Tuesday, September 30, 2014

Tuesday roundup (09-30-14)

Debt risk, market turmoil threaten [global] financial crisis (The Globe and Mail of Toronto)

Charles Nenner — Who's Been Warning Of Market Collapses For Years — Warns A 'Major Collapse' Is Coming In 2018 (The Business Insider) Charles Nenner: Investors not ready for deflation: As the dollar strengthens, Charles Nenner of Charles Nenner Research Center, shares his market forecasts. (CNBC)



US, China, Europe nearing 'Minsky moment': Economist [as posted earlier on this blog (Economic Signs of the Times blog)] (CNBC) (CNBC)



Europe’s agony: Painfully high unemployment, inflation near zero (The Globe and Mail of Toronto)

ECB Under Pressure as Inflation Falls Again (The Associated Press) Eurozone inflation falls further below ECB target (Marketwatch)

Eurozone’s Drop in Inflation Carries More Fears of Another Recession (The New York Times)

Inflation at 5-Year Low Primes ECB for Deflation Debate (Bloomberg) Europe Ticking All the Wrong Boxes Starts Mirroring Japan (Bloomberg)

Europe's €500bn money funds risk AAA downgrade if they 'break the buck': Negative interest rates in Europe are causing havoc for the money market industry, threatening its long-term survival by Ambrose Evans-Pritchard (The Telegraph)

Risk of third German recession pressures Europe (CNNMoney)

French debt tops symbolic level of 2 trillion euros: France's public debt has shot up to just over 2 trillion euros ($2.5 trillion) for the first time, according to official figures for the second quarter. National debt now stands at 95.1 percent of GDP. (Deutsche Welle)

France quietly counts its friends for EU deficit leniency (Reuters)

Italy Cuts Growth Forecasts, Delays Balanced-Budget Target (Bloomberg)

Italy's CPI falls, confirms deflationary trend (Marketwatch) Italy Government Confirms It Will Remain in Recession This Year -- Update (Dow Jones Newswires)

Youth unemployment reaches record high in recession-hit Italy (Xinhua)

Italy's Economic Woes Highlight Dilemma for European Central Bank: Weak Eurozone Inflation, Falling Prices in Italy Put Pressure on ECB to Act (The Wall Street Journal)

Portugal says to breach deficit target this year (Agence France Presse)

Ebola-stricken Liberia is descending into economic hell (The Washington Post)

Home Prices in U.S. Rise at Slowest Pace in Almost Two Years (Bloomberg)

Consumer Confidence in U.S. Decreases to a Four-Month Low (Bloomberg)

Revisiting the Lehman Brothers Bailout That Never Was (The New York Times)

Fed’s E-Mails Reveal Worry About Bailout Transaction [In The Case Of AIG] (Bloomberg)

The Real Truth About the Wall Street Bailouts (Time)

American institutions have become too big to allow us to let them fail [op-ed] (The Des Moines Register)

Looting the Pension Funds: All across America, Wall Street is grabbing money meant for public workers by Matt Taibbi (Rolling Stone)

WWF: Half the world's wildlife gone over last 40 years (The Chicago Tribune)

Boeing plans 2,000 job cuts in defense work here: Boeing is moving a large part of its defense engineering work out of the Puget Sound region, affecting 2,000 jobs mostly in Kent and Seattle. (The Seattle Times)

General Mills to Eliminate 700 to 800 Salaried Jobs: Minneapolis Company Expects to Complete Layoffs by End of February (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.

Monday, September 29, 2014

Monday roundup (09-29-14)

Record world debt could trigger new financial crisis, Geneva report warns: Concerted effort required to tackle economic woes as slow growth and low inflation cause global debts to balloon (The Guardian) A 'Poisonous Combination' Of Debt and Stagnation Could Sink The Recovery (The Business Insider)

Eurozone economic sentiment falls to 10-month low (CityAM) Euro zone sentiment worsens in Sept, inflation expectations fall (Reuters)

Merkel Says EU, U.S. May Be Facing Long Ukraine Crisis (Bloomberg)

Morgan Stanley warns on Asian debt shock as dollar soars: Foreign debt in emerging Asia has soared from $300bn to $2.5 trillion over the last decade by Ambrose Evans-Pritchard -- ['It all looks rather familiar. The dance continues until the music eventually stops. Markets will not be liquid when that liquidity is needed most. And yet the illusion of permanent liquidity is just as prevalent now as in the past,' said Claudio Borio, the BIS's chief economist."] (The Telegraph)

China's banking regulator orders lenders to improve controls (Reuters)

Why the next global crisis may stem from China (CNBC)

New Japan Price Index Shows Deflation Lingers (The Wall Street Journal blogs)

Fed’s Evans: Hold Off on Rates Until Truly Confident in Recovery [which, he says, will be "quite some time" in the future] (The Wall Street Journal blogs)

Bizarre Trial Accuses Government Of Illegally Bailing Out AIG (The Huffington Post)

Going easy on Eric Holder’s Wall Street inaction: Press coverage falls short on the attorney general’s failure to prosecute fraud (The Columbia Journalism Review)

     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, September 28, 2014

Sunday roundup (09-28-14)

Saxo Bank Warns The Entire World Is Headed For A Minsky Moment (Cliff Küle’s Notes blog)

ECB to unveil details of plan to save eurozone (Marketwatch)

Germany’s eurosceptics sow the seeds of turmoil: The AfD only needs to create doubt to upset economic equilibrium (The Financial Times)

Elizabeth Warren wants to probe if Fed is too close to big banks (CNNMoney)

US bank refunding $48M to credit card customers (CNBC)

Zero Hedge: Wall Street's daily dose of doom and gloom (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, September 27, 2014

Saturday roundup (09-27-14)

Quotes of the Day:

"The rebound that we were all expecting in this year hasn’t happened. The consumer has not bounced back with the confidence that we were all looking for." -- Macy’s CEO Terry Lundgren at the Goldman Sachs Annual Retail Conference. (The Robin Report)

"The consumer is still not out of the pressure zone. They’re still below their comfort zone." -- Paul Swinand, an analyst at Morningstar Inc. in Chicago. (Bloomberg)

[And why? Perhaps because ...] "Every group surveyed by the Federal Reserve Board had a lower mean income in 2013 than they did in 2007." -- The Business Insider (Yahoo! Finance)

A Radical Response: 'The Shifts and the Shocks,' by Martin Wolf (The New York Times)

Europe’s Austerity Zombies by Joseph E. Stiglitz (Project Syndicate)

Secret tapes of Fed meetings on Goldman prompt call for U.S. hearings (Reuters)

Unofficial Problem Bank list declines to 432 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, September 26, 2014

Friday roundup (09-26-14)

Debt forgiveness could ease eurozone woes: Any solution to Europe’s economic woes that does not involve large-scale debt forgiveness is doomed to failure (The Guardian blogs)

Fearing political crisis, Greece plots escape from bailout (Reuters)

Low inflation fuels caution at Fed over rate rises (Reuters)

Tapes showing meek oversight of Goldman are about to rock Wall Street (The New York Post) Whistleblower’s tapes suggest the Fed was protecting Goldman Sachs from the inside (Vox)
What If the Regulators Are As Bad As the Banks? (New York) ["... this is simply the way the New York Fed was designed to behave. The system of 12 Federal Reserve banks ... has always existed for the benefit of the commercial and investment banks that created the system ..."] (Politico) The Secret Goldman Sachs Tapes by Michael Lewis (BloombergView) Inside the New York Fed: Secret Recordings and a Culture Clash: A confidential report and a fired examiner’s hidden recorder penetrate the cloistered world of Wall Street’s top regulator—and its history of deference to banks. by Jake Bernstein (ProPublica) 16 Important Facts From The Startling Accusations About Goldman And The New York Fed (The Business Insider)

Bill Gross Leaves Pimco, Reportedly Under Pressure, to Join Janus (The New York Times blogs) Gross' sudden Pimco exit may quicken outflows to rivals (Reuters) Gross exit ripples bond market (CNBC)

Christie pension commission warns of shortfalls [in the state of New Jersey] (The Associated Press)

     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, September 25, 2014

Thursday roundup (09-25-14)

The ECB's Plan To Do 'Whatever It Takes' To Save Europe Is Not Going To Work (The Business Insider)

German Central Bank Head Weidmann: 'The Euro Crisis Is Not Yet Behind Us': An extended period of calm on the bond markets has led many to conclude the euro crisis is over. But German central bank head Jens Weidmann says in an interview that the coast still isn't clear and that there is still great need for reforms. (Spiegel Online)

Italy to cut 2014, 2015 GDP forecasts, hike deficit goals - source (Reuters)

Austerity [in the UK] ‘to last five more years and get even tougher’ (The Times of London)

Watch US inflation expectations [= they're falling] (Sober Look blog)

Obama Announces Attorney General Eric Holder's Resignation (ABCNews) Eric Holder: Why I didn’t lock up any Wall Street execs (Marketwatch) Eric Holder Angered Wall Street Banks, and Their Critics (Bloomberg Businessweek) Eric Holder’s Shameful Legacy on Wall Street Fraud [Sept. 19] (The Fiscal Times) THE CHICAGO WAY: JUSTICE FOR SALE AT HOLDER'S DOJ [May 7, 2012] (Breitbart)

U.S. public pension gap at least $2 trillion - Moody's (Reuters)

5 U.S. Banks Each Have More Than $40,000,000,000,000.00 In Exposure To Derivatives (Cliff Küle’s Notes blog)

Why the Rockefellers Rejected Big Oil: Their name is synonymous with oil, but the descendants of John D. Rockefeller are divesting from fossil fuels—joining a few other heirs who turned their backs on the family business. (The Daily Beast)

     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, 09-25-14)

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 number of people who applied for unemployment benefits last week rose by 12,000 to 293,000, but initial claims continue to hover near an eight-year bottom amid a very low rate of layoffs, new government data showed." (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, September 24, 2014

Wednesday roundup (09-24-14)

ECB to keep loose policy 'for long time': Draghi (Reuters)

In Germany, Business Indicator Falls, Raising Specter of Recession (The New York Times) German Business Confidence Drops for Fifth Month (Bloomberg) Slide in German business morale points to weak third-quarter (Reuters) Japanese-style stagnation in Europe: Why Deutschland Is Doomed (Oxymandias)

French economy flat-lines as business activity falters (Reuters)

Renzi's revolution running late as Italians seek action (Bloomberg)

[The US] Treasury let GM, Ally give bosses big raises during TARP [The Wall Street Journal via] (Marketwatch) U.S. Treasury denies allowing 'excessive' executive pay at GM, Ally (Reuters)

Americans Are O.K. With Big Business. It’s Business Lobbying Power They Hate. (The New York Times)

Why the U.S.’s biggest business group thinks new Obama anti-inversion rules are a sham (Marketwatch)

Howard Davidowitz – Living In a Debt Fueled Insane World (Financial Survival Network) (Audio)

INFOGRAPHIC: KEYNESIAN VS. AUSTRIAN ECONOMICS (The Austrian Insider)

     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, September 23, 2014

Tuesday roundup (09-23-14)

Euro zone business growth slows in September as prices keep sliding: PMI (Reuters) Euro-Area Surveys Show Slowdown Putting Pressure on ECB (Bloomberg) Eurozone private-sector growth slows again (Reuters)

ECB's Visco says disinflation weighing on high-debt countries (Reuters)

German Factory Growth at 15-Month Low in Sign of Uneven Economy (Bloomberg)

Eurosceptics make inroads into Merkel's pro-EU Germany: The Alternative for Germany (AfD) Party places third in an opinion poll for the first time, echoing the rise of eurosceptic politics across the continent (The Telegraph) Germany’s Eurosceptic AfD spells end to Europe's false calm, warns S&P by Ambrose Evans-Pritchard [who likens the AfD to NIGEL Farage's UK Independence Party or UKIP] (The Telegraph blogs) Germany's Ukip threatens to paralyse eurozone rescue efforts: Alternative für Deutschland has swept through Germany like a tornado, winning 12.6pc of the vote in Brandenburg and 10.6pc in Thuringia by Ambrose Evans-Pritchard (The Telegraph)

Ukraine crisis risks recession for Europe: El-Erian (Reuters)

U.K. Budget Deficit Widened in August in Blow to Osborne (Bloomberg) Budget deficit: George Osborne has a lot of explaining to do: Weaker than predicted growth coupled with poorly paid jobs hurting income tax receipts means deficit will be twice the chancellor’s forecast (The Guardian blogs) Britain’s Deficit-Driven Growth (The Wall Street Journal blogs)

World debt mapped: The UK has the fourth-highest household debt in the world [and the US has the highest ... by far] (CityAM)

Economic recovery [in the United States is] not aiding those near bottom (The Las Vegas Review-Journal blogs) AN ECONOMY DOING HALF ITS JOB: Findings of Harvard Business School’s 2013–14 Survey on U.S. Competitiveness by Michael E. Porter and Jan W. Rivkin (The Harvard Business School)

Is the economic recovery real? 3 stats to watch (CNNMoney)

BHP Billiton and Mitsubishi to cut 700 jobs at coal mines [in Australia] (The BBC)

Boehringer aims to cut up to 600 jobs in Germany (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, September 22, 2014

Monday roundup (09-22-14)

Draghi: Euro Recovery Losing Momentum (The Associated Press)

Draghi Pessimism on European Recovery Stirs Expectations of Stimulus (The New York Times) Draghi Effect Subsides as Pressure Builds on ECB Chief (Bloomberg) ECB's Draghi says ready to use more unconventional tools (Reuters)

Euro-Area Consumer Sentiment Drops as ECB Fights Deflation (Bloomberg)

Europe must 'boost demand' to revive economy, US warns (The BBC)

Study: Recovery eludes long-term unemployed [in the United States] (USAToday)

Obama administration takes first steps against tax 'inversions' (CNNMoney)

[British mobile phone retailer] Phones 4U to shed almost 1,700 jobs (The BBC)

     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, September 21, 2014

Sunday roundup (09-21-14)

Global Finance Chiefs Said to Warn of Growing Economic Risks (Bloomberg)

Europe Needs More Fiscal Stimulus, Canada’s Oliver Says (Bloomberg)

Italy debt burden is a problem for us all: We need extreme and co-ordinated policy to make it possible for Italy to ultimately stay in the eurozone (The Financial Times) Italy says inefficiency delays public sector debt repayments (Reuters) The solution to Italy’s woes is quite simple – leave the euro: Unless something big starts to change soon, Italy is on course for the mother and father of a sovereign default (The Telegraph)

Ukraine Is On The Brink Of Total Economic Collapse (The Business Insider)

     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, September 20, 2014

Saturday roundup (09-20-14)

Now back to the big question: what's wrong with the eurozone?: There are worrying forecasts that the entire bloc  will show barely any growth for the next five years (The Independent)

Systemic risk in Europe: Too big to save (Vox)

ESM's chief says EU, IMF in no mood for a Greek debt haircut (Reuters)

Obama’s growth recession continues (Communities Digital News)

Unofficial Problem Bank list unchanged at 435 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, September 19, 2014

Friday roundup (09-19-14)

Quote of the Day:

[Speaking of the importance of money lending to offspring by baby-boomer parents in the US:] "Without them, the [housing] recovery’s not sustainable." -- Anika Khan, a senior economist at Wells Fargo Securities LLC in Charlotte, North Carolina (Bloomberg

Another financial crisis is inevitable: Martin Wolf (Yahoo! Finance


Scotland Rejects Independence as U.K. Vows to Give It More Power (Bloomberg) Scotland stays in UK, but Britain faces change (Reuters) Scotland’s Independence Vote Shows a Global Crisis of the Elites (The New York Times

Most Of The U.S. Saw Little Recovery In 2013 (FiveThirtyEight

Why the Great Recession was even worse than you thought (MinnPost

The Fed Fesses Up: After Printing $3 Trillion It Sees No “Escape Velocity”……Ever! [Wolf Street via] (David Stockman's Contra Corner blog

College Debt Leaves Generation X Grads Less Wealthy Than Parents (Bloomberg

Watch California Dry Up Right Before Your Eyes In 6 Jaw-Dropping GIFs (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.

Thursday, September 18, 2014

Thursday roundup (09-18-14)

Quote of the Day:

"The economic outlook has deteriorated markedly. The global economy isn’t as robust as we’d expected three months ago." -- Swiss National Bank President Thomas Jordan (Bloomberg)

Global Inflation Continues to Fall (Pragmatic Capitalism) 74% of all Municipals want to raise Taxes – Hello DEFLATION! (Armstrong Economics)

Subprime Is Back With A Vengeance (The Automatic Earth blog)

IMF warns of new threats to global economy due to excessive risk taking: Geopolitical tensions and increased risk taking add to disruption, though world economy expected to pick up during 2015 (The Guardian) IMF warns of risks from 'excessive' financial market bets (Reuters)

The Latest Effort To Save The Eurozone Falls Flat On Its Face (The Business Insider) A Bad Start For The ECB's New Easing Operations Leaves It Short Of Options (Forbes)

Germany skids closer towards deflation (The Financial Times)

Swiss central bank ready to act 'immediately' as deflation risks resurface (Reuters)

Hollande Says French Competitiveness Is Priority Over Deficit (Bloomberg)

IMF: Italy Has Yet to Emerge From Recession (International Business Times) Italy to Remain in Recession This Year, Says IMF: Fund Urges Premier Matteo Renzi to Implement His Economic Reform Agenda to 'Unleash Growth' (The Wall Street Journal) IMF cuts Italy growth outlook, hikes deficit, debt (Reuters)

Italy’s Growing Debt Looms Over European, and Global, Economies (The Wall Street Journal blogs)

Yellen Says US Families Need to Boost Savings (The Associated Press) Yellen: Many Americans remain 'extraordinarily vulnerable' to economic trouble (The Hill)

We Still Don’t Know What $1.6 Trillion [of Quantitative Easing] Bought Us (FiveThirtyEight)

The U.S. Debt: Why It Will Continue To Rise (Forbes)

'This is the end' for Sears: Credit Suisse (CNBC)

Ericsson to shut modem business, 1,000 jobs to go (Reuters)

Sony Predicts $2.1bn Loss On Smartphone Woes [with "roughly 1,000 staff losing their jobs"]: The company cuts the value of its phone business and pledges a future focus on premium devices after losing out to rivals. (SkyNews)

Warner Bros. Expected to Cut as Many as 1,000 Jobs (Variety)

Toshiba says to cut 900 jobs in PC restructuring (Reuters)

General Mills to close plants, cut 500-plus jobs, in Calif., Mass. (The Pioneer Press of St. Paul, Minnesota)

     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, 09-18-14)

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 number of people who applied for jobless benefits dropped 36,000 to 280,000 in the week that ended Sept. 13, hitting the lowest level since mid-July, signaling that employers are laying off very few workers, according to government data released Thursday." (Marketwatch) "This was ... in the normal range for an economic expansion." (Calculated Risk blog)

Weekly unemployment claims plunge to 280,000, near a 14-year low (The Los Angeles Times) "Following the report, Ian Shepherdson at Pantheon Macro said: 'With the exception of the week of July 19, when claims were distorted by the automakers' shutdowns, this is the lowest reading since May 2000.'" (The Business Insider)

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, September 17, 2014

Wednesday roundup (09-17-14)

Eurozone inflation weak as currency bloc stuck in ‘danger zone’: While stronger than analysts expected, weak price growth threatens to make the debts of eurozone countries much harder to pay (The Telegraph)

Fitch Warns That Europe Could Be Facing A 'Doom Loop' (The Business Insider) The Case For Worrying About European Deflation (The Wall Street Journal blogs) Why deflation is so terrifying for Europe (Global Post)

French economy is 'sick', says new economy minister (France24)

Bank of England: Ailing Eurozone Threatens UK Economic Recovery (International Business Times)

Afghanistan asks Washington for $537 million bailout (FoxNews)

Fed will end QE next month, 'considerable time' remains [before interest rate rises] (CNBC)

The U.S. National Debt Has Grown By More Than A Trillion Dollars In The Last 12 Months (ZeroHedge blog)

U.S. consumer prices post first decline in nearly 1-1/2 years (Reuters)

The economic recovery is historically terrible for the middle class (The Washington Post)

One in 10 Americans’ paychecks get docked to pay off debts (Marketwatch)

Citigroup Embraces Derivatives as Deals Soar After Crisis (Bloomberg)

Occupy Abolishes Almost $4,000,000 in Student Debt, Enrolls Campus Activists, Announces Nationwide 'Debt Collective' (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, September 16, 2014

Tuesday roundup (09-16-14)

Italy employers slash GDP forecasts, hike deficit, debt (Reuters)

Dutch Ease off Austerity, Will Spend on Military (The Associated Press)

More austerity, reforms ahead for Finland, PM Stubb says (Reuters)

Russia needs government investment to avoid recession, says former finance minister (Reuters) Russia sanctions risk lasting damage to Europe’s shaky economy: Germany takes hit as U.S., EU target Moscow’s banks, defense and energy companies (The Washington Times)

New data shows Americans' incomes still stagnant after recession (Reuters)

Another US recession may be coming … sooner than you think: Economists warn contraction in emerging market economies could cause another economic slump in 2015 (Al Jazeera)

Third quarter US growth outlook cloudy: Survey (CNBC)

Pioneer to cut 2,000 jobs in bid to restructure (Kyodo)

     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, September 15, 2014

Monday roundup (09-15-14)

OECD sees global economy held back by slow eurozone (The BBC)

O.E.C.D. Urges Stimulus Measures for Eurozone (The New York Times) OECD slashes growth forecasts, urges aggressive ECB action (Reuters)

Stage Set For EU Showdown With France Over Deficit (MNI)

Only a monetary 'nuclear bomb' can save Italy now, says Mediobanca by Ambrose Evans-Pritchard (The Telegraph blogs)

OECD's Italy forecasts make chilling reading for Renzi (Reuters)

Polish Deflation Deepens With Second Decline in August (Bloomberg)

Europe's Biggest Bear Warns The Pound Could 'Plunge Into The Abyss' If Scotland Goes Independent (The Business Insider)

Bank [of England] blames high household debt for depth of Britain’s recession (The Independent)

China's leaders refuse to blink as economy slows drastically: Premier Li Keqiang is determined to drive through deep reforms and wean the economy off exorbitant levels of debt before the damage becomes irreversible by Ambrose Evans-Pritchard (The Telegraph) China about to miss the 7.5% GDP growth target (Sober Look blog)

Almost Half of Wealthy Chinese Want to Leave, Study Shows (The Wall Street Journal blogs)

Bad Loans Could Bust China (BloombergView)

OECD cuts US growth forecast, warns on risk assets (CNBC)

Six years after Lehman Brothers collapse, the world remains fragile: Six charts try to answer the big question: Whether the world is headed for another bubble on the back of rising financial exuberance (LiveMint)

Rules Suspended During Recession [That Involved Food Stamps Are] Making A Comeback, Jeopardizing Benefits For Many (The Huffington Post)

Progressives, help fix the debt by Ed Rendell, a Democrat, former mayor of Philadelphia and governor of Pennsylvania, and present cochair of the Campaign to Fix the Debt (The Philadelphia Inquirer)

United Offers $100,000 Buyouts to Flight Attendants [hoping that at least 2,100 accept] (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, September 14, 2014

Sunday roundup (09-14-14)

Signpost says more eurozone deficit financing (The Japan Times)

Germany's eurosceptic AfD surges to win seats in two states (Reuters)

Election Throws Sweden Into Turmoil as Nationalists Surge (Bloomberg)

Deflation takes shine off sales for Italy’s shopkeepers (The Financial Times)

     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, September 13, 2014

Saturday roundup (09-13-14

Draghi warns euro states must continue structural reforms: ECB president calls for more ambitious structural reforms (The Irish Times)

EU's Moscovici calls France's missed deficit targets a 'serious problem' (Reuters)

Veiled Criticism for France as Ministers Stress Eurozone Stability (The New York Times) Euro zone ministers upset by broken French budget promises (Reuters)

Sweden's Turn Left Could Deal A Blow To European Austerity (The Huffington Post)

Leadership Team Overseeing Portuguese Bank Resigns (The New York Times blogs)

China August industrial growth hits 6-year low (The Wall Street Journal)

[In the United States,] Unofficial Problem Bank list declines to 435 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, September 12, 2014

Friday roundup (09-12-14)

IMF's Lagarde Says Women Vital for Global Recovery [which is too tepid and too turbulent] (The Associated Press)

Global banks retreat as the US and China tighten in lockstep: The glory days of "maximum liquidity" we have enjoyed in the post-Lehman era are coming to an end, warns Bank of America by
Ambrose Evans-Pritchard (The Telegraph)

This Terrifying Black Swan To Collapse Global Financial System (King World News)

U.S. sees deflation risk in Europe, plans G-20 effort to boost global demand (Reuters)

ECB stands ready to take more measures if needed-Draghi (Reuters)

France to come under pressure for breaking budget promises (Reuters)

Italy industrial output falls unexpectedly in July (Marketwatch)

There's Something Very Wrong With Britain's Recovery (The Business Insider)

Weak industry and stubborn inflation hinder India's economic recovery (Reuters)

China May Be Heading for a Japanese-Style Economic Crisis (Time)

The debt deniers who threaten America’s future (The Hill blogs)

Six Years After Lehman’s Bankruptcy, Wall Street Is as Reckless as Ever (The Fiscal Times)

U.S. foreclosure activity rises for second straight month in August - RealtyTrac (Reuters)

American credit-card debt hits a post-recession high (Marketwatch)

Why Has Classical Capitalism Devolved to Crony-Capitalism? by Charles Hugh Smith (Of Two Minds blog)

RadioShack Bankruptcy Filing Could Be Near (The New York Times blogs) RadioShack stumbles down road taken by many failed U.S. retailers -- [= going out of business] (Reuters)

Owner of Dozens of Newspapers Seeks Buyers (The New York Times)

     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, September 11, 2014

Thursday roundup (09-11-14)

Euro zone inflation, growth projections muted despite ECB stimulus: poll (Reuters)

China Inflation Stays Subdued as Producer Prices Extend Decline (Bloomberg) China May Soon Go the Way of Japan [Into an Asset-Deflation Phase], Says Merrill Lynch (Bloomberg)

Wilbur Ross: Deflation, Not Inflation, Is the Bigger Concern (The Wall Street Journal blogs)

Government Debt Isn't the Problem—Private Debt Is: The Roaring Twenties, the Japanese boom of the '80s, and the U.S.'s in the early 2000s have one thing in common: They were debt-fueled binges that brought these economies to the brink of ruin. (The Atlantic)

40 million Americans now have student loan debt (CNNMoney)

[US engineering consultant] CH2M Hill to axe 1,200 jobs worldwide in restructure (Waste and Wastewater Treatment)

     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, 09-11-14)

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 number of people who applied for jobless benefits rose 11,000 to 315,000 in the week that ended Sept. 6, hitting the highest level since late June, according to government data released Thursday." (Marketwatch)

U.S. jobless claims rise, but firming labor market trend intact (Reuters)

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, September 10, 2014

Wednesday roundup (09-10-14)

Europe has to do whatever it takes: The new European Commission needs to take a stand for common sense and growth (The Financial Times)

France breaks 2015 deficit-cutting promise (Reuters) France Won’t Meet Budget Deficit Target Until 2017, Government Warns (The New York Times)

Greek deflation slows in August, prices decline for 18th month (ekathimerini)

In Japan's Economic Folly, A Lesson For U.S. (Investors Business Daily)

More car owners [in the United States] fall behind on auto loan payments (USAToday)

Student debt: Not just a young person’s problem anymore (McClatchy Washington Bureau) Education debt not just for the young _ seniors increasingly struggle to pay back loans (The Associated Press)

Mortgage applications plunge to 14-year low (CNBC)

Senator [Elizabeth] Warren Sept 9 2014: On lack of bank prosecution referrals following financial crimes. (C-span)



Elizabeth Warren on citizenz united (C-span)



The Biggest Lie of the New Century (BloombergView)

     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, September 9, 2014

Tuesday roundup (09-09-14)

The World Is Facing A Global Job Crisis (Agence France Presse)

Poll: People around the globe sour on economic recovery (USAToday) Global Public Downbeat about Economy: Many Wary of the Future (PewResearch)

David Rosenberg: Why the holy grail of escape velocity still eludes the global economy (The Financial Post)

Reform key to eurozone growth (The Japan Times)

How incompetent policymakers have kept the Eurozone in perpetual crisis (CityAM)

Europe's Austerity Policies Continue Negative Impact (The Progressive) Germany hits back at austerity critics: German Finance Minister Wolfgang Schaeuble said economic growth cannot be boosted by easing the bloc’s budget rules or cutting interest rates (Agence France Presse)

Ex-chief economist Stark: ECB turning into European 'bad bank' (Reuters)

Italy PM Renzi says growth will be around zero this year (Reuters)

Bank of England's Carney says spring rate hike possible (Reuters)

Bank of Japan Buys Government Debt at Negative Yield (The Wall Street Journal blogs)

Fed ramping up pressure for biggest US banks to shrink to become less risky for system (The Associated Press)

[Sen. Elizabeth] Warren Faults Banking Regulators for Lack of Criminal Prosecutions (The Wall Street Journal blogs)

How Are American Families Doing? A Guided Tour of Our Financial Well-Being (The New York Times)

Last Week Tonight with John Oliver: Student Debt (Youtube)



     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, September 8, 2014

Monday roundup (09-08-14)

Morgan Stanley cuts euro zone forecast despite ECB (CNBC)

Eurozone faces another recession as ECB fails to avert confidence plunge: Despite unveiling a package of interest rate cuts and a new stimulus scheme, the ECB has failed to prevent a "collapse" in euro area investor confidence (The Telegraph)

The Guardian view on the depressed eurozone: Mario Draghi has rescued the eurozone with words before. But with deflation in prospect he’ll need more than that this time (The Guardian)

IMF's Lagarde urges Germany to spend more, aid recovery (Reuters)

Britain faces storm as giant global investors awaken to break-up dangers: Nomura tells clients to slash financial exposure to the UK and brace for a possible collapse of the pound by Ambrose Evans-Pritchard (The Telegraph)

Italy says wants deficit, debt targets eased for whole euro zone (Reuters)

Japan says economy contracted 7.1 percent in 2Q (The Associated Press) Bad News Piles up for Japan’s Economy (The Wall Street Journal blogs)

5 years after Great Recession ended, stagnant pay remains [the United States] economy's weakest link (The Associated Press)

Consumer Credit in U.S. Surges on More Loans for Automobiles (Bloomberg) US Consumer Borrowing Jumps by Most in 3 Years (The Associated Press) U.S. consumer credit soars in July with biggest gain since '01 (Reuters)

It won’t be long before US debt is out of control (Quartz)

Lew Says Administration Is Near a Decision on Curbing Corporate Expatriates (The New York Times)

     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, September 7, 2014

Sunday roundup (09-07-14)

Here’s The Timeline For The Terrifying Endgame Of Destruction (King World News)

Deflation would be the stuff of nightmares for European economies: The world has been haunted by the fear of deflation since the 30s. Now it is a very real prospect for the eurozone (The Guardian)

Eurozone’s Draghi Emulates Bernanke/Paulson’s Post Recession Financial Institution Rescue (The Desert Sun of Palm Springs, California)

Scottish homeowners face mortgage meltdown if Yes campaign wins: Home rule? Scotland’s voters are betting the house on independence but they're unaware of the foreign exchange risks to their mortgages (The Telegraph)

[US Senator] Elizabeth Warren on Fighting Back Against Wall St. Giants (Moyers & Company) Elizabeth Warren on Fighting Back Against Wall St. Giants: The Massachusetts senator talks to Bill about taking on the entrenched political and Wall Street interests that have rigged the game against the rest of us. (Vimeo)



Web Extra: Elizabeth Warren on Why “I’ll Never Be an Insider” (Moyers & Company) Web Extra: Elizabeth Warren on Fighting Back Against Wall St.: After the broadcast interview ended, the Senator talked about the warning Larry Summers gave her while she was "causing trouble" in Washington. (Vimeo)



     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, September 6, 2014

Saturday roundup (09-06-14)

ECB's moves unlikely to offer struggling Europeans much relief from low pay, high unemployment (The Associated Press)

Job Growth Is Sluggish [in the United States], Raising Fear of Malaise (The New York Times)

Unofficial Problem Bank list declines to 437 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, September 5, 2014

Friday roundup (09-05-14)

US job growth drops to 142K, slowest in 8 months (The Associated Press) US retailers shed jobs in August, while factory hiring was flat (The Associated Press) ["'I don't believe it, I don't believe this data,' Mark Zandi, chief economist at Moody's Analytics, told CNBC. 'It's not consistent with anything.'"] (The Huffington Post) ["'I don’t believe the numbers,' said Tim Hopper, chief economist at TIAA-CREF. 'Not only are they very weak, they just don’t match anything else that’s in the market right now.'"] (The Washington Post) ["Right now 2014 is still on pace to be the best year for both total and private sector job growth since 1999."] (Calculated Risk blog)

BLS: Market Basket Drama Sunk National Jobs Numbers (Boston)

The U.S. needs more and better jobs (Marketwatch)

U.S. needs lower rates, more inflation: Fed’s Kocherlakota (Marketwatch)

Paul Krugman blasts the right-wing “deflation caucus” for “being wrong year after year”: The Times columnist argues that the right's misplaced but enduring hysteria over inflation is due to class bias (Salon) The Deflation Caucus by Paul Krugman (The New York Times)

Leaked Memo Indicates Republicans May Go After “Too Big To Fail”: Republicans could tackle the issue before the mid-term elections, but the benefit could extend until the 2016 presidential campaign (ValueWalk)

The Number of Hungry Americans Has Barely Fallen Since the Recession (Slate) Food Security Still a Struggle in U.S.: While the situation has improved nationally, some are still vulnerable. (U. S. News & World Report)

Doris Kearns Goodwin: "The Bully Pulpit" author Doris Kearns Goodwin describes the domestic challenges faced by Presidents Theodore Roosevelt and William Howard Taft. (Comedy Central's The Colbert Report)



Greece requests emergency EU aid to fund migrant surge: Greece has asked for 63 million euros in funding to cope with a surge in migrants from Africa and the Middle East. Numbers are expected to triple on 2013's figures by the end of the year. (Deutsche Welle)

France most at risk in new euro zone fiscal drive say rating firms (Reuters)

Top UK banks admit sending thousands of letters from fake debt collection firms to intimidate customers into repaying loans (The Daily Mail)

BP Ruling ‘Wakeup Call’ as Risks Mount in Oil Search (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.