Michael Cornips 
The Chevron Doctrine is referring to the US Supreme Court’s decision 40 years ago, giving deference to the Environmental Protection Agency’s (EPA) answer or interpretation of environmental laws. It was coined after a landmark case, Chevron USA, Inc. v. Natural Resources Defense Council, Inc. On June 28, 2024, in Loper Bright Enterprises v. Raimondo, the … Read more
World financial markets are addicted to liquidity to maintain the price level of assets. In a move reminiscent of the over-lending in the 2008 GFC asset bubble, Congress is voting on allowing lending on Second Mortgages by Federal Agencies in a move that could lead to a tsunami of liquidity. Congress recently approved a pilot … Read more
ASX hybrid securities are financial instruments listed on the Australian Securities Exchange (ASX) that combine features of both equity and debt securities. These hybrids offer investors a blend of the characteristics of bonds and shares, providing unique benefits and risks. Understanding ASX Hybrids Hybrid securities can take various forms, including convertible bonds, preference shares, and capital notes. … Read more
The Australian Prudential Regulation Authority (APRA) is proposing several changes to strengthen bank capital requirements and liquidity standards in response to the global banking turmoil earlier in 2024. Here are the key proposed changes: Valuing liquid assets at market value APRA is proposing to require banks subject to the Minimum Liquidity Holdings (MLH) regime to … Read more
Bond yields rose last week as the market absorbed the Central Banks determination to keep short term rates higher for longer in an attempt to kill the inflation impulse. Markets believe in the short term that Central Banks will raise interest rates once or twice more but are certainly convinced, in the longer term, that … Read more
QE stands for Quantitative Easing, which is a monetary policy tool used by central banks to stimulate the economy by increasing money supply. This is the most common statement made in relation to QE: This injection of new money into the financial system increases the reserves held by banks, giving them more money to lend … Read more
The “Trust” part is what is in question. Bitcoin has been falling in price lately with the price hovering around $15,700 as of this writing. This has caused a lot of investors to investigate whether or not it’s a good investment. One way to invest in Bitcoin is through Greyscale Bitcoin Trust (GBTC), which trades … Read more
The market doesn’t like surprises, and the Federal Reserve is not going to give any. The Federal Reserve has moved to clearly signal interest rate policy, lest the market has any panic with unexpected moves. The current Fed Fund rate of .30% does not reflect their intentions going into the future. Some believe that a … Read more
Do you ever get the feeling that when the ABS tell you the inflation rate is 3.5% for the year, that something just seems wrong? Go to the supermarket and don’t tell me a basket of goods hasn’t substantially increased in price. Meat and Livestock Australia said retail prices are up 10 per cent per kilogram compared … Read more
The SWIFT system stands for the Society for Worldwide Interbank Financial Telecommunication and is a secure platform for financial institutions to exchange information about global monetary transactions such as money transfers. Set up in 1973, it is a crucial part of the plumbing that facilitates flows of money around the world. It is operated as a co-operative … Read more