Links

The Global QE Exit Crisis – a very good explanation of the impact of QE tapering on deficit challenged developing economies..

Excerpt – “Central bankers have done everything in their power to finesse these problems. Under the leadership of Ben Bernanke and his predecessor, Alan Greenspan, the Fed condoned asset and credit bubbles, treating them as new sources of economic growth. Bernanke has gone even further, arguing that the growth windfall from QE would be more than sufficient to compensate for any destabilizing hot-money flows in and out of emerging economies. Yet the absence of any such growth windfall in a still-sluggish US economy has unmasked QE as little more than a yield-seeking liquidity foil.”

And more from Stephen in a recent CNBC slot

Bond Binge Expanding Leverage Toward Crisis Peak: Credit Markets ( hat tip The Prudent Bear)

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