Topic: Financial Markets

Cryptocurrency, Financial Markets, International

El Salvador and Bitcoin: A Love-Hate Story

– July 25, 2022

“El Salvador can be seen as either a pioneer in the world of cryptocurrencies or as a country that is reckless in its government finances.” ~ Daniel Fernández

Crisis, Energy, Financial Markets, Inflation

Leave the Gas Station Owners Out of It

– July 6, 2022

“Saddling gas station owners with the blame for a particularly damaging aspect of the ongoing inflation increase is, beyond wildly inaccurate, irresponsible and morally unconscionable.” ~ Peter C. Earle

Economic History, Financial Markets, Government, Inflation

Stocks and Bonds Hurt Alike Under Stagflation

– July 1, 2022

“When bonds and stocks decline a lot and simultaneously it suggests inflation is rising rapidly even as the economy is stagnating or contracting (or will soon do so). For most economists today, that combination is near-impossible.” ~ Richard M. Salsman

Central Banking, Financial Markets, Monetary Policy

Will Federal Reserve Losses Impact Fed Shareholders or Affect Monetary Policy?

– June 25, 2022

“Since it started raising interest rates, the Fed has already experienced mark-to-market losses of epic proportions, and will soon face large operating losses, something it has never seen in its 108-year history.” ~ Paul H. Kupiec & Alex J. Pollock

Cryptocurrency, Financial Markets, Government, Regulation

Are Cryptoassets The Great Scam?

– June 20, 2022

“The regulations in the Lummis-Gillibrand Responsible Financial Innovation Act, made public on the same day as publication of Krugman’s article, are far more likely to provide a brighter future than prohibiting cryptocurrencies, stablecoins or other digital assets.” ~ Gerald P. Dwyer

Crisis, Financial Markets, Government, Inflation

No, Putin Didn’t Cause Inflation

– June 13, 2022

“Allowing politicians to blame Putin, corporations, shipping firms, billionaires, insufficient taxation, ‘greed,’ or other tired scapegoats is erroneous and misleading.” ~ Peter C. Earle

Crisis, Financial Markets, Inflation, Monetary Policy

Making Sense of Monetary Policy and the Future of Inflation

– June 10, 2022

“The expansion of circulating currency has diminished to rates comparable to pre-pandemic lows. These factors and the current state of business inventories suggest that inflationary pressures are likely near their limit.” ~ James L. Caton

Currency, Financial Markets, International

The US-China Currency Rivalry: Choosing Sides

– June 8, 2022

“Whether China’s currency will shave off a sizable portion of the dollar’s global usage is yet to be seen. Still, there is no doubt that the world is entering a new monetary rebalancing.” ~ Ethan Yang & Dorothy Chan

Financial Markets, Inflation, Monetary Policy

Inflation Slowed in April, But Remains High

– May 30, 2022

“The Fed increased its federal funds rate target by 50 basis points in May 2022 and looks set to follow with similar rate hikes in June and July. The price level data from April shows no anticipatory effects of the policy.” ~ William J. Luther

Cryptocurrency, Economic Education, Financial Markets

When A Dollar Isn’t a Dollar

– May 28, 2022

“A few weeks ago the stablecoin called TerraUSD broke its peg from the dollar and collapsed along with the protocol’s flexible price LUNA token, and now you know why.” ~ Joshua R. Hendrickson

Financial Markets, Inflation, Monetary Policy

Inflation: What Causes It, and When Will it Subside?

– May 18, 2022

“The growth rate of currency in circulation has been back to pre-crisis rates for at least 2 quarters. We should expect inflation and the growth rate of expenditures to follow and inflationary winds to subside as a result.” ~ James L. Caton

Economic History, Environmentalism, Financial Markets, Free Markets

A Musk Inspired Anti-ESG Takeover Wave?

– May 16, 2022

“If incentives cannot be better aligned between management and stockholders from within, then somebody from the outside must step in so that the economy doesn’t suffer the large costs associated with underutilized assets.” ~ Robert E. Wright