Contributing Editors' Blog Entries

inoculatedinvestor's picture

Ben Bernanke delivered a speech yesterday that could mark a turning point in the Fed's views on and handling of potential asset bubbles. Despite Helicopter Ben's usual attempts to blame everyone else but the Fed for the housing bubble, at the very end of the talk Bernanke actually suggested that the Fed would consider using monetary policy to combat asset bubbles. What a start to 2010.

asiablues's picture

Despite its red hot streak in 2009, copper's continuous rally in the face of swelling inventories, a sign of weak consumption, has perplexed many in the market. Some even say copper is behaving more like gold rather than strictly a base metal. Could copper be the new precious metal?

Reggie Middleton's picture

For all of those who feel China is going to take over the free world, just remember that when you blow a bubble (particularly a balance sheet bubble) it is bound to pop. The damage from the pop invariably does more harm than the boost from the bubble. It has always been the case, particularly when leverage is involved - which makes the impact that much more devastating. If anybody can attest to this, it should be us Americans (British, Spanish, Irish, those from Dubai, Japanese...).