article thumbnail

Fed Openly Discusses "Permanently High Balance Sheet"; Lie Finally Admitted

MishTalk

Merits of Not Shrinking the Balloon When the Fed first launched QE, they stated they had the "tools" necessary to shrink their ballooning balance sheet. Once the Federal Reserve lifts interest rates from near zero, likely this week, the focus will turn to the other legacy of the crisis-era policies: the Fed's swollen balance sheet.

article thumbnail

Fed Balance Sheet vs. Stock Market; Will QE Cause Inflation?

MishTalk

Fed Balance Sheet vs. Stock Market; Will QE Cause Inflation? Fed Balance Sheet vs. Stock Market. The risk premiums of risky securities have become unsustainably compressed in the process, and the Feds balance sheet has metastasized to $3.5 Trading Psychology Weblog. Trim Tabs - Bidermans Daily Edge.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Market Cycles

CaseInterview.com

This can be an emergency savings fund or cash reserves on the balance sheet. Check out our privacy policy for details on how we protect and manage your submitted data. A lot of people assume, unconsciously or otherwise, that favorable conditions will persist pretty much forever. This is not realistic.

Marketing 105
article thumbnail

Central Bank Balance Sheets: What Will They Look Like in 2016-2017?

MishTalk

Central Bank Policy Rates Current Rates Bank of England: 0.50% Bank of Japan: 0.10% Fed: 0.00%-0.25% (currently 0.14%) ECB: 0.05% Central Bank Balance Sheets Three Questions Other than asset bubbles, what do we have to show for this? Reader Gary emailed a link to JP Morgan's Quarterly Market Guide.

article thumbnail

Create More Management Transparency

Johanna Rothman

I see many organizations succeed better when the less the manager knows, the better the team works. And, when there's too little manager-to-team transparency, the efforts become much more difficult or fail. That's because the managers don't explain: Why this product. The managers don't explain the purpose.

article thumbnail

Bank Profitability: Decoding the Income Statement

Tom Spencer

Bank’s Income Statement It’s important to note that banks have diverse product offerings and client types, and the reporting of business lines such as retail banking, wholesale banking, and wealth management can vary between different banks. Banks typically adjust their lending rates based on the central bank’s policy rate.

Banking 88
article thumbnail

James Grant Conference Video: Inflation Expectations, Growth, Policy Problems; Europe Has Become Japan

MishTalk

It is that money that has no counterpart on the balance sheet of a central bank indicating that it''s a liability. Mike "Mish" Shedlock [link] Mike "Mish" Shedlock is a registered investment advisor representative for SitkaPacific Capital Management. From this perspective of the bond market, Europe has become Japan.