Tag Archives: Robert Eisenbeis

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Cumberland Advisors Market Commentary – FOMC: Hope Now Seems to Be a Strategy

Author: Robert Eisenbeis, Ph.D., Post Date: September 18, 2020
Cumberland Advisors Market Commentary - FOMC Hope Now Seems to Be a Strategy (Eisenbeis)

The FOMC finished its September deliberations and published its first statement and Summary of Economic Projections (SEPs) since the revision of its policy strategy was announced on the eve of the Kansas City Fed’s annual August Jackson Hole Symposium. The statement began by reiterating that the FOMC stands ready to employ its full range of […]

Cumberland Advisors Market Commentary – JOLTS – July

Author: Robert Eisenbeis, Ph.D., Post Date: September 16, 2020
Cumberland Advisors' Robert "Bob" Eisenbeis, Ph.D.

The BLS Job Openings and Labor Turnover Survey (JOLTS) data come out with a lag, so we are now just getting a look at the July numbers. They do, however, help fill in some of the labor dynamics that are occurring within the economy as we adjust to the COVID-19 pandemic shock. We know that […]

Cumberland Advisors Market Commentary – Labor Markets

Author: Robert Eisenbeis, Ph.D., Post Date: September 8, 2020
Cumberland Advisors' Robert "Bob" Eisenbeis, Ph.D.

In most data releases during the pandemic, it is possible to find some things that are positive and some that are negative, and the extent to which one thing is emphasized over another tends to be influenced in today’s world by politics. The new CES jobs report released by BLS is no exception. There is […]

MarketWatch: The Fed’s new policy may have just ushered in a new era of uncertainty on Wall Street

Author: , Post Date: August 29, 2020
Cumberland Advisors Robert "Bob" Eisenbeis Ph.D. In The NewsCumberland-Advisors-Robert "Bob" Eisenbeis Ph.D. In-The-News

Aug. 29, 2020 By Mark DeCambre Excerpt below. Market volatility may increase without more guidance on how the Fed’s policy will be implemented. As the Fed has put it, “if inflation expectations fall, interest rates would decline too.” And receding interest rates make it difficult for the Fed to use its main tool for managing […]

Cumberland Advisors Market Commentary – FOMC and Revisions to Its Longer-Run Policy Strategy

Author: Robert Eisenbeis, Ph.D., Post Date: August 28, 2020
Market Commentary - Cumberland Advisors - FOMC and Revisions to Its Longer-Run Policy Strategy

On the day of Chairman Powell’s opening speech for this year’s virtual annual Jackson Hole Economic Policy Symposium, hosted by the Kansas City Fed, the Federal Reserve released an update to its January 2012 “Statement on Longer-Run Goals and Monetary Policy Strategy.” This commentary describes the changes in the strategy and discusses what may be […]

Cumberland Advisors Market Commentary – Inflation?

Author: Robert Eisenbeis, Ph.D., Post Date: August 19, 2020
Cumberland Advisors' Robert "Bob" Eisenbeis, Ph.D.

During an August 14, 2020, lecture at the Center for Financial Stability, Charles Goodhart (former member of the Bank of England’s Monetary Policy Committee and professor at the London School of Economics) mused about the US’s current economic slowdown and the prospects for inflation that might result because of the extraordinary increase in the money […]

Cumberland Advisors Market Commentary – A Quick Look at Job Creation

Author: Robert Eisenbeis, Ph.D., Post Date: August 11, 2020
Market Commentary - Cumberland Advisors - A Quick Look at Job Creation (Eisenbeis)

Each month, the BLS produces a wealth of data from both its household survey and its establishment survey. The latter, in particular, gives us a view of where jobs are actually being created during this terrible pandemic. Normally, the data widely cited from these surveys are seasonally adjusted, but for our purposes we will look […]

Cumberland Advisors Market Commentary – A Modest Proposal

Author: Robert Eisenbeis, Ph.D., Post Date: July 28, 2020
Market Commentary - Cumberland Advisors - A Modest Proposal

“In practice, the Fed has never adopted operating procedures designed to control reserves in order to use the money multiplier relationship to control deposits.” (Goodfriend and Hargraves, “A Historical Assessment of the Rationales and Functions of Reserve Requirements,” Source: https://www.richmondfed.org) In response to the pandemic crisis, the Federal Reserve has cut the federal funds rate […]

Cumberland Advisors Market Commentary – More on Fed Liquidity and Lending Programs

Author: Robert Eisenbeis, Ph.D., Post Date: July 10, 2020
Market Commentary - Cumberland Advisors - More on Fed Liquidity and Lending Programs (Eisenbeis)

The Federal Reserve continues to support financial markets, including the commercial paper market, the repo market, the municipal securities market, money market mutual funds, central bank liquidity swaps, and primary dealers. This is in addition to the usual discount window facility that provides credit to commercial banks. In many cases there are either published maximums […]