Economics & Markets

European Banks – Time for some Creative Destruction?

European Banks – Time for some Creative Destruction?

6 mins. to read

By Bill Blain – Strategist at Mint Partners Well placed rumours say a number of large European banks are about to pull out of investment banking and markets. Credit Suisse is said to be mulling the closure or sale its investment bank and focus on Wealth Management instead. This comes on the back of similar…

Towards A New Monetary System

Towards A New Monetary System

7 mins. to read

While the US Federal Reserve and the ECB have been busily adopting counter-cyclical measures aimed at stabilising economic growth and price increases, commercial banks have been at the other extreme, always frustrating such measures and acting pro-cyclically. The Fractional Reserve system that allows for faster credit creation than the economy can absorb is the main…

Badger of Broad Street: when markets feel uncertain on direction, it’s a sure sign something is going to change

Badger of Broad Street: when markets feel uncertain on direction, it’s a sure sign something is going to change

4 mins. to read

There are times when this Old Badger just doesn’t know where markets are going next. What I do know is that when markets feel uncertain on direction, it’s a sure sign something is going to change. The direction of bond, commodity and stock markets depends on answering a simple question: Is the world headed for…

Tuesday’s Stock Market Report featuring IAG, Antofagasta, Micro Focus International and AdEPT Telecom

Tuesday’s Stock Market Report featuring IAG, Antofagasta, Micro Focus International and AdEPT Telecom

3 mins. to read

The Markets Activity in the UK services sector accelerated during March according to the latest PMI survey data, which suggested the sector experienced its quickest rate of expansion since August. Markit, which carries out the industrial surveys, said that results for the first three months indicated UK GDP growth of 0.7%, which would be a…

Get Ready for an Emerging Markets Crisis

Get Ready for an Emerging Markets Crisis

8 mins. to read

Planting the Seeds The financial crisis of 2007-2009 is often seen as one of the worst ever crises faced by the US economy. The capitalisation of the S&P 500 was halved, the unemployment rate was doubled, and the Federal Reserve had to go out of bounds in rescuing the economy to avoid the collapse of…

Foot Soldiers in Practice

Foot Soldiers in Practice

4 mins. to read

As my contribution to this first edition of Master Investor, I have decided to clarify some points concerning regulation of AIM. This is partly because it is not understood and partly because it is complex and unusual. AIM is a division or franchise (as the LSE likes to promote it) of the London Stock Exchange.…

Mellon on the Markets – Europe’s Phoney Recovery

Mellon on the Markets – Europe’s Phoney Recovery

8 mins. to read

Jim’s top 3 thoughts of the month: 1 – QE will not successfully stimulate European economies. 2 – After making 130% on Apple, I would now go short. 3 – Synergy Pharma as trading buy. I am writing this in my flat in Berlin, looking out over the Reichstag, scene of heavy fighting at the…

The Fed’s View On Price Stability

The Fed’s View On Price Stability

8 mins. to read

Economic analysis by Filipe R. Costa Long gone are the days when central banks used to target monetary aggregates in order to attain price stability. Until the early 1990s, central banks thought the correlation between the money supply and inflation was strong enough for them to be able to define as their intermediate objectives some…