Föhrenbergkreis Finanzwirtschaft

Nach den kristallklaren Aussagen des Föhrenbergkreises zur Finanzwirtschaft aus dem Jahr 1999 gibt es jetzt einen neuen Arbeitskreis zum Thema.

Mit ‘WSJ’ getaggte Beiträge

FBI Investigating High-Speed Trading

Geschrieben von hkarner - 2. April 2014

Date: 01-04-2014

Source: The Wall Street Journal

Examination Centers on Possible Trading on Nonpublic Information

The Federal Bureau of Investigation is probing whether high-speed trading firms are engaging in insider trading by taking advantage of fast-moving market information unavailable to other investors.


The investigation, launched about a year ago, involves a range of trading activities and is still in its early stages, according to a senior FBI official and an agency spokesman. Among the activities being probed is whether high-speed firms are trading ahead of other investors based on information that other market participants can’t see.


Among the types of trading under scrutiny is the practice of placing a group of trades and then canceling them to create the false appearance of market activity. Such activity could be considered potential market manipulation by encouraging others to trade based on false orders. Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , | Leave a Comment »

Euro Zone Edges Closer to Deflation

Geschrieben von hkarner - 30. März 2014

Date: 28-03-2014
Source: The Wall Street Journal

German, Spanish Data Put Pressure on ECB to Consider Fresh Stimulus

EZ InflationFRANKFURT—Spanish consumer prices unexpectedly fell from a year ago and German inflation edged below 1%, suggesting the euro zone is edging closer to a paralyzing bout of extremely low inflation, or even broad-based price declines known as deflation.

The inflation figures from two of the bloc’s four-largest economies put further pressure on European Central Bank officials to consider fresh stimulus measures when they meet Thursday, including negative rates on bank deposits. Annual inflation in the euro zone was 0.7% in February, and the reports from Germany and Spain suggest it could weaken to as low as 0.5% when data for the entire bloc are released Monday. The ECB targets inflation of just below 2%.

Spanish consumer prices in March were 0.2% below levels seen a year ago, as prices for food and nonalcoholic beverages declined. This followed a 0.1% increase in prices in the previous month.

Annual inflation in Germany was 0.9%, while consumer prices were up 0.3% on the month.

“The net effect has been to boost expectations for ECB action next week,” said Marc Chandler, currency strategist at Brown Brothers Harriman, in a research note. The euro fell against the U.S. dollar as hopes for ECB interest-rate cuts rose. Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , , | Leave a Comment »

ECB’s Liikanen: Open to Negative Deposit Rate

Geschrieben von hkarner - 26. März 2014

Erkki Liikanen ist ein besonders Guter: er war zuvor von 1995 bis 2004 EU-Kommissar, davon ab 1999  für Unternehmen und Informationswirtschaft. Als solcher hat er den Föhrenbergkreis im Mai 2003  in Wien besucht, um sich mit unseren Ideen “Auf der Spurensuche zu einer Neuen Wirtschaftsordnung” zu befassen. Er hat einen halben Tag mit uns zugebracht, kam extra für uns nach Wien (hat zu dessen Unlust nicht einmal Schüssel am Ballhausplatz besucht!). Die Initiative dazu ging vom damaligen EU-Botschafter in Österreich (Karl Doutlik) aus.  hfk

Date: 25-03-2014
Source: The Wall Street Journal

Latest Indication Officials are Willing to Provide Fresh Stimulus
Erkki Liikanen is one of the ECB’s longest serving members.
Setting a negative deposit rate to guard against excessively low inflation is an option for the European Central Bank, said Finland’s central bank governor Erkki Liikanen, the latest indication that officials are willing to provide fresh stimulus to protect a fragile economic recovery.

“If you want to tackle the issues with traditional monetary policy, then you should be able to cut rates further. We are at low levels but we haven’t exhausted our maneuvering room,” Mr. Liikanen told The Wall Street Journal in an interview.

Mr. Liikanen is one of the ECB’s longest serving members, heading Finland’s central bank since 2004, and is on the 24-member governing council.

The ECB’s main lending rate to banks is 0.25%, a record low. The separate deposit rate is set by the ECB for overnight funds parked at the central bank. It has been set at zero for nearly two years. Denmark has experimented with negative rates on bank deposits. But the ECB would be the largest central bank to go this route since the global financial crisis erupted more than five years ago.

Faced with a penalty rate for parking funds at the ECB, commercial banks might instead lend their excess funds to other financial institutions, lowering short-term borrowing costs. It could also make euro-denominated assets less attractive to global investors, taking some of the froth off the value of the euro, and thereby boosting exports and inflation.

Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , , , | Leave a Comment »

IMF Warns Inequality Is a Drag on Growth

Geschrieben von hkarner - 14. März 2014

Date: 14-03-2014
Source: The Wall Street Journal

Says Rising Income Inequality Is Weighing on Global Economic Growth

Rich man poor  manWASHINGTON–The world’s top economic institution is sounding the alarm about a growing chasm between rich and poor, warning that rising income inequality is weighing on global economic growth and fueling political instability.

The International Monetary Fund’s latest salvo came Thursday in a top official’s speech and a 67-page paper detailing how the IMF’s 188 member countries can use tax policy and targeted public spending to stem a rising disparity between haves and have-nots.

IMF Managing Director Christine Lagarde has made the issue a high priority for the fund, warning—along with some of the fund’s most powerful shareholders—that inequality is threatening longer-run economic prospects. Last month, Ms. Lagarde said the income gap risked creating “an economy of exclusion, and a wasteland of discarded potential” and rending “the precious fabric that holds our society together.”

The IMF is wading deep into a problem that no less than President Barack Obama and Pope Francis have called a defining issue of our time, and the fund’s potential prescriptions are likely to be a lightning rod for debate. They include raising taxes and redistributing wealth.

“Redistribution can help support growth because it reduces inequality,” David Lipton, the fund’s No. 2 official and a former senior White House aide, said in a speech Thursday at the Peterson Institute for International Economics. “But if misconceived, this trade-off can be very costly.” Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , , | Leave a Comment »

ECB’s Draghi: Strong Euro Pulling Down Euro Zone Inflation

Geschrieben von hkarner - 14. März 2014

Date: 14-03-2014
Source: The Wall Street Journal

Central Bank Concerned That Muted Price Pressures Could Undermine Europe’s Fragile Recovery

European Central Bank President Mario Draghi issued his strongest statement yet that the strong euro is pulling down inflation in the euro zone, making clear that the central bank is concerned that the appreciating euro could undermine the currency bloc’s fragile recovery.

$ € Exchange rate“The strengthening of the effective euro exchange over the past one-and-a-half years has certainly had a significant impact on our low rate of inflation and, given current levels of inflation, is therefore becoming increasingly relevant in our assessment of price stability,” Mr. Draghi said Thursday in a speech in Vienna.

Mr. Draghi’s comments pulled the euro down sharply. The common currency slumped from $1.3910 just before news of the speech was released to $1.3860 within minutes. It was trading around $1.3850 early evening in London. It also rapidly lost ground against the yen. The euro has been on a steady march upward for more a year.

The top euro zone central banker added a powerful voice to increasing concerns among policy makers across the euro zone that the strength of the euro is impacting inflation, which has been well below the central bank’s target of just under 2% for months. That could prompt the ECB to potentially implement measures designed to weaken the common currency.

Euro Falls on Draghi Remarks
As the euro rises, it cheapens the price of imports, thus putting downward pressure on the inflation index.

“The fact that he’s said this is quite a departure from where they’ve been on [euro strength] for almost forever…In the history of the ECB it’s almost unprecedented,” said Lorcan Roche Kelly, an analyst with Agenda Research in Ireland.

The exchange rate is “the single most known factor so far that could trigger ECB action, and a further appreciation would clearly make them consider further action,” Carsten Brzeski, an economist with ING Bank in Brussels, said. Den Rest des Beitrags lesen »

Veröffentlicht in weitere Artikel | Getaggt mit: , , , , | Leave a Comment »

Bundesbank’s Weidmann: Strong Euro Could Push Inflation Even Lower

Geschrieben von hkarner - 14. März 2014

Date: 13-03-2014
Source: The Wall Street Journal

Drop in Inflation Could Force ECB to Make More Moves to Boost Economy

FRANKFURT—A strong euro could affect the European Central Bank’s outlook for inflation, Germany’s central bank president said Thursday, an indication that the ECB may have to take measures to shore up the region’s fragile recovery should the currency appreciate further.

“The exchange rate is not a target of our monetary policy, but it is one of many variables in the data that influence the prognosis. In this way, an appreciation of the euro could change the inflation outlook,” Jens Weidmann, a member of the ECB’s Governing Council, said, at the euro-zone central bank’s annual news conference on Thursday. He added that it is something the ECB has to take into account.

Mr. Weidmann’s comments are the latest in a chorus of concern this week that the strong euro could put downward pressure on already-low inflation in the euro zone. The euro appreciated further after the ECB’s decision to leave its policy unchanged last week. In a news conference Thursday, ECB President Mario Draghi said the euro’s 9% appreciation against the U.S. dollar since mid-2012 had been “a factor that is affecting in a significant way” the inflation rate, likely responsible for lowering it by almost half a percentage point. Since then, policy makers have expressed their displeasure at the strong euro’s effect on price pressures in the monetary bloc. Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , , , , | Leave a Comment »

Incredible Shrinking Management Fee

Geschrieben von hkarner - 9. März 2014

Date: 08-03-2014
Source: The Wall Street Journal

Professional portfolio management has long cost too much. If a new company has its way, it could be free.

This past week, WiseBanyan, an online-only investment adviser, publicly launched a service that builds and manages diversified portfolios of exchange-traded funds for nothing. There is no minimum account size; nor is there any fee to sign up, to buy the funds or to hold them (other than the underlying expenses of the funds, averaging less than 0.14% annually).

“We’re attempting to replicate what good financial advisers do for large clients in an automated, low-fee fashion for small clients,” says co-founder Herbert Moore, a former institutional trader who has run an affiliated advisory firm since 2009. It’s much too early to say whether WiseBanyan will succeed; so far, it has signed up hundreds of clients, says Mr. Moore. The company ultimately hopes to make money by charging fees for additional services.

But the new venture poses a fundamental question to every investor: If money can be managed this cheaply, am I getting my money’s worth from my financial adviser? Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , | Leave a Comment »

Beijing Signals New Worry on Growth

Geschrieben von hkarner - 6. März 2014

Date: 05-03-2014
Source: The Wall Street Journal

Economic Growth Forecast Is Unchanged From Last Year at 7.5%, but Leaders Show New Concern on Reaching Goal

BEIJING—China’s leaders kept the growth target for their giant economy unchanged but signaled that they are more concerned than ever about reaching it, giving themselves the option of letting credit flow freely to keep from falling short.

The suggestion of more lending to buoy growth—despite repeated recent efforts to rein in debt—is the latest sign of government unease that a slipping economy could trigger higher unemployment and corporate failures, aggravating already high social tensions.

For years, China kept a growth target of about 7.5% but actually grew far faster; in the last two years the economy has barely cleared that figure, and many economists have said it would have a tougher time meeting the goal this year as its economy matures and global demand for its exports comes under pressure. That is a troubling trend for the rest of the world, which has increasingly depended on China to fuel the global economy. Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , | Leave a Comment »

IMF Lagarde: Prolonged Low Inflation May Derail Euro Zone’s Recovery

Geschrieben von hkarner - 5. März 2014

Date: 04-03-2014

Source: The Wall Street Journal

Lagarde CCIMF Chief Says More Monetary Stimulus Needed

A prolonged period of low inflation in the euro zone may derail the currency area’s fragile economic recovery, and must be fought with additional monetary stimulus, International Monetary Fund chief Christine Lagarde said Monday.

Ms. Lagarde, who was speaking at a conference in Bilbao, northern Spain, said that while the European Central Bank already has taken a number of strong measures to help the euro area, “even further accommodative policies and targeted measures are needed to address low, below-target inflation and achieve lasting growth and jobs.”

Annual inflation in the euro zone was 0.8% in February, according to European statistics office Eurostat, well below the ECB’s target of just below 2%. The ECB will meet Thursday to decide on interest rates for the area.

Ms. Lagarde also said that Europe needs to complete its banking union and repair bank balance sheets, to reduce financial fragmentation within the euro area.  Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , , , , | Leave a Comment »

Ukraine Crisis Roils Global Markets

Geschrieben von hkarner - 4. März 2014

Date: 03-03-2014

Source: The Wall Street Journal

Investors Cut Their Exposure to Stocks as Crisis Escalates

The escalating Ukraine crisis rocked global financial markets Monday, driving up oil prices significantly and sending investors rushing into perceived safe-haven assets such as the yen, while they cut their exposure to stocks. 

Early in European trading, Russian markets saw the heaviest losses after Moscow authorized an increase in the number of troops present in Ukraine’s Crimea region. The Russian ruble hit a record low against the dollar and euro, prompting the Bank of Russia to raise interest rates Monday. The benchmark Micex stock index slumped 12%.

Across the board, emerging market currencies and stock markets came under selling pressure Monday.

Poland’s main stock market fell 3.6% at the open, while its currency, the Polish zloty fell over 0.5% against the euro.

In European government bond markets, the yield on the benchmark 10-year Bund fell 0.04 percentage points to 1.58% while the yield on the corresponding U.K. gilt eased 0.06 percentage points to 2.66%. The yield on Ukraine’s 10-year dollar-denominated bond leapt more than a percentage point higher from Friday’s close to 10.53%. Bond prices and yields move in opposite directions.

“The escalation of Ukraine crisis—with reports that Russia may have invaded Crimea—represents a major shock to sentiment toward risky assets,” said Benoit Anne, head of emerging market strategy at Société Générale in London. Den Rest des Beitrags lesen »

Veröffentlicht in Artikel | Getaggt mit: , , , , | Leave a Comment »


Erhalte jeden neuen Beitrag in deinen Posteingang.

Schließe dich 346 Followern an