Wednesday, July 23, 2014

Wednesday roundup (07-23-14)

Euro zone confidence falls in July, bodes ill for recovery (Reuters) Stalled recovery leaves Europe defenceless against economic shock from Russia: Stagnation is automatically causing debt ratios to spiral upwards yet again across a large part of the currency bloc by Ambrose Evans-Pritchard (The Telegraph)

Draghi Faces German Hard Line on Avoiding Deflation (Bloomberg)

S&P warns Europe debt market near pre-crash levels (CNBC)

Could another banking crisis happen in Europe?: Whenever a bank in Europe gets into serious trouble, the specter of systemic financial crisis raises its head again. Is the risk real or imagined? (Deutsche Welle)

Bank of England unease grows despite keeping rates at 0.5%: MPC votes 9-0 at leaving rate alone but some members see little risk in small rise in borrowing costs (The Guardian) Bank of England and business at odds over rate rise [business wants one] (The BBC) Bank of England will delay interest rate rise if wages don't go up: Growth is stronger and unemployment lower than expected but earnings fail to increase as Bank struggles to explain situation (The Guardian)

NY Fed found serious problems at Deutsche Bank's U.S. arms: sources (Reuters)

East L.A.'s Pan American Bank gets $6-million bailout from other banks (The Los Angeles Times) [Pan American Bank has a troubled assets ratio of 195.7 percent.] (BankTracker)

Barney Frank dismisses Elizabeth Warren's favorite idea [= a new Glass-Steagall act] (The Washington Examiner)

Broadcom cuts 2,500 jobs in wind-down of baseband unit (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.

No comments:

Post a Comment