Archive for September 16th, 2013

Deeper Analysis

21st Anniversary of Black Wednesday

September 16, 2013

Sterling abandoned the Exchange Rate Mechanism (ERM) 21 years ago this day.  The ERM served as training wheels for currencies aspiring to join the European Currency Mechanism.  The British pound was a late comer to the ERM, joining in October 1990.  Former Prime Minister Margaret Thatcher had long opposed the action.  The ERM had been […] More

New Overnight Developments Abroad - Daily Update

Markets React to Summers’ Withdrawal, Syrian Agreement, Bavarian Election and Draghi Remarks

September 16, 2013

Larry Summers took his name out of contention to be the next Federal Reserve chairman.  So has Tim Geithner.  Presumably Janet Yellen will get the nod, but Donald Kohn remains a dark horse in the race.  Conclusion is that normalization of Fed policy will proceed more slowly has lifted stocks and depressed bond yields. The […] More