[Chart courtesy of MarketWatch.com] US stocks turned lower, sending the major equity averages down for a second straight day, as Democrats stuck to their guns on raising taxes for the richest Americans and eurozone differences continued to fester over a new banking regulator in the single currency bloc. In the latest round of US budget negotiations, the White House rejected …
More Fiscal Cliff Rhetoric With No Tangible Results; Weak Data Pulls Down Indexes
[Chart courtesy of MarketWatch.com] US equities finished lower as politicians in Washington restarted the rhetoric on how to manage the nation’s fiscal policy, and a measure of factory output showed unexpected contraction in November. The Institute for Supply Management’s index of manufacturing activity dropped to 49.5 in November from 51.7 a month earlier, signaling contraction for the first time since …
One Man’s Opinion: Does Monetary Policy Improve Structural Unemployment?
Federal Reserve Chairman Ben Bernanke has little control over US monetary policy and by using up all the traditional ammunition called the basis points by taking the Federal Funds Rate down to zero and indulging in this experimental medicine known as quantitative easing, Bernanke has pretty much abdicated control over the traction between the monetary policy and real economy, says Stephen Roach, …
Major Indexes Ride The Fiscal Cliff Roller Coaster; Funny Quote Of The Day
[Chart courtesy of MarketWatch.com] As I mentioned yesterday, increased market volatility is pretty much guaranteed to stay with us, and swings in either direction will depend on the latest announcements as to any progress in the fiscal cliff negotiations. That’s what happened today, as the indexes yo-yo’d up and down depending on who was making a speech or giving the …
Fiscal Cliff Jawboning Reverses Triple Digit Sell Off
Market volatility took on a new meaning today as the Dow rose 107 points after having slid way south to a loss of 112 points early on with all major indexes following suit in similar fashion. To be clear, nothing was resolved in regards to the fiscal cliff issue, but much jawboning by Speaker John Boehner and President Obama threw …
Equities Slip As Budget Worries Overshadow Alleged Greece Deal; Europe Rises
[Chart courtesy of MarketWatch.com] Equity ETFs edged lower as rhetoric over progress on budget negotiations by Senate Majority Leader Harry Reid triggered a late sell off that eclipsed better than expected Economic data and an alleged European deal on Greece aid. Investors mostly shrugged off strong reports on the US economy and positive developments in Europe. The S&P/Case-Shiller 20 city …