The Federal Reserve took a first step toward exiting its five-year intervention into asset markets by announcing it will begin reducing the pace of Treasury and mortgage purchases by $10 billion to $75 billion per month beginning in January. The pace of the taper is more symbolic than substantive given the probability that the Fed will remain ultra-accommodative during the next two to three [...]
China’s $37 billion bet on Canadian energy producers, from Sunshine Oilsands Ltd. to Penn West Petroleum Ltd., is producing disappointing results amid sinking resource prices and operational breakdowns. Click here to continue reading.
Harrisburg, the Pennsylvania capital, is poised to exit a fiscal quagmire after a half-decade of political paralysis and skipped debt obligations. Distressed municipalities nationwide should take note. Click here to continue reading.
Current price levels and related trends are similar today to recent periods when deflation fears forced the Federal Reserve to ease policy. Commodity prices have been on a steady decline since mid-2011 and non-petroleum import prices have contracted at a 1.2 percent pace during the last 12 months. Given personal consumption expenditure (PCE) inflation of only 0.7 percent and an associated core PCE of [...]
NXP Semiconductors, the electronics maker whose debt load decreased more than peers since 2010, is favoring share buybacks and dividends rather than reducing obligations, said CFO Peter Kelly. Click HERE for more.
Dr. Gary Schiller, Director of Bone Marrow/Stem Cell Transplantation at UCLA, said that there were many data presentations at the American Society of Hematology (ASH) Annual event that have the potential to change the way patients are treated — particularly in lymphoid malignancies. Read more >>>
Indexes that sometimes use complex strategies are attracting more interest from U.S. structured note buyers looking to diversify investments and beat this year’s stock gains. Investors bought $662.8 million of U.S. securities tied to proprietary bank indexes this year through Dec. 6, up 5 percent from the same period a year earlier, according to data [...]
When Janet Yellen takes over the position of Fed chair, she will preside over unwinding the quantitative easing legacy of her predecessor Ben S. Bernanke, and eventually guiding U.S. interest rates higher. Bloomberg Brief looks at what a Yellen-led Fed means for central bank policy. Click on the image below to download our free supplement.
China’s renewed commitment to reform and run of positive data buoyed investor confidence in the year ahead. Mounting structural challenges and a drag on growth from policy shifts may temper optimism. Click here to continue reading.