As long as we ignore the underlying causes of these global imbalances, we will experience low economic growth and recurring economic crises. Since 2008, we have addressed symptoms, not causes.
Economic shockwaves have sent rates even further south, as investors are turning to the comparative security of mortgage bonds. Some economists and industry insiders are using the word "historic" to describe how low mortgage rates might go before there's a course correction.
The current state of the U.S. and global economies is unclear. Wherever you look, the data and trends suggest uncertainty. Will the Federal Reserve raise interest rates next month? Will economic growth ever again exceed 2 percent? Is the stock market overvalued and on the verge of another major dip?
The Federal Reserve's core guiding belief is that economic stimulus boosts economic growth, thus increasing employment opportunities, payrolls, tax revenues, corporate profits, retirement security and Wall Street wealth.
The weak employment report for May should eliminate any possibility that the Federal Reserve Board will raise interest rates at its June meeting next week. At least for this purpose, the bad news is good news. But we should still be asking why the Fed has its finger on the trigger in the first place.
In an unexpectedly downbeat jobs report, employers added only 38,000 jobs last month, the worst month for job gains since employment started recovering in 2010. Downward revisions trimmed the employment gains for the prior two months by 59,000, and the labor force participation rate fell again in May, as it had in April.
Predictably, the bond market and the Dow Jones average both fell quickly on CNBC's one-sided call, bringing quick profits to short hedge funds using high frequency trading to move quickly in and out of the market.
Credit card issuers are in such fierce competition these days to attract new customers that most have started offering sweetheart deals to win you o...
Right now interest rates are extremely low - even negative in some countries. This high price for government debt means the markets are demanding that governments issue more debt. This is the law of supply and demand. Again: money markets are demanding more supply of government debt.
Ask a dozen economists about the effects of rising mortgage interest rates on the housing market, and you're likely to get two dozen answers. You s...
Can you imagine your bank inviting you to come and talk about your interest rate?
This week the central bank of Japan continues its unprecedented adventures in qualitative and quantitative easing. In the absence of true structural reforms, the burden of boosting Japan's economy has fallen upon the shoulders of Bank of Japan Governor Haruhiko Kuroda.
Financial conspiracies are a USA tradition. I don't mean stories pushed by anonymous commenters who lurk on the internet, or people who send you poorly written emails from yahoo accounts. I refer to daily activity in the financial markets.
If you, like so many other Americans, are in a situation of having too much credit card debt, there are solutions that can help you shed that debt fast. One solution is actually just a simple two-step method which can speed up the repayment process, allowing you to pay off your debt faster while also paying less interest.
You've probably heard by now that the Federal Reserve executed a long-awaited interest rate hike in December. Though this move was both inevitable and sorely needed, it's not great news for borrowers. In fact, your student loan interest rates might have gone up as a result.
If you have a mortgage of any kind, refinance it now. We are living in unprecedented times and now is the time to find your mortgage statement, whe...