Monetary Policy

Global Bond Investors Lose A Third Of A Trillion Dollars In One Day

Following yesterday's bond rout - which continues today - global bond nvestors have suffered $337 billion in losses on their bond holdings in a single day Wednesday "as Donald Trump’s election as U.S. president sparked concern his plan to boost economic growth will lead to a surge in inflation."

Everything Is Soaring As Trump Makes Buying Stuff Great Again

The global repricing of inflation expectations continues at a feverish pace in the aftermath of the Trump victory, leading to another surge in US equity futures, up 15 points or 0.7% to 2175 at last check, with Asian and European stock market all surging after the initial shock of Trump’s election victory gave way to optimism for fiscal stimulus will provide a boost to the global economy.  Commodity metals soared with copper surging the most since May 2013.

Trump Is Not Seeking Yellen's Resignation, But Won't Nominate Her For A Second Term

“He’s not urging her to resign at all,” Judy Shelton an advisor to Trump on monetary policy, told The Wall Street Journal. Janet Yellen’s term as chairwoman expires in February, 2018. However, while Trump won't seen her premature departure, Shelton suggested Trump wouldn’t nominate Ms. Yellen to a second term, and instead would name someone else to take the helm.

The Fed Has Failed: Business Investment Efficiency Is "Worst Since The Great Depression"

Economic policy objectives (monetary and fiscal) are meant to incentivize domestic private business investment, which drives incomes and the money multiplier effect, i.e. the engine of the economy. Economic policy objectives have failed because CEOs, the private capital allocators, simply cannot accommodate business investment when the demand function is as weak as we currently find it, no matter how available and how cheap the capital.

Will Trump Fire Janet Yellen? Here Is Wall Street's Response

One of the burning questions troubling Wall Street this morning is whether president elect Donald Trump plans on reshuffling the Fed, eliminating its so-called "independent" and perhaps going so far as firing or "requesting" Janet Yellen's resignation. to answer the question whether or not Yellen's role is in jeopardy, we went to the two most authoritative sources available: JPM and Goldman.

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Trump and Gold

Donald Trump's election as next US president has given the gold price a short-term 'uncertainty' trading boost. However, Trump's keen interest in the gold standard is a trend worth watching over the next 4 years.

Stunned Global Markets Wake Up To President Trump

As it dawned on markets that they had been caught dead wrong for the second time in half a year, first with Brexit and then with the historic election of Donald Trump, their reaction was identical: a slow selloff at first, followed by a furious dump, which led to a limit down halt in NASDAQ and Emini future trading. However, turbulence calmed as investors reassessed the effects of Donald Trump’s surprise victory in the U.S. presidential election.

Key Events In The Coming Presidential Election Week

The US election this Tuesday is the main focus of the week. The key economic release this week is University of Michigan consumer sentiment on Friday. There are several scheduled speaking engagements from Fed officials this week.