Macroeconomics
Feels So Good Being Bad
July 12, 2019
Charging fees for ATM usage. Closing early on Saturdays. Making customers say "representative" ten times before getting a real person for customer service. These are all things bad banks do. That is not what we’re covering this week. Instead we’re looking at the use of so called "bad banks" as a tool for restructuring and maintaining financial stability. In this case bad banks may be a good thing.
Macroeconomics
Don’t Run from the Yield Curve
June 28, 2019
This week we revisit one of our favorite topics: the yield curve. We look at some of the differences between the current inversion and past cycles. We also note that the current shape of the yield curve resembles a well-known company’s logo.
Macroeconomics
Taking The Easy Way Out
June 21, 2019
Mario Draghi’s term as President of the European Central Bank is about to end. After eight years at what could be the most difficult job in Europe, most folks would be ready to bow out quietly. Not so - Mario D’s not ready to give up the mic just yet. This week, we look at what he’s considering doing in his last few months running things.
Macroeconomics
Who is the MVP of the Market (Most Valued Performer)?
June 14, 2019
This week we give you a recap of the major moves in macro markets so far this year. In order to make it more topical, we compare each of these markets to NBA playoff teams. We find that much of the teams’ performance can be explained by market beta.