Saturday, December 31, 2016

Saturday roundup (12-31-2016)

Companies [in the UK] stockpile cash amid fears of slowdown (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.

Friday, December 30, 2016

Friday roundup (12-30-2016)

Restoring Glass-Steagall likely campaign rhetoric (The Hill blogs)

     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, December 29, 2016

Thursday roundup (12-29-2016)

The Bank of England used the word 'uncertainty' 123 times this year (The Business Insider)

Brazil government to cut 4,600 jobs to save $73 million a year: official (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, 12-29-16)

A recovery would be indicated by weekly initial jobless claims holding below 500,000, according to 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 the week before Christmas fell by 10,000 to 265,000, returning initial claims to the extremely low levels that have been the norm since last summer." (Marketwatch)

Jobless Claims Fall, But Still Trending Higher Since Mid-November (Barron's blogs)

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, December 28, 2016

Wednesday roundup (12-28-2016)

El-Erian warning: 'Big negative shock' can spur liquidity crisis (CNBC)

Global economic forces conspire to stymie US manufacturing (The Hill blogs)

Italy is trying a €20 billion experiment with its banks to see if anyone cares about 'moral hazard' (The Business Insider)

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

Tuesday, December 27, 2016

Tuesday roundup (12-27-2016)

Airbus’s A380 Woes Deepen as Jets Delayed for Top Buyer Emirates (Bloomberg) Four Airliners That Could Shake The Airbus-Boeing Duopoly In The Single-Aisle Market (Forbes) These 6 planes want to end Airbus and Boeing's dominance in the skies (The Business Insider)

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

Monday, December 26, 2016

Monday roundup (12-26-2016)

Monte dei Paschi bailout shouldn't be seen as a done deal, says ECB member: President of Germany’s Bundesbank questions wisdom behind rescuing Italy’s third-largest bank if it is in a bad financial state (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.

Sunday, December 25, 2016

Sunday roundup (12-25-2016)

[Off-topic]

64 members of world-renowned Alexandrov army band lost in Tu-154 crash (VIDEO) (Russia Today)

Kalinka - Alexandrov Red Army Choir/Vadim Ananev (2016) [Ananev, the featured vocalist here, survived, because he was spending time with his wife who had recently given birth] (Youtube)

Saturday, December 24, 2016

Saturday roundup (12-24-2016)

Euro zone to unblock Greek short-term debt relief deal in Jan (Reuters) Eurogroup chief says Greece short term debt relief talks to resume: Eurogroup chief Jeroen Dijsselbloem has said talks about initial Greek debt relief measures are to resume. Discussions were halted after Athens decided to pay pensioners a Christmas bonus. (Deutsche Welle)

Are American Consumers Taking On Too Much Debt? (The Big Picture blog)

Trump to dissolve Trump Foundation to avoid conflict, but NY Attorney General says 'you can't' (CNBC) Donald Trump plans to shut down his charitable foundation, which has been under scrutiny for months (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.

Friday, December 23, 2016

Friday roundup (12-23-2016)

The ECB is Insolvent Based on Their Standards by Martin Armstrong (Armstrong Economics)

Italy approves state bailout for world's oldest bank (CNBC) Paschi Seeks State Aid as Italy Sets $21 Billion for Banks (Bloomberg) Paschi’s Fatal Sin Brings Nationalization for Oldest Bank (Bloomberg)

Italy Bank Rescue Won’t Fill $54 Billion Hole on Their Books (Bloomberg)

Brace Yourself For Italy's Bankruptcy by John Mauldin (ZeroHedge blog)

Bank of Ireland dividend in doubt as risk profile is revised: Lender seeks to offset impact by in effect selling risk on €3bn of loans (The Irish Times)

U.S. hits Credit Suisse, Deutsche Bank with [more than $12 billion in] toxic debt penalties (Reuters) U.S. sues Barclays for alleged mortgage securities fraud (USAToday)

Donald Trump has £245m conflict of interest with Deutsche Bank: President-elect's business has large debt with troubled lender (The Independent)

California to Pay Billions More After Calpers Cuts Assumed Rate (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, December 22, 2016

Thursday roundup (12-22-2016)

The great Ponzi scheme of eurozone banking is on the brink of collapse (This is Money)

Italy poised to bail out Monte dei Paschi di Siena as rescue deal fails: Government assistance for bank could have political consequences for Democratic party and Matteo Renzi (The Guardian) Paschi Drops Private Fund-Raising, Paving Way for State Rescue (Bloomberg)

What is wrong with Italy’s economy? [Centre for European Reform via] (The Big Picture blog)

Rocked by Brexit, UK consumer confidence ends the year in the doldrums: Report (CNBC)

US justice department accuses Barclays over mortgage mis-selling: Attorney general alleges ‘irresponsible and dishonest’ practices by UK bank in selling home-loan bonds before financial crisis (The Guardian) U.S. Sues Barclays Over Mortgage Securities in Rare Step: Justice Department suit over precrisis practices is unusual, following string of big-bank settlements (The Wall Street Journal)

U.S. inequality keeps getting uglier (CNNMoney)

James Rickards says Donald Trump can’t stop the next financial crisis: To avoid it, we’d have to break up the big banks and ban most derivatives, and bank lobbyists will stop that, he says (Marketwatch)

Elizabeth Warren watchdog [= the Consumer Financial Protection Bureau] under siege (CNNMoney)

FCC Republicans vow to gut net neutrality rules “as soon as possible”: Pai and O'Rielly also promise not to enforce disclosure rules on small ISPs. (ArsTechnica)




     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, 12-22-16)

A recovery would be indicated by weekly initial jobless claims holding below 500,000, according to 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.)

"U.S. jobless claims jumped to the highest level since mid-June, the government said Thursday. The Labor Department said jobless claims in the week ending Dec. 17 rose a seasonally adjusted 21,000 to 275,000." (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, December 21, 2016

Wednesday roundup (12-21-2016)

Too big to save? How Italy's banking system could lead to the unravelling of the European Union: Eurozone's third biggest economy faces a financial ultimatum. (The International Business Times) This Bank Could Drag Down the Entire Eurozone With It (Lombardi Letter)

Investors snub Italian bank Monte Paschi's share offer - sources (Reuters) Clock ticking on Banca Monte dei Paschi on reports it has failed to find private backers (CNBC)

Italy approves €20 billion bailout fund as Monte dei Paschi moves closer to collapse (Marketwatch) Italy moves to rescue its banks: Italy has moved to rescue banks teetering on the edge of insolvency - by agreeing to inject billions of euros on the public tab. A long period of economic stagnation has left banks holding a lot of distressed debt. (Deutsche Welle)

Italy's political class should be very alarmed if MPS needs state bailout: Government is planning a rescue package for bank, but lack of private capital shows investor confidence in Italy has crashed (The Guardian)

Greece's Debt Problem Has Reached A Dangerous Point (Forbes) Euro zone lenders confident on quick solution on Greek debt spat: source (Reuters)

Britain's debt soars to £1.7TRILLION as borrowing jumps AGAIN: BRITAIN'S debt pile reached almost £1.7 TRILLION last month, as the Government continues to borrow billions each month to fund its spending, figures revealed today. (The Express) Britain on course to spend almost £1 BILLION every week on interest repayments as debt continues to grow: The Government borrowed another £12.6 billion to make ends meet in November (The Sun)

Manitoba forecasts $1-billion deficit for current fiscal year (The Canadian Press)

To Boost the [United States] Economy, Help Students First by Sheila C. Bair (The New York Times)

Newt Gingrich Says Trump Has Given Up On ‘Draining The Swamp’: If that wasn’t obvious. (The Huffington Post)

Puerto Rico revised budget gap projection up $10 billion to $67.5 billion: Board (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, December 20, 2016

Tuesday roundup (12-20-2016)

Deutsche Bank's failure could shake the European banking system, analyst warns (CNBC)

Saving Italy’s Banks Means Missing Public Debt Target Again (Bloomberg) Eurozone COLLAPSE fears as Italy demands £17BILLION bailout to prop up its 'doomed' bank: ITALY is preparing to pump billions of pounds into its crisis-hit banks amid rising fears of a financial crisis that could destroy the eurozone. (The Express)

U.S. proposed $5 billion - 7 billion penalty on Credit Suisse on toxic debt - source (Reuters)

The Student Debt Crisis Is Driving Elderly People Into Poverty: This isn’t how it’s supposed to work. (The Huffington Post)

Volkswagen [Group of America] to recall 83,000 vehicles to settle allegations of cheating emissions tests (CNBC)

GM cutting 1,300 jobs at only plant inside Detroit (CNNMoney) GM idling five car assembly plants up to three weeks (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.

Monday, December 19, 2016

Monday roundup (12-19-2016)

Volkswagen costs for emissions scandal set to rise by another $1 billion: WSJ (CNBC)

Italian government to request bank bailout funds from parliament: Prime minister convenes cabinet meeting as Monte dei Paschi makes last-ditch effort to raise €5bn from private investors (The Guardian)

Moody's voices concern at 'material delay' in Greece debt relief talks: Rating agency claims lag in talks between Athens and its creditors increases risk that Greece will miss repayments next year (The Guardian)

Ukraine's largest bank rescued by state, Poroshenko urges depositors to stay calm (Reuters)

[In the United States,] Interest payments could become one of the federal govt's biggest line items (CNBC)

Pompano Beach call center to lay off more than 800 employees (The Sun Sentinel of Fort Lauderdale, Florida)

     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, December 18, 2016

Sunday roundup (12-18-2016)

Greek PM tries to unlock debt freeze to avoid another crisis (CNBC)

Thousands march in Madrid against labor policies: Spain's labor unions have taken to the streets of Madrid to protest government austerity measures. With the country emerging from an economic downturn, the protesters have demanded an increase in salaries and pensions. (Deutsche Welle)

Australia's budget deficit deepens, top credit rating at risk (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.

Saturday, December 17, 2016

Saturday roundup (12-17-2016)

Venezuela extends use of 100-bolivar bill following protests (The Associated Press) Venezuela postpones currency move after chaos, protests (Reuters)

[In the United States, President-elect Donald] Trump's pick for budget director has urged big spending cuts (The Associated Press)

Kroger offers buyouts to 2,000 workers: Analyst: Move could presage layoffs (SupermarketNews)

     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, December 16, 2016

Friday roundup (12-16-2016)

Italy could DESTROY eurozone: Rome to inject 15 BILLION euros into banks to SAVE them: ITALY is set to inject billions of pounds worth of cash into its failing banks in a desperate attempt to halt a looming financial meltdown, according to reports. (The Express)

Monte dei Paschi sees costs of rescue deal at 558 million euros: document (Reuters) Monte dei Paschi bailout would entail 4.1 bln euro forced debt swap-source (Reuters)

Americans haven't had this much credit card debt since the eve of the financial crisis (The Business Insider)

LAUSD [Los Angeles Unified School District] notifies county and state of $1.46 billion deficit (LASchoolReport)

Protests, looting break out in Venezuela amid cash chaos (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, December 15, 2016

Thursday roundup (12-15-2016)

Italy prepared to pump 15 billion euros into ailing banks: sources (Reuters)

Italy’s biggest bank [Unicredit] unveils a recapitalisation plan: The new chief executive sheds bad loans, cuts costs—and asks shareholders for €13bn (The Economist)

Greece snubs lenders, approves Christmas bonus as Europe divided (Reuters)

France puts weight behind Greece in debt dispute (The Associated Press)

Bank of England leaves UK interest rates on hold at 0.25%: Monetary policy committee votes to keep rates unchanged, but warns of likely slowdown in growth next year (The Guardian)

[In the United States,] Baltimore schools face $129 million budget deficit (The Baltimore Sun)

[Massachusetts Governor Charlie] Baker avoids layoffs after 900 take buyouts: Earns $12 million in payroll savings this fiscal year and a projected $70 million in fiscal 2018. (Metro)

Toyota issues layoff notices for final 650 jobs in Northern Kentucky (The Dayton 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.

Is it a recovery yet? (Weekly report, 12-15-16)

A recovery would be indicated by weekly initial jobless claims holding below 500,000, according to 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 early December fell by 4,000 to 254,000, reflecting the extremely low level of layoffs taking place in the economy." (Marketwatch)

Initial jobless claims hold below 300,000 for a 93rd straight week (Markets 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, December 14, 2016

Wednesday roundup (12-14-2016)

Greece on collision course with lenders as ESM freezes debt relief: European financing body says it will not honour accord after Greek PM announced pre-Christmas bonus for pensioners (The Guardian) Greek Short-Term Debt Relief in Jeopardy as Bailout Stalls (Bloomberg) Germany gives Greece veiled warning over bailout (Marketwatch)

[In the United States,] Fed lifts rates, sees faster pace of hikes in Trump's first year (Reuters)

Reversing Course, E.P.A. Says Fracking Can Contaminate Drinking Water (The New York Times)

Protests erupt in Brazil over controversial 20-year austerity plan (CNN)

Volvo Trucks announces 500 layoffs at Dublin[, Virginia] plant (The Roanoke 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.

Tuesday, December 13, 2016

Tuesday roundup (12-13-2016)

Greece 'boxed in' as EU and IMF fight over nation's debt relief plan: IMF distances itself from policies underpinning bailout as Greek officials worry that war of words may lead to IMF pulling out of rescue programme (The Guardian)

Italy's biggest bank to slash 14,000 jobs (CNNMoney)

[United States] Senate fight looms after Trump taps Exxon CEO as top U.S. diplomat (Reuters) Big Oil Gets a Huge Role in Trump's Administration (Bloomberg)

Senators to Trump: Sell your holdings (CNNMoney) [The Letter] (Politico)

Donald Trump, Praised by Former President Nixon, Biography Says (The New York Times blogs) Trump plans personal touch for Oval Office wall (Politico)

Regulators reject Wells Fargo’s plan to prevent another taxpayer bailout of big banks (The Washington Post) Wells Fargo Becomes First Bank To Face Sanctions For Failing Too-Big-To-Fail Test: The company was fined just three months ago over a massive scandal involving sham accounts. (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.

Monday, December 12, 2016

Monday roundup (12-12-2016)

ECB's Coeure - deflation risks largely disappeared but stimulus needed (Reuters)

Italy plans Monte dei Paschi di Siena rescue if private bailout fails: State would inject billions of euros into struggling bank if capital-raising plan does not work, says finance ministry official (The Guardian) Italy ready to bail out Monte dei Paschi if needed: Treasury source (Reuters)

Greece Heads Toward New Crisis in Debt Saga as Support for Tsipras Slumps: The ruling Syriza party is considering calling snap elections in 2017, as it loses hope of winning concessions on debt relief or austerity from Greece’s creditors (The Wall Street Journal)

Greece faces permanent crisis as IMF warns bail-out plan 'simply not credible' (The Telegraph) Greece doesn't need more austerity, cuts went too far: IMF (Agence France Presse)

Report: Volkswagen's Dieselgate Criminal Settlement To Be Decided By [United States President-Elect Donald] Trump's Hardliners (Forbes)

Trump postpones announcement on how he will avoid conflicts of interests (The Washington Post)

The Roots Of The Democratic Debacle: The defeat of Hillary Clinton was a consequence of a political crisis with roots extending back to 1964. The warning signs should have been obvious. (The Huffington Post)

Unpredictable Trump has 'a lot of Democrat' in him, says GOP strategist (CNN) What Donald Trump and Democrats in Congress have in common (CBSNews)

AstraZeneca to cut 700 jobs across USA [Dec. 9] (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.

Sunday, December 11, 2016

Sunday roundup (12-11-2016)

Monte dei Paschi of Siena tries to keep €5bn rescue plan alive: Italy’s third largest bank seeks to avoid government bailout with debt-for-equity swap offer to retail investors (The Guardian) Monte Paschi Proceeds With Capital Plan to Avoid State Rescue (Bloomberg) Monte dei Paschi to press ahead with last-ditch private capital increase (Reuters)

US debt is threat to the world, says Chinese state-run paper: People’s Daily commentary on Washington’s US$20 trillion federal debt is seen as a warning to incoming president Donald Trump (South China Morning 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, December 10, 2016

Saturday roundup (12-10-2016)

OPEC, non-OPEC agree first global oil pact since 2001 (Reuters)

Greek parliament approves 2017 budget projecting return to strong growth (Reuters)

US government shutdown averted, Senate backs stop-gap spending bill (The Associated Press)

A month into the transition, the country remains deeply divided over Trump (The Los Angeles Times)

The March of the Billionaires: On Trump’s Bait and Switch: How to swamp Washington and double-cross your supporters big time by Nomi Prins (CommonDreams)

Majority of Americans Say Trump Can Keep Businesses, Poll Shows (Bloomberg)

High student debt hurts millennials, economy: [Fitch Ratings] Study finds an indebted generation could hurt all of us (The Houston Chronicle)

[California's Santa Barbara] County facing projected $12M budget deficit (Santa Ynez Valley News)

     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, December 9, 2016

Friday roundup (12-09-2016)

France to Stumble on Deficit Pledge Says Bank of France (Dow Jones Newswires)

IMF tells Italy to push on with economic reform (Agence France Presse)

ECB won’t give world’s oldest bank [Italy's Monte Paschi di Sienna] extra time to raise cash (CNBC) Can the world's oldest bank survive Italy's upheaval? (CNNMoney)

Greek crisis could erupt AGAIN as eurozone is too unrealistic, IMF warns: EUROZONE chiefs MUST lower Greece's financial targets to prevent crippling Athens and falling into ANOTHER crisis, the International Monetry Fund (IMF) has warned. (The Express)

Europe's peripheral markets are warning of trouble ahead (The Business Insider)

Do [United States President-elect Donald] Trump’s Cabinet picks want to run the government — or dismantle it? (The Washington Post)

Gold Headed Lower Under $1,000 into the Abyss by Martin Armstrong (Armstrong Economics blog)

US 30-Year Bonds — the Party Is Over by Martin Armstrong (Armstrong Economics blog)

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

Thursday, December 8, 2016

Thursday roundup (12-08-2016)

ALBERT EDWARDS: Here's 'one of the scariest charts I have seen for a very long time' (The Business Insider)

E.C.B. Extends Bond-Buying Program to Protect Eurozone Economy (The New York Times) Draghi’s Anti-Taper Keeps ECB Stimulus Live to Tackle 2017 Risks (Bloomberg) Europe's comfort blanket is being pulled away by Ambrose Evans-Pritchard (The Telegraph)

Italy asks ECB for more time to save troubled BMPS: Report (CNBC)

Pope warns media over 'sin' of spreading fake news, smearing politicians (Reuters)

[In the United States,] Fed Officials Leaning Toward Bigger Is Better on Balance Sheet (Bloomberg) Artificial Abundance, Moral Hazard and the Federal Reserve's Doomsday Machine by Charles Hugh Smith (of two minds blog)

Donald Trump Chooses Fast-Food CEO To Be His Labor Secretary: The man who’s helmed Hardee’s and Carl’s Jr. could become the nation’s top workplace watchdog. Best of luck, Fight for $15. (The Huffington Post) 6 Things to Know About Andrew Puzder, Trump's Expected Pick for Labor Secretary: He's written anti-abortion legislation in Missouri and opposes a large bump in the minimum wage. (Cosmopolitan)

All the President-Elect's Generals: Why has Trump shown such eagerness to select former military brass for his Cabinet? The reasons may be both pragmatic and political. (The Atlantic)

Donald Trump will remain EP on 'Celebrity Apprentice' (CNNMoney)

Chicago school board approves revised budget with $215 million hole (Reuters)

U.K.’s Capita to Sell Units, Cut 2,000 Jobs as Brexit Weighs (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, 12-08-16)

A recovery would be indicated by weekly initial jobless claims holding below 500,000, according to 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 early December fell by 10,000 to 258,000, keeping the pace of layoffs near the lowest level in more than 40 years ..." (Marketwatch)

U.S. Jobless Claims Decline Signals Still Healthy Labor Market: Sign the labor market remains in expansion mode (The Wall Street Journal)

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, December 7, 2016

Wednesday roundup (12-07-2016)

ECB under pressure amid anemic growth: The European Central Bank's governors are meeting Thursday to debate their future monetary policy. Recent developments in the US and Italy seem to suggest the lender may extend its already huge stimulus program. (Deutsche Welle) ECB Haunted by Ghost of Christmas Past as Stimulus Choice Nears (Bloomberg)

Italian PM Renzi resigns, president to consult with parties (Reuters)

Mark Carney says Britain is creating a generation 'like those who lived through the Great Depression' (The Business Insider)

How Australia's household debt binge has left the country vulnerable as economy shrinks (The Telegraph) Is Australia headed for its first recession in 25 years? (CNNMoney)

More Canadians going bust as consumer debt surges 3.6% (The Canadian Press) Canadians' average debt load now up to $22,081, 3.6% rise since last year: Total consumer debt load now at more than $1.7 trillion (The Canadian Broadcasting Corporation)

[In the United States, President-elect Donald] Trump’s Pick of EPA Foe to Lead Agency May Spark Senate Fight (Bloomberg) Scott Pruitt, Donald Trump's choice to lead the EPA, is a literal stenographer for the oil and gas industry (The New York Daily News)

Amazon's Grocery Would Eliminate Thousands Of Jobs (Forbes)

Mylan eyes up to 3,500 layoffs in post-M&A cost-cutting drive (FiercePharma)

SunPower to cut 2,500 jobs on top of previous cuts (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, December 6, 2016

Tuesday roundup (12-06-2016)

EU ON THE BRINK: Eurozone economy growth just 0.3% in Q3 as foreign trade hits the bloc: EUROPE'S economy grew by just 0.3 per cent in the third quarter of the year, as foreign trade turned against the bloc, it was confirmed today. (The Express)

Italy preparing to take controlling stake in Monte dei Paschi - sources (Reuters) Italy’s Banca Monte dei Paschi to Meet Eurozone Banking Regulator: Italy’s government crisis threatens to derail the bank’s recapitalization plans (The Wall Street Journal)

Italy’s Vote (National Review)

[In Canada, the Toronto City] Council must close $91 million budget gap as staffing and services cuts recommended: While Mayor John Tory's allies called the 2017 budget affordable, critics say its the most unfair budget in the city's history. (The Toronto Star)

[In the United States, the state of Rhode Island or] RI facing $112M budget deficit next year (WPRI)

Transamerica plans [about 800] layoffs, including 35 in Baltimore (The Baltimore Sun)

     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, December 5, 2016

Monday roundup (12-05-2016)

Renzi’s defeat is bad news for Europe (The Washington Post)

Rescue of Italian bank Monte Paschi in danger after Renzi's defeat (Reuters) Italy Just Handed the Global Economy Another Giant Variable (The New York Times blogs)

Who is Beppe Grillo and what is Five Star Movement? All you need to know about the biggest threat to Italy's status quo: The populist revolt won a resounding victory in Italy's referendum, driving Prime Minister Matteo Renzi to resignation, but what is the movement and who is behind it? (The Independent)

4 Bank Challenges for Italy’s Next Prime Minister (The New York Times blogs)

Eurozone Finance Ministers Agree to Some Debt Relief for Greece’s Bailout: Maturities extended and interest  rates locked on some Greek debt but no agreement yet on IMF participation (The Wall Street Journal) Euro zone grants Greece short-term debt relief; no deal with IMF (Reuters)

Give Ireland more budget flexibility, Noonan urges euro group: Minister argues for more room for investment spending as finance ministers meet (The Irish Times)

British households taking on more debt as almost half struggle to pay credit card bills on time (CityAM)

[United States President-Elect Donald] Trump Chooses Ben Carson to Lead HUD (The New York Times) Ben Carson, no fan of government or housing policy, draws fire as pick for HUD top spot: Others say retired neurosurgeon’s experience managing complex organizations will be enough (Marketwatch)

[New Mexico's] State budget deficit at $69 million this year, could be higher next year (NM Political Report)

American Apparel warns 3,500 Southern California workers of possible layoffs (The Los Angeles Times)

General Mills to cut up to 600 jobs in global restructuring: The food giant is eliminating the top international post and hundreds of jobs along with it in an effort to save money. (The Minneapolis Star Tribune)

     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, December 4, 2016

Sunday roundup (12-04-2016)

Renzi concedes defeat in Italian referendum and resigns as PM; the Eurozone is heading for a fresh crisis (The Spectator blogs) Renzi Quits; Italian Populists Seek Quick Vote to Win Power (The Associated Press) Trying to imitate Trump’s victory, Italy’s Beppe Grillo could help throw Europe into crisis (The Washington Post)

Italy’s prime minister is resigning. That could have big implications for Italy’s financial system. (Vox) Renzi Loses Key Referendum, Fears Grow for Italian Banks (The Voice of America)

Amazingly, Yes, Still The Greek Debt Problem - Germany Says No Relief, IMF Insists Upon It (Forbes) Greece must reform or leave eurozone, says German minister: Wolfgang Schäuble rules out debt relief for Greece before meeting of eurozone’s finance ministers (The Guardian) Euro zone seeks compromise on Greek debt ahead of IMF deadline (Reuters)

Far-right camp concedes defeat in Austrian presidential election [Reuters via] (CNBC)

The Shocking Truth About How Barack Obama Was Able To Prop Up The U.S. Economy [The Economics Collapse blog via] (Right Side News)

Pence's power play: The VP-elect holds sway over Cabinet, soothes conservatives. (Politico)

With Dallas Police And Fire Pension Fund In Trouble, City Explores Solutions (KERA) Run on Dallas Pension Fund — Mayor Asks To Suspend Withdrawals by Martin Armstrong (Armstrong Economics 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, December 3, 2016

Saturday roundup (12-03-2016)

Italy in race to seal €5bn bank bail-out (The Telegraph)

Greece needs reforms, not debt relief: Germany's Schaeuble (Reuters)

Why The Fragile Stability in Greece May Not Last Much Longer (Newsweek)

Christmas debt warning [in the UK] as high street stores charge 30% interest on credit cards: Charges are nearly 120 times the Bank of England base rate – sparking fears people could face bills they cannot afford due to festive shopping (The Mirror)

     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, December 2, 2016

Friday roundup (12-02-2016)

Italy, Not France, Could Be The Next Chapter In The Brexit-Trump Saga: While everyone obsesses over the future of France, the seeds of an “Italexit” are being sown. (The Huffington Post)

Italy has requested possible Monte dei Paschi bailout: paper [= Corriere della Sera] (Reuters)

Here's Why Italy's Zombie Banks Should Be Terrified About a 'No' Vote In Renzi Referendum (Fortune)

Spain Raises Taxes to Try to Meet EU Deficit Target (The Associated Press)

These are the 16 CEOs who’ve agreed to serve on [United States President-elect Donald] Trump’s new “Strategic and Policy Forum” (Quartz)

Sarah Palin: Trump's Carrier deal is 'crony capitalism' (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.

Thursday, December 1, 2016

Thursday roundup (12-01-2016)

Italy on the BRINK: 'No' vote in Renzi's referendum could spark euro economic APOCALYPSE: ITALY’S banks are on the brink of financial meltdown if citizens vote 'No' in the upcoming constitutional referendum, which could trigger a Greek-style meltdown impossible for Europe to contain. (The Express) Italy’s exit from the Eurozone is almost inevitable – whichever way it votes this weekend (City AM)

Pension funding deficits 'nearly a third of UK GDP' [The Press Association via] (The Daily Mail)

If [United States President-Elect Donald] Trump Doesn't Do This, We Will Have The Great Depression 2.0 by John Mauldin (Forbes)

Trump Treasury pick made millions after his bank foreclosed on homeowners: Steven Mnuchin's OneWest filed to take a 90-year-old woman's house after a 27-cent payment error. (Politico)

Mattis Is Reportedly Trump's SecDef Pick. Why That Would Be Very Comforting. (Slate) [versus] Mattis appointment as Defense secretary would signal wartime posture (USAToday) Jim ‘Mad Dog’ Mattis Once Wrote A Letter On The Importance Of Reading, And It’s A Must Read (The Daily Caller)

Expect billions more in student loan losses than we thought: Gov't watchdog (Yahoo! Finance)

6 million Americans have stopped paying their car loans, and it's becoming a 'significant concern' (The Business Insider)

Dollar General hurt by deflation, Wal-Mart & food stamp decline: Both Dollar General and Wal-Mart have made price investments (Marketwatch)

Kroger Co. (KR) growth tamed by deflation (WCPO) Lower food prices weigh on Kroger's profit forecast (Reuters)

Pennsylvania's budget hole is getting incrementally deeper (Penn Live)

Rolls-Royce to Cut Another 800 Jobs at Ailing Marine Business (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, 12-01-16)

A recovery would be indicated by weekly initial jobless claims holding below 500,000, according to 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 rose by 17,000 to a seasonally adjusted 268,000 in the November 26 week, 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.