Daily Reading on the Financial Markets: 4/25/13

Jim Quinn at Burning Platform references one of my favorite books, “Brave New World”, as he discussing the abnormality that passes for normality in the modern world.

Matthew O’Brien at the Atlantic on the Reinhart-Rogoff calculation error that has the argument for austerity on its heels.

As a result, it looks like Krugman’s camp of money printers have won, and the pro-Austerity crowd have lost the debate on fiscal policy.

Charles Hugh Smith isn’t very pleased about that.

Mark Dow and Michael Sedacca at Marketwatch on what impact the Fed has on money supply, emphasizing the difference between inside money (created by the Fed) and outside money (created by banks) with the point being that the Fed’s QE creation of inside money is just a small fraction of the total money supply.

Zero Hedge wonder how a trailing 12-month earnings growth chart can look like this (below), at the same time as the S&P surges to new highs.