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EconMatters

By EconMatters
Inflation Isn`t Moderating, It is Consolidating before the Next Leg Up
Inflation numbers of late have been helped by the drop in fuel costs, the agricultural grains have been brought down in the futures market by the overplanting of corn, but eating out for the weekend where shrimp, steak, other seafood and vegetables are consumed at dinner brings …

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By EconMatters
How to properly value European Bonds
This seems to be the biggest question in financial markets for me right now because the math just doesn`t add up any way you slice it. When you look at the pricing for European bonds this conclusion jumps out from an analyst perspective, either European bonds were analyzed and incorrectly priced two …

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By EconMatters
Sleepy August Closes Out
Lost in what is one of the lowest trading volume weeks of the year, and a really sleepy August month in general where many folks are getting to use some vacation time before markets start getting serious again in September after the Labor Day Holiday was another week of better than average economic data.  …

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By EconMatters  
Janet Yellen is the wrong Chairperson for this Monetary Phase
It is obvious in Janet Yellen`s brief tenure as Fed Chairperson that she is too dovish to be an objective leader at the Federal Reserve, she isn`t even the most qualified representative on the current configuration of the voting members. Her approach and economic philosophy might be acceptable

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By EconMatters
Antiquated Retail Sales Reports
It is obvious that retail sales numbers are going to be awful for eternity because they are antiquated reports that fail to adequately capture the changing consumer trend of shopping online.  Practically nobody is going to waste their leisure time going to a physical store when they can save time, gasoline, and easily search …

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By EconMatters
Fed Moving Targets
The Fed keeps moving their targets when they originally thought it was a good idea to provide forward guidance for markets, then when that guidance was met, they started moving the targets in order to justify pumpingmore liquidity and stimulus into the financial system for the benefit of the Big Banks. 
Labor Slack Argument
So …

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By EconMatters
Russian Invasion Tension
It occurred Friday morning while most traders were asleep in illiquid markets where the 10-Year was forced down to basically 2.35% in Yield first on Ukraine worries over the Russian buildup of troops on the Ukrainian border, and then on the announcement that the US would provide air strikes in Iraq to stem ISIS aggression.…

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By EconMatters  
Thank Goodness for Football Season
This weekend we got our first chance to see Johnny Manziel in a Cleveland Browns preseason game and the college football teams are in camp as we speak. So real time football is just a couple of weeks away, and thank goodness from just a pure entertainment standpoint as ‘baseball and golf …

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By EconMatters
West Point Speech & Foreign Policy Philosophy
It is ironic that President Obama in his West Point speech posited that the US couldn`t be the world`s police, and intervene in every single dispute all over the globe; and yet his foreign policy approach has ended up getting involved in every single dispute all over the world.
 
The…

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By EconMatters  
One of the arguments for why US Bonds are such an attractive investment even at these low yields is that relative to European Bonds the US Treasuries provide such a higher yield, but this analysis is shortsighted because it fails to take into account the factor of inflation. Once you adjust yields based upon inflation it tells…

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By EconMatters  
Jackson Hole Agenda
The annual Jackson Hole economic symposium, a three-day conference in Wyoming begins on Aug. 21 with the official topic of “Re-evaluating Labor Market Dynamics.” Sure, there will be debates from the Bullard camp who views that there isn`t near as much labor slack in the economy versus  the Yellen camp who believes that the …

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By EconMatters
Fading Strong Employment Reports
The trend in the bond markets the last several months, and basically all of 2014 has been to buy bonds in the dead periods of econ reports, or the econ reports that would be detrimental to their non-growth, more dovish Fed case. And the last several weeks have been similar to the prior months, …

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