Thursday, June 30, 2016

Thursday roundup (06-30-2016)

Standard & Poor's cuts EU credit rating after British vote to leave: Ratings agency says European Union’s status as safe haven for investments is now AA rather than AA+ (The Guardian)

The European Union is 'doomed to fail,' says 'Black Swan' author Nassim Taleb (CNBC)

Has Britain avoided a ‘European superstate’? France and Germany ‘draw up plans to morph EU countries into one with control over members’ armies and economies’ (The Daily Mail)

IMF says 'Brexit' uncertainty to dampen near-term growth outlook [for the UK and the rest of Europe] (Reuters) [In fact,] Bank of England's Carney sees need for summer stimulus after Brexit shock (Reuters)

Deutsche Bank May Be Top Contributor to Systemic Risk, IMF Says (Bloomberg)

France's public debt piles up (Agence France Presse)

Austerity no cure-all, Germany's Gabriel says in Greece: Germany's economy minister, who is on a three-day visit to Greece, has told the Greek people that he understands their concerns about the tough austerity measures imposed on them by the creditor nations. (Deutsche Welle)

ITALY ON THE EDGE: Italian banks face further losses as investor fears grow over debt: CONFIDENCE in Italy's banks and the wider economy is falling apart, as investors continue to digest Britain's vote to leave the European Union (EU). (The Express)

Britain May Need to Cut Rates, Bank of England Chief Says (The New York Times)

Brexit: 5 charts that show the vulnerability of the UK economy: There was fragility even before the political and economic earthquake of the Brexit vote (The Independent)

This economist thinks China is headed for a 1929-style depression: Andy Xie is among the loudest voices warning of an inevitable implosion (Marketwatch)

Japan fell deeper into deflation in May (The Financial Times)

[In the United States,] Bipartisan Disapproval Follows Bill Clinton's Meeting With Loretta Lynch (National Public Radio)

How Democrats Moved Left on Wall Street: Populist economic appeals are now mainstream. That doesn’t mean words will translate into action. (The Atlantic)

Trump Duly Slapped, Elizabeth Warren Returns to What She Does Best: Wall Street will hate it. (Mother Jones)

‘God-awful’ toxic blue-green algae blooms close beaches, force Florida to declare state of emergency (The New York Daily News)

Leoni to cut 1,100 jobs at on-board power supply unit [Reuters via] (The Economic Times of India)

Boehringer slashes 724 jobs off U.S. sales payroll to boost R&D spending (FiercePharma)

     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, 06-30-16)

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 U.S. jobless claims rose by 10,000 to 268,000 in late June, largely because of the end of the school year. The pace of layoffs nationwide remained extremely low, however." (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, June 29, 2016

Wednesday roundup (06-29-2016)

France at high risk of missing 2017 deficit target - audit office [Reuters via] (CNBC)

Italy's Renzi says Spain, Portugal risk EU deficit sanctions (Reuters)

[In the United States,] GE Says Too-Big-to-Fail Exit Puts Stamp of Approval on Overhaul (Bloomberg) After GE ruling, here are the too-big-to-fail banks and financial firms (Marketwatch)

[Meanwhile] The Fed just handed an embarrassing smackdown to 2 European banks (The Business Insider)

Congress sends Puerto Rico rescue bill to president (The Associated Press) Senate Clears Puerto Rico Bill Ahead of Island’s Default (Bloomberg)

Brazil Posts Wider-Than-Expected Primary Budget Deficit in May (Bloomberg)

Seagate Technology Plans to Cut 1,600 Jobs Amid PC Slump (Bloomberg)

Lloyds to axe 640 jobs in cost-cutting drive - sources (Reuters)

Canadian Pacific Railway to Lay Off 500 Workers: Railway cites lower volumes, softening demand for job cuts (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.

Tuesday, June 28, 2016

Tuesday roundup (06-28-2016)

Volkswagen agrees to record $14.7 billion settlement over emissions cheating (CNNMoney)

U.K. Rating Cut Two Levels by S&P, One by Fitch After Brexit (Bloomberg)

Dow Chemical to cut 2,500 jobs as part of Dow Corning deal (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, June 27, 2016

Monday roundup (06-27-2016)

After Brexit, French right-wingers have their own E.U. exit hopes (The Washington Post) Is Brexit The First Of Many Dominoes? A Few Charts (ZeroHedge blog)

Italy prepares to shield its banks from Brexit fallout (Reuters) Italy eyes €40bn bank rescue as first Brexit domino falls by Ambrose Evans-Pritchard (The Telegraph)

Brexit May Well Never Happen: The victors are already looking sheepish about leaving the EU. Maybe they won’t! (Slate)

OPEC’s Pain Is Only Getting Worse As Revenues Continue To Fall (OilPrice)

Here’s what [United States Presidential Candidate] Bernie Sanders has won in the Democratic platform (so far) (The Washington Post)

Rickards & Ritholtz Debate Gold [Bloomberg via] (The Big Picture blog) Gold's Role in the Financial System: James Rickards, editor at Strategic Intelligence, and Barry Ritholtz, founder and chief investment officer at Ritholtz Wealth Management, discuss investing in gold and its role in the financial system. They speak to Bloomberg's Joe Weisenthal on "What'd You Miss?" [June 23] (Bloomberg)



Tech distributor [Ingram Micro] cutting 937 Fort Worth jobs amid Chinese buyout (The Fort Worth Star-Telegram)

Metro General Manager Paul J. Wiedefeld to eliminate 500 jobs [at District of Columbia transit agency] (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.

Daily Posting Still Tentative

I am still experiencing loss of Internet service at regular intervals.

Sunday, June 26, 2016

Sunday roundup (06-26-2016)

Shilling: World Facing High Probability of Panic Deflation (Financial Sense)

Nomura Warns "Do Not Underestimate The Global Contagion" From Brexit (ZeroHedge blog)

Tough Choices and Hard Lessons for E.U. After ‘Brexit’ Vote (The New York Times)

Six More Countries Want Referendums to Exit EU [= France, the Netherlands, Italy, Austria, Finland and Hungary] by Martin Armstrong (Armstrong Economics blog)

Rajoy Wins as Spain Cleaves to Establishment Amid Brexit Mayhem (Bloomberg) Spanish vote delivers more uncertainty for Europe after Brexit (Reuters)

Spain struggles to reduce unemployment, debt despite growth (Agence France Presse)

Tsipras blames Brexit on austerity, deficiencies in EU leadership (Reuters)

Petition to hold second EU referendum reaches 2.5m signatures: House of Commons website sees unprecedented traffic for record-breaking petition (The Observer)

The tea party spirit crossed the Atlantic during the Brexit campaign (The Washington Post)

U.S. business spending weak in May, Brexit seen adding more pressure (Reuters)

‘Trump Presidency Unthinkable’ Says Bush Bailout Architect Henry Paulson; Endorses Clinton (Breitbart) Republican ex-Treasury chief Paulson slams Trump, to vote for Clinton (Reuters) When it comes to Trump, a Republican Treasury secretary says: Choose country over party by Henry M. Paulson Jr. (The Washington Post)

June 2016: Unofficial Problem Bank list declines to 203 Institutions, Q2 2016 Transition Matrix (Calculated Risk blog)

Home Is Where the Fraud Is: At the height of the housing crisis, one woman’s bureaucratic odyssey to discover who really owns her home leads her to startling revelations about the housing market. (LongReads blog)

Obama Declares Major Disaster In West Virginia After Historic Flooding (National Public Radio)

     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, June 25, 2016

No update 06-25-16

Experiencing (temporary) Internet issues. Will be back soon.

Friday, June 24, 2016

Friday roundup (06-24-2016)

"It's An Alice In Wonderland World" - GRI Warns "Debt Is Being Piled Upon Debt Being Piled Upon Debt" (ZeroHedge blog)

UK PM Cameron says will step down by October after Brexit vote (Reuters) British Prime Minister David Cameron's resignation to set off leadership scramble (The Associated Press) David Cameron’s Austerity Bomb Finally Went Off: After years of failed economic policy, the British public was ready to lash out. (Foreign Policy)

Multinationals warn of job cuts and lower profits after Brexit vote: JP Morgan, Airbus and Ford say they will review UK operations as analysts warn of serious implications for City workforce (The Guardian) Banking giants consider moving thousands of jobs out of Britain after Brexit vote as big businesses warn of a profits slump (The Daily Mail)

Brexit won’t shield Britain from the horror of a disintegrating EU: Bringing democrats together across borders is needed now to prevent a slide into a xenophobic, 1930s-like abyss by Yanis Varoufakis (The Guardian)

Elizabeth Warren Should Stay in the [United States] Senate: Her agenda is fundamentally different from the one Hillary Clinton will pursue. by Dean Baker (The Nation)

Memphis Man Raises $103K for Teen Who Offered to Help Carry Groceries (ABCNews)

     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, June 23, 2016

Thursday roundup (06-23-2016)

Here's Just How Bad the Global Economy's Debt Problem Is: Global debt is skyrocketing, but what has all this money done for the global economy? (TheStreet)

G7’s political battle is all about deflation (Asia Times)

Keiser Report: Economic Anxiety in Divided America [-- interview with Chris Whalen on negative interest rates, etc.] (E930) (Youtube)



Euro zone business growth slows in June as services struggle (Reuters)

ECB to guide banks on working off bad debt before setting targets - sources (Reuters)

French strike action drags economy into contraction as eurozone growth stumbles (The Telegraph)

Marine Le Pen Hopes To Use The Brexit Debate To Push Her Own Agenda (The Huffington Post)

Early votes give huge boost to Brexit chances [-- This is a live link and the headline will no doubt change as more votes are counted] (The Telegraph) Why Brexit Could Be Just the Beginning for an Angry Europe (Time)

China says debt won't pose systemic risk if [!] economic growth reasonable (Reuters)

[In the United States,] Social Security trust fund projected to run dry by 2034 (CNNMoney)

Dodd, Frank blast ruling that MetLife not too big to fail (Reuters)

About 70% of voters say Trump should cut business ties while running for president (CNN)

Will Bernie Sanders Voters Support Hillary Clinton?: Plenty of those who backed the Vermont senator still don’t feel warmly toward the presumptive Democratic nominee. (The Atlantic)

Deutsche Bank to shut 188 German branches and cut 3000 staff (Reuters)

Zimbabwe’s Hwange Coal Mine to Cut 1,500 Jobs, Minister Says (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, 06-23-16)

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.)

"There were 259,000 initial claims, a decline of 18,000 from the prior week." (Marketwatch)

U.S. jobless claims fall to near 43-year low (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, June 22, 2016

Wednesday roundup (06-22-2016)

THE SURPRISING RELEVANCE OF THE BALTIC DRY INDEX (The New Yorker)

Italy's 5-star wants vote on euro, joining wave of referendums (Reuters)

George Osborne's shame as Britain's debt tops £1.6TRILLION amid borrowing spiral: THE Chancellor has been left red-faced after Britain's debt surged to £1.606 TRILLION last month, as the Government continues to borrow billions more than expected, figures revealed today [June 21]. (The Express)

IMF downgrades outlook for US economy (CNBC)

Debt talks between Puerto Rico, creditors end without deal (Reuters)

'We're living worse than in a war': Venezuela's deepening economic crisis: Critics have slammed president for embracing socialist blueprint instead of free-market policies (The Canadian Broadcasting Corporation)

Subsea 7 to Cut 1,200 Jobs By Early 2017 (Rigzone)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats exist today that could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. Key threats include excessive risk-taking by financial firms, unchecked by effective regulation; the continued existence of "too big to fail" institutions; and most especially, the amassing of levels of public and private debt which could become unsustainable.

Tuesday, June 21, 2016

Tuesday roundup (06-21-2016)

Spanish PM admits anti-austerity Podemos could see shock victory in this weekend's elections (The Telegraph) Polls show Spain's left-wing bloc could clinch majority [June 19] (Reuters)

[In the United States,] Yellen Confirms Fed Has "Legal Basis" To Pursue Negative Rates (ZeroHedge blog)

Yellen: Recession Unlikely, but Long-Run Growth Could Be Slow: Fed chief says slow productivity growth seen in recent years could continue (The Wall Street Journal)

Hillary Clinton Can Pick Any Veep She Pleases: But her decision will tell us more than usual about what kind of president she wants to be. (The New Republic)

Michigan governor signs $617 million Detroit schools bailout: Detroit will have a new debt-free school district under a $617 million state bailout and restructuring measure signed into law by Gov. Rick Snyder (The Associated Press)

PCH to cut 1,500 jobs, with majority of cuts to happen in China (SiliconRepublic)

RBS planning to cut 900 jobs to reduce costs: sources (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, June 20, 2016

Monday roundup (06-20-2016)

Why Italy’s economy is about to collapse: A contracted economy, inadequate banking systems, engorged public sector and festering corruption mean that Italy is facing a troubled future by Satyajit Das (The Independent)

Italy’s Five Star Movement has taken Rome, and Turin too: Mayoral wins for populist women spell trouble for the prime minister, Matteo Renzi (The Economist) Italy's Renzi faces fight for political life after vote setback (Reuters)

Average UK credit card and loan debt stands at 25% of income as we mark the 50th anniversary of the plastic payment card: There’s an anniversary this year that has probably passed most people by, which is ironic when you consider the impact it has had on almost all of our lives, writes Sheena Grant. (East Anglian Daily Times)

India's rockstar central banker defeated as Modi revolution stalls by Ambrose Evans-Pritchard (The Telegraph)

[In the United States,] Trump's Foes [Notably Elizabeth Warren] Try to Provoke Him With His Own Words: Pathetic! Sad! Disgusting! (US News & World Report) Wall Street donors seek to block Warren VP pick: If Clinton chooses the Massachusetts senator as her running mate, donations will dry up, fundraisers warn. (Politico)

     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, June 19, 2016

Sunday roundup (06-19-2016)

Quote of the Day: "Negative interest rates are the definition of deflation." -- Jeffrey Gundlach, chief executive officer of DoubleLine Capital (ZeroHedge blog)

Italy's mayoral elections deal defeat to Renzi; 5-Star breakthrough (Reuters)




DAVID ROSENBERG: Risks [to the United States economy] are rising (The Business Insider)

Why there’s a new kind of housing crisis: Nearly one-third of survey respondents said they’d had to scramble to cover a mortgage or rent payment in the past few years (Marketwatch)

Venezuelans Ransack Stores as Hunger Grips the Nation (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.

Saturday, June 18, 2016

Saturday roundup (06-18-2016)

Regardless of ‘Brexit’ Vote, Experts Say, E.U. Must Rethink Status Quo (The New York Times)

Indian central bank chief to step down in surprise move (Reuters) Raghuram Rajan's letter makes it clear – leaving the RBI wasn't his decision: The RBI governor said he was open to continuing in the role. (Scroll) Rajan shielded Indian banks from a Lehman-like crisis. And how! (The Economic Times of India)

     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, June 17, 2016

Friday roundup (06-17-2016)

Negative interest rates are scaring people (CNNMoney)

Eurozone releases €7.5bn in bailout funds for Greece: Latest tranche staves off country’s most pressing problems, but there is widespread concern the deal is simply buying time (The Guardian) Greece to Receive Another Chunk of Bailout Aid (The New York Times) EU policy forces Greeks into dire, downward spiral: A colder winter and less food looms as ordinary people are indentured to life of debt (The Irish Times)

Why I'm voting LEAVE [in Brexit vote next Thursday]: Migrant chaos cannot continue, says LEO MCKINSTRY: THE EU isn’t working. Nothing illustrates that stark truth more dramatically than the immigration crisis that has engulfed the entire continent, threatening the very existence of European civilisation. (The Express)

U.S. strikes back at judge's decision that MetLife not 'too big to fail' (Reuters) After MetLife Ruling, Regulators Push Back on [= Defend Right to Use] ‘Too Big to Fail’ Label (The New York Times blogs)

Strategists in Europe foresee dire consequences in Fed’s reluctance to raise interest rates: ‘The longer they leave rates low, the greater economic and asset-class instability it creates’ (Marketwatch)

The Fed and other central banks have lost their magic powers: Negative yield on German bonds is just the latest toxic consequence by Satyajit Das (Marketwatch)

Louisiana’s $600 million budget deficit looks to be more like $800 million, economist says (The Advocate) 'Sense of urgency ought to be increasing every day' for lawmakers, Gov. John Bel Edwards says of current special session (The New Orleans Advocate)

     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, June 16, 2016

Thursday roundup (06-16-2016)

Investors hold biggest cash pile since 2001 as world gloom deepens: BAML (Reuters)

Europe cannot escape from deflation (The Business Insider)

Russia may tap National Wealth Fund to cover budget deficit in 2017 (Reuters)

Brexit poses global financial risk, Bank of England warns (The BBC) ECB closes ranks with Bank of England to avert Brexit crunch by Ambrose Evans-Pritchard (The Telegraph)

China's debt is 250% of GDP and 'could be fatal', says government expert: Defaults in the hugely indebted corporate sector could derail state-owned banks, triggering a systemic crisis, economist says (The Guardian)

The jobs picture is getting even worse [in the United States], Philly Fed says (CNBC)

Armitage to back Clinton over Trump: Former Reagan and Bush appointee is highest-ranking Republican to break ranks for Hillary. (Politico)

Former Goldman banker Gensler is Clinton's progressive beacon [Bloomberg via] (The Chicago Tribune)

Clinton considering Warren, not Sanders, for running mate: WSJ (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.

Is it a recovery yet? (Weekly report, 06-16-16)

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 U.S. jobless claims rose by 13,000 to 277,000 in mid-June, but the increase is likely tied to seasonal quirks that could unwind in the next few weeks." (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, June 15, 2016

Wednesday roundup (06-15-2016)

Charting the lowest interest rates in 5,000 years, worst commodity returns in 80 years (Marketwatch)

A Lost Decade? We Should Be So Lucky by Satyajit Das (BloombergView)

Bank of America to cut up to 8,000 jobs at its retail banking arm: FT (Marketwatch)

Wal-Mart to Eliminate 1,500 Back-Office Jobs at US Stores (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.

Tuesday, June 14, 2016

Tuesday roundup (06-14-2016)

Financial markets are begging the US, Europe, and Japan to run bigger deficits (Vox)

Brexit panic and deflation drive German Bund yields below zero by Ambrose Evans-Pritchard (The Telegraph)

'Biblical' moth influx threatens to devastate crops [in the UK] (The BBC)

[United States Sen. Bernie] Sanders declines to endorse Clinton before their meeting, as D.C. primary winds down (The Washington Post)

Hillary Clinton’s VP pick: There’s really only one choice (CNBC)

Ericsson plans to lay off thousands [= "between 3,000 and 4,000 staff"] to cut costs - newspaper (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, June 13, 2016

Monday roundup (06-13-2016)

Greek central bank chief brands bail-out targets 'socially unattainable' (The Telegraph)

Fitch warns Japan ratings downgrade possible after tax hike delay (Reuters)

El Niño Is Dead And California Could Be “In A Drought Forever”: Forecasters say El Niño is now officially over and there’s a 75% chance of a La Niña forming. But “the real story is the Godzilla drought,” a NASA climatologist said. (BuzzFeed)

     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, June 12, 2016

Sunday roundup (06-12-2016)

Italy’s failure to thrive puts the boot into eurozone goal (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.

Saturday, June 11, 2016

Saturday roundup (06-11-2016)

US coal production drops to levels not seen since a 1980s miners’ strike: A 17 percent drop in just a single quarter. (Ars Technica)

     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, June 10, 2016

Friday roundup (06-10-2016)

Bill Gross: $10 trillion negative yield 'supernova' will 'explode' (CNBC)

ECB may need to ease more if inflation stalls: OECD (Reuters)

Eurozone banks hit by bad debts: Investment in the eurozone remains far below pre-crisis levels, partly due to problems in the banks, the Organisation for Economic Co-operation and Development (OECD) has said. (The BBC)

Americans’ Total Wealth Hits Record, According to Federal Reserve Report: Boost to wealth driven by increase in residential real-estate values around the U.S. (The Wall Street Journal) [And yet ...] 76 million Americans are struggling financially or just getting by (CNNMoney)

Warren Endorses Clinton, Saying She’ll ‘Get Into This Fight’ (Bloomberg)

Brazil to cut over 4,000 jobs in effort to cut spending (Reuters)

Lufthansa's cargo unit to cut 700-800 jobs worldwide (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.

Thursday, June 9, 2016

Thursday roundup (06-09-2016)

Billionaire Investor George Soros Sees Economic Trouble Ahead (National Public Radio) George Soros, the billionaire 'who broke the Bank of England' opts for gold haven saying Brexit would spell end of EU (The Telegraph) George Soros bets on UK staying in Europe: The world-famous US investor believes that the strength of the sterling currency indicates the market’s belief that the UK will remain in the EU (The Independent)

Euro zone at risk of suffering lasting economic damage: Draghi (Reuters)

Stronger recovery hampered by lack of trust between euro zone countries (Reuters)

ECB Policies Could Backfire As Commerzbank Mulls Hoarding Cash (ValueWalk)

Brexit might trigger run on Britain's record financial debts, S&P warns (The Telegraph)

President Barack Obama endorses Hillary Clinton in video (CNN) Clinton finally gets the endorsement of ... Martin O'Malley (USAToday)

Sanders does not endorse Clinton but vows to stop Trump (The Associated Press) Bernie Sanders proved politicians can make it this far without selling their souls: No matter what happens next, his leadership has been essential in changing politics in the United States by Robert Reich (The Guardian)

Top 1% see incomes soar 188%. Everyone else ... not so much (CNNMoney)

House passes Puerto Rico fiscal rescue bill ahead of July cliff (The Washington Post) House passes bill to help ease Puerto Rico's debt (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.

Is it a recovery yet? (Weekly report, 06-09-16)

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.)

"New applications for unemployment benefits declined by 4,000 to 264,000 from a revised 268,000 in the prior week, the government said Thursday." (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, June 8, 2016

Wednesday roundup (06-08-2016)




Euroskepticism Beyond Brexit: Significant opposition in key European countries to an ever closer EU (Pew Research Center)

Sainsbury’s sales fall 0.8% in three months amid food price deflation [in the UK]: Supermarket’s chief executive Mike Coupe warns that pricing pressures are likely to continue (The Guardian)

After Victory in California, Hillary Clinton Turns Toward Donald Trump (The New York Times)

Elizabeth Warren set to endorse Hillary Clinton (The New York Post) Harry Reid Wants Elizabeth Warren To Be Vice President (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, June 7, 2016

Tuesday roundup (06-07-2016)

World Bank warns of 'insipid' global recovery as debt danger looms (The Telegraph)

[In the United States,] House Republican unveils plan to overhaul Dodd-Frank financial reform law (The Los Angeles Times) Super-Capitalized Banks Free From Rules in Republican’s Plan (Bloomberg) Republican's plan to revamp Dodd-Frank highlights U.S. political divide (Reuters) Sen. Elizabeth Warren slams Dallas Rep. Hensarling’s Dodd-Frank proposal as ‘wet kiss’ to Wall Street (The Dallas Morning News blogs) Senator Elizabeth Warren Calls Out GOP Efforts to Roll Back Dodd-Frank (Youtube)



There's a $6.6 trillion reason the US might be nearing a recession [= corporate debt] (The Business Insider)

The controversy brewing over John Oliver’s debt buy: Debt activists [at The Debt Collective] say they weren’t properly acknowledged (Marketwatch)

The Drought Solution That’s Under Our Feet: When California searches for relief from the drought, and explores different solutions, from conserving water to desalination, one avenue that often gets overlooked is what’s under our feet – soil. (NewsDeeply)

Puerto Rico debt relief bill advancing in U.S. House (Reuters)

Daimler Trucks to cut more jobs in North America: Daimler's truck division has said it needs to cut over a thousand more jobs in the US and Mexico as demand slows. The company announced its Mount Holly facility in North Carolina would be hit worst. (Deutsche Welle)

Ralph Lauren to close 50 stores, cut [about 1,000] jobs in bid for profitability (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.

Monday, June 6, 2016

Monday roundup (06-06-2016)

Europe’s Next Financial Crisis [-- "Italy will be the nexus"] (The Huffington Post)

Spain's anti-austerity parties pass Socialists [in opinion polls] ahead of election (Reuters)

China's Debt Load Is (Much) Higher Than Previously Thought, Goldman Says: New credit creation points to an "uncomfortable" trend. (Bloomberg)

Fed's Yellen sees rate hikes ahead, but few hints on when (Reuters)

Bill Moyers in Conversation: How Our Winner-Take-All Political System Has Divided America: Bill revisits a conversation with political scientists Jacob Hacker and Paul Pierson that explains how Washington and big business colluded to make the rich richer and abandoned the rest of us. (Moyers & Company)



John Oliver just gave away $15 million and ripped a shady part of the U.S. economy to shreds (BGR) John Oliver Buys And Forgives $15 Million In Medical Debt: But Is The Forgiveness Taxable? (Forbes) Liberal Group: John Oliver’s Debt Forgiveness Stunt Was A Big Fraud (The Daily Caller) John Oliver accused of copying debt-forgiveness stunt: Activist group claims it 'provided source material and original concept' (Entertainment) Rolling Jubilee [One project of Debt Collective’s operators] (Rolling Jubilee)

800 jobs cut from two local Freightliner plants (The Charlotte Business 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.

Sunday, June 5, 2016

Sunday roundup (06-05-2016)

Bank of England in preparations for potential Brexit [following June 23 vote]: Funding operations will ensure UK commercial banks have cash to cope with any turmoil caused by market uncertainty (The Guardian)

43% Of Federal Student Loans [In The United States] Are Not Being Repaid [MoneyTips via] (The Stamford Advocate)

     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, June 4, 2016

Saturday roundup (06-04-2016)

Euro zone factory growth remained tepid in May - PMI (Reuters)

Italy and France are urging caution over bank capital: minister (Reuters)

Italy economy minister says public debt will start falling this yr (Reuters)

Former McDonald's CEO: [In the United States,] We're in a small-business recession (CNBC)

PENSION PARALYSIS: Center City businessman and philanthropist Richard Vague continues to challenge economic orthodoxy. Now he’s got pensions in his sights—and, yes, it is a crisis (The Philadelphia Citizen)

     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, June 3, 2016

Friday roundup (06-03-2016)

ECB's Nowotny: Too early to say we have reached a turning point (CNBC)

EU insists budget rules apply to all, including France (Reuters)

Spain Must Get Deficit Efforts on Track, Central Bank Says (Bloomberg)

The [United States] economy just got its worst job report in years (Vox) US created 38,000 jobs in May vs. 162,000 expected (CNBC) Record 94,708,000 Americans Not in Labor Force; Participation Rate Drops in May (CNSNews) US hiring grinds to a near-halt; many stop looking for work (The Associated Press)

Conflicts of Interest? President Trump's Would Be Amazing (Bloomberg)

Brazil’s Exploding Debt-to-GDP Is Going to Become a Problem Soon (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.

Thursday, June 2, 2016

Thursday roundup (06-02-2016)

Legend Warns The Coming Crisis Will Be Totally Devastating For The World Economy And Humanity (King World News)

IMF says not recanting on neoliberalism, austerity (Agence France Presse)

ECB keeps rates steady as deflation fears ease: The European Central Bank (ECB) has left its benchmark interest rates on hold at historic lows. ECB President Mario Draghi said the central bank expects improving inflation figures and GDP growth in coming years. (Deutsche Welle)

Thousands evacuated as France declares emergency over floods (CNBC) Louvre moving some artwork as floodwaters rise in Paris (CNN)

Negative Interest Rates Forcing Japanese to Stuff Cash Under Mattresses (Fortune)

Credit Card Debt Set to Reach All-Time High In U.S. (KNWA)

     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, 06-02-16)

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.)

"New claims in the period running from May 22 to May 28 dropped by 1,000 to a seasonally adjusted 267,000, the Labor Department said Thursday." (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, June 1, 2016

Wednesday roundup (06-01-2016)

Brazil crisis: Economy spirals deeper into recession (Bloomberg)

Munich Re unit to dismiss 1,800 workers in restructuring (Businesss Insurance)

LSE and Deutsche Boerse set to cut 1,250 jobs to save costs after merger (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.