Tuesday, May 31, 2016

Tuesday roundup (05-31-2016)

Eurozone stuck in deflation for fourth straight month (The Telegraph)

EU gives budget leeway to France "because it is France" - Juncker (Reuters)

Bank of Italy chief warns Italy's debt may not fall this year (Reuters)

Chart shows China’s debt bubble bigger than subprime bubble: ‘Unproductive’ debt up sharply since 2009: Deutsche Bank (Marketwatch)

Austin Reed to cut 1,000 jobs after administrators fail to find buyer: [UK] Tailoring brand will close 120 outlets as Edinburgh Woollen Mill owner Philip Day opts to buy the brands but only five concessions (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, May 30, 2016

Monday roundup (05-30-2016)

AP-NORC Poll: Voters [in the United States] Feel Disconnected, Helpless in 2016 (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.

Sunday, May 29, 2016

Sunday roundup (05-29-2016)

Shell’s job losses now equal Facebook’s entire payroll (USAToday)

Don’t listen to the ruling elite: the world economy is in real trouble: Andy Xie says those attending the G20, Davos and other wasteful meetings are wrong to try to pin the blame for the turmoil on people’s psychology; all signs point to a prolonged period of global stagnation and instability (South China Morning Post)

France and Italy could be the next European economies to crash: Denied the option of devaluation, both countries have relied on debt-funded public spending to maintain economic activity and living standards. The people and their representatives refuse to face reality by Satyajit Das (The Independent)

Why France must accept reform or face disaster (The Telegraph)

Here's Why All Pension Funds Are Doomed, Doomed, Doomed 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.

Saturday, May 28, 2016

Saturday roundup (05-28-2016)

Third Parties Rising Throughout Europe by Martin Armstrong (Armstrong Economics blog)

Italy’s broken banks show the dangers behind the euro (The Telegraph)

Portugal is Europe's next looming economic disaster (The Business Insider)

America’s ‘recovery’ is baloney — we’re actually broke (The New York Post) The Secret Shame of Middle-Class Americans: Nearly half of Americans would have trouble finding $400 to pay for an emergency. I’m one of them. (The Atlantic)

May 2016: Unofficial Problem Bank list declines to 205 Institutions (Calculated Risk blog)

Tweets of gang rape in Rio de Janeiro highlight breakdown of order [-- "The state’s budget has collapsed alongside the price of the offshore oil on which it depends, and police have been hit with a massive cut in funding."] (The Globe and Mail of Toronto)

[500] Layoffs Announced For SCS [Shelby County Schools] Teachers (WATN of Memphis, Tennessee)

     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, May 27, 2016

Friday roundup (05-27-2016)

We are at The Edge of Meltdown by Martin Armstrong (Armstrong Economics blog) ["Once the plug is pulled, everything will go down the drain very rapidly."] (Armstrong Economics blog)

We are headed for economic crisis due to debt: Lacy Hunt (Youtube)



Austerity policies do more harm than good, IMF study concludes: Economists give strong critique of neoliberal doctrine ushered in by Ronald Reagan and Margaret Thatcher in the 1980s (The Guardian) Neoliberalism is increasing inequality and stunting economic growth, IMF says: After forty years the international organisation warns that parts of the economic approach are not delivering (The Independent)

Brexit would be serious risk to global economic growth: G7 leaders (Reuters)

[In the United States,] Yellen says Fed rate hike likely appropriate in coming months (Reuters)

Donald Trump Has Delegate Majority for Republican Nomination, The A.P. Says (The New York Times)

Farm Belt Banks Tighten the Buckle: Farmers find loans harder to come by amid rise in delinquencies, forcing some to turn to alternative lenders (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.

Thursday, May 26, 2016

Thursday roundup (05-26-2016)

Eurozone RUPTURE: Now SPAIN threatens to tear EU apart as banks LOSE €1.4BILLION in a day: PANIC over the stability of Spanish banks hit fever pitch today, exposing yet another rupture in the financial system holding the eurozone together. (The Express) Banco Popular capital hike sparks renewed Spanish bank fears (Reuters)

Corporate Japan much more downbeat about escape from deflation: Reuters poll (Reuters)

Earnings fall [in the United States] at fastest rate since the Great Recession: S&P 500 first-quarter earnings declined for the fourth straight quarter, and more sharply than in any quarter since 2009 (Marketwatch)

Clinton's E-Mail Shenanigans Sure Don't Look Like an Honest Mistake (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.

Is it a recovery yet? (Weekly report, 05-26-16)

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.)

"Initial jobless claims dropped by 10,000 to 268,000 in the period stretching from May 15 to May 21, the Labor Department said Thursday." (Marketwatch)

Initial Jobless Claims Fall as U.S. Layoffs Prove Temporary (Bloomberg)

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, May 25, 2016

Wednesday roundup (05-25-2016)

Air and water problems are worsening on a global scale, U.N. says (The Washington Post)

Greece's New Bailout Cash: A Bandage on a Deep Economic Wound: More money may just be buying the country time. (U. S. News & World Report) Will 'breakthrough' deal solve Greece's debt problems?: Markets react warmly, but some analysts deride agreement as "another round of can kicking" (The Week)

U.S. Credit Card Debt To Reach $1 Trillion This Year (National Public Radio)

Clinton Broke Federal Rules With Email Server, Audit Finds (NBCNews) Clinton's e-mail mess keeps getting worse: New audit reveals that she failed to cooperate with inspector general. [Editorial] (The Star-Tribune of Minneapolis, Minnesota) The 9 biggest revelations in the State IG report on Clinton's emails: The 83-page document provided fresh details about whether the private server was authorized and concerns about hacking attacks. (Politico) IG Report on Clinton Email Concludes With...Nothing New [includes link to the report] (Mother Jones)

Warren blasts Trump; he calls her 'Pocahontas' (CNN) After Warren Slams Trump for ‘Rooting’ for Real Estate Bubble to Burst, MSNBC Host Reminds Democrat of Her Own Actions (The Blaze) Elizabeth Warren: Donald Trump can NEVER be the President (Youtube)



Criminal Bankers Threaten Entire World Economy-Helen Chaitman (USAWatchdog) Helen Chaitman-Big Bank Customers Destroyed in Next Economic Meltdown (Youtube) JPMadoff: The Unholy Alliance between America's Biggest Bank and America's Biggest Crook (Amazon)



Six years after the largest Ponzi scheme in history: Attorney and Partner at Becker Poliakoff Helen Chaitman discusses recovery efforts for Bernard Madoff victims after six years. [Dec. 10, 2014; embedding does not seem to work with this video] (FoxBusiness)

Nokia could [= "is likely to"] cut 10,000-15,000 jobs worldwide: union (Reuters)

BMTA [Bangkok Mass Transit Authority] to slash 4,000 jobs by 2018 (The Bangkok Post)

Shell Cuts 2,200 More Jobs to Withstand Lower-for-Longer Oil (Bloomberg)

Microsoft to cut 1,850 jobs at struggling smartphone 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.

Tuesday, May 24, 2016

Tuesday roundup (05-24-2016)

Euro zone agrees debt deal with Greece, IMF - France's Sapin (Reuters)

Austria’s move to the right is worrying bankers (CNBC)

Credit Cards Reanimated [in the United States] (The Mess That Greenspan Made blog)

Brazil's new president Temer unveils austerity measures: Brazil's interim president Michel Temer has unveiled a raft of economic austerity measures. Just a few days into his 180-day tenure, the 75-year old has confounded expectations he would spend Brazil out of its slump. (Deutsche Welle) Brazil's Temer seeks constitutional change to curb public spending (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, May 23, 2016

Monday roundup (05-23-2016)

Euro-Area Growth Seen Slowing as Outlook Clouds Amid Weak Orders (Bloomberg)

Failed Greek bailout forces more rescue talk from Europe (CNBC)

While euro zone banks regain footing, Italian lenders still in shambles (The Globe and Mail of Toronto)

Austria rejects far-right presidential candidate after cliffhanger election (CNBC) The Guardian view on the Austrian presidential elections: disaster narrowly averted [Editorial] (The Guardian)

‘Massive Bailout’ Needed in Debt-Saddled China, Analyst Chu Says (Bloomberg)

Markit PMI shows U.S. manufacturers stagnant: May Markit flash index dips to 50.5 from 50.8; production declines (Marketwatch)

The ‘scariest chart out there’ looms over pivotal week for markets (Marketwatch) ["I predict that the current level of household net worth is not sustainable."] (Hedgeye)

The college debt crisis is even worse than you think: We tell students they need a bachelor’s degree to get ahead. But for too many, the numbers no longer add up. (The Boston Globe)

Why Trump Might Win: Some Americans welcome the presumptive GOP nominee's brand of anti-politics, which rewrites everything we thought we knew about the process. by Robert Reich (Moyers & Company)

No, Paul Ryan, Austerity Will Not Fix the Starving Puerto Rican Economy: House Republicans want to let an unelected “control board” impose brutal cuts on people who have already suffered enough. (The Nation) [versus] Chapter 9 bankruptcy isn’t the only option for Puerto Rico (National 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, May 22, 2016

Sunday roundup (05-22-2016)

Saudi financial crisis 'could leave oil at $25’ as contractors face being paid in IOUs by Ambrose Evans-Pritchard (The Telegraph)

Greek Lawmakers Narrowly Approve Austerity Legislation (The New York Times)

Results of Austrian presidential vote too close to call: Direct ballots have been counted but absentee votes are still to come from Austria's run-off vote for a president. Far-right leader Norbert Hofer and former Greens politician, Alexander Van der Bellen are neck and neck. (Deutsche Welle)

How corporate America bought Hillary Clinton for $21M (The New York 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.

Saturday, May 21, 2016

Saturday roundup (05-21-2016)

EU's Greek Debt Deal: The Money Has Already Been Lost, Argument Is Over How To Recognise That Fact (Forbes) Greece Braces for More Austerity Amid EU-IMF Quarrel About Debt (Bloomberg)

No Reason to Cry Over Spilt Milk [in the United States] When It’s This Cheap (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.

Friday, May 20, 2016

Friday roundup (05-20-2016)

Greece is 'very close' to debt deal, says Pierre Moscovici (The Telegraph) [Meanwhile US] Treasury’s Lew Presses Germany to Find “Meaningful Debt Relief” for Greece: Lew’s words underscore Washington’s concerns that Greece remains a major risk to global growth (The Wall Street Journal)

Italy Needs Oil Price Rise to Reduce Deflation Risk, Istat Says (Bloomberg)

Austria could gain first far-right president since World War II this weekend (CNBC)

Brazil sees massive fiscal gap, plans austerity measures (Reuters) Brazil’s Meirelles Says Economy Worse Off Than He Imagined (Bloomberg)

Pensions may be cut to 'virtually nothing' for 407,000 people (CNNMoney)

Nokia cuts more than a thousand jobs in Finland (Reuters)

Diversified Machine plant to cut 500 jobs in Bristol [Indiana] (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, May 19, 2016

Thursday roundup (05-19-2016)

The real problem with negative interest rates? They are a stealth tax: Someone has to pay for negative rates, either banks, borrowers or depositors (Marketwatch)

Portugal banks have to offload bad loans, assets, need EU waiver (Reuters)

It's Official. Bank of England Speeches Are Actually Impenetrable (Bloomberg)

[In the United States] A Former Banker’s Push to End ‘Too Big to Fail’ (The New York Times)

KCTCS cuts 500 faculty, staff positions (The Lexington Herald-Leader)

     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, 05-19-16)

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 Americans who applied for unemployment benefits in mid-May fell by 16,000 to 278,000 — with most of the drop concentrated in New York — in a reassuring sign the labor market is still fairly healthy." (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, May 18, 2016

Wednesday roundup (05-18-2016)

Keiser Report: World Economy Manias (E914) [Interview with Steve Keen] (The Keiser Report)



EU cuts Italy 'unprecedented' slack on budget rules (Agence France Presse)

Spain’s Debt Jumps Most in Century, Topping 100% of GDP: Chart (Bloomberg)

China's Communist Party goes way of Qing Dynasty as debt hits limit by Ambrose Evans-Pritchard (The Telegraph)

     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, May 17, 2016

Tuesday roundup (05-17-2016)




Paris and Rome fiddle while France and Italy burn: Debt Dominoes: France and Italy are moving too slowly on political and economic reform by Satyajit Das (Marketwatch)

Post Office [in the UK] 'heading for extinction' amid plan to cut 600 jobs, say unions: CWU and Unite accuse government of putting service in crisis after funding slashed by £130m in three years to £80m (The Guardian)

Sucked into deflation again - Japan's $2 cup noodle binge is sign of the times (Reuters)

BlackRock’s Fink Says Everyone Should Worry About China Debt (Bloomberg)

The Confession of [United States] Congressman X by Martin Armstrong (Armstrong Economics) ‘We’re running a f—ing casino’: Politician tells all in manifesto [May 13] (The New York Post) 'Screw the next generation' and 'Harry Reid's a pompous a**': Democratic congressman writes Anonymous tell-all book slamming 'nation of naive, self-absorbed sheep' as he admits he never reads bills he votes on (The Daily Mail)

     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, May 16, 2016

Monday roundup (05-16-2016)

OPEC signals greater oil glut in 2016 as its output surges (Reuters)

Greek parliament to vote on bailout reforms on Sunday (Reuters)

China Slowdown Shows Debt Addiction Will Be Tough to Shake (Bloomberg)

China’s debt bubble is getting only more dangerous (The Washington Post blogs)

The map is tough for any Republican. It's completely daunting for Donald Trump. (The Washington Post)

Memo to Hillary: Do Not Put Bill in Charge of the Economy (Time)

Ghost of Andrew Jackson Looms Over Too-Big-to-Fail Banks: A speaker at a Fed event partly defends the controversial former President's legacy. (The Wall Street Journal blogs)

HSBC axes 840 IT jobs in Britain in first big wave of planned cuts (Reuters)

Chevron Thailand to cut 800 jobs under $500 million cost-savings plan (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.

Sunday, May 15, 2016

Sunday roundup (05-15-2016)

Household debt binge could compound [any future UK] downturn, warns [Bank of England Governor Mark] Carney (The Telegraph)

American Capitalism’s Great Crisis: How Wall Street is choking our economy and how to fix it (Time)

For The American Farmer "It's Death By A 1,000 Knives”- US Farmland Values Plunge Most In 30 Years (ZeroHedge 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.

Saturday, May 14, 2016

Saturday roundup (05-14-2016)

Will a President Trump Still Be the King of Debt? (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.

Friday, May 13, 2016

Friday roundup (05-13-2016)

Eurozone economy growing slower than thought [The Wall Street Journal via] (Marketwatch)

Greek Bailout Deal Must Have Concrete Debt-Relief, State Minister Says: Comments follow German discussion of potential Greek debt relief (The Wall Street Journal)

Italy Growth Lags Below Euro-Area Average, With Record Debt (Bloomberg)

Italy's Public Debt Hits New Record in March: Italy's public debt broke a new record in March, reaching a historical maximum of 2,228 trillion euros ($2,522 trillion), the Bank of Italy revealed Friday. (Sputnik)

Wall Street Bets on a Democrat for the First Time Since 2008: Contributions from bankers to Republican presidential candidates dried up in the first three months of the year. (Bloomberg)

Symantec to lay off 1,200 amid restructuring (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.

Thursday, May 12, 2016

Thursday roundup (05-12-2016)

Eurozone Economic Growth Faces Revision as Industry Retreats (The Associated Press)

New Jersey to Follow Illinois Down the Drain by Martin Armstrong (Armstrong Economics)

     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, 05-12-16)

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.)

"Initial claims climbed by 20,000 to 294,000 from May 1 to May 7, the Labor Department reported Thursday. The last time initial claims were that high: Feb. 28, 2015." (Marketwatch)

Initial jobless claims unexpectedly spike to the highest in 14 months (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, May 11, 2016

Wednesday roundup (05-11-2016)

These are the triggers for a new financial crisis: With existing political elites seen as captured by businesses, banks and the wealthy, electorates are turning to political extremes in search of representation and solutions. The resulting policy uncertainty and inconsistency further suppresses recovery by Satyajit Das (The Independent)

Why Greece Still Needs Debt Relief: The new package pushes the country to the breaking point. (Fortune)

Greek deflation persists for another month (ekathimerini)

Italy must choose between the euro and its own economic survival by Ambrose Evans-Pritchard (The Telegraph)

UK industry falls back into recession: Factory output was down in two consecutive quarters as the steel crisis helped drag down the sector’s overall output (The Guardian)

The World's Most Extreme Speculative Mania Unravels in China (Bloomberg)

America's middle class is shrinking almost everywhere (CNNMoney)

Trump Is Now Running to the Left of Sanders on Federal Debt (Bloomberg) How Donald Trump is running to the left of Hillary Clinton (The Washington Post)

Macy's is in serious trouble (CNNMoney)

State Job Cuts To Be More Than 2,500 (CBSConnecticut)

     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, May 10, 2016

Tuesday roundup (05-10-16)

Eurozone recovery wilts as sugar rush fades, deflation lurks by Ambrose Evans-Pritchard (The Telegraph)

Devastating MORI poll shows Europe's peoples share British rage over EU by Ambrose Evans-Pritchard (The Telegraph)

Will Greece ever be able to pay off its debts?: Leaked analysis by European rescue fund suggests debt is unaffordable even after relief measures (The Week)

'Everyone’s outraged': angry Greeks foresee Grexit and drachma's revival: Greece faces its toughest austerity measures yet, with €5.4bn of budget cuts backed by the leftist government of Alexis Tsipras (The Guardian)

Quiet crisis: why battle to prop up Italy's banks is vital to EU stability: Forget Brexit or Grexit, €360bn of bad loans within a fragmented Italian banking sector could be the biggest threat of all (The Guardian)

Carnage in the oil patch, summed up in one telling infographic: The number of filings nears what we saw during telecom bust (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.

Monday, May 9, 2016

Monday roundup (05-09-16)

All Of A Sudden, Fish Are Dying By The MILLIONS All Over The Planet (The Economic Collapse Blog)

Greek MPs approve toughest austerity measures yet amid rioting: Crucial meeting of eurozone finance ministers will be held on Monday amid backdrop of violence in Athens over cuts worth €5.4bn (The Guardian)




Man who foresaw oil crash bets against Saudi Arabia (CNNMoney)

IMF Says [Bank of Canada's] Poloz Should Consider Rate Cuts If Economy Falters (Bloomberg)

Lew, Lawmakers Intensify Puerto Rico Bill Push After Default (Bloomberg)

Donald Trump’s bizarre explanation of how the national debt works (The Washington Post)

Here are the massive tax breaks Trump is proposing for the rich (CNNMoney)

Hyundai Heavy Industries Will Cut Jobs [Up To 2,700?], Sell $1 Billion in Assets: ‘Orders are falling significantly, threatening the fate of the company,’ said the world’s largest shipbuilder (The Wall Street Journal)

More than 700 Qualitest jobs in Huntsville & Charlotte cut as company restructures (WHNT)

     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, May 8, 2016

Sunday roundup (05-08-16)

Eurozone ministers set for crunch talks amid fears of 'another Greek crisis' (The Telegraph)

China’s financial system: The coming debt bust: It is a question of when, not if, real trouble will hit in China (The Economist)

Donald Trump's Economic Plans Would Destroy the U.S. Economy: Make America have a recession again. (The Atlantic)

     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, May 7, 2016

Saturday roundup (05-07-16)

Greek debt crisis threatens to flare up ahead of Brexit vote (The Telegraph)

Greece braces for new austerity-induced pension cuts: Greece's government is set to pass controversial pension cuts on Sunday. Retirees are livid, and unions are on strike, Jannis Papadimitriou reports from Athens. (Deutsche Welle)

There's a big warning sign that the wheels of the US economy may be grinding to a halt (The Business Insider)

[Republican Presidential Candidate] Donald Trump Announces Debt Plan That Would Collapse Entire Global Economy (The Huffington Post) Clinton campaign: Trump economic policy would 'risk a global financial meltdown' (Politico) [But] Donald Trump's Glorious Threat To Default On The National Debt Is Just The Conventional Wisdom (Forbes)

Minneapolis fed chief prepares for second symposium on big banks: The Federal Reserve Bank of Minneapolis next week will have its second symposium on what to do about the risk of having to bail out a bank that is still too big to fail. (The Star-Tribune of Minneapolis)

First Cornerstone Bank, King of Prussia, PA – Largest Bank Failure of 2016 [as posted here yesterday] (Problem Bank List)

     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, May 6, 2016

Friday roundup (05-06-16)

Warnings mount on world's corporate debt, China crisis by Ambrose Evans-Pritchard (The Telegraph)




Lagarde [In A Leaked Letter] Says IMF Won't Join Greece Bailout Until Budget Gap Shut (Bloomberg) Lagarde to Eurozone: IMF Won’t Budge on Greece (The Wall Street Journal blogs)

Poland Holds Rates as Economic Bumps Compound Record Deflation (Bloomberg)

The UK Has Had Consumer Price Deflation For 3 Years Now: Thus Wages Are Getting Better (Forbes)

If [the United States] Congress won't act, we'll need a bailout: Puerto Rico gov (CNBC)

Largest Banks Still Need to Be Downsized, Says Former Regulator (TheStreet)

Banking Insiders Agree With Bernie Sanders -- Break Them Up (Inquisitr) The next president could be forced to break up big Wall Street banks, even if they don’t want to (Fusion) POLITICO’s first-ever Caucus of finance industry experts narrowly supports drastic regulatory action. [May 3] (Politico)

Regulators Close Small Pennsylvania Bank (The Associated Press) First CornerStone Bank of King of Prussia PA had a troubled assets ratio of 209 percent. (BankTracker)

     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, May 5, 2016

Thursday roundup (05-05-16)

Eurozone lowflation going nowhere, ECB admits (The Telegraph)

Endo reports loss, announces layoffs [of 740 employees], shake-up (The Philadelphia Inquirer)

     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, 05-05-16)

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.)

"Jobless claims rose by 17,000 to 274,000 in the week ended April 30, a Labor Department report showed Thursday." (Bloomberg)

Americans collecting unemployment checks lowest since end of Clinton presidency: Initial jobless claims below 300,000 for 61st straight week (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, May 4, 2016

Wednesday roundup (05-04-16)

Europe to Remove 500-Euro Bill, the ‘Bin Laden’ Bank Note Criminals Love (The New York Times)

[France's] SocGen: Banking industry will never see pre-crisis profitabilty again (CNBC)

Greece Rules out "What If" Austerity Measures Sought by IMF (The Associated Press)

Is Greece just weeks away from another debt crisis? (The Telegraph)

Most of Greek bailout money went to banks: study: Only 5 percent of international bailout money for Greece was used to kickstart the country's languid economy, a new study has found. The rest was used to pay back private creditors, many of which were banks. (Deutsche Welle)

Our household debt will be the death of us (The Daily Telegraph of Australia)

Private-sector job growth [in the United States] stumbles to slowest pace in three years, ADP says (The Los Angeles Times)

Trump, lone survivor in Republican White House race, now must unify party (Reuters) Why Republican Voters Decided On Trump (FiveThirtyEight) Ted Cruz Suspends Campaign After Indiana Primary Loss (ABCNews) John Kasich Suspends Presidential Campaign (NBCNews)

Presumptive GOP Nominee Trump Goes One-on-One With Lester Holt: Donald Trump speaks to Lester Holt after a resounding win in the Indiana primary and the departures of his last remaining rivals for the GOP nomination. (NBC Nightly News with Lester Holt)



Elizabeth Warren Rips Into Trump After His Indiana Victory (ABCNews)

Could Bernie Sanders Win the Nomination After His Surprise Indiana Victory? (People) It's mathematically impossible for Bernie to win with pledged delegates (Politico) A Contested Convention Is Exactly What the Democratic Party Needs: Bernie Sanders will go to Philadelphia with more pledged delegates than any insurgent in modern history. Here’s what he could do with them. (The Nation)

U.S. oil industry bankruptcy wave nears size of telecom bust (Reuters)

MetLife hit with $25 million penalty for misleading retirement clients (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.

Tuesday, May 3, 2016

Tuesday roundup (05-03-16)

Citi: Five Trends Keeping Us Worried About a Global Recession: The eye of the storm? (Bloomberg)

Debt: The Key Factor Connecting Energy and the Economy (The Energy Collective)

EU Commission sees euro zone growth slowing, urges more investment (Reuters)

EU forecasts France, Italy, Spain, to miss budget targets (Reuters)

France Requires Extra Austerity to Meet Targets (Dow Jones Newswires)

EU Expects Italy to Miss Debt-Reducing Goal on Slower Growth (Bloomberg)

EU Still Doesn't Believe Rajoy's Plan for Spain's Budget Deficit (Bloomberg)

Australia cuts interest rates to turn back global deflation tide (Reuters)

Kyle Bass: Japan will have to be even more unconventional (CNBC)

Janet Tavakoli: How to Spot a Fraud: The outspoken risk consultant talks to ThinkAdvisor about the biggest red flags for fraud and the two 'big shorts' she sees now (ThinkAdvisor)

Treasury Secretary Jack Lew: Puerto Rico crisis is 'immediate and real' (The Los Angeles Times) Lew Urges Congress to Act on Puerto Rico to Avoid Bailout (Bloomberg)

Puerto Rico is the Next Greece: It‘s the Same Old MO: Entice With Money, Then Foreclose (The San Diego Free 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.

Monday, May 2, 2016

Monday roundup (05-02-16)

Get set for 'diminishing returns' from Draghi's bazooka: Moody's (CNBC)

Eurozone factory growth weakens despite heavy discounting: Manufacturing PMI edges up to 51.7 in April but survey shows mixed picture given steep price cuts to attract customers (The Guardian) Latest PMI survey suggests Eurozone's manufacturers are not feeling the economic recovery (CityAM)

Slow progress on Greek reform, debt talks, May 9 deal unlikely: sources (Reuters)

Italian banks under pressure as Popolare di Vicenza IPO fails: Stock market in Milan forbids Italy’s eighth largest lender from listing after investors bought just 7.7% of €1.5bn share issue (The Guardian)

Business confidence slumps to four year low [in the UK] (The Telegraph)

Lew Urges Congress to Act on Puerto Rico to Avoid Bailout (Bloomberg)

Buffett says if the government did THIS [= "said interest rates are going to be zero for 50 years"] the Dow could hit 100K (CNBC)

Puerto Rico Defaults on Principal of $422 Million Debt Payment (The New York Times blogs) Puerto Rico Warns of More Defaults After Missing May Payment (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, May 1, 2016

Sunday roundup (05-01-16)

Why we should all be worried about the global economy: Since 2007, global debt has grown by US$57 trillion and it's had disastrous results by Satyajit Das (The Independent)

Vijay Mallya, Indian ‘King of Good Times,’ Dethroned by Debt (The New York Times blogs)

MACQUARIE: China's $1 trillion in bad debt puts it at risk of a financial crisis (The Business Insider)

Puerto Rico Will Default on Government Development Bank Debt (Bloomberg)

Puerto Rico debt rescue plan engulfed in Great Recession ‘bailout’ politics (The Washington 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.