Moody’s upgrades Greek government debt

Yesterday the Eurozone received some positive – though largely symbolic – news. Moody’s decided to upgrade the rating on Greek government debt from C to Caa3. It’s an important psychological step for the area because Greece was the flashpoint for the Eurozone crisis. Here is the rationale for Moody’s action:Moodys: – (1) The signi…

Eve Of Inflection

By George Acs:

Thanksgiving is that time of year when many sit back and think about all of their bounty and good fortune in the past year.

Sometimes the processes of reflection and introspection bring about inflection. Sometimes reviewing where you’ve been and where you appear to …

Book Review: Code Red

This is a tough book to review.  It is correct in analysis of what went wrong, but overpromises in what its main goal is — protecting assets before the next financial crisis. Let me take a step back, and describe the structure of the book.  A major goal of neoclassical macroeconomics is to try to […]

Rising systemic risk in China?

I got quite a few responses to my post when I speculated about the possible outcome of a Chinese hard landing (see What a Chinese hard-landing might look like). Many readers took offense at what I wrote and characterized it as fear-mongering.They got me wrong. No one knows whether China will experience a hard landing, but I sketched out several scena…

The "Anti-Widowmaker" Trade: Get Paid To Wait For The Japanese House Of Card To Collapse

So many traders think the key to investment riches lies in buying at the bottom or selling at the top: Such a fine but misguided notion. The cold reality is that unless one has (illegal) inside information, you will only transact at these locations by pure happenstance. The best managers can enter a position in a zip code near the bottom or top…

Guest Post: Krugman’s Adventures In Fairyland

Submitted by William L Anderson of The Ludwig von Mises Institute,
After studying and teaching Keynesian economics for 30 years, I conclude that the “sophisticated” Keynes­ians really do believe in magic and fairy dust. Lots of fairy dust. It may seem odd that this Aus­trian economist refers to fairies, but I got the term from Pau…

Grant Williams On Flushing The Impurities Of QE From The System

Grant Williams "pulls no punches" in this all-encompassing presentation as the "Things That Make You Go Hmmm" author reflects on what is behind us and looks ahead at the ugly reality that we will face when "the impurities of QE are finally flushed from the system." Central bankers of today have "changed everything&q…

The Most Remarkable Predictions For The Year 2014

Today one of the top economists in the world made some absolutely remarkable predictions for the year 2014. This is an incredibly powerful interview where he discusses his predictions and what this will mean for global markets. Below is what Michael Pento, founder of Pento Portfolio Strategies, had to say in his powerful interview.

This Undervalued Blue Chip Dividend Stock Spin-Off Should Be A Winner

By Double Dividend Stocks:

Spin-offs have been rewarding shareholders over the past 2 years, with many parent companies and spun off stocks both appreciating in value. This has been particularly true with energy-related stocks, such as Murphy Oil, (

Russell Napier: "We Are On The Eve Of A Deflationary Shock "

In the aftermath of Ray Dalio’s conversion to an inflationista earlier this year (even if he has since once again been pushing a deflationary agenda when he once again went long Treasurys in late September as Zero Hedge reported previously), which promptly got such permanent deflationists as David Rosenberg to change their multi-year tune, it seemed …

Guest Post: Economic Prosperity Ahead Or A Train A Comin’

Originally posted at Monty Pelerin’s World blog,
Whether the light at the end of the economic tunnel represents sunshine or an on-coming train depends on whom you ask. I am of the opinion that it is a train a comin’. Economic matters cannot get better until we hit bottom and rebuild from the ashes. That need not be except government policies drive …