Mohamed A. El-Erian, whose company runs the world’s biggest mutual fund, said deteriorating public finances may affect the global economy more than is currently realized.
“The importance of the shock to public finances in advanced economies is not yet sufficiently appreciated and understood,” El-Erian, co-chief investment officer at Pacific Investment Management Co., wrote in an [...]
US millionaires grew 7.8% in 2009 | read this item
U.S. Millionaires Grow 16% to 7.8 Million in 2009
Follows Sharp Decline the Year Before
Households Worth $5 Million or More Increase 17% to 980,000
The number of U.S. households with a net worth of $1 million or more, not including primary residence (NIPR), grew 16% to 7.8 million in 2009, up from 6.7 million the year before, [...]
A disaster around the corner? CDS to settle in Gold | read this item
There seems to be some kind of new trend developing in large opaque world of credit derivatives. Traders seem to demand CDS payment in Gold rather than in EURO which was the currency of choice till now.
Janet Tavakoli of Tavakoli Structured Finance, Inc. writes:
Remember AIG? When prices moved against AIG on its credit default [...]
Money continues to leave US: Never mind the Recovery | read this item
In a rather eerie and solemn warning, money continues to pour out of the US even with the recovery trumphet call getting shriller by the day.
In 2010, investors around the globe have pulled $15.3 billion out of U.S. stock funds, according to data from EPFR Global, which tracks money flows. Meanwhile, roughly $2 billion has [...]
EURZONE Consumer inflation below estimates | read this item
Euro zone consumer prices rose by a smaller-than-expected 0.9% year-on-year in February, a first estimate from the European Union’s statistics office showed on Tuesday, slowing from a 1.0% gain in January.
Economists polled by Reuters had on average expected a 1.0% year-on-year increase. There are no details or breakdown available with the flash estimate.
The European Central [...]
7 Year Auction results: Trudging Along | read this item
Results were very strong for the Treasury’s monthly 7-year note auction where the large $32 billion size failed to water down coverage which came in at 2.98 for the highest rate since the coupon’s February 2009 launch. In another sign of strength, the auction stopped out at 3.078 percent, about 1/2 basis point below the [...]
Breaking News: Auction Results Feb 22: Much Healthier | read this item
After the disaster last auction seen in 30 Year and 10 Year bonds, todays results are attached
3 Month Auction
Primary bidders took 43%, Direct bidders took 17% while Indirect Bidders took a healthy looking 40% of the $26.3 Bn auctioned. The yield went 0.1% and bid/cover ratio of 4.04 which can be considered a very [...]
India: Best Market to focus for Long term | read this item
CLSA strategist Christopher Wood said Asian stock indices are not expected to perform as badly as the US indices this year, as these economies dependent a lot on domestic demand which helped come out of the financial turmoil faster, while the US is still in a downturn.
“One of the economies which has displayed that resilience [...]
The German finance ministry has said that countries using the euro currency will together provide aid worth between 20 and 25 billion euros ($27.2 and $34 bilion ) for Greece, the German weekly magazine Der Spiegel reported on Saturday.
Citing “initial considerations” by the ministry, Der Spiegel said each country’s share of the financial aid for [...]
7 Year Auction results: Trudging Along | 
