Political Economist
Marc Chandler has been covering the global capital markets in one fashion or another for more than 25 years, working at economic consulting firms and global investment banks. Chandler attended North Central College for undergraduate work, where he majored in political science and the humanities. ...more

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Some Thoughts On What Is Happening
6 years ago

I do not think #Powell broke fresh ground indicating that the balance sheet reduction was on autopilot. The #Fed has intimated it before. It indicated that the balance sheet is not long a policy signal and that its reduction was technical in nature and would continue unless, the Fed approached the zero- bound again.

I also disagree about transparency being oversold. Given the immense power of the Fed and its relative insulation, transparency it seems to me, is integral to its accountability What is it doing and why? I get strategic ambiguity and can accept temporal inconsistencies, but I for one am happy that the purposeful obfuscation of the #Greenspan era is over--that "Secrets of the Temple" is a period piece. The system evolves.

Market Shrugs Off Latest US Tariff Provocation
6 years ago

Yes. Thank you. Deflation in goods and maybe not all goods but some. Not services, and as you know American households spend more on services than goods. Also, if inflation/deflation refers to general price levels, the idea that US auto sector has excess capacity could be expressed as a relative price change rather than general price change.

Trump As First Post-Cold War President And The Dollar
6 years ago

Ian Bremmer (@ianbremmer) tweeted at 0:51 PM on Sun, Jul 22, 2018:

So far this year, US special operations forces have carried out missions in 133 countries.

With little transparency or oversight from elected officials.

(twitter.com/.../1021075341014691840?s=03)

If There Is One Thing Investors And Foreign Officials Should Know About The US...
7 years ago

Thanks Gary. Yes, you might be right. I tend to think of foreign economic policy as a subset of foreign policy. And one of my points is that Trump Admin has both free-traders and protectionists. I don't think the message is autarky. I think that what is emerging is lobbying the multilateral institutions to better enforce current rules. The president and the executive branch has limited ability to raise tariffs without Congress. There are some thing Trump can do if he says there is a balance of payments crisis, which would be hard to substantiate. Time will tell which wing of the administration carries the day. I think Mnuchin's comments today give sign that the internationalist wing may come out on top, while the other wing gets to pursue the domestic agenda.

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