Archive for the ‘Financial crisis’ Category
The financial system established in England after 1688, based on usurious lending to the state by private bankers, is reaching its final blowout in the form of a series of devastating bubbles and a massive bailout of the financiers with public money. But the issuance of money doesn’t have to be in the hands of a private consortium: another credit system is possible.
Posted by smeddum on August 25, 2009
25 Aug 2009
David Stevenson
ifaonline
Bubbles are a wondrous affair, and, according to the aficionados, easy to spot from afar.
The ever insightful US economist Nouriel Roubini reminds us of the sadly predictable cycle of euphoria and despair (first described by Hyman Minsky) with a simple set of stages that starts with investors meeting their investments out of cashflow, which then moves on to speculative borrowers, and finally crashes with Ponzi borrowers who can’t service either the interest or the principal.
Read the rest of this entry »
Posted in Financial crisis | Tagged: asset bubbles, ETFs | Leave a Comment »
Posted by smeddum on August 24, 2009
By Daniel Grote
24 August 2009
citywire
The current rally may well have come too far, too fast.
In the days when football was played by real men, rather than £80 million prima donnas, there was a remedy that could be relied on to treat almost any injury: the magic sponge. Whether you’d sprained your ankle, broken your leg or whacked your head, the good old magic sponge would sort you out, son. Read the rest of this entry »
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Posted by smeddum on August 24, 2009
Karl Denninger
Market Ticker
Aug 22, 2009
While I disagree with pretty much everything Jim Willie writes when it comes to metals and such, every squirrel finds a nut once in a while:
You can read the original article at the above link, or I’ll just point out the important parts:foreigners are rejecting virtually all forms of US debt, most specifically corporate and agency (mortgages.) Read the rest of this entry »
Posted in Financial crisis | Tagged: bursting bond bubble, Jim Willie | Leave a Comment »
Posted by smeddum on August 23, 2009
Default Risk Too High for World’s Taste
August 23, 2009
Seeking Alpha
It was another Ponzifest on Wall Street Friday as better than expected home sales took stocks to new highs.
There was also a negative side in this report: Home inventories failed to shrink as more condos were dumped onto the market. This part of the news, of course, was ignored as Wall Street’s bubble making machine rolled on. Read the rest of this entry »
Posted in Financial crisis | Tagged: bursting bond bubble | 1 Comment »
Posted by smeddum on August 19, 2009
Posted in Financial crisis | Tagged: US economy | Leave a Comment »
Posted by smeddum on August 18, 2009
Posted in Financial crisis | Tagged: shipping crisis | 2 Comments »
Posted by smeddum on August 18, 2009
Ellen Brown,
August 17th, 2009
www.webofdebt.com/articles/secret_of_china.php
“The banks — hard to believe in a time when we’re facing a banking crisis that many of the banks created — are still the most powerful lobby on Capitol Hill. They frankly own the place.”
— U.S. Senator Dick Durbin, Democratic Party Whip, April 30, 2009
While the U.S. spends trillions of dollars to bail out its banking system, leaving its economy to languish, China is being called a “miracle economy” that has decoupled from the rest of the world. As the rest of the world sinks into the worst recession since the 1930s, China has maintained a phenomenal 8% annual growth rate. Those are the reports, but commentators are dubious. They ask how that growth is possible, when other countries relying heavily on exports have suffered major downturns and remain in the doldrums. Economist Richard Wolff skeptically observes: Read the rest of this entry »
Posted in Financial crisis | Tagged: Banking crisis | Leave a Comment »
Posted by smeddum on August 18, 2009
Foreclosure-fueled decline in home ownership rate may be lasting trend
Number of renters may rise to levels last seen in 1970s or ’80s
By Dan Voorhis
Chicago Tribune
McClatchy/Tribune news
August 18, 2009
Home ownership is on the decline nationally after rising to record levels in 2005, as the epidemic of foreclosures continues.
The rate of home ownership peaked at 69 percent and fell to 67.4 percent in the second quarter of this year. That may seem a slight difference, but every percentage point equals roughly 1 million people. Read the rest of this entry »
Posted in Financial crisis | Tagged: housing foreclosure | Leave a Comment »
Posted by smeddum on August 18, 2009
Irish Examiner
By Paul O’Brien, Political Correspondent
TUESDAY, AUGUST 18, 2009
SENIOR bankers should be hauled before a televised Oireachtas inquiry to explain how they made such “a mess” that they required a State bailout, said the chairman of An Bord Snip. Read the rest of this entry »
Posted in Financial crisis | Tagged: Ireland | Leave a Comment »
Posted by smeddum on August 17, 2009
Aug 17, 2:33
Lowe’s 2Q profit falls 19 pct; shares fall
By MAE ANDERSON
Heald Zeitung
NEW YORK (AP) — No. 2 home-improvement retailer Lowe’s Cos. on Monday said second-quarter earnings fell 19 percent on weaker-than-expected sales, adding fresh fuel to doubts about the ability and willingness of consumers to lead the U.S. economy out of recession. Read the rest of this entry »
Posted in Financial crisis | Tagged: retail crisis | Leave a Comment »
In These New Times 