Recent Blog Posts
-
The $4.5 Billion Dollar Bank Run
Nov 07 201111:20 am EDT -
The Times' Rorshach Geithner Story
Apr 27 20099:26 am EDT -
Sinking Animal Spirits
Apr 27 20098:45 am EDT -
Counter-cyclical Urban Policy
Apr 26 200910:00 am EDT -
Be Your Own Counterfeiter
Apr 26 20099:36 am EDT -
Being Tim Geithner
Apr 25 200912:37 pm EDT -
Notes From a Press Conference Naif
Apr 25 20099:41 am EDT -
What Good is the News?
Apr 25 20098:32 am EDT -
Stressful Enough
Apr 24 20092:29 pm EDT -
Not Regretting the Pound
Apr 24 20091:09 pm EDT
Links
- Felix Salmon
- DealBreaker
- Ryan Avent: The Bellows
- The Epicurean Dealmaker
- Chris Anderson
- Ultimi Barbarorum
- MarketBeat
- Michelle Leder
- John Quiggin
- The Panelist
- Andrew Leonard
- Streetsblog
- Brad Setser
- Michael Mandel
- Financial Crookery
- Kash Mansori
- Dean Baker
- Calculated Risk
- Free Exchange
- Curbed
- Lance Knobel
- Econospeak
- Carbon Tax Center
- Overcoming Bias
- Mark Thoma
- Naked Capitalism
- Alphaville
- Barry Ritholtz
- Alexander Campbell
- The Bayesian Heresy
- Brad DeLong
- DealBook
- Greg Mankiw
- Deal Journal
- FP Passport
- Carl Bialik
- Marginal Revolution
- A Fistful of Euros
- Dan Gross
The TED Debate
Alex Tabarrok puts up a chart of the TED spread over the past 40 years or so, with the clear implication that it's not at unprecedented levels right now. Alea responds with a chart of something he calls the "TED ratio", which is at unprecedented levels but which may or may not be a useful indicator. Both charts are derived from this data, which is probably the best place to look if you want to make your own mind up first.
Looking at that final chart, the thing which jumps out at me is not (only) that the TED spread is very wide right now, but the fact that it has never before gapped out at a time when T-bill rates are falling. For the past 40 years, Eurodollar rates and T-bill rates have moved in the same direction. Now, they're moving in opposite directions. I don't know what that says about the credit crunch, but it does seem to say something about how crazy the markets are at the moment.
Incidentally, I'm getting back on a plane Monday morning; don't expect much if any posting until later in the day.
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500 Startups Hits New York
