Top Takes From RealMoney

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3. About BRIC Rerserves
By Marc Chandler
11:08 a.m. EDT

Bloomberg's comments about BRIC central banks exaggerate claims that they boosted reserves in May, although China hasn't even reported April figures. The build-up in reserves, especially for Russia and India, is a replacement to the drawdown in the second half of last year

The larger point of the report, that the BRIC countries are accumulating reserves to prevent their currencies from appreciating is probably only partially true. Brazil, Russia and India's currencies have appreciated, though most of such gains reflect dollar weakness.

Regarding U.S. Treasuries in the first quarter:

Brazil- Net seller
Russia- Bought the same amount as in H208
India- Bought 9 billion, same as Q408
China- Holdings increased

Ironically, Japan increased purchases of Treasuries in the first quarter.

No positions.

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4. The New Engine
By William Furber
11:13 a.m. EDT

Ken Wolff makes a good point about how the market needs a new engine driving economic growth. The answer is in the "Harvard Grads Flee Finance" headline over the weekend.

Of course, it's going to take a little while before the seeds of innovation produce the newly public growth stocks of the next 20-30 years, so we will have to keep looking for the older ones at discount prices for now...

No positions.