Posts Tagged ‘transparency’

Notes From Underground: Tapering Is Tightening? So Spoke The Market

June 19, 2013

Today was the most anticipated FED news conference since TRANSPARENCY became the buzz word of the post-Greenspan era. The FED Chairman took center stage (he was deputized) to bring clarity to the issue of ending the FED‘s large-scale asset purchase program. Mr. Bernanke made sure that the financial world understood that tapering was not tightening. Well, the market may have heard but it did not listen. The Chairman’s words gave impetus to a selloff of  EQUITIES, BONDS and precious metals. Overall, the rise in interest rates evidently led to a deleveraging of a mass of positions dependent upon massive leveraged positions, especially in EMERGING MARKET CURRENCIES. The Brazilian real made four-year lows and the Mexican peso was also under severe pressure as higher U.S. interest rates are expected to force a repatriation of funds back to the safe waters of the U.S.


Notes From Underground: The Brothers GRIMM and other fairy tales

July 14, 2010

We have word from Europe that the stress tests done on their regional banks will be fair and transparent. Do we believe that to be possible? No way, no how. The stress tests will be dependent on the questions asked and if the DESIRED OUTCOME is already known, then the questions are, of course, self-fulfilling. Right or wrong, the elites of Europe are too vested in the EU project to let any genuine tests bring this “edifice” tumbling down. Helmut Kohl often opined that the major purpose of the EU was to secure the blessings of peace for its children and grandchildren. This dream will not die easily–noble ideas seldom do.