Category: money

Posted on

Again, foreign exchange and bond yields looked flat today and I wonder if the US really wants lower rates.

The pound-dollar and euro-dollar were flat today, 27 February 2024, with the dollar yen making the biggest move between 9:14 am and 4:15 pm. According to data I obtained from Bloomberg, the GBP/USD increased three pips, from 1.2682 to 1.2685. The EUR/USD decreased four pips, from 1.0848 to 1.0844. The USD/JPY increased 1600 pips moving … Continue reading Again, foreign exchange and bond yields looked flat today and I wonder if the US really wants lower rates.

Posted on

I see baby Boomers seeking yield. Will the U.S. central banking system accommodate them?

In comments made last week by a number of members of the Federal Open Market Committee, traders and investors should hold their horses on a cut in overnight banking rates anytime before June 2024. There appears to be some sentiment among Committee members that reducing the overnight lending rate between banks (federal funds rate) and … Continue reading I see baby Boomers seeking yield. Will the U.S. central banking system accommodate them?

Posted on

The Federal Reserve, banking, and managing political theatrics ….

The Federal Open Market Committee issued a decision last Wednesday to maintain the target range of its federal funds rate between 5.25% and 5.50%. For banks that need to borrow from the Federal Reserve System’s discount window, rates for this lender of last resort facility is at 5.50%. Within the interbank market, banks will continue to see … Continue reading The Federal Reserve, banking, and managing political theatrics ….

Posted on

Should a president be allowed to manage the economy where she doesn’t provide actual facts?

If a president can’t give you full facts about the political economy, then should she be managing it? Last week, U.S. President Joe Biden announced that “inflation was at the pre-pandemic benchmark of 2 percent over the last six months of 2023.” The problem with this statement is that if year-over-year inflation was two percent during the … Continue reading Should a president be allowed to manage the economy where she doesn’t provide actual facts?

Posted on

Domestic mercantilism keeps the race question out of banking …

Lineage is the framework through which I see myself in this political economy. My views on the political economy are steeped in observing my family members participate in trade. I saw members of both sides of my family in the Eastern Caribbean act as retail and wholesale merchants. Through merchant activity they brought their communities value. Value gets … Continue reading Domestic mercantilism keeps the race question out of banking …