The Fed Worry About Overheating Markets, CEOs Worry About ‘Uncertainty’, Investors/Consumers Worry About Tax Hikes And Spending Cuts, No One Is Worry About The Debt Time Bomb, Fed’s Balance Sheet, Or Inflation!

The Fed is worried about overheating markets, CEOs Worry About ‘Uncertainty’, investors worry about tax hikes and spending cut, no one is worry about Debt Time Bomb and inflation.

 

You can’t make this up: Federal Reserve officials now say they’re worried about “overheating markets”

Federal Reserve officials are voicing increased concern that record-low interest rates are overheating markets for assets from farmland to junk bonds, which could heighten risks when they reverse their [...]

Old debts bog Europe’s Banks: RBS is exposed to nearly €80B worth of risky mortgage assets, eight times more than its sovereign debt burden. Also: HBC, €54B; DB, €51B; ING, €36B.

Ticking time bombs: European banks are sitting on heaps of exotic mortgage products and other risky assets that predate the financial crisis, in addition to all that eurozone sovereign debt:

European banks are sitting on heaps of exotic mortgage products and other risky assets that predate the financial crisis, adding to pressure on lenders that also are holding large quantities of euro-zone government debt.

Four years after instruments like “collateralized debt obligations” [...]

Fidelity Investments’ Mark Notkin: “The rally in junk bonds is over and stocks are a better buy”

Fidelity Investments’ Mark Notkin, whose high-yield mutual fund beat all rivals over the past five years, said the rally in junk bonds is over and stocks are a better buy.

The manager of the $12.8 billion Fidelity Capital & Income Fund is putting more money into equities and leveraged loans while cutting back on high-yield bonds, which have soared 80 percent since the start of 2009.

“I don’t see the value in [...]