Relevant and even prescient commentary on news, politics and the economy.

You searched for: label/euro; bond; debt; Eurozone

Interest Rates: The Very Long View

…pick historical series that were as close as possible to the risk and duration of the modern 10-year government bond.) The answer to my original question seems clear: the 1960s…

Arnold’s Fiscal Fraud Continues

…issuing new debt. In a recent report, he said California has $34.6 billion in general obligation bonds outstanding and $30.4 billion in authorized but unissued bonds. Trying to understand what…

Katrina Relief & Ricardian Equivalence

…the debt and gift it to them. When their bill comes do they can sell the bond to pay for it. If Andrew does not have the money to buy…

What Conundrum?

…the US from 2000 to 2003. For example, the government bonds of France and Germany typically paid an interest rate around 0.1%-0.2% lower than the equivalent US government bond, while…

Finally, the Big Event: China Revalues

…China. My first reaction is to keep a close eye on the bond market. Will long-term interest rates be bid up substantially today? (As of 10:00am EDT, 10-yr treasury bond

Interest Rates & Fiscal Policy per the NRO

…is a conundrum, but the market price for bonds is readily explained by its payout structure over its term compared to market yields on similar bonds. For example – if…

Crony Capitalists of the World – Unite

…a bond rating agency, downgraded both Ford and General Motors bonds to junk status. That is, it sees a significant risk that the companies won’t be able to pay their…

Turning on a Dime

…treasury bond over past 6 months; 45 = 4.5%, etc. Just a little while ago, bond yields were marching rapidly higher; but over the past couple of weeks they have…

China’s Real Weapon?

…US and $1,800 of which are held by foreign individuals and institutions. What would happen if China decided to dump, say, $100 bn of US government bonds on the market…

The Interest Rate Mystery

…(but does recent evidence really support that argument?); or because the bond market is expecting an economic downturn (but why would bond market participants expect that when stock market participants…