Archive - Aug 25, 2009 - Story

Consumers now taking their unemployment benefits (which are increasingly running out) and investing all the proceeds into FNM and C. Market rips, confidence goes even higher. Facts and $9 trillion upcoming budget deficit ignored.

"I want a comprehensive approach instead of a piecemeal approach"

• Bernanke to print dollars for seven more years, as Obama is set to announce a $2 trillion increase to budget deficit (FT)
• BofA denies misleading its investors on bonuses (WSJ), in other news its CRE loans are all fairly reserved at par
• Ball in Shanghai stock market roulette falls on red today (MarketWatch)
• Goldman's town hall (MarketWatch)
• Futures up presumably as massaged Case-Shiller data leaked; market attention span drops to sub-minute levels (Bloomberg)

• Asian stocks fell, Treasuries advanced on lower profit at Chinese cos, evidence of increasing loan losses in the U.S.
• Cash for clunkers filing time extended until noon ET Tuesday.
• China’s stocks fell for the first time in four days, led by commodities suppliers and banks.
• FDIC to ease entry for private-equity firms buying failed banks.
• Former Chair Volcker says money-market funds weaken U.S. Financial system.

A recent increase of 25bps by the Bank of Israel is a potentially bullish indicator.