Low yielding currencies get sold…High yielding currencies remain solid…Further info on the inflation indexed bonds…Stealth QE…And Now… Today’s Pfennig!

“It looks like things are finally turning around,” said a friend at Saturday night’s dinner. “Not at all… ” we replied. Paul Krugman says the world “avoided a second Great Depression.” He’s wrong too.

It’s not often we agree with New York Times hack and Nobel Prize winner Paul Krugman. He has been a harsh critic of Team Obama’s policies. The problem is he argues for doing more, not less. However, in a recent New York Times article “The Krug” actually said something that made sense.

As you may have figured out, these Taipan Daily missives are (usually) written the day before. That way they can hit your inbox in time for a read with the morning coffee.

Paul R. Krugman, a Princeton University professor and New York Times columnist known as much for his attacks on Bush Administration policies as for his academic achievements, was named the winner of the Nobel Prize in economics for his theories on global trade.

– US stock index futures are up today on news of that Uncle Sam is planning on pumping $250 billion into banks.

– The Treasury says about half that figure will likely to go to buying stakes in the top nine US banks to get them lending to each other again.

– The Treasury will also consider lifting the cap on deposit insurance for certain bank accounts and guaranteeing certain types of bank lending.

– Global markets surged today.

If you’re game for a laugh, I’d like you – in reading the following quotes – to imagine the words “tax-payers’ cash” wherever you see the words “government” or “central bank”.  Better still, imagine they spell out the words “your savings” instead. Here’s goes…