All eyes were on the top Fed Chairman contender Janet Yellen on Thursday, as investors listened closely to her hearing before the Senate Banking Committee. Somewhat quelling investor fears, Yellen noted “It’s important not to remove support especially when the recovery is fragile and the tools available to monetary policy should the economy falter are limited. I believe it could be costly to withdraw accommodation or to fail to provide adequate accommodation.” Yellen also emphasized the central bank’s commitment to maintaining its 2% inflation target, and that the Fed will remain diligent in monitoring any potential asset bubbles [see 101 ETF Lessons Every Financial Advisor Should Learn].
Below, we highlight seven insightful articles circulating around the financial space this week:
- Passive management does not equal passive investing (Institutional Investor)
- The idiocy of the IPO price pop (Nerd’s Eye View)
- Will Microsoft dethrone Apple? (Bloomberg Businessweek)
- Small caps no longer look quite so beautiful (Financial Times)
- The bull case for commodities and emerging markets (Market Anthropology)
- “The way we’re built makes it really hard for us to make good decisions” (Real Clear Markets)
- Argentina’s central bank is bleeding money (Quartz)
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Disclosure: No positions at time of writing.