Thursday links: easy easing

19Mar09

Let the quantitative easing begin!  The Fed pledges to buy Treasury bonds in an attempt to lower borrowing costs across the board.  (WSJ.com, NYTimes.com)

Shock and awe.  Quantitative easing might work, but it may come at the expense of higher inflation.  (naked capitalism, Marginal Revolution, Econbrowser, Economist.com, Curious Capitalist, Aleph Blog)

A cautionary take on the true motives behind quantitative easing.  (Baseline Scenario)

If QE wrecks the US dollar, where will investors seeking a ‘safe currency’ turn?  (FT Alphaville also Bespoke)

Is the Eurozone next for quantitative easing?  (FT Alphaville, Real Time Economics)

The market is betting on stuff, i.e. commodities, after the Fed announcement.  (Clusterstock, 24/7 Wall St.)

Has there been a shift, however small, in market sentiment?  (The Balance Sheet)

Is a stock market bottom going to prompt more large mergers?  (24/7 Wall St.)

Big acquisitions are not going to help big tech become market leaders again.  (Clusterstock)

Can there be a sustained rally without a turn in global trade, i.e. shipping?  (Financial Ninja)

Citigroup (C) has become hard to borrow.   Ergo, big rally. (WSJ.com Zero Hedge, Daily Options Report, Don Fishback)

All is well, remain calm.  GE Capital says it is on sound footing.  (WSJ.com, Clusterstock)

On the value of David Swensen’s advice to individual investors.  (Market Movers)

A look back at some big hedge fund closings.  (DealBook)

Hedge fund replication is out and investable hedge fund index is in  (All About Alpha)

On the interaction between market volatility and momentum profits.  (SSRN.com)

Time to start recycling some ‘venerable’ names from the history of finance.  (breakingviews.com)

On the magnitude of the current Chinese bear market.  (Time.com)

Wouldn’t it be nice if we could point to a single villain as the cause of the credit crisis?  (Economist’s View)

Congress is in an uproar about AIG.  What about the automakers? What about Congress itself?  (Deal Journal)

Is the supposedly healthy part of AIG in trouble as well?  (Newsweek.com)

How the AIG meme spread.  (FiveThirtyEight.com)

Eastern Europe is well-represented at the risky end of the country risk scale.  (FT Alphaville)

Banks are lending?!?  Seriously?  (Real Time Economics)

Are we expecting too much of Tim Geithner?  (NYTimes.com, Dealbreaker)

“The crisis has exposed how little progress economists have made on many important macro questions during the last ten years and how out of touch many economists became. ”  (Free exchange)

“Instead of treating cash simply as a tool to be wielded with objective precision, we allow money to reach inside our heads and tap into the ancient emotional parts of our brain, often with unpredictable results.”  (NewScientist.com)

Another take on the ‘stadium naming rights curse.’   (SportsBiz)

Thanks for checking in with Abnormal Returns. Feel free to contact us with any questions and/or comments.

Advertisements


%d bloggers like this: