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Keyword: uscrisis

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  • Credit-Card Debt Approaching Pre-Collapse High — Thanks To Subprime Lending

    05/21/2016 11:10:01 AM PDT · by MarvinStinson · 31 replies
    HotAir ^ | May 20, 2016 | Ed Morrissey
    Today’s Wall Street Journal report on record levels of credit-card and auto-loan debt sound like a stroll down Memory Lane: U.S. credit-card balances are on track to hit $1 trillion this year, as banks aggressively push their plastic and consumers grow more comfortable carrying debt. That sum would come close to the all-time peak of $1.02 trillion set in July 2008, just before the financial crisis intensified, and could signal an easing of frugal habits ingrained by the recession. The boom has been driven by steady economic conditions and an improving job market that have made creditworthy consumers less reluctant...
  • Fed may need more powers to support securities firms during crises: Dudley

    05/08/2016 6:45:20 PM PDT · by Lorianne · 31 replies
    Reuters ^ | 01 May 2016 | Lindsay Dunsmuir
    The U.S. Federal Reserve may need more powers to provide emergency funding to securities firms in times of extreme stress in order to deal with a liquidity crunch, New York Federal Reserve President William Dudley said on Sunday. "Providing these firms with access to the discount window might be worth exploring," Dudley said in prepared remarks at a financial markets conference in Amelia Island, Florida organized by the Atlanta Fed. The discount window is a credit facility through which banks borrow directly from the U.S. central bank in order to cope with liquidity shortages. The Fed currently has limited ability...
  • Burning Down the House in 2016

    02/22/2016 7:08:24 AM PST · by Travis McGee · 86 replies
    Western Rifle Shooters Association ^ | February 22, 2016 | Matthew Bracken
    Hold tight, wait 'til the party's over. Hold tight, we're in for nasty weather. There has got to be a way Burning down the house. By now, it should be obvious to the observant that the 'scoundrels-looting-the-treasury' phase of our economic arc is about played out, and before the entire rotten financial edifice collapses, there will be a war ignited across Europe and the Middle East which will serve as a distraction for the masses, while the very worst of the scoundrels take to ground to wait for the smoke to clear before they emerge. The gangsters actually directing the...
  • One of the nation’s largest pension funds could soon cut benefits for retirees

    04/21/2016 8:26:05 AM PDT · by pabianice · 26 replies
    MSN ^ | 4/21/16 | Marte
    More than a quarter of a million truckers, retirees and their families could soon see their pension benefits severely cut — even though their pension fund is still years away from running out of money. Within the next few weeks, the Treasury Department is expected to announce a crucial decision on whether it will approve reductions to one of the country’s largest multi-employer pension plans. The potential cuts are possible under legislation passed by Congress in 2014 that for the first time allowed financially distressed multi-employer plans to reduce benefits for retirees if it would improve the solvency of the...
  • "This Is Going To Be A National Crisis" - One Of The Largest U.S. Pension Funds Set To Cut Retiree

    04/20/2016 7:28:06 PM PDT · by Nachum · 78 replies
    zero hedge ^ | 4/20/16 | Tyler Durden
    A dark storm is brewing in the world of private pensions, and all hell could break loose when it finally hits. As the Washington Post reports, the Central States Pension Fund, which handles retirement benefits for current and former Teamster union truck drivers across various states including Texas, Michigan, Wisconsin, Missouri, New York, and Minnesota, and is one of the largest pension funds in the nation, has filed an application to cut participant benefits, which would be effective July 1 2016, as it "projects" it will become officially insolvent by 2025. In 2015, the fund returned -0.81%, underperforming the 0.37%...
  • Simple Math Shows America Is Headed for an Economic Disaster

    04/18/2016 7:21:40 PM PDT · by george76 · 52 replies
    The Daily Reckoning ^ | March 30, 2016 | Jody Chudley
    Stan Druckenmiller ... when I look at the current picture of expected tax revenues combined with benefits promised to future generations, this is the most unsustainable situation I have seen ever in my career. The disaster that Druckenmiller sees coming for the United States is all about changing demographics and entitlement spending. They don’t add up to a sustainable situation. In 1940, entitlement payments, which include everything from disability payments to Social Security to Medicare, amounted to just over 20% of annual government spending in the United States. Today, entitlement spending has swelled to nearly 70% of the annual federal...
  • Trump and Cruz predict stock market crash

    04/15/2016 11:31:37 AM PDT · by Reeses · 46 replies
    CNN Money ^ | April 15, 2016 | Heather Long
    The two leading Republican candidates for president warn the U.S. stock market is trading at an alarming level. On Friday, Ted Cruz predicted a stock market "crash will be coming." Donald Trump calls it a "terrible time" to invest. "We're in a bubble right now," Trump says. It's a high degree of fear from a party that is normally viewed as pro-business and pro Wall Street. Trump recently told The Washington Post that America is on track for a "very massive recession."
  • US banks not prepared for another financial crisis, say federal regulators

    04/14/2016 6:42:10 PM PDT · by Lorianne · 10 replies
    Guardian UK ^ | 13 | Jana Kasperkevic
    Some of the US’s biggest banks still lack a proper plan for bankruptcy, in the event of another major financial crisis, US regulators said on Wednesday. In the wake of the great recession banks were required to come up with “living wills” to prove they had a credible plan for bankruptcy that would not require another bailout from the taxpayers. But after reviewing the plans of five institutions – JP Morgan Chase, Wells Fargo, Bank of America, Bank of New York Mellon and State Street Corp – the Federal Reserve and the Federal Deposit Insurance Corp (FDIC) have determined that...
  • "It's Probably Nothing": Truck Orders Plunge 37% As Unsold Inventories Soar Most Since 2007

    04/07/2016 10:02:43 PM PDT · by Nachum · 40 replies
    zero hedge ^ | 4/7/16 | tyler durden
      When we last looked at order of heavy, or Class 8, truck one quarter ago - that all-important, forward looking barometer of domestic trade - we said that even with 2015 in the history books, and as we start 2016 where the base effect was supposed to make the annual comps far more palatable, the latest, January data, as abysmal: "the drop continues to be one of Great Recession proportions, manifesting in yet another massive 48% collapse in truck orders in the first month of the year as demand appears to have gone in a state of deep hibernation."Fast...
  • 19 Facts That Prove Things In America Are Worse Than They Were Six Months Ago

    04/07/2016 9:49:03 PM PDT · by Nachum · 36 replies
    zero hedge ^ | 4/7/16 | tyler durden
    While we all very capable of discerning the 'recovery' facts from the peddled recovery fiction throughout President Obama's reign... ...a close up over the last six months suggests things are getting worse in a hurry. As The Economic Collapse blog's Michael Snyder details, while most people seem to think that since the stock market has rebounded significantly in recent weeks that everything must be okay, that is not true at all. Has the U.S. economy gotten better over the past six months or has it gotten worse?  In this article, you will find solid proof that the U.S. economy has continued...
  • Bond Guru Says Trump Nomination Could Bring Down World Economy

    03/22/2016 12:51:57 PM PDT · by Innovative · 71 replies
    Fortune ^ | March 21, 2016 | Reuters
    Jeffrey Gundlach, the widely followed investor who runs DoubleLine Capital, foresees a “global growth scare” between now and the end of the summer, triggered by a presidential nomination of Donald Trump. “That is where I see the vulnerabilities,” Gundlach said in a telephone interview on Monday. Trump’s protectionist policies could mean negative global growth, Gundlach warned. “As he gets the nomination, the markets and investors are going to worry about it more. You will see a downgrading of global growth based on geopolitical risks. You must factor this into your risk-management.”
  • Stop fracking? Shatter the economy

    03/22/2016 10:55:55 AM PDT · by JimSEA · 5 replies
    The Hill ^ | 3/21/16 | Paul Sullivan
    Fracking accounts for close to 50 percent of all natural gas and oil production. Our production of natural gas from shale fields and tight gas has increased by 40 billion cubic feet per day since 2002. Our production of shale and tight oil from fracking has increased by 4 million barrels a day since 2002. Fracking is one of the main reasons why oil and natural gas prices are so low. That also makes it one of the main reasons why gasoline and diesel prices are so low, and electricity prices have dropped in many areas. Crude oil is the...
  • This entire system is rigged against your prosperity

    03/19/2016 5:36:07 PM PDT · by Lorianne · 7 replies
    Value Walk ^ | 01 March 2016 | Sovereign Man
    On January 26, 1841, two years into the First Opium War between China’s Qing Dynasty and the British Empire, Commodore Sir Gordon Bremer hoisted the British flag above Possession Point in Hong Kong. At the time the island’s population numbered less than 10,000. Most were illiterate fishermen. Hong Kong was also devoid of any meaningful natural resources except for well-placed geography. So when the war ended in 1842 and British diplomats formally annexed Hong Kong into their empire, they turned it into a free port almost immediately. This means that no taxes were charged on goods traded in Hong Kong—an...
  • 19 Facts About The Deindustrialization Of America That Will Make You Weep

    03/20/2016 2:57:17 PM PDT · by central_va · 273 replies
    Business Insider ^ | 9/27/10 | Michael Snyder
    The United States is rapidly becoming the very first "post-industrial" nation on the globe. All great economic empires eventually become fat and lazy and squander the great wealth that their forefathers have left them, but the pace at which America is accomplishing this is absolutely amazing. It was America that was at the forefront of the industrial revolution.
  • World is 'overloaded on monetary policy', says OECD

    03/20/2016 2:34:18 PM PDT · by Lorianne · 4 replies
    Telegraph (UK) ^ | 19 March 2016 | Szu Ping Chan
    Central banks cannot haul economies out of stagnation on their own, the OECD has warned. Catherine Mann, chief economist at the Paris-based think-tank, said countries were now “overloaded on monetary policy” as she described the use of negative interest rates as “a reaction of central banks trying to meet the objective of raising inflation and fostering growth alone”. Ms Mann said banks faced being “squeezed” by the unintended consequences of sub-zero rates in an environment where demand remained subdued. The OECD has repeatedly warned that fiscal policy and structural reforms are needed to ensure recoveries are self-sustaining. “In the economies...
  • 6 Factors That Point to Global Recession in 2016

    03/13/2016 7:25:34 PM PDT · by SeekAndFind · 19 replies
    Investopedia ^ | 03/13/2016 | By Adam Hayes, CFA
    Less than a decade ago, the world economy sank into the Great Recession: the deepest and most widespread downturn since the Great Depression of the 1920s and '30s. Since the stock market crashed in 2008, recovery has been long and slow, marked by persistent bumps in the road along the way. Nonetheless, an economic recovery has, indeed, taken place. The S&P 500 index rose more than 92% over the past five years until market volatility kicked in during the second half of 2015. So far in 2016, the S&P 500 is down almost 9% since the start of the year....
  • Who Gets the Blame for the Slowing Economy? [NYT admits collapse, seeks new scapegoat]

    03/11/2016 4:05:00 AM PST · by expat_panama · 45 replies
    New York Times ^ | MARCH 10, 2016 | Steven Rattner
    ECONOMIC alarm bells are ringing: Financial markets have wilted. Forecasters have been slicing their projections for future growth. And some leading wise men — including the megabillionaire George Soros — are predicting a return to disastrous 2008 conditions. That’s almost certainly an overly pessimistic view. But without a doubt, the leading global economies are in a major slowdown. Not evident is whether another recession looms. While current data suggests... Governments alone are not to blame... For a start, global competition and weak productivity growth have held down wages in developed countries. That has depressed consumer spending, as have increased saving...
  • Debtors face day of reckoning as credit bubble bursts

    03/06/2016 8:53:47 AM PST · by NRx · 73 replies
    The Telegraph ^ | 03-06-2016 | Mehreen Khan
    The world's credit boom is beginning to show dangerous signs of unraveling, ushering in a period of fresh turmoil for the over-indebted global economy, the Bank of International Settlements has warned. The globe's top financial watchdog called time on the world's debt binge, noting that debt issuance and cross border flows in emerging economies slowed for the first time since the aftermath of the global credit crunch at the end of last year. With financial markets thrown into fresh paroxysms in 2016, oscillating between extremes of "hope and fear", the over-leveraged world was finally approaching a day of reckoning, said...
  • OECD's William White: In Terms of Debt, the Situation Is Way Worse than 2007

    02/26/2016 8:49:35 AM PST · by Lorianne · 2 replies
    Financial Sense ^ | 24 February 2016
    William White, chairman of the Economic and Development Review Committee at the OECD and former chief economist at the Bank for International Settlements (BIS), says the risks posed by global debt levels are greater today than they were in 2007 and that central banking monetary policy has lost its effectiveness. He also explains the crucial differences between modern macroeconomic modeling and complexity theory (or viewing the economy as a complex adaptive system) and the key lessons this has for policymakers, both fiscal and monetary. Here's a portion of his recent interview with Financial Sense airing Friday on the Newshour page:...
  • Central Banks Have Signed Their Death Warrants

    02/28/2016 8:35:01 PM PST · by TigerLikesRooster · 31 replies
    Daily Reckoning ^ | February 22, 2016 | David Stockman
    Central Banks Have Signed Their Death Warrants During the past year U.S. consumption spending for health care rose by 5%. Spending at restaurants and bars were up by 9%, while spending for gasoline and other energy products was down by 22%. This was Mr. Market at work--millions of households reallocating their spending in response to relative price changes. It had nothing to do with a macroeconomic abstraction called "weak demand". Actually, the medical care component of the CPI rose 3.3% last year. Housing and shelter were up by 3.2%, while gasoline prices were down by 7.3%. It all added up...
  • America's tragic descent into fantasy economics

    02/28/2016 4:40:13 AM PST · by expat_panama · 12 replies
    The Telegraph ^ | 27 February 2016 | Jeremy Warner
    If you think the quality of the economic debate around Brexit is poor, spare a thought for the hapless American voter, who is being subjected to one of the most bizarre displays of fantasy economics I’ve ever come across. Ted Cruz wants to return to the gold standard... Against this nonsense, Donald Trump... ...the damage deporting 11 million immigrants... ...protectionist tariffs. As for the Democrats, Bernie Sanders claim that his policies would lead to a 5.3pc growth rate is so obviously off the wall that... It’s all quite scary. The only consolation in this descent into economic madness is that...
  • Recession 2016: In Some States, A Very Deep Economic Downturn Has Already Arrived

    02/23/2016 2:39:12 PM PST · by SkyPilot · 21 replies
    Economic Collapse ^ | 22 Feb 16 | Michael Snyder
    Did you know that there are some U.S. states that have already officially fallen into recession? Economic activity all over the planet is in the process of slowing down, and there are some areas of the country that are really starting to feel the pain. In particular, any state that is heavily dependent on the energy industry is hurting right now. During the years immediately following the last recession, the energy industry was the primary engine for the growth of good paying jobs in America, but now that process is completely reversing. All over the U.S. energy companies are...
  • The Recession Isn’t a Few Months Away ... It's Already Started

    02/21/2016 11:29:14 AM PST · by SeekAndFind · 35 replies
    Economy and Markets Daily ^ | 02/21/2016 | Harry Dent
    So the S&P 500 is out of correction for now and the coast is clear. NOT! This is exactly what we've been predicting would happen – after reaching new lows, stocks would have to bounce before they inevitably resume their longer-term trend, which is down. But stocks haven't been the only victims of late. Just a couple weeks ago the January nonfarm payroll report came in at 151,000 jobs. So much for the expected 190,000! And of the ones reported, they were mostly low-wage jobs. Pile that on top of the disappointing Christmas and retail sales in December. Not to...
  • China is buying up American companies fast, and it's freaking people out

    02/21/2016 11:20:05 AM PST · by SeekAndFind · 56 replies
    Business Insider ^ | 02/21/2016 | Portia Crowe
    Here's a story you'll be hearing about a lot this year. Chinese companies have been buying up foreign businesses -- including American ones -- at a record rate, and it's freaking out lawmakers. There is General Electric's sale of its appliance business to Qingdao-based Haier, Zoomlion's bid for the heavy-lifting-equipment maker Terex Corporation, and ChemChina's record-breaking deal for the Swiss seeds and pesticides group Syngenta, valued at $48 billion. Most recently, a unit of the Chinese conglomerate HNA Group on Wednesday said it would buy the technology distributor Ingram Micro for $6 billion. And the most contentious deal so far...
  • Fannie Mae at risk of needing a bailout

    02/20/2016 9:14:46 AM PST · by Lorianne · 17 replies
    CNBC ^ | 20 February 2016 | Barney Jopson
    Fannie Mae, the state-sponsored U.S. mortgage backer, is at risk of needing a government bailout that could shake confidence in the housing finance market, senior officials have warned. Fannie Mae's chief executive and its regulator are sounding the alarm on a decline in the institution's capital cushion, which is on course to vanish in 2018, when it would have to ask the US Treasury for emergency funds. Their warnings highlight Washington's inaction on housing policy and its failure to reform the institution, which guarantees nearly $3 trillion of securities and enables 30-year fixed rate loans, following the last financial crisis....
  • Citi: World economy seems trapped in 'death spiral'

    02/05/2016 12:08:31 PM PST · by HarleyLady27 · 28 replies
    CNBC ^ | Feb. 5, 2016 | Katy Barnato
    The global economy seems trapped in a "death spiral" that could lead to further weakness in oil prices, recession and a serious equity bear market, Citi strategists have warned.
  • Economic Problems Facing the U.S.

    02/05/2016 1:01:34 PM PST · by HarleyLady27 · 11 replies
    Economy In Crisis ^ | Nov. 12, 2015 | Thomas Heffner
    The United States is facing economic disaster on a scale few nations have ever experienced. Most people are unaware of the easily observable signs of this crisis, where it came from and how to stop it. While we persist in our superpower mentality, we have quietly become a second-class country in many respects.
  • A 'canary down the coal mine' that predicted the 2008 crisis is signalling another crash

    01/21/2016 7:59:13 AM PST · by Sgt_Schultze · 57 replies
    Business Insider ^ | 20 Jan 2016 | Will Martin
    A measure of international trade often seen as a bellwether for the global economy has crashed to its lowest level ever, fueling fears we could be heading for another 2008-style crash. Back in November, the Baltic Dry Index dropped below 500 for the first time in recorded history, and it has kept falling ever since. On Wednesday morning it fell to a low of 369. To put that into perspective, the index was as high as 1,222 in August, and it has fallen 84% from a recent peak of 2,330 in late 2013. The Baltic Dry Index measures how much...
  • Puerto Rico Is Greece, and These 5 States Are Next To Go

    01/03/2016 6:22:48 PM PST · by SeekAndFind · 31 replies
    Zero Hedge ^ | 01/03/2016 | Tyler Durden
    <p>As Wilbur Ross so eloquently noted, for Puerto Rico "it's the end of the beginning... and the beginning of the end," as he explained "Puerto Rico is the US version of Greece." However, as JPMorgan explains, for some states the pain is really just beginning as Municipal bond risk will only become more important over time, as assets of some severely underfunded plans are gradually depleted.</p>
  • Orders for U.S. durable goods fizzle again

    10/27/2015 12:58:40 PM PDT · by MNJohnnie · 14 replies
    U.S. orders for long-lasting goods such as heavy machinery or airplanes fell in September for the second month in a row, offering little evidence that manufacturers are ready to rebound after a prolonged bout of softness. Durable-goods orders fell a fell a seasonally adjusted 1.2% in September following an even sharper 3% decline in the prior month, the Commerce Department said Tuesday. Previously the government had said orders dropped 2.3% in August.
  • Our Debt and Unfunded Obligations: Bankruptcy Is Our Only Hope

    10/16/2015 6:43:29 AM PDT · by SeekAndFind · 27 replies
    National Review ^ | 10/16/2015 | Kevin D. Williamson
    It’s an ill financial wind that blows no one some good. A very nice and very rich old lady once explained to me that, in her view, the golden age of the American economy happened in the first years of the Reagan administration. This puzzled me: The United States had dipped into recession in 1980, and Paul Volcker was standing on the economic brakes to wring the Carter-era inflation out of the economy, jacking the federal-funds target rate up to damned near 20 percent. People were paying 18.5 percent on their mortgages. But, of course, usurious interest rates are pretty...
  • Yes, The US Government Really Is Bankrupt

    10/19/2015 7:23:22 AM PDT · by smartyaz · 22 replies
    Zero Hedge ^ | 10/19/15 | Tyler Durden
    I’ve long-stated that the government of the United States is completely insolvent. And that is 100% true statement. The government’s own numbers show that official liabilities, including debt held by the public and federal retirement benefits, total $20.7 trillion. Yet the government’s assets, including the value of the entire federal highway system, the national parks, cash balances, etc. totals just over $3 trillion. In total, their ‘net worth’ is NEGATIVE $17.7 TRILLION… a level that completely dwarfs the housing crisis. If you include the government’s own estimates of the Social Security shortfall, this number declines to NEGATIVE $60 TRILLION. And...
  • Rich Nations Lose Emerging-Markets Motor

    10/17/2015 12:54:31 PM PDT · by Lorianne · 8 replies
    Wall Street Journal ^ | 14 October 2015 | Anjani Trivedi
    New weakness emerged in China’s economy, heightening concerns that the woes of developing economies are ricocheting back to advanced ones and hurting the fragile recovery. Beijing on Wednesday reported that consumer prices slowed more than expected in September, reflecting weak domestic demand, a day after it said imports fell by one-fifth that same month. And Singapore, whose export-dependent economy is a bellwether for Asia’s health, said it narrowly avoided a recession, as its central bank on Wednesday took action to spur its economy for the second time this year. For years, emerging markets propped up global growth as their developed...
  • Trump: Economic bubble about to burst

    10/14/2015 5:42:20 AM PDT · by maggief · 40 replies
    The Hill ^ | October 14, 2015 | Kevin Cirilli and Bob Cusack
    NEW YORK — GOP presidential frontrunner Donald Trump warned The Hill in an exclusive interview of a looming economic recession, arguing that the stock market has already entered into another bubble. He also slammed the 2010 Dodd-Frank Wall Street reform law as a “disaster” that has stifled economic growth. “It’s terrible,” he said in an interview with The Hill, saying that he would "absolutely” repeal it. “Under Dodd-Frank, the regulators are running the banks,” Trump said. “The bankers are petrified of the regulators. And the problem is that the banks aren’t loaning money to people who will create jobs.” Democrats...
  • At U.S. Ports, Exports Are Coming Up Empty

    10/15/2015 9:19:51 AM PDT · by Lorianne · 14 replies
    Wall Street Journal ^ | 13 October 2015 | Erica E. Phillips
    Major gateways say more ocean containers are shipping out empty, a sign of weak demand in troubled global markets and the tough sell American exporters face abroad ___ One of the fastest-growing U.S. exports right now is air. Shipments of empty containers out of the U.S. are surging this year, highlighting the impact the economic slowdown in China is having on U.S. exporters. The U.S. imports more from China than it sends back, but certain American industries—including those that supply scrap metal and wastepaper—feed China’s industrial production. Those exporters have suffered this year as China’s economy has cooled. In September,...
  • Consumers shutting down as US economy deflates

    10/15/2015 9:16:50 AM PDT · by Lorianne · 91 replies
    CNBC ^ | 14 October 2015 | Jeff Cox
    The math is pretty simple: A lack of purchasing power for consumers has led to a lack of pricing power for companies. When it comes to the U.S. economy big-picture outlook, the ramifications are more complicated, and not particularly pleasant. Wednesday's producer price index reading, showing a monthly decline of 0.5 percent, demonstrates a larger problem: At a time when policymakers are hoping to generate the kind of inflation that would indicate strong growth, the reality is that deflation is looming as the larger threat. Declining prices often would be treated as a net positive by consumers, but income weakness...
  • US consumer finally losing the will to shop

    10/15/2015 12:30:21 AM PDT · by SaveFerris · 37 replies
    FT.com ^ | Last updated: October 15, 2015 12:08 am | James Mackintosh
    Overall sales growth below forecasts and sales excluding cars and petrol flat When the going gets tough, investors have grown used to betting on the tough going shopping. Every wobble of the past few years saw the consumer ignoring currency collapses, geopolitics and even government brushes with bankruptcy, and instead heading for the mall. The same has been true this year. The best-performing stocks in the US, UK and eurozone are in the defensive consumer staples and the racier consumer discretionary sectors. Almost no other sectors managed to make money, at least in dollar terms. Even in emerging markets, over...
  • Central bank cavalry can no longer save the world

    10/12/2015 12:14:19 PM PDT · by Lorianne · 8 replies
    Reuters ^ | 10 October 2015 | David Chance
    In 2008 central banks, led by the Federal Reserve, rode to the rescue of the global financial system. Seven years on and trillions of dollars later they no longer have the answers and may even represent a major risk for the global economy. A report by the Group of Thirty, an international body led by former European Central Bank chief Jean-Claude Trichet, warned on Saturday that zero rates and money printing were not sufficient to revive economic growth and risked becoming semi-permanent measures. "Central banks have described their actions as 'buying time' for governments to finally resolve the crisis... But...
  • America's $12 Trillion House of Cards

    10/13/2015 9:13:31 AM PDT · by Kaslin · 7 replies
    Townhall.com ^ | October 13, 2015 | Stephen Moore
    What is the price tag for the audacious Obamanomics experiment? How much has it all cost -- the bailouts, the debt, the stimulus plans, the printing of cheap money, Obamacare and all the rest? The answer to that question is just shy of $12 trillion. That's the sum of the $8.3 trillion added to the national debt since Sept. 15, 2008 (the day Lehman Brothers filed bankruptcy) for all the government spending and the $3.5 trillion of easy money flushed into the economy by the Federal Reserve through the initial monetary expansion -- QE1, QE2 and QE3. That's nearly $12,000,000,000,000....
  • Buried in the Fed minutes is another downgrade to the U.S. economy

    10/10/2015 11:17:56 AM PDT · by Lorianne · 18 replies
    Market Watch ^ | 09 October 2015 | Gregg Rob
    A goal of a 4% economy? That objective, mentioned frequently in the 2016 presidential race, is getting farther away, according to the latest projections from the staff of the Federal Reserve. Minutes of the Fed’s Sept. 16-17 policy meeting disclose the Fed staff further trimmed its assumptions for the rates of productivity and potential growth over the medium term. The minutes did not specifically quantify the new forecast of the Fed’s in-house economists. The Fed staff’s view was already gloomy. A mistaken leak this summer by the U.S. central bank revealed, going into the Fed’s June policy committee meeting, the...
  • Treasury Sells 3-Month Bills At 0% Yield For First Time Ever

    10/10/2015 4:16:27 PM PDT · by Lorianne · 77 replies
    Zero Hedge ^ | 06 October 2015 | Tyler Durden
    "Investors" are so desperate to hold on to short-term paper that they paid $100 for a 3-month Treasury-bill at today's auction. That is a 0% yield - for the first time ever - lower even than the auction right after Lehman's bankruptcy in Nov 2008. It is probably safe to say that NIRP is next, followed by more negative yields further to the right of the curve, as the US gradually becomes Europe. But don't worry: as Yellen admitted during her healthcare-scare speech, "nominal interest rates cannot go much below zero", just a little.
  • Why Are The IMF, The UN, The BIS And Citibank All Warning That An Economic Crisis Could Be Imminent?

    10/10/2015 8:12:07 AM PDT · by Jack Hydrazine · 12 replies
    TheEconomicCollapseBlog.com ^ | 8OCT2015 | Michael Snyder
    The warnings are getting louder. Is anybody listening? For months, I have been documenting on my website how the global financial system is absolutely primed for a crisis, and now some of the most important financial institutions in the entire world are warning about the exact same thing. For example, this week I was stunned to see that the Telegraph had published an article with the following ominous headline: “$3 trillion corporate credit crunch looms as debtors face day of reckoning, says IMF“. And actually what we are heading for would more accurately be described as a “credit freeze” or...
  • American Malls In Meltdown - The Economic Recovery Is Complete & Utter Fraud

    08/16/2015 9:53:41 PM PDT · by Jack Hydrazine · 61 replies
    Zero Hedge ^ | 16AUG2015 | Staff Writer
    The government issued their monthly retail sales this past week and four of the biggest department store chains in the country announced their quarterly results. The year over year retail sales increase of 2.4% is pitifully low in an economy that is supposedly in its sixth year of economic growth with a reported unemployment rate of only 5.3%. If all of these jobs have been created, why aren’t retail sales booming? The year to date numbers are even worse than the year over year numbers. With consumer spending accounting for 70% of our GDP and real inflation running north of...
  • America to Collapse As Dollar Dies: “You Cannot Stop What Is Coming…

    10/07/2015 10:20:56 AM PDT · by amorphous · 60 replies
    SHTF Plan ^ | 7 Oct 2015 | Mac Slavo
    A collapse is coming… but not as quickly as many are expecting. There are many people high up in the power structure who not only see an end to the dollar coming soon, but an economic collapse that could trigger the death of tens of millions of Americans – rendered vulnerable by the lack of services and the stopping of checks, and harmed by the resulting looting, starvation and violence that is likely to occur. According to an anonymous source who claims to have high level insider sources, everything from the power grid to the grocery store, to the government...
  • Yellen Is Trapped in the Worst Nightmare Ever

    09/20/2015 4:30:14 AM PDT · by dontreadthis · 50 replies
    armstrong economics ^ | September 20, 2015 | Martin Armstrong
    Yellen has inherited a complete nightmare. Thursday’s decision to delay yet again the long-awaited liftoff from zero interest rates is illustrating that the world economy is totally screwed. There is a lot of speculation about why the Fed seems so reluctant to “normalize monetary policy”. There are of course the typical domestic issues that there is low inflation, weak wage gains in the face of strong job growth, a hike will increase the Federal deficit and then there is the argument that corporations that now have $12.5 trillion in debt. All that is nice, but with corporate debt, our clients...
  • Martin Armstrong Warns "Hell Is About To Break Loose"

    09/20/2015 11:30:44 AM PDT · by Jack Hydrazine · 142 replies
    Zero Hedge ^ | 20SEP2015 | Tyler Durden
    Yellen has inherited a complete nightmare. Thursday’s decision to delay yet again the long-awaited liftoff from zero interest rates is illustrating that the world economy is totally screwed. There is a lot of speculation about why the Fed seems so reluctant to “normalize monetary policy”. There are of course the typical domestic issues that there is low inflation, weak wage gains in the face of strong job growth, a hike will increase the Federal deficit and then there is the argument that corporations that now have $12.5 trillion in debt. All that is nice, but with corporate debt, our clients...
  • Second Largest US Pension Fund To Sell 12% Of Stocks Holdings In Advance Of "Another Downturn"

    09/05/2015 8:03:02 PM PDT · by SkyPilot · 9 replies
    Zero Hedge ^ | Submitted by Tyler Durden on 09/02/2015 17:49 -0400 | Tyler Durden
    While many continue to debate if what with every passing day increasingly looks like a global recession, one from which the US will not decouple no matter how many "virtual portfolio" asset managers claim the contrary, there are those who without much fanfare are already taking proactive steps to avoid the kind of fallout that the markets have hinted in the past month of trading, is inevitable. Some such as Calstrs: the nation's second largest pension fund with $191 billion in assets (smaller only than Calpers), which as the WSJ reports is "considering a significant shift away from some stocks...
  • Central banks can do nothing more to insulate us from an Asian winter

    09/06/2015 9:22:22 AM PDT · by Lorianne · 4 replies
    Guardian UK ^ | 06 September 2015
    The European Central Bank proudly announced on Friday that it is erecting a 17-metre-high bronze and granite tree outside its Frankfurt headquarters – an artwork intended to “convey a sense of stability and growth” – and, with its gilded leaves and massive trunk, presumably also wealth and power. But when Mario Draghi, the ECB’s president, appeared before the world’s media on Thursday at his regular press conference, it was the limit to central bankers’ power that was on display. Draghi was forced to admit that the outlook for eurozone growth and inflation had darkened considerably as a result of the...
  • Make No Mistake — The Market Might Still Be Crashing

    09/06/2015 10:27:16 AM PDT · by blam · 59 replies
    BI ^ | 9-6-2015 | Elena Holodny
    Elena HolodnySeptember 6, 2015 The stock markets continue to get whipsawed. Stocks plunged on Monday and Tuesday, bounced back on Wednesday, burbled along on Thursday, and then got slammed on Friday after the jobs report. All the major US indices closed down about 3% for the week. This action follows the previous week's wild ride when stocks started deep in the red; the Dow plummeted 1,089 points (before recovering), and, somehow, ultimately both the S&P and Dow closed 0.6% and 0.8% higher for the week, respectively. People who are invested in the stock market might not want to hear this,...
  • The Numbers Are In: China Dumps A Record $94 Billion In US Treasurys In One Month

    09/07/2015 10:25:51 AM PDT · by SeekAndFind · 17 replies
    Zero Hedge ^ | 09/06/2015 | Tyler Durden
    Shortly after the PBoC’s move to devalue the yuan, we noted with some alarm that it looked as though China may have drawn down its reserves by more than $100 billion in the space of just two weeks. That, we went on the point out, would represent a stunning increase over the previous pace of the country’s reserve draw down, which we began documenting months ahead of the devaluation (see here, for instance). We went on to estimate, based on the projected size of the RMB carry trade unwind, how large the FX reserve liquidation might need to be to...