Saturday, July 4, 2015

Saturday roundup (07-04-15)

EU warns of Armageddon if Greek voters reject terms: "Without new money, salaries won't be paid, the health system will stop functioning, the power network and public transport will break down," warns President of European Parliament by Ambrose Evans-Pritchard (The Telegraph)

ECB has tools to cushion fallout of Greek vote, says Constancio [The Wall Street Journal via] (Marketwatch)

Greeks deeply divided heading into crucial vote (Reuters) The streets are calm but Greece is haunted by fear of civil strife: The referendum debate has entered every family and every home – and there is a growing alarm that, no matter what the result, the divisions will not heal (The Observer) Bailout Referendum Lays Bare Deep Schisms Among Beleaguered Greeks (The New York Times) On Bailout Referendum’s Eve, Greeks Are Deeply Divided on Which Course to Take: With vote too close to call, fault lines appear between young and old, haves and have-nots (The Wall Street Journal) Greece debt crisis referendum: Greeks want to vote No to austerity – but Yes to Europe (The Independent)

Greek Official: 'Grexit' Would Cost Europe A Trillion Euros (National Public Radio)

Greek debt relief was not on table during bailout negotiations, says EU official: Official also believes Sunday’s referendum is escalation of a Greek negotiating strategy that has gone wrong (The Guardian)

Founding Fathers [of the United States] created a Republic; we’ve lost it: We need courageous leaders to step forward to help us shake off the shackles of oligarchy. (MaineToday)

Business leaders push Obama to issue mandatory GMO labeling laws (The Hill) [That stance follows the news that:] White House directs GMO regulators to update, improve oversight (Reuters) [Meanwhile] Pope Francis Slams GMOs and Pesticides for Destroying the Earth’s ‘Complex Web of Ecosystems’ [June 26] (EcoWatch)

Download the True Food Shopper's Guide: How to Avoid Foods Made with Genetically Modified Organisms [GMOs] (The Center for Food Safety) Say "No" to GMOs (Non-GMO Project) THE GREAT GMA COVERUP INFOGRAPHIC (WalkByTheWay) GMO Free USA (Facebook) Millions Against Monsanto by OrganicConsumers org (Facebook)

     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, July 3, 2015

Friday roundup (07-03-15)

Did The IMF Just Open Pandora's Box? (ZeroHedge blog)

Europeans tried to block IMF debt report on Greece: sources (Reuters)

Euro rescue fund declares Greece in default on euro zone loans (Reuters)

Greece's Yanis Varoufakis prepares for economic siege as companies issue private currencies: Greek finance minister says the country has a six-month stock of oil and four months of pharmaceuticals by Ambrose Evans-Pritchard (The Telegraph) Holidaymakers in Greece could be left unable to buy vital medicine 'within days' if banks do not reopen (The Daily Mail)

Defiant Varoufakis Says He’ll Quit If Greeks Endorse Austerity (Bloomberg)

Rescuing Greece means rescuing Europe too (The Washington Post blogs)

18 key facts about Greece that will leave you totally up to date about a huge crisis (The Washington Post blogs)

Bank of England to cut amount of personal savings protected by £10,000: It has been forced to reduce figure covered when banks collapse from £85,000 to £75,000 to bring UK in line with rest of the EU (The Guardian) Bank account compensation cut 'absurd' says top MP (The BBC)

The [US] New Jobs Numbers Are Weaker Than They Look (The New York Times)

The real reasons Bernie Sanders is transforming the election: Here’s why he galvanizes the left (Salon)

The Coming Era of Pension Poverty by Charles Hugh Smith (of two minds 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.

Thursday, July 2, 2015

Thursday roundup (07-02-15)

IMF says Greece needs extra €60bn in funds and debt relief: International lender issues strong message to Europe by warning that Athens’ debts are unsustainable and it needs 20-year grace period on debt repayments (The Guardian)

Greek banks down to €500m in cash reserves as economy crashes: The daily allowance of cash from many ATM machines has already dropped from €60 to €50, purportedly because €20 notes are running out by Ambrose Evans-Pritchard (The Telegraph)

Bank closures taking their toll on businesses across Greece: Consumption apparently down 70%, tourism drying up and companies face struggle to pay for wholesale food ahead of 5 July referendum (The Guardian)

‘No new bailout unless Tsipras goes’ [says senior German conservative] (The Times of London)

Greece's Referendum: The Price of Five Years of Cowardice: Much of Europe is outraged by Alexis Tsipras' decision to hold a referendum on reforms in Greece. But how did the euro zone allow an economically irrelevant country of 11 million to bring the common currency to the brink? Through cowardice. (Spiegel Online)

Spain is trying to avoid being Europe’s next debt bomb: But the economy is still shaky and politics are simmering (Marketwatch)

Mixed U.S. jobs report dampens September rate hike bets (Reuters)

An unfruitful jobs recovery rewrites the definition of full employment (The Washington Post) The real reason the unemployment rate ‘fell’ in June (The New York Post)

BP agrees to pay $18.7-billion settlement in Gulf of Mexico oil spill (The Los Angeles Times)

Oil Heads for Biggest Weekly Drop Since March as Rig Count Rises (Bloomberg)

No Matter Who Wins, 2016 Will Be All About the Bankers: Jeb Bush and Hillary Clinton will face off in the presidential race—but the real battle will be between the billionaires backing them. (The Nation)

BBC to cut 1,000 jobs (USAToday)

     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, 07-02-15)


A recovery would be indicated by weekly initial jobless claims holding below 500,000. ["'I think that we're hoping for the numbers to stay below 600,000, and not until we get below 500,000 can we be more certain that there is an economic recovery,' said Linda Duessel, market strategist at Federated Investors in Pittsburgh." (Reuters)]

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 number of people who applied for U.S. unemployment benefits rose in late June to a five-week high, up 10,000 to 281,000 in the seven days stretching from June 21 to June 27." (Marketwatch)

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, July 1, 2015

Wednesday roundup (07-01-15)

The Global Template for Collapse: The Enchanting Charms of Cheap, Easy Credit by Charles Hugh Smith (of two minds blog)

Europe has suffered a reputational catastrophe in Greece: The eurozone has shown itself unable to manage its basic moral responsibilities by Ambrose Evans-Pritchard (The Telegraph)

The elites are determined to end the revolt against austerity in Greece: Europe's great powers won't be satisfied until they break Syriza, and stop an anti-austerity movement spreading across the continent. (The New Statesman)

Greek crisis: Meet George Kaminis, the 'General of the Yes Campaign': After three years coping with the sharp end of the austerity crisis, the mayor of Athens wants an end to confrontation with Europe (The Telegraph) Three Scenarios for Greece and the Eurozone (The Wall Street Journal blogs)

Greek leader flip-flops on bailout - again (CNNMoney) Tsipras Budges on Greece’s Debt, but Meets a Cool Response (The New York Times) Greece crisis: Eurozone rules out talks until after referendum (The BBC)

Bankruptcy is a real possibility for Greece. Does its leader have a plan? (The Washington Post)

How Default Could Push Greece Out Of The Eurozone (National Public Radio)

Here’s What Greek Austerity Would Look Like in America (Time)

Britain's banks aren't as protected from Greece as you may think (The Business Insider)

Worries grow as serious drought hits São Paulo, Brazil (CNBC)

The next Greece may be in the U.S. (Marketwatch)

Comptroller says Connecticut on track to end fiscal year with $115.7 million budget deficit (The Associated Press)

The tragedy of Puerto Rico, America’s very own Greece (Fusion)

ArcelorMittal Mexico unit to slash 2,800 jobs (Reuters)

1,400 CPS [CHICAGO PUBLIC SCHOOL SYSTEM] LAYOFFS AFTER $634M PENSION PAYMENT (ABC7Chicago) Emanuel Announces 1,400 CPS Layoffs, Details $200M in Cuts (NBC5Chicago)

Lloyds Plans to Eliminate 700 Jobs Across Divisions at the Bank (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.

Tuesday, June 30, 2015

Tuesday roundup (06-30-15)

Eurozone inflation eases, reviving deflation fears (Marketwatch)

Greece's Bailout Expires, Country Defaults on IMF Payment (The Associated Press) Greece defaults on $1.7 billion IMF payment (CNNMoney) Greek failure to make IMF payment deals historic blow to eurozone: Athens left without financial lifeline following fortnight of non-stop brinkmanship at highest level of EU leadership (The Guardian)

IMF: austerity measures would still leave Greece with unsustainable debt: Secret documents show creditors’ baseline estimate puts debt at 118% of GDP in 2030, even if it signs up to all tax and spending reforms demanded by troika (The Guardian)

Eurozone finance ministers reject Greece bailout extension request (Marketwatch)

University of Phoenix lays off 900 after student exodus (CNNMoney)

Virgin Atlantic to cut 500 jobs: Sir Richard Branson’s airline said it would be ‘structuring the business in a simpler, more efficient way’ (The Guardian)

     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, June 29, 2015

Monday roundup (06-29-15)

Quote of the Day:

"Trust is the name of the game in the banking industry: if that disappears, even a solvent bank can get into a difficult situation." -- Gabor Ambrus, a London-based economist at Royal Bank of Scotland (Bloomberg)

European debt crisis: It's not just Greece that's drowning in debt: With Greece drowning in debt and facing exit from the eurozone, we had a look at how the other EU countries are coping with their debt (The Telegraph)

Greece will not pay IMF loan due on Tuesday - govt official (Reuters) Greece reveals it WON'T pay back its £1.1bn loan as banks are closed and thousands take to the streets to protest against the latest bail-out deal (The Daily Mail)

Greece threatens top court action to block Grexit: European leaders warn in concert that a 'No' vote on Sunday means Greece will be pushed out of the euro by Ambrose Evans-Pritchard (The Telegraph) ["Got to hand it to Syriza. They fight guerrilla warfare. EMU powers not really used to this" -- Ambrose Evans-Pritchard] (Twitter)

Obama, Europe leaders urge Greece to resume debt talks (USAToday) Obama, France's Hollande discuss Greek crisis - White House (Reuters) [versus] Merkel and Hollande Turn Away From Greece (Bloomberg)

S&P cuts Greece rating on referendum call (Agence France Presse)

Fitch downgrades Greek banks to 'Restricted Default' after government imposes capital controls (Marketwatch)

Here's what Greece's bailout ballot will actually say: A Greek political blogger posted a translation of the bailout ballot question. (Fortune) REPORT: This is the question Greece will be asked in Sunday's bailout referendum (The Business Insider)

Grisis by Paul Krugman (The New York Times blogs)

Greek referendum: A ‘no’ vote means no to Europe, Juncker says [The Wall Street Journal via] (Marketwatch)

El-Erian Sees 85% Grexit Odds as ‘Massive’ Contraction Looms (Bloomberg)

Joseph Stiglitz to Greece’s Creditors: Abandon Austerity Or Face Global Fallout: Nobel laureate tells TIME that the institutions and countries that have enforced cost-cutting on Greece "have criminal responsibility" (Time)

Greece Over the Brink by Paul Krugman (The New York Times)

Greece must sign a deal now: In the following op-ed, 13 prominent economists from around the world call on Greece to sign a credible agreement with the Europeans immediately. (CNBC)

Economic Crisis: The Global Impact of a Greek Default by Desmond Lachman, Resident Fellow (The American Enterprise Institute)

How did Greece get into its debt crisis and what happens next? (The Los Angeles Times)

The very big risks of the Greek debt crisis (CNNMoney)

Interest rates rise could derail [UK] recovery, Bank of England economist warns: Andy Haldane will use a speech on Tuesday to caution his fellow rate-setters at the Bank against rushing to tighten borrowing costs (The Guardian) Interest rates could stay 'glued' to the floor, admits Bank's chief economist: Cautious consumers and businesses could mean that interest rates stay stuck at 0.5pc for longer (The Telegraph)

[In the United States,] The Housing Recovery Has Skipped Poor and Minority Neighborhoods: After the Supreme Court's fair-housing ruling, will the government finally do something about it? (The New Republic)

Puerto Rico governor calls for bankruptcy; adviser says island 'insolvent' (Reuters) Puerto Rico’s governor on need to postpone debt payments for years: ‘It’s about math’ (The Washington Post) Puerto Rico staggers under $72 billion in debt; governor asks for help (The Los Angeles Times) Why Puerto Rico's economy is in a 'death spiral' (CNNMoney)

Thousands of electrical sector jobs [= nearly 3,000] to be cut in NSW [Australia] (The Australian Broadcasting Corporation)

Microsoft Said to Exit Display Ad Business, Cut 1,200 Jobs (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.