EB's blog

No doubt this will be spun as an "editing error". We've heard this before: "fake, but accurate", right? Will FOX news anchor Bill Hemmer resign in disgrace?

Despite Treasury being a few post-SFP weeks from stealing Mubarak's M.A.D. spotlight, TBAC minutes reveal just how it will crowd out the private sector permanently (Sack-Frost makes debut appearance).

Want to front-run the Fed? If you're Jamie Dimon, there's no need to parse FOMC statements or obscure speeches by Fed governors. No need to analyze hundreds of Treasury securities. Even hiring expert networks staffed with ex-Fed officials is unnecessary. No, if you're Jamie Dimon, you go straight to the top and break bread with William Dudley, ex-Goldmanite president of the NY Fed.

Competitive bidding? Yah right. And, our word of warning to incoming House Speaker John Boehner.

While Bernanke was putting the finishing touches on QE2 in DC, 50 global financial regulators met at the New York Fed to discuss regulation of world's largest market. Instead of financial reform measures, what is being created is simply a massive new power center headed by the CFTC from which those at the top will vainly attempt to manipulate market prices and entrench favored institutions within the new framework.

Treasury issued its QE2 cheat sheet this morning. Also learn how Basel 3 will turn banks, traditionally known for taking deposits and lending, into hedge funds for sovereign and IG corporate debt. Loan sharks to presumably pick up the lending slack.

See the 1940 Dow analog, when the markets crashed in May and again during election week.
Bonus: Murphy v. Krugman update...nearly $50k raised to date.

Two simple charts tell it all. Bonus: at the end, we explain how to make Paul Krugman squirm.

As the markets got their first dollop of post-roboforger risk unwind yesterday, the barbarous relic has been relegated to second tier news status despite making new all time highs (at least versus the routed USD). We thought it would be worth reviving a once forgotten, but recently revived, method of technical analysis, especially as it is suited toward evaluating gold's parabolic rise.

In preparation for a lost eon, the BoJ took center stage this morning in its latest attempt to form the funniest chart ever (USD/JPY). However, a largely unnoticed speech by Brian Sack yesterday telegraphed an important shift in FOMC policy that will give the Fed ample resources to create its own knee slapper (USD/Everything Else).

Last week, the assorted regulatory freaks were busy patting themselves on the back, and our intrepid printer-in-chief himself made the rounds Thursday morning with appearance no. 2 of his Whip Deflation Now tour. Stay tuned to learn which deceased Fed Governor stated at the Sep *2002* FOMC meeting in no uncertain terms that there was in fact a housing bubble underway.

On June 30, 2010, Maiden Lane celebrated her second anniversary, though her composition was mark-to-markedly different than the $30 billion toxic brew of Bear Stearns assets with which she was originally stuffed. We first revealed the curious trading performed by BlackRock Financial Management on...

Just in case there was any doubt...

Despite the pleas of Dr. Athreya to the contrary, Rick Davis of the Consumer Metrics Institute boldly goes where no BLS statistician or Fed economist dares...that is into the upstream consumption data (gathered in real time, no less) that leads the taxpayer-subsidized bean counters' work by up to seven months. While it's no surprise that all is not well on the H2 2010 horizon, CMI tells us specifically what to watch out for.

Gone are the days when "green sh#%ts" was bleated daily on CNBC amongst a chorus of permabull snorts. Even the experts now recognize the recovery as a BLS swindle, and it is important to reintroduce the possibility of not only a low growth future, but one of outright and persistent contraction.