Ben Bernanke

Silicon Valley cashed up as state feels pinch

21 May 2012 | Ben Potter

PRINT: 21 May 2012 | PAGE 1 | Silicon Valley all cashed up as California feels pinch

Silicon Valley exists in its own ecology of wealth and cool virtue, far from the realities of everyday life for many Californians in a state with a $US16 billion deficit.

Bank’s boss won’t back off

19 May 2012 | Andrew Cornell

PRINT: 19 May 2012 | PAGE 1 | Bank’s boss won’t back off

In the immediate shadow of the JPMorgan revelation, a focus on prudential scrutiny makes even more sense.

Monetary easing may be needed

18 May 2012 | Joshua Zumbrun

PRINT: 18 May 2012 | PAGE 40 | Monetary easing may be needed

The US Federal Reserve signalled further monetary easing remains an option to protect the US economy from the danger that legislators will fail to reach agreement on the budget or Europe’s debt woes worsen.

Key firms to get closer supervision

18 May 2012 | Carla Main

PRINT: 18 May 2012 | PAGE 2 | Key firms to get closer supervision

US financial regulators are looking at specific non-bank financial companies to possibly designate them as systemically important and subject to more rigorous supervision, said Michael Gibson, director of the Division of Banking Supervision and Regulation at the Federal Reserve Board.

Banking’s last man standing buckles under JPMorgan loss

14 May 2012 | Ben Potter

PRINT: 14 May 2012 | PAGE 57 | Banking’s last man standing buckles under JPMorgan loss

It is one of the most spectacular own goals in banking since the financial crisis. Three years ago Jamie Dimon emerged as head of the largest bank on Wall Street and industry leader in the fightback against new regulations.

Battle front moves to deposits

14 May 2012 | Andrew Cornell

PRINT: 14 May 2012 | PAGE 4 | Battle front moves to deposits

The intensifying battle for deposits involves a double-edged sword for the banks and politicians.

JPMorgan loss is Dimon own goal

11 May 2012 | Glenn Mumford

PRINT: 11 May 2012 | PAGE 2 | JPMorgan $2bn loss is Dimon own goal

To his credit, JPMorgan Chase chief Jamie Dimon didn’t sugar coat his bank’s $US2 billion trading loss.

Adventures of a GMO value investor

PRINT: Capital | 09 May 2012

Interview | Author, investor, academic and behavioural finance exponent James Montier, from hedge fund GMO, talks to Capital about the cult of equities, bonds, the Fed, profits, Apple, and the Aussie dollar.

Jobs slowdown threatens Obama

07 May 2012 | Ben Potter

PRINT: 07 May 2012 | PAGE 13 | Jobs slowdown threatens Obama

At his first big rallies of the presidential campaign, Barack Obama’s message was undercut by data showing the jobs market slowed again in April, and more Americans gave up the search for work.

Investors lose faith in US recovery

07 May 2012 | Robert Guy

PRINT: 07 May 2012 | PAGE 42 | Investors lose faith in US recovery

Guy | If there was ever a signal that a big “risk off” moment was due it would be Alan Greenspan saying he thought stocks were “very cheap”.

Bonds deliver best returns amid fresh anxiety

02 May 2012 | John Detrixhe

PRINT: 02 May 2012 | PAGE 1 | Bonds deliver best returns amid fresh anxiety 

For the first time since the start of 2008, bonds were the only investments to provide positive returns amid renewed concern the global economy is slowing and as widening deficits in Europe threaten contagion.

Inflation complicates Europe’s need to cut rates

30 April 2012 | Glenn Mumford

PRINT: 01 May 2012 | PAGE 37 | Inflation complicates rate cut needs

The ECB meets this Thursday, with official rates sitting at 1 per cent. This looks too high by at least 50 basis points, given the extent of private sector deleveraging.

Poor jobs market slows US economic recovery

28 April 2012 | Ben Potter

PRINT: 28 April 2012 | PAGE 1 | Poor jobs market slows US economic recovery

Federal Reserve chairman Ben Bernanke called the slow recovery of the US economy and jobs market the most frustrating aspect of the post financial crisis period

Excessive debt is biggest problem for the US

27 April 2012 | Philip Baker

PRINT: 28 April 2012 | PAGE 1 | Excessive debt is biggest problem for the US

US investors need to wake up

27 April 2012 | Glenn Mumford

PRINT: 28 April 2012 | PAGE 3 | US investors need to wake up to events in Europe

The remarkable resilience of US equity investors will be put to the test as they’re called on to recalibrate domestic growth.

Video | US Fed on the defensive

27 April 2012 |

Despite mixed growth forecasts from the US Federal Reserve, improving employment data bodes well for Barack Obama.

Europe’s crisis poses risks for US: Geithner

27 April 2012 | Cheyenne Hopkins

PRINT: 27 April 2012 | PAGE 2 | European crisis poses risks for US, says Geithner

US Treasury Secretary Timothy Geithner says the US faces risks from the crisis in Europe and the confrontation with Iran has helped drive up oil prices.

Bernanke stands by Fed’s low targets

27 April 2012 | Ben Potter

PRINT: 27 April 2012 | PAGE 2 | Bernanke sticks with low targets

The US Federal Reserve clung to its forecast of extremely low interest rates “through 2014” but most members of the Fed’s Open Markets Committee expect a rate rise before then.

Europe’s banks pulling funds from Australia

26 April 2012 | George Liondis

PRINT: 26 April 2012 | PAGE 4 | Banks pull cash out of Australia

Europe’s beleaguered banks withdrew tens of billions of dollars from Australia as the region’s debt crisis forced them to retreat back to home shores.

Global rates on hold, local shares rise

26 April 2012 | Bianca Hartge-Hazelman

PRINT: 27 April 2012 | PAGE 26 | Global policy settings give local prices a lift

Investors confidence in the performance of developed economies has been given a boost after the United States and New Zealand central banks left rates on hold.

Strong US equities buoy $A

26 April 2012 | Jason Murphy

PRINT: 26 April 2012 | PAGE 26 | US leads put

Strong US equities and a dovish stance by US Federal Reserve chairman Ben Bernanke have fed global rallies that kept the dollar above $US1.03.

Yuan up after China sets record high midpoint

26 April 2012 |

China's yuan rose on Thursday after the People's Bank of China set the midpoint at a record high of 6.2829 to the US dollar prior to the upcoming annual China-U.S. Strategic Economic Dialogue (SED).

Don’t risk US recovery, Bernanke tells politicians

26 April 2012 | Ben Potter

US Federal Reserve Chairman Ben Bernanke has said the US central bank would struggle to kick start the economy again if Congress does not act to modify spending and taxes due on January 1, 2013.

Fed will have to get off the fence soon

26 April 2012 | Glenn Mumford

PRINT: 26 April 2012 | PAGE 39 | Fed will have to get off the fence soon

It’s “will they or won’t they?” time again. Will the Fed drop even a hint that a third round of large scale asset purchases is on the cards?

World eyes on Fed for rate ruling

23 April 2012 | Robert Guy

PRINT: 23 April 2012 | PAGE 32 | World eyes on Fed for rate ruling

From Zhongnanhai to the Palacio do Planalto, policymakers around the world will be more than keen observers of this week’s Fed meeting.

Housing slump hits Boral hard

20 April 2012 | Tony Boyd

PRINT: 21 April 2012 | PAGE 64 | Housing slump hits Boral hard

The 12 to 15 per cent profit downgrade by building materials group Boral is the least of the company’s worries.

Bernanke: Too early to declare victory

16 April 2012 | Joshua Zumbrun

PRINT: 16 April 2012 | PAGE 43 | Bernanke: Too early to declare victory

Federal Reserve chairman Ben Bernanke said the central bank must increase its focus on maintaining financial stability in order to prevent a repeat of the crisis that triggered the worst recession since the 1930s.

America Inc | No stomach for stimulant cure

14 April 2012 | Anna Bernasek

PRINT: 14 April 2012 | PAGE 52 | No stomach for stimulant cure

Bernasek | Fiscal tightening, at least right now, is exactly the opposite of what sound economics calls for.

Enter the invisible Glenn Stevens

14 April 2012 | Geoff Kitney

PRINT: 14 April 2012 | PAGE 63 | Enter the invisible Glenn Stevens

Kitney | There is no chair for the man who isn’t there – but at the cabinet table, the presence of RBA governor Glenn Stevens is palpable.

Fed is in for the long haul, says Yellen

13 April 2012 | Binyamin Appelbnaum

PRINT: 13 April 2012 | PAGE 37 | Fed in for long haul: Yellen

The lacklustre trajectory of the economic recovery might require the Fed to continue its efforts to bolster growth even beyond the end of 2014, according to Federal Reserve vice-chairwoman Janet Yellen.

Entitlement breaks the bank

13 April 2012 | Robert Leeson

PRINT: 13 April 2012 | PAGE 10 | Entitlement breaks the bank

The era of permanent financial crises will not end until banks – in their current over-indulged form – are subjected to creative destruction.

Investors head to hills as Spain ignites

12 April 2012 | Robert Guy

PRINT: 12 April 2012 | PAGE 23 | Investors head for hills as Spain ignites

A wave of risk aversion has swept global markets amid fears Spain may be the next flashpoint in the European debt crisis, raising concerns for already rattled investors.

Picking peaks can be problematic

11 April 2012 | Sally Patten

PRINT: 11 April 2012 | PAGE 32 | Picking peaks can be problematic

Super funds as active investors? This major player sees a disconnect.

‘Bernanke put’ needed to save April

11 April 2012 | Philip Baker

PRINT: 11 April 2012 | PAGE 24 | ‘Bernanke put’ needed to save April

Three months of decent returns driven by encouraging economic data both of which come to a screeching halt. It happened in 2010, again last year and it may be poised to complete a hat-trick in 2012.

Bernanke warns on ‘low-risk’ funds

11 April 2012 | Ben Potter

PRINT: 11 April 2012 | PAGE 12 | ‘Low risk’ funds still face run

Federal Reserve chairman Ben Bernanke has sounded the alarm about the slow pace of reform in the so-called shadow banking sector in the aftermath of the global financial crisis.

Why pullbacks aren’t always orderly

10 April 2012 | Glenn Mumford

PRINT: 10 April 2012 | PAGE 35 | Why pullbacks aren’t always orderly

I’m not convinced that the US Fed will ride to the rescue should the recovery slow further.

Bernanke calls for shadow banking reform

10 April 2012 | Ben Potter

Federal Reserve chairman Ben Bernanke has sounded the alarm about the slow pace of reform in the so-called shadow banking sector, especially money market funds which had to be propped up by the fed in the global financial crisis.

A nation of savers

05 April 2012 | Jason Murphy

PRINT: 05 April 2012 | PAGE 32 | Interest rate guide page 38

Australians have switched from being a horde of profligate spenders to punctilious savers, but what could possibly have triggered such a dramatic switch in a nation’s psyche?

As US Fed holds back, gold loses appeal

04 April 2012 |

With the US central banking indicating it will not launch stimulus activity, investors are losing interest in gold as a source of safety against rising inflation.

US equities growth outshines gold

04 April 2012 | Srinivasan Sivabalan

PRINT: 04 April 2012 | PAGE 34 | US equities growth outshines gold

The best first quarter gain for the Standard & Poor’s 500 Index since 1998 sent USs stocks above gold by the most in more than a decade, a sign of growing investor confidence in corporate profits as analysts raise earnings estimates for the first time this year.

Fans give the governor a tick

03 April 2012 | John Kehoe

PRINT: 03 April 2012 | PAGE 8 | Fans give the governor a tick

RBA governor Glenn Stevens is perceived by those Australians who know who he is to be doing a good job, despite criticism about the state of the economy from the Coalition and business community.

A Romney win a loss for Fed? Think again

02 April 2012 |

For all the derision US Republican presidential hopefuls have heaped on the Federal Reserve, a November win by lead contender Mitt Romney would likely change little at the US central bank, at least in the short term.

Odds lengthen on rate cut

02 April 2012 | Bianca Hartge-Hazelman

PRINT: 02 April 2012 | PAGE 31 | Odds lengthen on rate cut

The Reserve Bank is less likely to cut rates after a key measure of Chinese manufacturing eased concerns that our biggest trading partner is at risk of a hard landing.

Inflation gauge shows 2008 high ‘a distant threat’

28 March 2012 | Daniel Kruger

PRINT: 28 March 2012 | PAGE 38 | High inflation a ‘distant threat’

Even after the worst rout since 2010, the US bond market shows the economy is unlikely to maintain its strength without help from the Federal Reserve.

Lingering problems cloud investment horizon

28 March 2012 | Philip Baker

PRINT: 28 March 2012 | PAGE 27 | A fillip, but lingering problems cloud the horizon

Missed it by that much. Another 6 points yesterday and the major S&P/ASX 200 Index would have reached its highest level this year.

Easy money can be hard to take

28 March 2012 | Jason Murphy

PRINT: 28 March 2012 | PAGE 25 | Easy money can be hard to take

Ben Bernanke’s commitment to keep interest rates “low for long” as he takes the sword to unemployment is laden with risk.

Fed gives investors a shot in the arm

27 March 2012 | Bianca Hartge-Hazelman

PRINT: 27 March 2012 | PAGE 27 | Fed gives shares a shot in the arm

Investor confidence fuelled by a rally on Wall Street has helped Australian shares rise to their second highest point so far this year.

$A stays above key $US1.05 level

27 March 2012 |

PRINT: 28 March 2012 | PAGE 38 | $A traders waiting on Bernanke

The Australian dollar rose on a day characterised by little action.

As many arguments for as against a turning

26 March 2012 | Ben Potter

PRINT: 26 March 2012 | PAGE 26 | As many arguments for as against a turning

Last week British Chancellor George Osborne announced that HM Treasury would consult the markets to see if there was an appetite for 100-year bonds.

High fuel costs bug Bernanke

23 March 2012 | Joshua Zumbrun

PRINT: 23 March 2012 | PAGE 44 | High fuel costs bug Bernanke

Federal Reserve chairman Ben Bernanke has told Congress that higher energy prices may weaken the US economy by sapping consumer spending.

Price rises a double-edged sword for oil companies

23 March 2012 | Bianca Hartge-Hazelman

PRINT: 23 March 2012 | PAGE 32 | Oil spikes a double-edged sword for stock

Expectations that oil prices are on the increase will undoubtedly affect major energy companies but the extent to which it hurts profits will depend on what caused prices to rise in the first place.

Concern as fixed interest securities dip

21 March 2012 | Zeke Faux

PRINT: 21 March 2012 | PAGE 40 | Concern as fixed interest securities dip

Bonds of all types worldwide are generating their biggest losses since 2010 this month, raising concern that the four-year bull market may be ending as a flood of easy Fed money subsides.

Why US Fed must mind the output gap

20 March 2012 | Glenn Mumford

PRINT: 21 March 2012 | PAGE 41 | Why Fed must mind the output gap

There’s an increasingly heated debate taking place right now in the US over the output gap, with questions being raised over the assumption that it’s as large as many would have us believe.

Jobs growth needs more work

17 March 2012 | Anna Bernasek

PRINT: 17 March 2012 | PAGE 53 | Jobs growth needs more work

The jobs picture in the United States may not be as rosy as it seems.

The Fed goes twittering

16 March 2012 | Joshua Zumbrun

PRINT: 16 March 2012 | PAGE 39 | The Fed opens up to twittering

First there were town hall meetings, then press conferences. Now comes @federalreserve, Ben Bernanke’s latest effort to reach out to the public, this time via Twitter.

Fed keeps stimulatory policies in place

15 March 2012 | Ben Potter

PRINT: 15 March 2012 | PAGE 22 | Fed keeps stimulatory policies in place

Obama and his would-be challengers are hanging on economic news. The Fed did employ more upbeat language, but wasn’t giving much away.

Fed keeps its faith in low inflation

14 March 2012 | Glenn Mumford

PRINT: 15 March 2012 | PAGE 37 | Fed maintains faith in low inflation

There seems to be surprisingly little in the way of stress on Wall Street right now. We’re trading at levels last seen in mid-2008.

Index up 1.2pc as sentiment rises, $A dips

13 March 2012 | Joanna Heath

PRINT: 14 March 2012 | PAGE 37 | Heavier metals strike a chord

Strong metals prices and a drop in the Australian dollar helped the Australian sharemarket to a gain of more than 1 per cent on Tuesday, its biggest daily gain in nearly a month.

Inflation may inspire a nasty surprise

13 March 2012 | Glenn Mumford

PRINT: 13 March 2012 | PAGE 39 | Inflation may inspire a nasty surprise

When Australian markets open this Wednesday we’ll know if the US Federal Reserve has chosen to change tack on monetary policy.

Key central banks not taking growth for granted

13 March 2012 | Simon Kennedy

PRINT: 13 March 2012 | PAGE 41 | Key central banks not taking growth for granted

Even as they pause campaigns to spur economic growth, Federal Reserve Chairman Ben Bernanke, European Central Bank President Mario Draghi and counterparts at the Bank of England and Bank of Japan aren’t taking signs of recovery for granted.

One more brick in rebuilding

12 March 2012 | Ben Potter

PRINT: 12 March 2012 | PAGE 13 | One more brick in rebuilding

The US economy generated 227,000 new jobs in February as companies from business services and healthcare, bars and restaurants took on employees.

US jobs market improves

09 March 2012 | Alex Kowalski

PRINT: 09 March 2012 | PAGE 37 | US payrolls reveal 216,000 jump in jobs

Companies in the US. added more workers in February than a month earlier, another sign of labour market strength, data from a private report based on payrolls shows

Fed flags third policy option by proxy

08 March 2012 | Glenn Mumford

PRINT: 09 March 2012 | PAGE 27 | Fed flags third policy option by proxy

If you’re planning to lift transparency and encourage clarity, why not simply communicate with the market directly?

When guesswork is worth the risk

05 March 2012 | Glenn Mumford

PRINT: 05 March 2012 | PAGE 37 | When guesswork is worth the risk

A lot of policy being rolled out by central banks is experimental. As a consequence some is based on hope rather than experience.

US economy has Bernanke confused

03 March 2012 | Ben Potter

PRINT: 03 March 2012 | PAGE 13 | Economy has Bernanke confused

American manufacturers are pinning their hopes on export orders as inflation and taxes eat up the wage gains of households and keep a lid on consumer spending at home.

Easy money still flows for US

02 March 2012 | Ben Potter

PRINT: 02 March 2012 | PAGE 41 | It’s easy money until 2014

US Federal Reserve chairman Ben Bernanke, sceptical of the evidence of steady improvement in the US economy, stuck to the Fed’s script of easy money until 2014 and did not mention any plans for further purchases of securities.

Gold’s fall may present silver lining

02 March 2012 | Brendon Lau

PRINT: 02 March 2012 | PAGE 17 | Gold’s fall may present silver lining

Gold’s worst one-day crash in 39 months on Wednesday evening appears to be an overreaction but the ferocity of the sell-off has divided opinion on the outlook.

ASX drops on Fed pessimism

01 March 2012 | Joanna Heath

PRINT: 02 March 2012 | PAGE 28 | ASX drops on Fed pessimism

Downbeat commentary from the US Federal Reserve and a surprise fall in business spending repressed the Australian sharemarket on Thursday, with positive Chinese data released in the afternoon unable to shift the downward momentum.

NZ dollar falls on Bernanke’s cheer

01 March 2012 |

The New Zealand dollar fell after US Federal Reserve chairman Ben Bernanke said the world's biggest economy kicked off the year well, sapping investors' appetite for higher-yielding, or riskier, assets.

Liquidity crutches must be removed with care

01 March 2012 | Philip Baker

PRINT: 02 March 2012 | PAGE 28 | Liquidity crutches must be removed with care

Comment | Bernanke’s words and investors’ reaction signal that the true test will be when central banks stop propping up markets.

Time to head for the exit, and quickly

01 March 2012 | Glenn Mumford

PRINT: 02 March 2012 | PAGE 31 | Time to head for the exit, and quickly

Wednesday’s precipitous $US100 an ounce drop in gold is an early indication the five-month “risk-on” trade has run its course.

Gold edges up 1pc

01 March 2012 |

Spot gold rose more than 1 per cent on Thursday, recovering from its biggest fall in more than three years in the previous session when US Federal Reserve chairman Ben Bernanke failed to signal further monetary easing.

Bernanke snaps Wall St’s four-day advance

01 March 2012 |

US stocks slipped on Wednesday, snapping a four-day winning streak after comments from US Federal Reserve Chairman Ben Bernanke disappointed investors hoping for a strong signal of more stimulus.

US bonds slip as Bernanke fails to signal stimulus

01 March 2012 |

US Treasuries slipped on Wednesday as the completion of liquidity measures in Europe and the lack of hints of further stimulus measures by Federal Reserve chief Ben Bernanke spurred selling by investors.

$A struggles at top of range

24 February 2012 | Brendon Lau

PRINT: 25 February 2012 | PAGE 23 | Currency set to soften next week

Investors are likely to see a softer Australian dollar next week after the local currency failed to secure its second consecutive week of gains after testing a key resistance level.

Policies short on saving grace for retirees

23 February 2012 | Glenn Mumford

PRINT: 23 February 2012 | PAGE 27 | Policies short on saving grace for retirees

Low global interest rates can be a nightmare if you need a revenue stream that’s somehow tied to the prevailing cost of funds.

S&P 500 approaching record low to bonds

22 February 2012 | Whitney Kisling

PRINT: 22 February 2012 | PAGE 19 | S&P 500 approaching record low to bonds

The Standard & Poor’s 500 Index is approaching the cheapest level yet compared with bonds as Federal Reserve chairman Ben Bernanke’s zero per cent interest rates drive investors and companies from cash.

Ignore threat of oil shock at your peril

21 February 2012 | Glenn Mumford

PRINT: 22 February 2012 | PAGE 21 | Ignore threat

Rising energy prices are likely to impede global growth in 2012.

All hands on deck or US drowns in debt

20 February 2012 | Ben Potter

PRINT: 20 February 2012 | PAGE 21 | All hands on deck or the US drowns in debt

Band-Aid solutions might buy time in Washington but they won’t make the US debt go away. And pretty soon, they won’t even buy time.

US cautious on asset purchases

17 February 2012 | Joshua Zumbrun

PRINT: 17 February 2012 | PAGE 26 | US cautious on asset purchases

A few members of the Federal Open Market Committee meeting said the central bank may soon have to consider more asset purchases, while others said the economic outlook would have to deteriorate first.

Fed clears ING bank deal

16 February 2012 | Dakin Campbell

PRINT: 16 February 2012 | PAGE 13 | Fed clears ING bank deal

Capital One Financial Corp’s planned purchase of ING Groep NV U.S. online bank won approval from the Federal Reserve, clearing the way for the credit card lender to add about $US80 billion in deposits.

Japan shows the future of an age-old problem

10 February 2012 | Glenn Mumford

PRINT: 13 February 2012 | PAGE 22 | Japan shows the future of an age-old problem

A major challenge facing the global economy over the next 40 years is an ageing population, increasing the burden on those in a job.

Bernanke warns of contraction risk

09 February 2012 | Ben Potter

PRINT: 09 February 2012 | PAGE 15 | Bernanke

The modest economic recovery in the US will suffer next year from legislated tax rises and spending cuts if Congress does not take action to prevent it, Federal Reserve chairman Ben Bernanke has warned before a congressional hearing.

QE could prove a lasting challenge

06 February 2012 | Glenn Mumford

PRINT: 07 February 2012 | PAGE 24 | QE could prove a lasting challenge

Quantitative easing used to be an unconventional monetary policy, but now it’s standard practice in the US, and that is a worrying sign.

Bernanke’s thankless mission

04 February 2012 | Ben Potter

PRINT: 04 February 2012 | PAGE 55 | Bernanke’s

Newt Gingrich would fire him, Mitt Romney wouldn’t reappoint him. Ron Paul wants to “End the Fed”, and Rick Perry says he could be treated “pretty ugly” in Texas. And that’s just the Republican presidential hopefuls.

US doing better: Fed

04 February 2012 | Binyamin Applebaum

PRINT: 04 February 2012 | PAGE 13 | US doing better: Fed

US Federal Reserve chairman Ben Bernanke said there have been positive developments in the euro zone debt crisis, but warned a slow US recovery is still vulnerable.

Dire prediction hits home

04 February 2012 | Tony Boyd

PRINT: 04 February 2012 | PAGE 64 | Dire prediction hits home

Australian house prices are destined to fall unless the federal government and the opposition abandon their fiscal deficit cutting strategies and stimulate the economy with more government spending.

GDP and Bernanke ruin the party

03 February 2012 | Philip Baker

PRINT: 04 February 2012 | PAGE 30 | GDP and Bernanke ruin the party

Everyone wants to know if the rally of the past month in global sharemarkets will continue. But there was one piece of economic data that should have thrown some cold water over the recent rise.

Another golden age for America

03 February 2012 |

In the early 1980s, gold prices rose to unprecedented levels and the new Republican US president was hinting about a return to the gold standard. Could it be the same in 2012?

Private equity jumps into foreclosures

02 February 2012 | John Gittelsohn

PRINT: 02 February 2012 | PAGE 54 | Private equity jumps into US foreclosures

Private equity firms are piling into distressed housing as the US government plans to market 200,000 foreclosed homes as rentals to speed up the economic recovery.

Catchphrases that may catch you out

01 February 2012 | Philip Baker

PRINT: 01 February 2012 | PAGE 29 | Catchphrases that may catch you out

Despite the best start in years for shares, there are still some grizzly bears on the prowl around world stockmarkets, making life uncomfortable for all investors.

Bond rule has created odd bedfellows

01 February 2012 | Andrew Ross Sorkin

PRINT: 01 February 2012 | PAGE 21 | Bond rule has created odd bedfellows

Usually, it is the banks that are fighting efforts to impose new regulations on the industry. Now, it is foreign governments fighting against bank regulations in the US.

S&P 500 on rising pattern

30 January 2012 | Inyoung Hwang

PRINT: 30 January 2012 | PAGE 19 | S&P 500 in rising pattern

The Standard & Poor’s 500 Index rose for a fourth week, the longest streak since October.

US faces ‘mediocrity at best, stagnation at worst’

28 January 2012 | Ben Potter

PRINT: 28 January 2012 | PAGE 52 | Two views of US economy

While Barack Obama put a positive spin on the state of the US this week, others, including the Fed chairman, were cautious.

Fed still has tricks left up its sleeve

27 January 2012 | David Bassanese

PRINT: 28 January 2012 | PAGE 33 | Fed still has tricks left up its sleeve

It’s no wonder that many United States Republican politicians hate Federal Reserve chairman Ben Bernanke.

Housing a blight on US economy

27 January 2012 | Tony Boyd

PRINT: 27 January 2012 | PAGE 52 | Housing a blight on US economy

It took about 40 minutes of questioning from Washington’s financial journalists this week before Ben Bernanke was asked about the cancer at the heart of the US economy.

Fed policy sign of more tough times

27 January 2012 | Glenn Mumford

PRINT: 27 January 2012 | PAGE 34 | Fed policy sign of more tough times

The market jumped when the US Federal Reserve extended the timeline on its lower for longer policy, but this policy step was hardly a positive.

Bernanke goes out on a limb

27 January 2012 | Philip Baker

PRINT: 27 January 2012 | PAGE 19 | Bernanke goes out on a limb

Ben Bernanke has always made it clear he’s willing to use his expertise in Depression-era economics to avoid the dark side of credit crunches.

Bernanke may hold key to White House

27 January 2012 | Ben Potter

PRINT: 27 January 2012 | PAGE 15 | Bernanke may hold the key to the White House

Some say ECB president Mario Draghi could have a big influence on Barack Obama’s re-election bid. But Ben Bernanke might also have a say.

Bernanke’s innovative gamble stirs euro envy

25 January 2012 | Caroline Salas Gage

PRINT: 25 January 2012 | PAGE 20 | Bernanke’s innovative gamble stirs euro envy

Fed chairman Ben Bernanke’s focus on full employment and price stability is being validated as the US expansion gains speed and his counterparts in Europe emulate his approach.

Fed takes small steps to remove doubt

24 January 2012 | Binyamin Appelbaum

PRINT: 24 January 2012 | PAGE 20 | Fed takes small steps to remove doubt

The Federal Reserve, which does not like to surprise financial markets, has worked unusually hard to prepare the public for the changes to its communications policies that it plans to introduce on Wednesday.

Fed pushes Congress for housing policy action

21 January 2012 | Anna Bernasek

PRINT: 21 January 2012 | PAGE 49 | Fed pushes for

Despite “green shoots” in some parts of the American economy, the Fed remains concerned about the effects of continued weakness in the housing sector.

S&P 500 starts 2012 with a bang

20 January 2012 | Inyoung Hwang

PRINT: 20 January 2012 | PAGE 21 | S&P 500 starts 2012 with a bang

US stocks are off to their best start in 25 years as investors speculate that Federal Reserve chairman Ben Bernanke has done enough to insulate the economy from Europe’s debt crisis.

Reward beyond the hedge of reason

19 January 2012 | Steven Davidoff

PRINT: 19 January 2012 | PAGE 21 | Reward beyond the hedge of reason

The year 2011 is over, and soon we’ll be hearing again about billion-dollar paydays for select hedge fund wizards. But not every fund is sharing in these riches.

Top of pops in bubble brouhaha

12 January 2012 | Adrian Rollins

PRINT: 12 January 2012 | PAGE 45 | Central banks top of the pops in bubble brouhaha

With house prices shrinking and sharemarkets struggling, it might seem an odd time to be worrying about asset bubbles.

Fed profits boost US Treasury coffers

12 January 2012 | Binyamin Appelbaum

PRINT: 12 January 2012 | PAGE 15 | Fed profits boost US Treasury coffers

The Federal Reserve said that it contributed $US76.9 billion in profits to the Treasury Department last year, slightly less than its record 2010 transfer but much more than in any other previous year.

QE may provide a forgotten backstop

21 December 2011 | Brendon Lau

Mining has been the worst performing sector this year as the market waits for a catalyst to emerge in the new year that will prompt a rerating of the industry.

Bernanke: Fed’s not going to rescue European banks

16 December 2011 | Scott Lanman

PRINT: 16 December 2011 | PAGE 18 | Bernanke: We’re not coming to rescue

Fed chairman Ben Bernanke has told Republican senators the Fed plans no additional aid to European banks, two senators say.

One last sell-off will force government action

14 December 2011 | Glenn Mumford

PRINT: 14 December 2011 | PAGE 38 | Time for one last painful sell-off

I believe what policymakers have delivered over the past week isn’t enough. Not nearly enough. I feel it’s now time to move underweight equities.

US Fed forecasts may improve climate for borrowing

13 December 2011 | Binyamin Appelbaum

PRINT: 13 December 2011 | PAGE 16 | Fed forecasts may improve climate for borrowing

Ben Bernanke, the chairman of the US Federal Reserve, says improved communications could deliver a modest boost to the economy with relatively little risk.

Root of crisis still needs tending

02 December 2011 | Ben Potter

PRINT: 02 December 2011 | PAGE 45 | Root of crisis still needs tending

The US Fed‘s agreement to cut the cost of US dollar loans to the ECB and four other central banks may have postponed a global financial meltdown.

US Fed rescue mission a dangerous concept

29 November 2011 | Ambrose Evans-Pritchard London

PRINT: 29 November 2011 | PAGE 14 | US Fed rescue mission a dangerous concept

The dam is breaking in Europe. Interbank lending has seized up. Much of the financial system is paralysed, setting off a credit crunch as the euro zone slides backwards.

$A dips below parity, shares fall on euro-zone fears

18 November 2011 | Joanna Heath

Before the Bell | The $A fell below $US1 overnight and sharemarkets sank as tensions rose in the euro zone ■ Dow falls 1.6pc ■ SPI down 51 pts ■ Oil drops $2 ■ $A at US99.92¢ ■ Broker Watch: Macquarie, James Hardie.

Higher prices pose a puzzle

18 November 2011 | Joanna Heath

PRINT: 18 November 2011 | PAGE 23 | Higher prices pose a puzzle

The recent climb in the crude oil price is out of line with the health of the global economy.

US forecast bright – if Europe storm passes

16 November 2011 | Glenn Mumford

PRINT: 16 November 2011 | PAGE 32 | US forecast bright – if EU storm passes

If Europe can get through without imploding, the US looks well positioned for 12 months that should really deliver for risk asset investors.

Paulson cuts gold stake by millions

16 November 2011 | Debarati Roy

PRINT: 16 November 2011 | PAGE 24 | Paulson cuts gold stake by millions

Paulson & Co, the US hedge fund founded by John Paulson, cut its holdings in SPDR Gold Trust as the metal’s price surged to a record.

Save the US: pass on the buck

08 November 2011 | Ben Potter

PRINT: 08 November 2011 | PAGE 65 | Save the US: pass on the buck

Non-financial businesses in the US are sitting on a $US3 trillion cash pile, but none are willing to put their assets to work at home.

Fed-up Bernanke urges Europe to sort itself out

04 November 2011 | Ben Potter

PRINT: 04 November 2011 | PAGE 47 | Fed-up Bernanke urges Europe to sort itself out

US Federal Reserve chairman Ben Bernanke hinted he was losing patience with European leaders’ dithering over the euro-zone crisis.

Greater detail would help calm a wild ride

28 October 2011 | Philip Baker

PRINT: 29 October 2011 | PAGE 31 | Greater detail would help calm a wild ride

Anyone for 5000? That might be pushing it as a target any time soon for the major S&P/ASX 200 index but the bulls are firmly in control right now.

Four nations, four lessons, forewarning

28 October 2011 | N. Gregory Mankiw

PRINT: 28 October 2011 | PAGE 28 | Four nations, four lessons, forewarning

As the economy languishes, politicians and pundits are debating what to do next. When we look around the world, its hard to find positive role models.

The right’s wrong turn

27 October 2011 | John Quiggin

PRINT: 27 October 2011 | PAGE 78 | The right’s wrong turn

US President Barack Obama, who should be unelectable in 2012, may be saved by Republican failures.

Bernanke briefs lawmakers on Europe threat

21 October 2011 |

US Federal Reserve chairman Ben Bernanke on Thursday briefed the US Senate's Democratic majority on the danger to the United States from the euro zone crisis threatening the world economy, lawmakers said.

It’s bad policy – unless you’re a bank

19 October 2011 | Glenn Mumford

PRINT: 19 October 2011 | PAGE 36 | It’s bad policy – unless you’re a bank

Central banks don’t like to admit it, but a lot of what they do is designed to deliver direct benefits to the banks.

Meyer’s way: regrets, he has a few

14 October 2011 | Joanna Heath

PRINT: 14 October 2011 | PAGE 27 | Meyer’s way: regrets, a few

Larry Meyer, ex-governor of the US Federal Reserve under Alan Greenspan from 1996 to 2002, wishes he did a few things differently during his time on the board.

Japan’s lesson for Europe

12 October 2011 | Paul Sheard

PRINT: 12 October 2011 | PAGE 62 | Japan’s lesson for Europe

Europeans rather than Americans should be learning the lesson of Japan’s demise.

Adrift on a sea of gloom, and loving it

12 October 2011 | Alan Stokes

PRINT: 12 October 2011 | PAGE 64 | Adrift on a sea of gloom, and loving it

Global economic disaster, a deeply unpopular government and Quade Cooper’s half the player he thinks he is.

Bearish bets hit five-year peak

11 October 2011 | Lynn Thomasson

PRINT: 11 October 2011 | PAGE 29 | It’s borrowed time: bearish bets hit five-year peak

Investors are increasing bearish trades by the most in at least five years, convinced the lowest valuations since 2009 will prove no barrier to losses.

Decisive action gives grounds for optimism

07 October 2011 | Glenn Mumford

PRINT: 08 October 2011 | PAGE 32 | Decisive action gives grounds for optimism

A fourth-quarter rebound in risk assets once more looks on track, thanks to an 11th hour shift by European policymakers towards direct action.

Investors too scared to exploit bargains

07 October 2011 | Barrie Dunstan

PRINT: 08 October 2011 | PAGE 27 | Too scared to find bargains

Normally, when stockmarkets become nervous, smart investors think (or are advised) to take advantage of sold-off stocks in a traditional “buy in gloom” approach.

In Europe, signs of a second recession

07 October 2011 | Liz Alderman

PRINT: 07 October 2011 | PAGE 25 | In Europe, signs of a second recession

The European debt problems that have roiled global financial markets for the past 18 months are showing signs of turning into a far deeper challenge.

Another day of wild swings

06 October 2011 | Ben Potter

PRINT: 06 October 2011 | PAGE 1 | Another day of wild swings

As Europe scrambled to control its sovereign debt crisis, Fed chairman Ben Bernanke warned that the chaos was helping to undermine the fragile US economy.

Bernanke advice not yet appreciated in Europe

06 October 2011 | Ben Potter

PRINT: 06 October 2011 | PAGE 30 | Bernanke advice not yet appreciated in Europe

Ben Bernanke calls America an innocent bystander in the European debt crisis. But innocent bystanders – American, Australian or Chinese – can easily get hurt.

FTSE rallies on hope for economic stimulus

05 October 2011 |

Britain’s top share index rebounded on Wednesday after US Federal Reserve Chairman Ben Bernanke raised investors’ hopes for more action to stimulate the weak US economy and European politicians agreed to safeguard the region’s shaky banks.

Local data fails to lift $A’s spirits

05 October 2011 | Claire Stewart

PRINT: 06 October 2011 | PAGE 30 | Local data fails to lift $A’s spirits

Better-than-expected retail figures at home were not enough to buoy the Australian dollar, which is fixated on events in Europe and the United States.

ASX posts first gain in three days on Europe news

05 October 2011 | Joanna Heath

PRINT: 06 October 2011 | PAGE 27 | EU news snaps losing streak

A potential plan to assist European banks affected by Greek sovereign debt and domestic retail sales data helped the sharemarket to its first gain in three days.

Policymakers finally get the message

05 October 2011 | Glenn Mumford

PRINT: 06 October 2011 | PAGE 31 | Policymakers finally get the message

I love the irony of the phrase “relief rally”. We usually see one when sellers suddenly realise they’ve got it wrong. That suggests there’s more pain than relief.

Bank on it: UK gets fiscal

04 October 2011 | Glenn Mumford

UK-style fiscal policy has been dressed up to look like monetary policy and it just might work.

Stevens lauds Trichet tenure

03 October 2011 | Geoff Winestock

PRINT: PAGE 1 | Stevens lauds Trichet tenure

RBA governor Glenn Stevens has high praise for retiring European Central Bank president Jean-Claude Trichet and his role in the GFC.

Fed says it’s ‘not out of ammunition’

03 October 2011 | Steve Matthews

PRINT: 03 October 2011 | PAGE 12 | Fed says it’s ‘not out of ammunition’

St Louis Federal Reserve president James Bullard said the Fed was prepared to ease policy should the US economy weaken.

How to save the world

24 September 2011 | Ben Potter

PRINT: 24 September 2011 | PAGE 44 | How to save the world

A sense of crisis abounds but world leaders are saving their political skins instead of taking the hard decisions.

Bernanke fails to come up with the goods

22 September 2011 | Glenn Mumford

PRINT: 22 September 2011 | PAGE 30 | Bernanke fails to come up with goods

Investors have come to expect the US Federal Reserve to feed its greed, not its fear.

No one likely to come to the rescue this time

22 September 2011 | Floyd Norris

PRINT: 22 September 2011 | PAGE 30 | No one likely to come to the rescue this time

It’s far from clear the authorities could stem a new economic panic, and even less clear that many would be willing to try.

US wheat, soy up as corn awaits China’s move

21 September 2011 |

US wheat and soy futures ticked higher on Wednesday despite escalating worries about the global economy and the IMF warning the United States could slip back into recession, while corn hardly moved as dealers awaited a possible purchase by China.

Bernanke holding the wild card

20 September 2011 | Philip Baker

PRINT: 21 September 2011 | PAGE 24 | Bernanke holding the wild card

It’s going to be very interesting to see what Ben Bernanke says about events unfolding around the globe when the FOMC meets this week.

IMF cuts global growth forecasts

20 September 2011 | Michael Dwyer

PRINT: 21 September 2011 | PAGE 1 | IMF cuts global growth

The International Monetary Fund has slashed its global growth forecasts and warned that the world has entered a dangerous new phase.

Fed runs risk of doing less than investors expect

20 September 2011 | Binyamin Appelbaum

PRINT: 21 September 2011 | PAGE 26 | Fed runs risk of doing less than investors expect

Investors have concluded that the Federal Reserve will announce new measures to promote economic growth after a meeting of its policy-making committee ends Wednesday.

Buybacks, acquisitions cost dearly

20 September 2011 | Martin Conlon

PRINT: 20 September 2011 | PAGE 63 | Buybacks, acquisitions cost dearly

The pretence that real economic value can be created through swapping equity for debt is flawed.

Traders find little to attract them close to home

20 September 2011 | John Wasiliev

PRINT: 20 September 2011 | PAGE 28 | Traders find little to attract them close to home

A state election loss in Germany plus continued Greek bailout uncertainty and a firmer US dollar in Asia saw derivative traders steer clear of local financial markets.

Fed meets

19 September 2011 |

PRINT: 19 September 2011 | PAGE 24 | fed meets

On Wednesday evening the US Federal Reserve Open Market Committee ends its extra two-day meeting to decide monetary policy, and chairman Ben Bernanke faces the music in his now customary press conference

Liquidity trap prostrates US, Europe

19 September 2011 | David Bassanese

PRINT: 19 September 2011 | PAGE 22 | Liquidity trap prostrates US, Europe

The global economy has reached a critical tipping point, with recessionary forces building in both Europe and the United States.