- The FOMC released a statement from its March meeting.
- Ben Bernake published an article titled "The Taylor Rule: A benchmark for monetary policy?"
- The Bureau of Economic Analysis (BEA) announced that real GDP increased .2% in the first quarter of 2015.
- The IMF published a working paper on China's residential real estate sector suggesting there may be a crisis without intervention.
- The IMF published another working paper entitled "Financial Crisis, US Unconventional Monetary Policy and International Spillovers." The title speaks for itself.
- SEC Chair Mary Jo White made a statement at an open meeting regarding two proposals to be added to the Dodd-Frank Act, including Pay Vs. Performance.
- A federal court ordered James Harvey Mason to pay a civil penalty and restitution totaling $5.5 million for commodity pool fraud.
In perhaps the biggest news of the day, which turned into a non-event, the FOMC released a statement from its March meeting. It reads, "economic growth slowed during the winter months, in part reflecting transitory factors." It goes on to say, "To support continued progress toward maximum employment and price stability, the Committee today reaffirmed its view that the current 0 to 1/4 percent target range for the federal funds rate remains appropriate." So it appears the Fed is making no changes, but this was the same thing Yellen said at the last statement and then a few days later proceeded to spin a more progressive stance in a speech at the San Francisco Fed. This isn't over. Can't wait to see those minutes.
Ben Bernake published an interesting post today titled The Taylor Rule: A benchmark for monetary policy? In it he disagrees with John Taylor's public assertions that the Fed has not followed the rule. "The rule", as created by Stanford economist John Taylor himself, is intended to "describe the interest rate decisions of the Federal Reserve's Federal Open Market Committee (FOMC)." Taylor criticized the US for its policies at a recent IMF conference in which Bernake participated and this is what Bernake had to say in response.
The Bureau of Economic Analysis (BEA) announced that real GDP increased .2% in the first quarter of 2015. Many are saying this is the reason the FOMC statement was so conservative as GDP increased 2.2 percent in the fourth quarter. The largest decrease was in personal consumption which is ironic considering the decline in energy prices. That said, it isn't surprising that demand dropped off after the fourth quarter. The real question is where GDP goes from here.
A federal court ordered James Harvey Mason to pay a civil penalty and restitution totaling $5.5 million for commodity pool fraud. The U.S. Commodity Futures Trading Commission (CFTC) won the order against Mason of Graham, North Carolina, imposing a $1.67 million civil monetary penalty and restitution of $3.88 million in connection with forex commodity pool fraud. Mason purportedly raised over $5 million from over 500 investors. This is just one of many cases the CFTC has tried this year dealing with commodity pool fraud.
- Monday, April 27, 2015 Recap: Credit Detail, More CFTC Charges, Puzzling Low T-Yields, and the Fed Testifies Before The Senate
- Tuesday, April 28, 2015 Recap: Ex-Evercore Banker & Girlfriend Charged, IMF on Islamic Banking, Bank Profitability, and a $600K Payday For Whistleblower
- Monday, April 20, 2015 Recap: Treasury Auctions, FX Ponzi, BlackRock Fail, Dudley's Fed Speech, and the FFER
- Tuesday, April 21, 2015 Recap: More Regulation For Large Banks, Youth Savings, Piwowar's Speech, Flash Crash Culprit, the OFAC & FNRG Halted
- Wednesday, April 22, 2015 Recap: #EXIM2015, Obama's PPPs, Goldman Sachs In The "Dark", $1.5M Payday, Massad Speaks, and Yellen Stabilizes
- Thursday, April 23, 2015 Recap: GDP, Deutsche Bank, Community Banks, Repos, and the Treasury Gets New Blood
- Friday, April 24, 2015 Recap: New Federal Reserve Auditor, Inventories Up, CEI Same, Insider Trading, Fair Fund Delays & Alizadeh's Grand Jury Indictment