[VIDEO] Rand Paul’s ‘Audit the Fed’ Bill May Have Friend in New Administration 

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Kentucky senator explains controversial proposed legislation that would subject Federal Reserve‘s monetary policy powers to outside scrutiny as it gets new life under a new administration – and may stand its best chance at becoming law.


[VIDEO] Cruz’s CNBC Economy Interview

Cruz just had a very interesting hour-long interview on CNBC this morning with Joe Kernen, Becky Quick and Andrew Ross Sorkin on the Squawkbox financial program. The CNBC gang hit Cruz with everything from Japanese and German basis points, to negative global interest rates, to bank bailout policies, tax reform, economic effects of climate change proposals, opposition to various kinds of VAT taxing, instability of commodity prices, Fed monetary policy, etc.

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Reagan administration economist Arthur Laffer, one of the architects of Cruz’s tax plan, weighs in for an extra helping of tax and quantitative easing wonkishness.

…This is a much more in-depth discussion than the stump speech snippets we’ve all heard many times…(more)

Source: RedState


Japan to Print Additional ¥10,000 Bills as More People Hoard Cash at Home 

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The Finance Ministry plans to increase the number of ¥10,000 bills in circulation, amid signs that more people are hoarding cash.non-stop-panic-4

It will print 1.23 billion such notes in fiscal 2016, 180 million more than a year earlier. The number of ¥10,000 bills issued annually leveled off at around 1.05 billion in the fiscal years from 2011 to 2015.

Some financial market sources believe it is because more people are keeping their money at home rather than in banks, because interest rates on deposits have fallen to almost zero after the Bank of Japan introduced a negative interest rate in February.

The total amount of cash stashed at home is estimated to have surged by nearly ¥5 trillion to some ¥40 trillion in the past year, Hideo Kumano, chief economist at Dai-ichi Life Research Institute, said. Read the rest of this entry »


Dallas Fed says U.S. Has Lost 70,000 Oil Jobs in the Past Year 

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HOUSTON – Collin Eaton writes: For American drillers, the New Year will likely bring more of the same – financial pressure and mass layoffs.

The U.S. petroleum industry hasn’t seen this many bankruptcies in one quarter since the Great Recession, the Federal Reserve Bank of Dallas says, counting nine Chapter 11 court filings in the year’s final three-month period. And that’s just a third of the year’s domestic casualty count.

The Dallas Fed also estimates in a new report on Thursday the nation has lost about 70,000 oil and gas jobs since October 2014, a 14.5 percent drop in the 14 months after the domestic shale drilling boom that drew thousands to Houston’s oil hub began a steep decline.

But the sacrifice of dozens of U.S. oil producers, thousands of oil field workers and more than 1,200 drilling rigs still hasn’t stalled U.S. crude production enough to shrink the global oil glut that has sent oil prices below $40 a barrel.

Global crude supplies, the Fed said, could outpace demand by 600,000 barrels a day, and the world’s crude storage tanks may not start to decline until 2017.

That’s in part because increased production from Iran has come on earlier than anticipated and the Organization of the Petroleum Exporting Countries is expected to continue pumping crude at current levels. Read the rest of this entry »