Wednesday, December 17, 2014

Wednesday roundup (12-17-14)

Deflation Stalks the Globe (BloombergView) A Global Disease Called Deflation (The Huffington Post)

Europe's Deflation Struggle Intensifies (Dow Jones Newswires)

Greek election uncertainty fuels concerns over eurozone stability: Ballot of 300 MPs fails to yield clear result, with two rounds left to choose a winner and avoid eurozone instability (The Guardian) To save itself, Greece must exit the euro: A Syriza election victory threatens default and disorderly exit from the euro for Greece. This would be a disaster for all. But done properly, the reintroduction of sovereign currencies within the eurozone would provide a bright new beginning (The Telegraph)

Russian economy stagnates in November - on track to recession in 2015 (Reuters) Going over the edge: A deep recession is now a certainty for Russia in 2015. Things could get much worse (The Economist) Russia’s Economic Pain Is Just Beginning, Bank Group [Institute of International Finance] Warns (The Wall Street Journal blogs) Russia Is So Screwed (Slate blogs)

Russia Seen Spending Further $70 Billion to Fight Ruble Rout (Bloomberg)

Wrecking Russia’s economy could be a disaster for the west: It’s sheer folly to hope that the country is destabilised and Vladimir Putin overthrown. We’ve no idea what the outcome would be (The Guardian) Stop Celebrating the Ruble's Collapse. Cheap Oil Could Come Back to Bite the American Economy (The New Republic)

EU says Ukraine needs $15 billion, has limited ability to help (Reuters)

Economic Fears May Push Russia Into Ukraine Deal (The New York Times)

US consumer inflation posts largest decline in six years (Reuters)

U.S. factory activity growth at 11-month low in December: Markit (Reuters)

Fed Will Implement QE4 in Early 2016: Rickards (Bloomberg)



Banks loosen lending standards to levels seen before financial crisis (The Los Angeles Times)

Congress Lit the Fuse to the Next Financial Disaster (The Huffington Post)

Elizabeth Warren: An Honest and Courageous Woman in a Cowardly and Centrist Democratic Party (The Huffington Post)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Tuesday, December 16, 2014

Tuesday roundup (12-16-14)

Russia risks Soviet-style collapse as rouble defence fails: 'What is happening is a nightmare that we could not even have imagined a year ago,' says Russia's central bank by Ambrose Evans-Pritchard (The Telegraph)

U.S. Won’t Ease Sanctions to Prevent Economic Meltdown in Russia: As the ruble falters, American officials are watching to see how Vladimir Putin responds. (Bloomberg) Obama Backs Bill Imposing New Sanctions on Russia (The Associated Press)

Russia has just lost the economic war with the west: The interest rate hike’s failure to halt a freefalling rouble means Russia is facing a perfect storm, only part of which is a full-blown currency crisis (The Guardian blogs) Here's Why the Russian Ruble Is Collapsing (Bloomberg) The Collapse of Putin's Economic System (Bloomberg) Who loses if Russia implodes? (CNNMoney)

Russian rouble in free-fall despite shock 17% rate rise (The BBC) Russian ruble suffers steepest drop in 16 years (Reuters) Russian ruble falls to historic lows, while pressure increases on Putin (The Associated Press) Russian Rate Jump Fails to Stop Ruble Crash (Bloomberg)

World set to end year in brittle economic state [with "events in Russia" being the "most eye-catching."] (Reuters)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Monday, December 15, 2014

Monday roundup (12-15-14)

Oil Prices Fall to Fresh Lows: Concerns Over Glut of Oil Outweigh News of Reduced Libyan Exports (The Wall Street Journal) Oil prices as an indicator of global economic conditions (Econobrowser)

Russia’s Central Bank Abruptly Raises Key Rate to 17% (The New York Times) Russia heading for crash as ruble plummets (CNNMoney) Russian crisis turns systemic as rouble crashes 13pc: Russia's central bank is letting the rouble plunge as the path of least resistance, but this is becoming dangerous as fear spreads by Ambrose Evans-Pritchard (The Telegraph) [Later ...] Russia hikes interest rates to 17pc to stop rouble collapse: Russia's central bank makes shock move just days after raising rates to 10.5pc, after rouble crashes 13pc against the dollar by Ambrose Evans-Pritchard et. al. (The Telegraph)

Russian Industrial Output Unexpectedly Drops Amid Ruble Debacle (Bloomberg)

Malta CenBank governor sounds [Eurozone] deflation concern (Reuters)

Belgium sees massive strike against austerity measures: Union-led strikes have cut air and rail service to Belgium, with the anti-austerity action set to affect schools, businesses and government offices across the country. The strike targets the new government's budget plan. (Deutsche Welle)

The EU's Day of Reckoning: Italy Is Too Big to Bail Out (The National Interest)

Polish Deflation Tops Estimate as Rate-Cut Rift Sharpens (Bloomberg) Poland Deflation Continues at Same Pace in November (Dow Jones Newswires)

Bulgaria annual deflation speeds up to 0.6% in November (The Sofia Globe)

President Obama and Congress Just Gave Your Savings Account to JPMorgan (TruthDig) Savings accounts are at risk as long as JP Morgan CEO gets everything he wants: The CEO of America’s biggest bank, JP Morgan, appears to have Washington at his beck and call but is his push to repeal a key financial safeguard a step too far? (The Guardian) Dodd-Frank Budget Fight Proves Democrats Are a Bunch of Stuffed Suits by Matt Taibi (Rolling Stone) Wall Street’s Win on Swaps Rule Shows Washington Resurgence [= Shows the Resurgence of Wall Street in Washington] (Bloomberg)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Sunday, December 14, 2014

Sunday roundup (12-14-14)

Rapid fall in oil prices may portend global recession (The New York Post) Tumbling oil could take thousands of jobs with it (CNNMoney)

Greece Is Still The Eurozone's Achilles Heel (Forbes)

Faced with few options, Japan gives Prime Minister Abe more time to fix the economy (The Washington Post) HSBC fears horrible end to Japan's QE blitz as Abe wins landslide: The warning came as Mr Abe won a sweeping  victory in Japan’s snap elections over the weekend, consolidating his power in the Diet and giving him a further mandate for deep reforms. by Ambrose Evans-Pritchard (The Telegraph)

Many indebted students [in the United States] are clueless about loans (CBSMoneywatch)

The Speech That Could Make Elizabeth Warren the Next President of the United States (The Huffington Post) ["Senator Elizabeth Warren lost her battle over the government spending bill. But she ended the week a winner."] (CNNMoney)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Saturday, December 13, 2014

Saturday roundup (12-13-14)

The Global Bankers’ Coup: Bail-In and the Shadowy Financial Stability Board by Ellen Brown (The Web of Debt blog)

The Financialized-Oil Dominoes Are Toppling by Charles Hugh Smith (Of Two Minds blog)

Europe may have a big, fat Greek problem (Marketwatch)

[United States] Senators avert government shutdown, pass temporary spending measure (The Washington Post) Fight over stopgap spending bill leaves GOP senators livid (The Los Angeles Times)

The median wealth for whites in the US is nearly $142,000. For blacks, it's $11,000. (Vox)

Unofficial Problem Bank list declines to 406 Institutions (Calculated Risk blog)

Organic-Farming Boom Stretches Certification System: USDA Farms Out Inspections, but Thoroughness Is Questioned (The Wall Street Journal)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Friday, December 12, 2014

Friday roundup (12-12-14)

Euro-Area Industrial Output Grows a Less-Than-Forecast 0.1% (Bloomberg)

Italian finance minister: Europe must act now to avoid stagnation: Pier Carlo Padoan attacks European Investment Bank for worrying more about its credit rating than about growth (The Guardian)

Europe Is Following Italy Into A Minefield Of Permanent Austerity And Debt Crises (The Business Insider)

Fitch lowers France's rating on its debt, deficit and budgeting issues to 'AA' (The Associated Press)

General strike hits Italy as unions protest labor reforms, austerity: Trade unions in Italy are staging an eight-hour general strike in protest against labor market reforms and austerity measures. The country is experiencing high unemployment, particularly among the young. (Deutsche Welle)

China’s Slowdown Deepens as Factory Output Growth Wanes: Economy (Bloomberg)

Americans are 40% poorer than before the recession (Marketwatch) Wealth Gap Between Races Widened During Recession, Study Says (National Public Radio blogs) Wealth inequality has widened along racial, ethnic lines since end of Great Recession (Pew Research Center)

Even amid recovery, state budgets bleed red ink (The Washington Post blogs)

$1.1tn US budget deal imperiled by revolt over taxpayer net for risky bank trades (The Guardian) ‘Enough is enough’: Elizabeth Warren’s fiery attack comes after Congress weakens Wall Street regulations (The Washington Post blogs) Elizabeth Warren, David Vitter Make Last-Minute Press Against Reid On 'Wall Street Giveaway' (The Huffington Post) Sen. GOP senator joins foes of Wall Street provision in spending bill (The Hill) Warren urges Republicans to oppose bailout provision in government funding bill (Youtube)



Memo To Citigroup CEO Michael Corbat: Does Your Crony Capitalist Plunder Know No Shame? (David Stockman's Contra Corner blog)

Don’t Repeal Swaps Push-Out Requirements (Section 716 of Dodd-Frank) by Simon Johnson (Baseline Scenario blog)

Bair on Wall Street's mistaken power play: Former FDIC chair Sheila Bair discusses issues adding to the cynicism and distrust of big banks. (CNBC)

The Week Elizabeth Warren Decided to Run for President (The New Republic) Warren makes her mark (The Hill)

Halliburton to cut 1,000 jobs (Houston Business Journal)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Thursday, December 11, 2014

Thursday roundup (12-11-14)

Cheap Loans From E.C.B. Get Tepid Response Among Eurozone Banks (The New York Times) Another Disappointment Means ECB Is Almost Out Of Tools To Help The Eurozone (Forbes) ECB Case for QE Boosted by Muted Long-Term Loan Take-Up (Bloomberg

France Is About To Plunge Into Deflation (The Business Insider) French core inflation turns negative, points to deflation risk (Reuters) France drifts into deflation as ECB 'pea-shooter' falls short: The Bank of Italy warns that any further falls in prices at this stage could have 'extremely grave consequences for economies with very high public debt levels' by Ambrose Evans-Pritchard (The Telegraph)

As unemployment keeps rising, French government to unveil new plan to encourage hiring (The Associated Press

Year after reform, French pension system faces new deficit risk (Reuters

Nearly One in Five Americans Say They'll Be in Debt Forever (NBCNews

Elizabeth Warren is really angry about Dodd-Frank change (CNNMoney

Catholic Health to cut 1,500, or 1.7% of jobs, at end of January [Dec. 5] (The Denver Post

Dutch firm SBM Offshore to cut 1,200 jobs worldwide (Reuters

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.