This post provides links to some interesting articles I have read over the past few days that you may also enjoy.
• William Poole (Financial Times): A market solution to secure banks' future, May 21, 2009.
Would bankers rather face the discipline of subordinated debt or much heavier Washington regulation, including opaque and changing rules?
• The Economist: That kitchen-sinking feeling, May 20, 2009.
Japan's woeful economic peformance may mean that things can't get any worse.
• Michael Pettis (Financial Times): Asia needs to ditch its growth model, May 19, 2009.
The basic assumption that implicitly underlay Asian development - that American households had an infinite ability to borrow and spend - has been seen as false.
• Ambrose Evans-Pritchard (Telegraph): Asia will author its own destruction if it triggers a crisis over US bonds, May 18, 2009.
Japan beware, crashes have a habit of bringing regime change.
• Andrew Bary (Barron's): U.S. Blues, May 18, 2009.
The bear market in Treasuries will worsen, because of a glut of government bonds. Instead, consider high-yielding mortgage securities and certain munis.
• Julia Ioffe (The New Republican): Prophet motive, June 3, 2009.
Is Nouriel Roubini lucky or just good?
• Martin Wolf (Financial Times): This crisis is a moment, but is it a defining one?, May 19, 2009.
Is the current crisis a watershed, with market-led globalisation, financial capitalism and western domination on the one side and protectionism, regulation and Asian predominance on the other? Or will historians judge it, instead, as an event caused by fools, signifying little.
• Woody Brock (John Mauldin's Outside the Box): The end game draws nigh - the future evolution of the debt-to-GDP ratio, May 18, 2009.