Econintersect: Every day our editors collect the most interesting things they find from around the internet and present a summary "reading list" which will include very brief summaries (and sometimes longer ones) of why each item has gotten our attention. Suggestions from readers for "reading list" items are gratefully reviewed, although sometimes space limits the number included.
- Why would the ECB buy corporate bonds? (Matthew C. Klein, FT Alphaville) It may be that the market for asset backed securities and covered bonds in simply not large enough for the massive bond buying the ECB may do. They may have to acquire corporate debt as well.
from the Dallas Fed
Oil prices declined to yearly lows at the beginning of the fourth quarter, reflecting weak demand and ample supply, despite geopolitical uncertainty surrounding Iraq, Syria and Ukraine. Global consumption growth forecasts were revised downward due to weak demand in Asia and countries belonging to the Organization for Economic Cooperation and Development (OECD). Meanwhile surging production in the U.S. pushed up the supply of oil, offsetting supply disruptions in the Middle East.
from the Bureau of Labor Statistics
Real average hourly earnings for all employees fell 0.2 percent from August to September, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This result stems from unchanged average hourly earnings combined with a 0.1 percent increase in the Consumer Price Index for All Urban Consumers (CPI-U).
by Jeff Larson and Julia Angwin, ProPublica
Newly disclosed National Security Agency documents suggest a closer relationship between American companies and the spy agency than have been previously disclosed.
The documents, published two weeks ago by The Intercept, describe "contractual relationships" between the NSA and U.S. companies, as well as the fact that the NSA has "under cover" spies working at or with some U.S. companies.