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Fed’s Kocherlakota Warns Low-Rate World Risks Bubbles
4-Traders, April 18, 2013. All Rights Reserved. NEW YORK–A Federal Reserve official said Thursday interest rates are likely to stay very low for years to come, which raises the prospect that chronic financial instability will be an enduring threat. "For a considerable period of time, the [Federal Open Market Committee] may only be to achieve […] -
Fed’s Kocherlakota: Very Low Rates Could Persist for a Decade
Euroinvestor, April 18, 2013. All Rights Reserved. NEW YORK – A Federal Reserve official said Thursday interest rates are likely to stay very low for years to come, which raised the prospect that chronic financial instability risks will dog the economy for a long time. "For a considerable period of time, the [Federal Open Market […] -
Money Beat: ‘A Dose of Healthy Competition’ for Banking Regulators
The Wall Street Journal, April 18, 2013. All Rights Reserved. New York Department of Financial Services Superintendent Benjamin Lawski signaled in a speech Thursday that he will not shy away from taking the “lead” among regulators while confronting U.S. financial giants. Lawsky rankled other regulators last year when he pursued a money laundering case against […] -
Fed’s Raskin: Record Easing Will Aid Low-Income Americans
Money News, April 18, 2013. All Rights Reserved. Easy money policies are bringing some relief to lower-income Americans hard-hit in the recession and the easing could become increasingly potent as the housing market recovers, a top U.S. Federal Reserve official said on Thursday. In a speech on equality and the U.S. economy, Fed Governor Sarah […] -
Raskin Says Record Fed Easing to Aid Low-Income Americans
Bloomberg, April 18, 2013. All Rights Reserved. Federal Reserve Governor Sarah Bloom Raskin said the Fed should press on with record easing, predicting that current policy will increasingly improve the economic outlook for low-income Americans. The Fed’s near-zero interest rate policy and asset purchases are growing more effective by supporting the housing market and spurring economic […] -
Política expansiva de la Fed, necesaria: Kocherlakota
El Financiero, April 18, 2013. All Rights Reserved. Nueva York. – Las políticas ultraexpansivas de la Reserva Federal de Estados Unidos inevitablemente resultarán en la inestabilidad de los mercados financieros por años pero tales riesgos son necesarios para impulsar el empleo y la inflación, dijo el jueves un banquero central estadounidense. Relacionando a la Fed con una […] -
The Fed Is Inflating Asset Prices and Increasing Volatility, and It Should Do More, Kocherlakota Says
Forbes, April 18, 2013. All Rights Reserved. Admitting that the Federal Reserve is responsible for creating financial instability, and possibly brewing the next toxic asset bubble, Minneapolis Fed President Narayana Kocherlakota said they have to do more to stimulate the economy, as inflation is too low. Kocherlakota predicted five to ten years of financial instability, […] -
UPDATE: Fed’s Kocherlakota Warns Low Rate World Risks Bubbles
Capital.gr, April 18, 2013. All Rights Reserved. (Adds Kocherlakota’s comments on market imbalances, inflation) NEW YORK–A Federal Reserve official said Thursday interest rates are likely to stay very low for years to come, which raises the prospect that chronic financial instability will be an enduring threat. "For a considerable period of time, the [Federal Open […] -
Kocherlakota Sees Fed’s Low Rates Creating Financial Instability
Money News, April 18, 2013. All Rights Reserved. Federal Reserve Bank of Minneapolis President Narayana Kocherlakota said the central bank’s low interest rate policies, though necessary, will probably generate signs of financial instability. “Unusually low real interest rates should be expected to be linked with inflated asset prices, high asset return volatility and heightened merger […] -
Kocherlakota Says Low Fed Rates Create Financial Instability
Bloomberg, April 18, 2013. All Rights Reserved. Federal Reserve Bank of Minneapolis President Narayana Kocherlakota said the central bank’s low interest-rate policies, though necessary, will probably generate signs of financial instability. “Unusually low real interest rates should be expected to be linked with inflated asset prices, high asset return volatility and heightened merger activity,” Kocherlakota […] -
NY Doubles Down on Captives, Private Equity Firm Scrutiny
LifeHealthPro, April 18, 2013. All Rights Reserved. New York insurance regulators have the captives industry and private equity firms that own annuity companies under a microscope for their effect on financial solvency and stability, and the fear policyholders may be left holding the bag. The use of captives of insurers places the stability of the broader […] -
Morning Money: Lawsky on Regulatory Competition
Politico, April 18, 2013. All Rights Reserved. FIRST LOOK III: LAWSKY ON REGULATORY COMPETITION — Excerpts from remarks New York Superintendent of Financial Services Ben Lawsky is to give this morning at the Minsky Conference at the Ford Foundation in NYC on “healthy competition” in financial regulation: “The New York State Department of Financial Services (DFS) […]