by Wolf Richter • • Comments Off on Federal Regulator Details Crazy Risk-Taking By Banks, Blames Fed
Banks are again taking the same risks that triggered the financial crisis, and they’re understating these risks. It wasn’t an edgy blogger that issued this warning but the Office of the Comptroller of the Currency. And it blamed the Fed’s monetary policy.
by Wolf Richter • • Comments Off on Just How Crazy Is The Biggest Credit Bubble in History? See The Doomed Muni Tobacco Bonds In Your Conservative Bond Fund
Ah, the spine-tingling pleasures of having this delicious breed of bonds in your conservative-sounding bond fund.
by Wolf Richter • • Comments Off on Investment Bank: The End Of US Economic Growth
“We fear that, once the effects of monetary stimulus disappear in the US, the weakness of the economy due to income inequalities may suddenly be revealed.”
by David Stockman • • Comments Off on Canary In A Handbag: Why Coach Hit The Skids
Coach just had an earnings fiasco. Sales plunged 21%. Prospects are worse for the period ahead. Store closings are coming. That’s the payoff for playing the destructive game of the Wall Street casino.
by Wolf Richter • • Comments Off on Fed’s Bullard: ‘The Bubble Was Developing Under Our Noses’
Wiping out in one fell swoop six years of carefully orchestrated propaganda, St. Louis Fed President James Bullard admitted the Fed had dropped the ball during the prior bubble that blew up the financial system, and that it’s dropping the ball again during the current bubble.
by Wolf Richter • • Comments Off on Last Time this happened, The Financial Crisis Broke Out
There comes a time when risk just disappears, when nothing can go wrong, when there are no dark clouds on the horizon. The Fed has a measure for it: the Financial Stress Index.
by Wolf Richter • • Comments Off on Real Economy Bites Housing Bubble 2
When the home-sales curve kinked south last fall, soothsayers had some handy reasons. And it would be temporary. Month after month, they came up with new reasons. Now they’ve used up all the good ones, but sales are still tanking.
