Flood of Liquidity

(1) When good news is not bad. (2) Twisted Fed policy. (3) Consumers and businesses are loaded with liquidity. (4) Banks holding record $3.34 trillion in cash, Treasuries, and Agencies! (5) Do we really need more QE? (6) A classic liquidity trap? Not! (7) Monetary policy is really fiscal policy. (8) FSMI still bullish. (9) Warm weather slows railcar loadings of coal. (10) Railcar loadings of autos at cyclical high. US CALENDAR (link): Wed: Challenger, ADP 208k, NM-PMI 57.0. Thurs: Claims 360k, Bullard. (Estimates source: Bloomberg.) GLOBAL CALENDAR (link): Wed: NM-PMIs Italy 44.4, France 50.0, Germany 51.8, Euro Zone 48.7, UK 53.4, Euro Zone Retail Sales -1.1% y/y, German Orders 1.4% m/m,-5.5% y/y. Thurs: China CPI -1.1% y/y, UK Production -2.1% y/y, German Production 0.3% y/y, Canada Employment/Unemployment Rate 13.2k/7.4%. (Estimates source: DailyFX.)