After continued months of financial experts, market pundits, and government reassurances that there is nothing wrong with our economy and that there’s nothing to be concerned about in the marketplace, the Treasury Department and the Federal Reserve convened a weekend meeting with major global financial firms and investment banks to come up with a plan [...]
Federal Reserve
Lehman Brothers Sale?
As soon as I watched the markets soar within the last few minutes of trading today, I knew something was up. I smell indirect Fed intervention. According to the WSJ:
Lehman Brothers Holdings Inc. (LEH) is actively shopping itself to potential suitors, including Bank of America Corp., people familiar with the matter said Thursday.. Bank of [...]
Bernanke on Economic Shrinkage
It seems that just recently, Ben Bernanke, the Fed Chief, was asked about the risk of shrinkage in the economy. As reported by Mr. Bernanke in this Fortune.com article:
“The risk that the economy has entered a substantial downturn appears to have diminished over the past month or so,” Bernanke said this week at a conference [...]
One-Year T-Bill Auction
With all of the economic data due this week that could affect the direction of stock market, we tend to forget about issues involving the bond market.
Tuesday marks the debut return of the One-Year T-Bills (pdf). The degree of success the Fed has in selling these new issues will determine the fate of all the [...]
Frederic Mishkin Resignation
The Wall Street Journal and the WSJ Real Time Economics blog reported today that Federal Reserve governor Frederic Mishkin has tendered his resignation and plans to leave the Fed in August.
Now, most average individual investors would say “Who the heck is Frederic Mishkin?”. But, I’m a little different. I know about Frederic Mishkin only because [...]
Has The Dollar Reached Bottom?
It’s been rumored that the Fed has reached a point were they won’t be lower rates again. “Talk” is that the quick response of the Federal Reserve to lower rates has already done it’s job to stimulate the economy. Now “talk” is focusing on the concern not to lower rates so far as to [...]
Free Market Failure
After all this time waiting for the right opportunity to capitalize on a market downturn, it looks like I may not have moved quite fast enough to get back into the stock market. I can’t say that I’m not majorly disappointed in how things transpired.
Who in the world could have predicted such massive and unprecedented [...]