Tag Archives: Bankers

  • Blog

    Feds In A Box – Unwinding May Not Be So Easy

    by Chris Martenson

    Thursday, September 10, 2009, 9:19 PM

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    One of the key questions is, “Can the Fed ever unwind all of the positions it has taken on from failed banks and Wall Street firms?”

    This is an important question, because if the answer is “No, at least not precisely when they wish to do it,” then it raises the risk that all that hot money will prove immune to efforts to recall it and it will whiz around creating all sorts of monetary trouble.

    Now that the Fed has declared that the recession has ended and green shoots are everywhere, the next obvious part of this journey will have to be the unwinding of the massive amounts of stimulus and thin-air money that has been injected into the system.

    Certainly after watching the risk-money out-chasing junker stocks well up off their lows, we can surmise that the speculative animal juices are flowing again and that the Fed might want to consider taking away the punchbowl.

    Instead, today the Fed bought another $18.8 billion net ($32.4 billion gross) in agency mortgage-backed securities, which represents the exchange of thin-air money for GSE MBS paper.

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  • Blog

    Daily Digest – Apr 18

    by Davos

    Saturday, April 18, 2009, 3:55 PM

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    • Schakowsky: Tea parties ‘despicable’
    • Just how inane Schakowsky’s comment is
    • Markets Rise After Tax Day Tea Parties
    • State Tax Collections Decline…. Sales Taxes with a Record Drop (Chart)
    • Green Shoots Are For Suckers
    • Report: One-Third of REOs Seriously Damaged
    • Fed’s Yellen: A Minsky Meltdown: Lessons for Central Bankers
    • Summer 2009: The international monetary system’s breakdown is underway (H/T HukleJohn)
    • Hey, Economics Geniuses! What Happened? (H/T James)
    • IMF warns over parallels to Great Depression (Video)
    • Eurozone Industrial Production Collapse (Chart)
    • A ‘Copper Standard’ for the world’s currency system? (H/T Cat233)
    • State Unemployment Spike (Chart)
    • Read More »