NO end seen to our little, dimwit Bamo's Depression
09:52AM
Yellen: Fed's 'extraordinary' aid to last for some time by Steve Goldstein
WASHINGTON (MarketWatch) -<span style="font-size:1.3em;"> Federal Reserve Chairwoman Janet Yellen said Monday that the recovery still feels like a recession to many Americans, which is why the central bank will keep its "extraordinary" support for the economy for "some time to come."</span> In a speech to a Chicago community reinvestment conference, Yellen also provided evidence why there's still slack in the jobs market, and weighed in on the hot issue of why the participation rate is so low. The speech may come as a bit newsier than the market expected. Yellen expanded on the reasons she believes there are significant more people willing and capable to filling a job than there are jobs for them. "For the many reasons I have noted today, I think this extraordinary commitment is still needed and will be for some time, and I believe that view is widely shared by my fellow policymakers at the Fed," Yellen said. As for the tapering of bond purchases, that is "a judgment that recent progress in the labor market means our aid for the recovery need not grow as quickly."
09:50AM
Chicago business gauge falls to 55.9 in March by Ruth Mantell
WASHINGTON (MarketWatch) -- A gauge of Chicago-area businesses tumbled in March, hitting the lowest level since August, led by drops for new orders and employment, according to data released Monday. The Chicago purchasing-managers index fell to 55.9 in March, down 3.9 points from February. Economists surveyed by MarketWatch had expected a March index reading of 60. Results over 50 indicate an expansion from the prior month.
09:00AM
U.S. too-big-to-fail subsidy as high as $70 billion, IMF says by Steve Goldstein
WASHINGTON (MarketWatch) -- The too-big-to-fail subsidy that banks implicitly enjoy was worth up to $70 billion in the U.S. and $300 billion in the euro area in 2012, the International Monetary Fund said Monday. The estimate -- on the high side of most calculations -- comes in one of the chapters of the IMF's global financial stability report. "Progress is under way, but the subsidy estimates suggest the issue of too-important-to-fail is still very much alive," said Gaston Gelos, chief of the Global Stability Analysis Division in the IMF's Monetary and Capital Markets Department that produced the report.
08:33AM
Euro-zone inflation falls to lowest level since 2009 ( EURUSD ) by Sara Sjolin
LONDON (MarketWatch) -- Inflation in the euro zone dropped to the lowest level since late 2009 in March, adding pressure on the European Central Bank to launch new easing measures at its meeting on Thursday. Annual inflation in the currency union dropped to 0.5%, down from 0.7% in February, according to a preliminary estimate released on Monday. With the 0.5% level, inflation remains far from the ECB's target of just below 2%. Economists worry the euro zone may be heading for deflation, which could put the fragile economic recovery at risk. "It is looking an ever closer call on whether the ECB will take further measures, and it is very possible that the bank could act as soon as its 3 April policy meeting," said Howard Archer, chief U.K. and European economist at IHS Global Insight. "However, the general impression we get from ECB officials' comments is that the they don't believe circumstances warrant policy action at this stage and we still think it is more likely than not that the ECB will sit tight," he added. Data out on Friday showed Spain has already slipped into deflation as high unemployment and weak demand for goods among households and businesses have added pressure on consumer prices. The euro jumped after the data on Monday, trading at $1.3775, up from $1.3759 late Friday. |
