDP (expenditure based) and the income-based measure GDI GDP plus…
SAO PAULO | By Marcus Nunes | When Bernanke took the Fed´s helm the gap had been closed. What happened going forward, in particular the complete loss of nominal stability in 2008, which made the financial crisis immensely more severe, is the doing of the Bernanke Fed.
LONDON | By Barclays analysts | We now expect Fed to taper in March 2014. The September payroll report was on the soft side, with nonfarm payrolls rising 148k and private payrolls rising only 126k. These numbers were below our (200k) and consensus (180k) expectations for headline payroll growth. In light of the moderate tone of the September employment report, we have pushed out our expectation for the first Fed tapering in the pace of asset purchases to March 2014 from December 2013.
MADRID | By JP Marin Arrese | In the aftermath of the last minute deal brokered in Congress to avoid a devastating US default, Obama warned against turning disagreement into highly disruptive “dysfunctionality”. A rather mild way to portray the utter economic wreckage any further delay in solving the debt ceiling deadlock would have prompted. Faced with a similar challenge in a couple of months, he chose to play down the reckless Republican attitude in the House, praising instead the bipartisan efforts to prevent the worst from happening.
PUERTO RICO | By Benjamin Cole via Marcus Nunes | Some might say I have a sociopathological hatred for quantitative easing, an atavistic reaction that compels me to find reasons, sensible sounding or otherwise, for detesting and opposing QE. But I have many reasons for opposing QE.
MADRID | By JP Marin Arrese | Markets are largely disregarding the Tea Party zealots’ threat to shut down both the Federal administration and the country’s ability to honour its obligations. They bet a last-ditch attempt to find a compromise, will break the current deadlock.
WASHINGTON | Two online games posted in two regional Federal Reserve’s banks (San Francisco and Atlanta) enable us to forecast that the extremely accommodative US monetary policy will continue for a long period of time.
WASHINGTON | Real salaries will keep falling, which in turn will mean less savings and more private debt, erasing the de-leveraging gains of the last five years.
MADRID | By Tania Suárez | Analyst at Hanseatic Brokerhouse, Juan Enrique Cadiñanos believes the US economy’s expansive cycle will not affect the Eurozone because “Europe does not work as a group.”
MADRID | In a year where most developed economies are engaged in austerity packages, contagion from a weakened US economy poses a real problem.