Sunday, April 20, 2014

Sunday roundup (04-20-14)

Eurozone peripheral nations see interest bill climb (The Financial Times)

Russia stares at recession as Ukraine crisis scars economy (Agence France-Presse)

Productivity among British firms is still 5% lower than its pre-recession levels making it difficult for the UK to regain its competitive edge (This is Money)

Student debt holds back many would-be home buyers [in the United States]: Of the many factors holding back young home buyers — rising prices, tougher lending standards, a still-shaky job market — none looms larger than the recent explosion of college debt. (The Los Angeles Times)

Banks Cling to Bundles Holding Risk (The New York Times)

The End of Our Financial Illusions by Simon Johnson (The New York Times blogs)

     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, April 19, 2014

Saturday roundup (04-19-14)

European Debt Deflation (The New York Times blogs)

Wall Street deregulation pushed by Clinton advisers, documents reveal: Previously restricted papers reveal attempts to rush president to support act, later blamed for deepening banking crisis (The Guardian)

Unofficial Problem Bank list declines to 521 Institutions (Calculated Risk blog)

     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, April 18, 2014

Friday roundup (04-18-14)

Super Mario rushes to the rescue, this time against deflation (The Globe and Mail of Toronto)

Bank of Italy says "essential" to fight too low euro zone inflation (Reuters)

Italy request to push back budget targets dismays Brussels: Renzi’s government has raised the projection for this year’s fiscal deficit to 2.6% of GDP from 2.5% (The Financial Times)

WHAT JANET YELLEN DIDN’T SAY: THE B-WORD (The New Yorker)

Are We Headed for a Credit Market Crash? (House of Debt)

     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, April 17, 2014

Thursday roundup (04-17-14)

Out of Ammo? The Eroding Power of Central Banks: Since the financial crisis, central banks have slashed interest rates, purchased vast quantities of sovereign bonds and bailed out banks. Now, though, their influence appears to be on the wane with measures producing paltry results. Do they still have control? (Spiegel Online)

Eight EU states in deflation as calls grow for QE in Sweden: Sweden’s Riksbank admitted in its latest monetary report that something unexpected had gone wrong by Ambrose Evans-Pritchard -- [The countries are Bulgaria, Croatia, Cyprus, Greece, Portugal, Slovakia, Spain, and Sweden] (The Telegraph) Don’t go potty on the periphery: Southern Europe’s economies are in worse shape than tumbling bond yields suggest (The Economist)

ECB hardliner Weidmann comes in from the cold as deflation threatens (Reuters)

Did Europe misdiagnose debt crisis and make it worse? [book review; the author expects that the Eurozone will experience "a Japanese-style period of stagnation and deflation"] (Reuters)

France to slow deficit cuts but respect 2015 target: minister (Reuters)

France Targets Welfare for Big Spending Cuts (The Associated Press)

Italy asks EU for more time to meet deficit target (Agence France-Presse)

Russia Recession Not Out Of The Question (Forbes)

China’s Ticking Debt Bomb (Wharton)

Japan Downgrades Assessment of Economy (Dow Jones Newswires)

For China and Japan, the Economic Challenges Ahead Are Similar (The New York Times)

Thousands more public-sector jobs than planned to be cut [in Canada], watchdog says: Parliamentary budget officer's report says 8,900 more cuts coming over 3 years (The Canadian Broadcasting Corporation)

[In the US] "Fed Policies Have Made The Rich Much Richer", Fed President Admits (ZeroHedge blog)

Home Depot puts a lid on new-store openings: WSJ (Reuters)

Too Big to Jail [= William K. Black's views on the lack of prosecutions on the part of the US government in regard to (alleged) financial fraud in the banking industry] (Newsweek)

How a 56-Year-Old Engineer’s $45,000 Loss Spurred SEC Probe (Bloomberg)

Sheriff: Author Michael Ruppert [interviewed in the documentary Collapse] dies of self-inflicted gunshot wound: BODY DISCOVERED SUNDAY IN CALISTOGA (Napa Valley Register) CollapseNet's Founder, Michael C. Ruppert, Has Committed Suicide - UPDATE 04-16-2014: MCR's Suicidal Tendecies and the Note He Left (CollapseNet)

     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.

Is it a recovery yet? (Weekly report, 04-17-14)

A recovery would be indicated by weekly initial jobless claims holding below 500,000. (See this post.)

IT'S A RECOVERY! (And it has been a recovery for every week since the Nov. 25, 2009 report, with the exception of the Aug. 19, 2010 report.)

"The U.S. Labor Department reported that initial claims for unemployment-insurance benefits reached 304,000 in the week that ended April 12." (Marketwatch)

Jobless claims edge up, but 4-week average falls to prerecession level (The Los Angeles Times)

SEE LAST WEEK'S POST HERE.

     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.

Wednesday, April 16, 2014

Wednesday roundup (04-16-14)

Deflation Threat Becomes More Widespread in Europe: Consumer Prices Rise at Slowest Pace For More Than Four Years in Year To March (The Wall Street Journal) [shorter version here:] (Marketwatch) Euro zone inflation stuck in 'danger zone', keeps pressure on ECB (Reuters)

Low inflation to linger for years in euro zone (Reuters)

Russian economy hit by Ukraine fallout; 0% growth in 2014 possible (The Los Angeles Times)

US financial showdown with Russia is more dangerous than it looks, for both sides: The US Treasury faces a more formidable prey with Russia, the world's biggest producer of energy with a $2 trillion economy, superb scientists and a first-strike nuclear arsenal by Ambrose Evans-Pritchard (The Telegraph)

China growth slows as property fears rise (The Washington Post)

China defaults mount among inter-company loans (Reuters)

Obama, Mich. in talks to free up $100M for Detroit (The Detroit Free Press) Nearly half of likely Michigan voters oppose governor's Detroit bailout plan, poll says (FoxNews)

Beware the worst avalanche in the history of finance: Today the EU is to vote on curbing high-frequency trading to prevent instability and potential meltdown by James Rickards (The London Evening Standard)

     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, April 15, 2014

Tuesday roundup (04-15-14)

The EU Is Enacting A Massive Overhaul Of Europe's Financial System (The Associated Press) Europe reaches end of crisis-driven reform trail to banking union (Reuters)

US CBO Report Highlights Coming Surge in Debt Service Payments (MNI)

Imperial Tobacco [in the UK] to close factories, cut 900 jobs (Marketwatch)

     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.