Normality? Not yet

In economics there are different definitions of interest rate, which could create a bit of confusion, especially by their different usages. A rough definition of interest rate is the cost of borrowing money. In the Central Bank world, the interest rate is the one at which the Central Bank lends money to commercial banks, and […]

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Fed Funds Rate: decision or reaction?

This article aims to analyse the yield curve of the US Treasury bond form 1962 until now. The analysis has been carried forward with monthly data from FRED (Federal Reserve Economic Database provided by the FED of Saint Louis). The final goal is to spot possible fixed income strategies from the expected fed decision of raising […]

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Bitcoin: Property, Currency or Commodity?

On September 18th 2015, the Commodity Futures Trading Commission (CFTC) has decreed Bitcoin a commodity, while other U.S. agencies defined it as a property and as a currency. Who is right?    It is common knowledge that Bitcoin, the world’s first peer-to-peer digital currency, was created by a Japanese hacker called Satoshi Nakamoto in 2009. […]

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Brazil Economy: Is the Samba over?

It has been a tough year for emerging economies. Lately, China has been hit by a huge stock market storm, experiencing a loss of 40% since peaking in June (the largest drop since 2008). Questions about its economic health have been raised, given the government reaction with panicked interventions. This was a terrible year for […]

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