Attention Economy


Tuesday, November 9, 2021

How the Fed Distorts Financial Markets

One Trader Calls All the Shots in the Treasury Bond Market
https://www.bloomberg.com/news/articles/2021-11-02/stock-market-jerome-powell-federal-reserve-dominate-treasury-bond-trades
 The Fed is so dominant that “vigilantes” have lost their power as a check on government excess.

Wall Street Benefits from Fed Largesse
What Bank Earnings from JPMorgan, Bank of America Tell Us About the U.S. Economy
https://www.wsj.com/articles/what-bank-earnings-tell-us-about-the-economy-11634236512
Wall Street is booming, or at least parts of it are. Merger mania and stock trading lifted the big U.S. banks’ third-quarter results. On Main Street, banks are still hunting for bigger loan growth, but many customers are spending more after holding out last year.
 
Wall Street Bosses See Windfall Lasting, Fueling Pay and Hiring
https://www.bloomberg.com/news/articles/2021-10-14/wall-street-bosses-see-windfall-lasting-fueling-pay-and-hiring
The dealmaking and trading windfall that the pandemic unleashed on Wall Street firms just keeps piling up as the economy recovers -- and U.S. banking leaders are pointing to signs that it’s far from over.