From Paul Krugman in the NY Times: Taking On China Tensions are rising over Chinese economic policy, and rightly so: China’s policy of keeping its currency, the renminbi, undervalued has become a significant drag on global economic recovery. Something must be done....Twice a year, by law, Treasury must issue a report identifying nations that “manipulate the […]
As mentioned in the Weekly Summary and a Look Ahead post, the NAHB Housing Market Index for March, and Housing Starts for February, will both be released early this week.Here is a graph showing the relationship between the two series: Click on graph for larger image in new window.This graph compares the NAHB HMI (left scale) with single family housing starts […]
My general outlook for 2010 is for sluggish and choppy growth. Usually the deeper the recession, the steeper the recovery - however recoveries following economic crisis tend to be sluggish (see: "The Aftermath of Financial Crises", Reinhart and Rogoff, 2009): An examination of the aftermath of severe financial crises shows deep and lasting effects […]
Roger Nusbaum is the Chief Investment Officer of Your Source Financial, a Phoenix based financial planning firm. Roger also writes about portfolio construction and management, investment products and economics on the Random Roger blog, is an outside contributor to TheStreet.com as well as providing commentary to numerous other media outlets. He has worked in […]
“Dick Fuld is going to be bankrupted and he’s going to spend the rest of his life in court fighting legal battles. There maybe others forced to do the same.” -Dick Bove of Rochedale Securities. Bove had all nine volumes of the examiner’s report printed and bound. (Barrons) > As it turned out, Lehman Brothers was the firm [...] […]
There is an interesting PBS series titled “Your Mind and Your Money,” with an extensive section on Behavioral Finance. There is a full run of video discussions with the likes of Daniel Kahneman of Princeton (Prospect Theory), Richard Thaler of University of Chicago (practical implications of behavioral finance) and Robert Shiller of Yale (How psy […]
How about this for a new and ingenious real estate money machine? Every time a house sells during the next 99 years, 1 percent of the price goes back to the original developer or is shared among investor partners. Ka-ching! […]
The 4th U.S. Circuit Court of Appeals on Friday ruled that Raleigh-Durham International Airport’s total ban on newspaper racks in its terminals is unconstitutional. […]
Chinese premier Wen Jiabao warned other countries not to pressure China over its exchange-rate policy, and argued strongly that the yuan isn't undervalued. […]
Retail sales increased a seasonally adjusted 0.3% in February from a month earlier. Sales excluding the volatile autos sales increased 0.8%. Compared with a year ago, sales rose 4%. […]