Would it surprise you to hear that China owns just 8% of the total outstanding debt of the U.S. Government?¹This still amounts to nearly $1.3 trillion, but China’s ownership of Treasury securities is well behind two major domestic owners—Social Security and the Federal Reserve.² Nevertheless, the emergence of a political and economic competitor on the […]
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‘Market Commentary’ Category
If you look up “currency” in Merriam-Webster, you will find it defined as “the money that a country uses” and “the quality or state of being used or accepted by many people.” Recent news stories involving a new form of currency, bitcoin, have sparked the interest of many individuals. How Bitcoin Works Bitcoin has emerged […]
What has upswings and downturns, troughs, peaks, and plateaus? Though such terms could easily describe a roller coaster ride, in fact they are commonly used to refer to something known as the business cycle. The business cycle — also known as the economic cycle — refers to fluctuations in economic activity over several months or […]
Have you ever taken a close look at paper money? Each U.S. bill has the words “Federal Reserve Note” imprinted across the top.1 But many individuals may not know why the bill is issued by the Federal Reserve and what role the Federal Reserve plays in the economy. Here’s an inside look. The Federal Reserve, […]
U.S. Personal Savings Rate The U.S. personal saving rate stood at 4.9% at the end of 2013, a bit higher than its 10-year average of 3.9% and well below the recent five-year high of 8.7% in December 2012.1The personal saving rate is the federal government’s estimate of what percent of their incomes U.S. households are […]
The Fed’s decision to maintain the stimulus status quo leaves markets at a crossroads. The bull market that captivated the financial world in the first half of 2013 began to see some signs of volatility in the third quarter. Economic data in the United States continued to be the focal point of the Federal Reserve’s […]