Central Bankers Reconsider Inflation Targets They Can’t Hit (Bloomberg)
Central bankers are proving to be the gang that can’t shoot straight.
A quarter of a century since New Zealand opened the era of inflation targeting, policy makers from the U.S., euro area, U.K. and Japan are all undershooting their consumer-price goals. Of the Group of Seven, only Canada is currently meeting its mandate.
Rather than lowering their sights to make things easier, the misses are fanning calls for targets to be increased from the 2 percent most aim for to perhaps as high as 4 percent.
The IMF is calling on Gulf oil exporters to cut spending and diversify their economies (Business Insider)
Gulf oil exporters must reduce spending, including subsidies, and diversify their economies to cope with lower revenues caused by the sharp drop in crude prices, the International Monetary Fund said.
The wealthy monarchies, however, should "not react in a knee-jerk way to lower oil prices", the IMF Middle East and Central Asia chief Masood Ahmed told AFP in an interview Monday.
TEPPER: 'Four Feds going all one way? Good luck.' (Business Insider)
Hedge fund honcho David Tepper, the founder of $20 billion distressed-debt fund Appaloosa Management, is speaking at the Sohn Conference in New York.
His message to the crowd of investors was short and simple:
"It's kind of hard to fight money. Don't fight the Fed…Now you've got four Feds. Four!… Four Feds going all one way? Good luck.'"
8 Social Good Trends For Entrepreneurs To Ride On In 2015 (Dutiee)
The web has dramatically changed the rules of doing business right from fundraising to marketing to selling, everything has changed. What worked before doesn’t work now. Social entrepreneurs that take full advantage of the ever evolving web will be the ones that will rule the hearts and minds of donors and consumers. At Dutiee our goal is to keep you updated with the latest. Trends that are showing results and will help you profit from.
Neil deGrasse Tyson reveals how the world’s first trillionaires will make their fortunes (Salon)
In an interview with CNBC’s “On the Money,” superstar astrophysicist Neil deGrasse Tyson argued that innovation is what leads to a healthy economy.
“You have to innovate,” Tyson said. When “an engineer comes out with a new patent to take you to a place intellectually, physically, that has never been reached before, those become the engines of tomorrow’s economy.”
Investors are willing to pay just about anything for shares of fast-casual restaurants (Business Insider)
Investors seem willing to pay just about anything for a better burger.
Half a dozen food chains have held piping-hot stock market debuts in the past year to meet a growing appetite for "fast-casual" restaurants catering to younger and more affluent diners willing to pay more for fresher, higher quality fare than they expect to find at traditional fast food places like McDonald's.
WSJ Slams Bernanke's Blog Post: "Stop Blaming Everyone" For Your Mistakes (Zero Hedge)
The mainstream is beginning to sound a lot like some fringe blog… A week after the world's largest sovereign wealth fund unleashed a tirade against high-frequency trading and monetary policy distortions, The Wall Street Journal has penned an Op-Ed ramping up its war against Bernanke (and The Fed). What next? Cats living with dogs, mass hysteria, the dead rising from the grave?
Bernanke threw the first punch… and it landed. Now The Wall Street Journal counters with a colossal combination…
Component & manufacturing cost of 38mm Apple Watch Sport is less than $84 – IHS teardown analysis (9 To 5 Mac)
The Apple Watch wasn’t long out before iFixit did its usual teardown. Research firm IHS always takes longer, as it seeks to identify the components and find out what they cost. The result, it says, is that the component cost of the 38mm Apple Watch Sport – the cheapest model – totals $81.20, with manufacturing costs taking the total cost-price to $83.70.
Want to get people off food stamps? Raise the Minimum Wage. (Civic Skunk Works)
This Bloomberg interview with University of California Berkeley professor Ken Jacobs is fascinating stuff. Jacobs states that a substantial increase in the minimum wage is the best way to combat the pervasive problem of low-wage workers getting on public assistance programs to supplement their meager pay.
What to Do If Your Team Is Letting You Down (HBR)
I was working with a CEO who was frustrated that his team often failed to meet deadlines. When I asked why he thought that was, he explained that it was because they were lazy. When I met with the team to ask why they were often late, they explained that the culture of the organization was built around quality. They had been told that mistakes are not an option. They were so afraid to make a mistake, they strove for perfection instead of progress.
The CEO thought he was holding his team accountable. However, he had not clearly communicated that meeting deadlines was just as important as producing quality work.
Many leaders believe that holding people accountable is the key to getting the results they want. There’s one problem with this, though: Sometimes we get frustrated with people for not meeting our expectations when we have never communicated what they were in the first place.
Are We Being Psychologically Conditioned To Accept Martial Law In America? (End Of The American Dream)
Have you noticed that we are starting to be bombarded with images of troops in the streets? Have you noticed that the term “martial law” is coming up a lot in movies, news broadcasts and even in television commercials? In recent years, it seems like the solution to almost every major crisis involves bringing in troops. In fact, it has already gotten to the point where when something really bad happens a lot of Americans immediately cry out for troops to be brought in.
The War on Cash: Transparently Totalitarian (International Man)
George Orwell once wrote “If you want a picture of the future, imagine a boot stamping on a human face—forever.”
Not exactly a cheery thought, and one I don’t agree with.
While the forces pushing for centralization of power have been prevailing for decades, they haven’t won a total victory yet. Technologies that empower the individual and that tend toward decentralization—including the Internet, encryption, 3D printing, and cryptocurrencies—offer a powerful ray of hope, reasons to be optimistic about the future.
US External Debt: A Curious Case (NY Times)
As Tim Taylor notes, the U.S. net international investment position — the difference between US assets abroad and foreign claims on the US — has moved substantially deeper into the red in recent years:
Teen chlamydia epidemic rages in sex ed-shunning Texas school district (Salon)
A west Texas school district has confirmed nearly two dozen cases of chlamydia among high school students, at a small-town campus that — surprise! — endorses an abstinence-only sex education program, but does not officially offer sex ed.
At least 20 cases of chlamydia among students at Crane High School were reported to the Crane Independent School District last week, after the Texas Department of State Health Services alerted district officials to the high rate of cases reported in the surrounding counties. According to CBS affiliate KOSA, the district notified Crane High School parents on Monday of the “growing problem,” which so far affects a significant percentage of the school’s nearly 300 students. Crane ISD also informed parents of middle school students about the outbreak, although it is currently contained to high schoolers.
Foxconn’s Robot Army Yet to Prove Match for Humans (WSJ)
Today the Taiwanese assembler of iPhones and iPads has around 50,000 automated employees and still has more than one million humans in its chain of Chinese factories.
The deficit underscores the challenges Foxconn faces in fine tuning its robots–a catch-all term that includes robotic arms and other automated equipment–to handle the intricate tasks required to assemble modern gear and gadgets, according to Day Chia-Peng, general manager of the company’s automation technology development committee.
Orwellian Global Economy? “Backwardation”, Negative Interest Rates and the Gold Market (Global Research)
We live in a truly messed up and Orwellian world if you will.
In many parts of Europe, interest rates are negative. Savers “pay” for the privilege of banks to hold their money, lenders pay sovereign treasuries to lend, new homeowners who borrow to buy property are paid to borrow. This situation where borrowers get paid and lenders pay also exists between banks which is really strange because you would think bankers understand money and interest …just a little?
Ted Cruz makes the Pentagon pinky-swear that Obama is not planning to invade Texas (Salon)
Republican presidential candidate Ted Cruz told Bloomberg Politics’ David Weigel on Saturday that he understands why Texans are concerned that the 2-month-long joint military exercise known as Jade Helm 15 might signal the end of their state’s sovereignty.
“My office has reached out to the Pentagon to inquire about this exercise,” Cruz said. “We are assured it is a military training exercise. I have no reason to doubt those assurances, but I understand the reason for concern and uncertainty, because when the federal government has not demonstrated itself to be trustworthy in this administration, the natural consequence is that many citizens don’t trust what it is saying.”
The Shale Boom Has Already Gone Bust – At Least for Now (Bloomberg)
The meteoric rise in U.S. oil production has ended, easing a global glut and driving a rebound in crude prices from below $50 a barrel, according to crude trader and hedge fund manager Andrew J. Hall.
Sohn 2015: Motherfrackers and Drones and Puerto Rico, Oh My (Deal Breaker)
The 20th annual Sohn Investment Conference kicked off today, and the theme of this year’s “Super Bowl of Investor Presentations” seems to be sheer terror.
There is a terrifying variety of scary ass stuff being discussed at this year’s conference. Let’s take a tour through the hypothetical hellscape.
First stop, David Einhorn calling out the fracking industry for being an exceptionally dangerous sector… and creating a fun new word.
7 Ridiculous Things Ben Carson Believes (Think Progress)
Retired brain surgeon and conservative commentator Ben Carson is expected toannounce today in his hometown of Detroit, MI that he will be be running for the Republication nomination for president. Even though Carson has never held public office, his short time in the spotlight has given him plenty of opportunity to make controversial and often factually incorrect statements.
The truth about 'sell in May and go away' (Business Insider)
It's May. And one of the oldest "rules" on Wall Street is "sell in May and go away."
Based on some rough historical observations, someone decided that it might be a great idea to stay out of the stock market between May and sometime in the fall.
The truth is that the market doesn't tank during that period. Returns are just lackluster, not negative.
Prescription for Glaxo: A New Boss? (Bloomberg)
Philip Hampton is taking over as chairman of GlaxoSmithKline Plc as Chief Executive Officer Andrew Witty struggles to win back investors’ favor.
Witty, who’s led Britain’s largest drugmaker since 2008, is facing criticism for Glaxo’s lagging share performance and a depleted pipeline of promising medicines. A bribery scandal in China that led to a $489 million fine last year and sluggish U.S. sales also eroded support.
Hillary Clinton Offers to Appear Soon, but Once, Before House Panel on Benghazi (NY Times)
Hillary Rodham Clinton’s lawyer on Monday told the congressional committee investigating the 2012 attacks in Benghazi, Libya, that Mrs. Clinton would testify before the panel only once, and that she was willing to do so in two weeks.
The committee’s chairman, Trey Gowdy, Republican of South Carolina, has said that he wants Mrs. Clinton to testify twice — once about the attacks and again about her use of a personal email account to conduct government business when she was secretary of state.
I’m Just Now Realizing How Stupid We Are (The Motley Fool)
This is my 3,000th column. I've learned a tremendous amount in writing about investing and the economy. Here are a few of the big lessons.
I've learned that changing your mind is one of the most difficult things we do. It is far easier to fool yourself into believing a falsehood than admit a mistake.
Risk Management using Timed Hedging (Logical Invest)
As you perhaps know I have invested all my money in my own strategies, and I and my family (the best wife of all and 4 nice children) are living from the return of these investments. So, I just cannot afford to lose much money in market corrections. Therefore I always try to improve the strategies to lower the risk of major losses.
Police Rethink Long Tradition on Using Force (NY Times)
During a training course on defending against knife attacks, a young Salt Lake City police officer asked a question: “How close can somebody get to me before I’m justified in using deadly force?”
Dennis Tueller, the instructor in that class more than three decades ago, decided to find out. In the fall of 1982, he performed a rudimentary series of tests and concluded that an armed attacker who bolted toward an officer could clear 21 feet in the time it took most officers to draw, aim and fire their weapon.
Australia cuts policy interest rate to record low (Market Watch)
The Reserve Bank of Australia cut its policy interest rate by a quarter percentage point Tuesday, putting the benchmark at 2%, its lowest ever. Many market participants had expected the move, with Reuters having reported the debt market pricing in a roughly 75% chance of a cut.
Synthetic Marijuana Is A Public Health Disaster. Legalizing The Real Thing Would Be Safer. (Think Progress)
Across the country, people are dying from using untested, dangerous drugs that attempt to mimic marijuana. Ironically, there’s evidence that the public health emergency is being fueled specifically by the ongoing criminalization of real marijuana.
Synthetic cannabinoids — known under a variety of names like spice, K2, or scooby snacks — are typically synthesized in foreign laboratories and sprayed onto a mix of inactive herbs, then sold with no mention of the active ingredients or their strength. Congress and state legislatures are trying to keep up with banning the baffling array of new chemicals being introduced by clandestine chemists, but that may actually be leading to the creation of newer, even more dangerous chemicals that we know even less about.
The funniest thing you’ll see today: Kids react to the Apple Watch (BGR)
The Fine Brothers have built a YouTube empire based on different kinds of reaction videos, and they typically stick to a formula. When young children or teens are featured in a reaction video, they’re typically shown something old that they have no experience with. And when elders are featured on a show, they’re shown something new that they have no experience with… like Mortal Kombat X.
In the brothers’ most recent reaction video, however, they switch things up by sitting a bunch of young kids down and showing them something so new, they haven’t even had a chance to play with it yet: The Apple Watch.
John Boehner's 'heart breaks' for 9/11 families, but 9/11 first responders can go to hell (Daily Ko's)
House Speaker John Boehner visited the National September 11 Memorial & Museum last month when he was in New York on a fundraising trip. Here's what he had to say about the visit.
"So you hear what they're telling you, but you are also reliving what happened. Your heart breaks for the families. The resolve pushes its way through. You stop to collect your thoughts. You are right back there." He concluded, "I'm glad I had the chance to go. God bless America."
These Brokers Will Get Your Favorite Celebs to Hang Out With You—for a Fee (Business Insider)
This month, Mariah Carey becomes the latest celebrity to hang her shingle at a permanent residency in Las Vegas, commandeering Celine Dion’s erstwhile home, the Colosseum at Caesar’s Palace, for her show, Mariah #1 to Infinity. She isn’t just selling conventional tickets to the concerts. The self-described Elusive Chanteuse is proving all-too-easy to track down, offering packages (aptly named after her biggest hits, such as We Belong Together) that offer an in-person experience with MC. The priciest, Fantasy, confers the chance to “share a moment on stage in the spectacular setting of her Las Vegas show” to anyone willing to pay $3,000 for the privilege.
Panera Bread Plans to Drop a Long List of Ingredients (NY Times)
Acesulfame K. Ethoxyquin. Artificial smoke flavor.
The first, an artificial sweetener; the second, a preservative; and the third, a flavor enhancer, are just a few of the ingredients that Panera Bread wants to banish from its kitchens by the end of 2016.
How Chinese Oligarchs Used Fake Trade Invoices To Launder Almost $1 Trillion Globally (Liberty Blitzkrieg)
Our estimates show that the developing world lost US$991.2 billion in illicit financial flows in 2012, over ten times the amount of official development aid received by these countries in that year, and greater than the amount of net foreign direct investment received. From 2003 – 2012, US$6.6 trillion left developing country economies illicitly.
A tsunami warning has been cancelled for coastlines near the epicentre of a magnitude 7.4 earthquake that struck off Papua New Guinea.
The US Geological Survey issued an alert saying the quake struck 13km south of Kokopo at approximately 11.44am AEST, in the New Britain region of the island nation, at a depth of 50km.
Are the Clintons More Transparent Than the Bushes? (Mother Jones)
When the recent controversy about the Clinton family foundation first emerged—thanks to Clinton Cash, the book by conservative author Peter Schweizer—all-but-announced Republican presidential candidate Jeb Bush declared that Hillary Clinton is "going to be held accountable like all of us…That's part of the process." But Bush declined to slam Clinton or comment on Schweizer's admittedly unproven allegations that she took official action as secretary of state to benefit foreign donors to the foundation. He said, "I don't 'go off' on Hillary Clinton." And he explained that there would be time later to get into partisan sniping. But there was perhaps another reason for his reticence: The Bush family foundations are less transparent about their donors than the Clinton Foundation.
How to Plan Your Week to Keep Your Weekend Free (HBR)
“I’ll get that done over the weekend.”
This one sentence has become a one-size-fits-all solution when we can’t fit in working on a project, answering e-mail, or simply knocking items off our to-do lists during the week.
And although it’s true, you can potentially get some work done over the weekend (particularly if you’re someone who is often interrupted and finds that the weekends are a rare oasis of focus), it may not be in your best interest to never give yourself a break from work. If you don’t have some dedicated time off each weekend where you can relax guilt-free, you are setting yourself up for resentment of your work and eventual burnout.
James Beard Awards 2015 Winners: You Can Take the Beards Out of New York… (Eater)
The celebration of American food known as the James Beard Foundation Awards, hosted for the first time in Chicago this evening, showed itself to be a celebration of New York food, as five of the eleven top national awards went to individuals or institutions from the Empire State. Dan Barber’s Blue Hill at Stone Barns, in Pocantico Hills, New York, won Outstanding Restaurant….
