Every Major Asset Class Is Overpriced: Analyst
Federal Reserve policy has been credited often with pushing up stock prices, but one research firm believes the central bank has pushed all asset prices to extreme levels.
“We think investors with a longer-term outlook should tread carefully in financial markets,” TrimTabs said in its widely followed weekly market analysis. “TheFederal Reserve and its fellow central banks have succeeded in making almost every major asset class [...]
The Decline Of The West: Presenting The Decline of The West In Two Easy Infographics
There’s been a shift of wealth.
Two interesting infographics were published recently that make it so easy to see the decline of the West, even a caveman can do it.
The first is from the Brookings Institute, which has released an interactive map showing economic growth data for the largest 300 metropolitan areas in the world– from New York [...]
Turkey will officially request deployment of NATO missiles on Monday: German daily
Sueddeutsche Zeitung: up to 170 German soldiers could be deployed in Patriot missile mission near Turkey Syria
Video: Panetta says U.S. supports deployment of Patriot missiles to Turkey | Atlantic Council
From Voice of America: Another area of special concern for [Secretary of Defense Leon]Panetta is Syria, where cross-border attacks have prompted Turkey to ask NATO for Patriot missiles to place along the Syrian border. Panetta says [...]
Why Bank Earnings Could Face Rude Awakening
Are banks facing a rude earnings awakening?
With JPMorgan and Wells Fargo on tap to report this week, some investors may be questioning whether the depletion of loan loss reserves — the money banks set aside to pay for loans that turn sour — is too premature as credit quality keeps improving. (Read More: 10 Big Bank Stocks Gearing Up for Third-Quarter Earnings.)
A recent report [...]
With the Olympics about to kick off in all its glorious celebration, the sad reality of UK’s GDP shrinking 0.7% as the empire drops further into a double-dip. As Bloomberg Brief notes, this came along with a 5.2% plunge in construction output as the IMF estimates austerity has cut 2.5% off GDP. What is most concerning is that GDP has fallen for five of the last seven quarters and is now [...]
Analysts warn recession-ravaged Spain is on the brink of financial disaster
Fears panic will spread to Italy and tear the eurozone apart
FTSE 100 index of leading shares down 2% as Spain bans short-selling of shares to stem stock market losses
French and German markets down 3%
Italy heads towards bail-out with nearly £1trillion public debt
More Spanish regional governments expected to call on central government for help, sparking fears Spain will need full bail-out
German president Joachim Gauck has ordered Chancellor Angela Merkel to clarify exactly what she agreed behind closed doors at the EU crisis summit ten days ago, lending a powerful voice to critics dismayed by the surging costs of euro bail-outs.
“She has a duty to explain in great detail what it means, and what it means fiscally. There seems to be a lack of energy in telling the people what is [...]
Eric Platt, Matthew Boesler and Max Nisen
“The Global 20″ is Brought to you by Oppenheimer Funds
Read more: http://www.businessinsider.com/the-global-20-2012-5?op=1#ixzz1vnEASg3E
Each day, the data onslaught that hits markets has an outsized impact on how stocks around the world move.
While it’s easy to get caught up in this noise, investors trying to get ahead of the curve need to focus on the big trends.
We have identified these big trends in The Global 20.
The list includes the rapidly growing field [...]
by Tyler Durden
In the middle of the European crisis last fall, EUR-USD cross-currency basis swap spreads were on the tip of every trader and media-personality’s tongue as the critical means for providing banks with access to short-term USD liquidity was ratcheting lower and lower. This means the European banks were willing to pay a higher and higher premium to be able to offload their EUR funding into USD funding. With LTRO funding [...]
David Cameron will attack Germany and other European countries for failing to stop the euro breaking apart
Will insist austerity measures is the only way to ‘keep Britain safe’
Experts say if the crisis isn’t contained 10 per cent of the national income could be wiped out in EU countries
David Cameron will today express grave doubts about the survival of the euro amid fears that a collapse could drag Britain into a [...]
Only two weeks ago, we noted that the 30 most systemically important financial institutions in the world were seeing risk surging to 3-month highs. Today has seen that eclipsed dramatically as the credit risk of these entities soars to the year’s worst levels jumping 22% in the last two weeks alone. At 264bps, we are now close to the 3/9/09 peak crisis levels (of 274bps) and pushing up to the Q4 [...]
Fiscal austerity and tough labor reforms have failed to create jobs, leading to an “alarming” situation in the global employment market that shows no sign of recovering, the International Labour Organization said on Sunday.
In advanced countries, especially in Europe, employment is not expected to return to pre-crisis levels of 2008 until the end of 2016 — two years later than it previously predicted — in line with a slowdown in [...]
by Heather Stewart
The UK’s stop-start recovery has been the weakest to follow any recession in the past 100 years, with output still 4% below the level of 2008.
Great Depression – 1930s
The devastating downturn of the early 1930s followed Winston Churchill’s decision as chancellor, in 1925, to hitch the UK economy to the gold standard at an impossibly uncompetitive exchange rate. That left British industry vulnerable to the slump in worldwide demand [...]
- Posted Friday, 20 April 2012 | Share This Article | Source: GoldSeek.com
By David Knox Barker
The Kondratieff long wave cycle (aka The K Wave) provides the only good explanation of the current state of the global economy and financial markets. It is clear that a multi-generation long wave debt cycle has driven individual, government and corporate debt to crisis levels that are now in the process of a slow motion implosion. The debt [...]
Christopher Whalen explains the (still) ongoing economic and shadow banking collapse in 6 minutes, a must listen, showing that years later his predictions are sober, accurate, and that absolutely nothing has changed except for only that every problem he highlights has been amplified.
But not to worry, the U.S. Treasury Secretary just said:
“that the economy is stronger than at any time in the past several years.”
Cue back to Summer 2007, the U.S. [...]
Paul Joseph Watson & Alex Jones
Monday, April 9, 2012
The alleged shooting of a police officer in Austin by a man taking the anti-anxiety drug Xanax is just one of a plethora of recent incidents fueled by anti-depressant pharmaceuticals – an epidemic of mania that has swept the country.
Mary O’Dell, the mother of 24-year-old Brandon Montgomery Daniel told the Associated Press that her son’s role in the fatal shooting of [...]
Two weeks ago we noted that all those banks that ‘invested’ in Spanish and Italian ‘Sarkozy’ carry-trades post LTRO2 are now under-water on their positions (on a MtM basis). The last week or so has seen this situation deteriorate rather rapidly with Spanish yields now backed up all the way to mid-November levels (and notably Spanish equities below their November lows) removing all the LTRO-exuberance leaving all Spanish banks under-water on their carry [...]
I’m writing this article today out of anger, yes, anger. Here’s the latest offering of a steaming pile of cow dung that passes for financial journalism that I stumbled across the other day:
“The headlines say the financial crisis is behind us. The Dow is back to pre-financial crisis levels. Layoffs are the slowest since the financial crisis, and car sales the highest since the financial crisis. So why are Americans [...]
Despite appearances, Argentina is an economic basket case again
I’m not going to get into the rights and wrongs of Argentina’s claim on the Falklands, but if I were a Falkland islander, I’d continue to avoid the embrace, well meaning or otherwise, of these Latinos of the South Atlantic like the plague – for, largely unreported by the Western press, Argentina is once more an economic basket case.
But how can that [...]
There are many myths surrounding the “American banking industry” as it relates to its health and well-being. In that regard, the banking analysis that follows is an attempt to bring clarity as to where the U.S. banking industry currently stands at the end of 2011 and to explain what really took place in the banking environment over the past five years since our latest financial crisis began in 2007.
The facts [...]