ECONOMY | WHAT REALLY HAPPENED


ECONOMY

Jul 15 18:53

New Multi-year Gold Rally Has Emerged

Jul 15 16:57

India & Russia will use their national currencies for defense deals to bypass US sanctions – report

Russia and one of the biggest importers of its weapons, India, have decided to use their national currencies to transfer payments for massive defense deals in order to skirt possible US sanctions, according to Bloomberg.

Jul 15 16:17

The U.S. (and Global) Economy Is In Trouble

Jul 15 16:16

California Committee Approves Measure to Create Banking Alternative for Cannabis Industry, Bypass Federal Reserve

By Michael Maharrey

Last week, a second California Assembly committee unanimously passed a bill that would establish limited state-chartered banks to serve the cannabis industry. Final passage of this legislation would remove a major federal roadblock in front of the developing industry in the state and further nullify federal prohibition in practice.

Sen. Bob Hertzberg, (D-Van Nuys), along with a bipartisan coalition of eight cosponsors, filed Senate Bill 51 (SB51) on Dec. 4. The legislation would create a self-contained banking system for the cannabis industry in California...

Jul 15 15:25

One Heck Of A Recession Party!!

Jul 15 14:59

Knowing the “Value” of Our Data Won’t Fix Our Privacy Problems

By Hayley Tsukayama

Some lawmakers, seeking to hold companies accountable for the way they collect and profit from our personal information, are pushing a new idea: requiring companies to report a dollar value for the data they collect from us. Some frame this reporting as a first step towards requiring companies to share with consumers the wealth our personal information generates for these companies. Yet knowing how much your personal information is worth to a company doesn’t actually protect your privacy—and the “pay for privacy” schemes that would probably follow from valuation reporting would actually harm it...

Jul 15 14:38

Congress Courageously Sticks US Taxpayers With a $6 Trillion Liability

By Simon Black

The names of these laws all sounded wonderful. But their effects were absolutely terrible.

The new SECURE Act will likely be no different.

If you haven’t heard of SECURE, it’s a new piece of legislation aimed at ‘fixing’ the US retirement system...

Jul 15 12:22

Treasury Secretary Confirms US Risks Defaulting On Its $22 Trillion Debt in as Little as Two Months

Last week, a Washington-based think tank warned of "potentially devastating economic consequences" for the US and global economies if Congress didn't pass a debt limit extension in the weeks to come.

Treasury Secretary Steve Mnuchin has confirmed that the US could default on its obligations in as little as two months if emergency measures are not taken.

"Based on updated projections, there is a scenario in which we run out of cash in early September, before Congress reconvenes," Mnuchin warned, in a letter addressed to Democratic House Speaker Nancy Pelosi obtained by CNBC.

Jul 15 10:59

GOP struggles to find backup plan for avoiding debt default

Republicans are in the dark about their party's backup plan for raising the debt ceiling amid growing anxiety that they will need to do so in a matter of weeks.

Leadership wants to attach an increase in the nation’s borrowing limit to a budget deal, which would let them consolidate two tough political votes. But while Congress has until January to avoid deep budget cuts, it appears increasingly likely it will have to vote to raise the debt ceiling before leaving for the August recess.

Underscoring the urgency, Treasury Secretary Steven Mnuchin sent letters to congressional leadership Friday requesting Congress vote before the recess, after first indicating to reporters that it was his “preference” lawmakers act this month.

Jul 15 10:18

Chevron Has Spilled 800,000 Gallons of Crude Oil and Water Into a California Canyon Since May

By Olivia Rosane, EcoWatch

California officials ordered Chevron Friday “to take all measures” to stop a release that has spilled around 800,000 gallons of water and crude oil into a dry creek bed in Kern County, KQED reported.

The order, issued by the new acting head of the state’s Division of Oil, Gas and Geothermal Resources (DOGGR) Jason Marshall, also said the fossil fuel company had not done enough to stop the spills that had begun May 10...

Jul 15 09:15

Federal Debt Ceiling Reached asFederal Spending Rages

The federal government will soon run up against its self-imposed borrowing cap once again.

Current estimates are for the government to max out its credit limit at a little over $22 trillion in early September. Congress goes on recess in August, so there is some pressure to address the cap right now.

Webmaster's Commentary: 

And the politicians will pose and posture and act like they are concerned .... then raise the cap again.

Jul 15 08:04

Things could get very ugly for world economy

Jul 15 07:50

How Overheated Is The Stock Market?

Jul 14 13:56

Why the upcoming economic crisis maybe worse than the 08

1) Yield curve inversion has lasted more than 3 months. A downturn is evident. We only have only about two years (max and i think that is generous) from the start of the point of inversion.
2) Right now the market is addicted to cheap money, like an addict would be to heroin. This has been going on for a decade. Business are over-levered and borrowed and they are addicted to those low interests rates.
3) Many Americans are in their eyeballs in debt

Jul 14 08:57

US-TRAINED TROOPS SHOOT HONDURAN STUDENTS PROTESTING PRIVATIZATION

Anya Parampil reports from inside a student occupation at the National Autonomous University of Honduras (UNAH), where US-trained troops shot activists protesting the Juan Orlando Hernandez government’s attempt to privatize education and healthcare.

VIDEO BY BEN NORTON

Anya Parampil is a journalist based in Washington, DC. She previously hosted a daily progressive afternoon news program called In Question on RT America. She has produced and reported several documentaries, including on-the-ground reports from the Korean peninsula and Palestine.

Webmaster's Commentary: 

Anya and Ben, my prayers are with you both this morning.

The privatization of these two areas, will result in the following outcomes: the monied will have their children educated, and taken care of, medically; those without money, will simply be consigned to rot in the streets.

And I suddenly got curious, as to just when the last detail of US troops trained some of their Honduran counterparts, and my jaw dropped at the following, from SOUTHCOM:
Honduran soldiers complete U.S. Army led Security Forces Training

And the date of this article: 11 June, 2019, just a little over a month ago..

Apparently, the bit about shooting student protestors somehow... didn't quite make its way into this article.

Jul 14 08:47

PG&E Knew Its Powerlines Could Spark Fires And Did Nothing. Ditto On Their Wireless Smart Meters.

By B.N. Frank

Why All Utility Customers Should Be Concerned About Smart Meter Fires.

Many people are aware that Pacific Gas & Electric (PG&E) is being held responsible for California’s widespread devastating and deadly wildfires. A recent article reports that documents obtained under the Freedom of Information Act reveal that the company knew for years about fire risks and did nothing to prevent them...

Jul 14 08:44

IS THERE A STEALTH FINANCIAL CRISIS? ALARM BELLS ARE RINGING.

SOURCE: RIGGED GAME

THE MARKETS ARE SHOWING DISCONCERTING PARALLELS WITH LATE 2007.

BY PAM MARTENS AND RUSS MARTENS OF WALL STREET ON PARADE

Fast forward to today: On June 3, 2019 one of Britain’s highest profile money managers, Neil Woodford, stunned global markets by announcing that his firm’s flagship fund, the $4.7 billion Woodford Equity Income Fund, would freeze customer withdrawals. The decision resulted from heavy outflows and a large stake in illiquid stocks. The U.K. securities regulator, the Financial Conduct Authority, has opened an investigation into the matter. You can read its initial assessment here.

Webmaster's Commentary: 

Deutsche Bank's statement on Friday, may create havoc all throughout the financial sector; we won't know for sure whether - and how much - Deutsche Bank's "restructuring" has been priced into the markets, or if the "shock" of the magnitude of this announcement, will have investors running for the hills.

There is one thing I can say, with more than a bit of confidence; the US's Plunge Protection Team will be very busy for the next 24 hours and beyond, to try to keep the financial carnage to a minimum.

Jul 14 08:22

How to Find Remote Work Opportunities

By Chloe Anagnos

Digital nomads use telecommunications technologies to earn a living. I’ve been working remotely since 2016 and have been a digital nomad since July 2018. I often work remotely from countries other than the United States, coffee shops, public libraries, and sometimes co-working spaces.

Here are some easy ways to get started researching opportunities regardless of your background to begin settling into remote work...

Jul 13 22:59

New Zealand housing market at risk of crash, Bloomberg research shows

New Zealand and Canada are the most vulnerable economies to a correction in house prices, with Australia and the UK also drawing concern, according to new research from Bloomberg Economics.

Seeking to build a "housing bubble dashboard," economist Niraj Shah studied ratios of house prices to rent and income as well as inflation-adjusted prices and household credit.

The results showed that Canada and New Zealand seem to be on the most unsustainable path, with the cost of housing compared with wages the highest in the world in both countries. Australia, Norway, Sweden and the UK also raise alarm bells, Shah said.

New Zealand has the highest house price to rent ratio in the world, and the highest house price compared to income, according to Shah.

Jul 13 12:01

How to Buy Gold: Six Tips and Reasons to Buy in 2019

Learning how to buy gold is a worthwhile endeavor, as the precious metal is a Swiss army knife, from a financial point of view.

At any given time, gold can be a "safe haven" investment, a hedge against inflation, a diversification play, and a hedge against a collapse of a country's economy, like Venezuela is experiencing right now.

Download Now: To be a profitable investor you first need to know the rules. Get Jim Cramer’s 25 Rules for Investing Special Report

How can gold add luster to an investment portfolio? It has specific, useful qualities that offer value in sketchy economic times, and that are highly liquid and potentially profitable in robust economic times.

Jul 13 09:20

Retail Apocalypse: 12,000 Stores Are Forecasted To Close This Year 

As the economy cycles down through summer, there is new, alarming data that shows retail store closings are accelerating.

Coresight Research says there have already been 20% more store closings announced in the first six months of 2019 than in all of 2018.

The research firm examined figures and retailers' earnings reports, found that more than 7,000 are expected to close this year with many locations already shut down.

Bankrupted Payless ShoeSource closed its remaining stores last week, accounts for 37% of the closing this year.

Coresight estimates closures could hit at least 12,000 stores by the end of 4Q19. The firm already tracked 5,864 closings in 2018, which included all Toys R Us, Kmart and Sears.

The retail apocalypse reared its ugly head in 2017 when a record 8,139 store closures were reported.

Webmaster's Commentary: 

I don't know if our local mall is any real representation, but we have seen a lot of larger spaces "carved up" for smaller lessees.

Jul 13 09:05

Until the Tax Man Do Us Part...

Jul 13 08:30

AOC Chief of Staff Confirms: Green New Deal Was Not Really About The Climate

By Sean Walton

The Chief of Staff for Rep. Alexandria Ocasio-Cortez stated that her signature Green New Deal was not really about saving the planet after all.

In a report by the Washington Post, Saikat Chakrabarti revealed that “it wasn’t originally a climate thing at all … we really think of it as a how-do-you-change-the-entire-economy thing.”...

Jul 12 17:03

Why This Oil Rally Won’t Last

Jul 12 13:19

Psst! Look Under The Hood....And Run!

Jul 12 12:36

The Monetary System Is Collapsing: The Most Insidious Form Of Theft

July 11 2019 | From: FinalWakeupCall

Jul 12 12:36

Please tell me this time will be different.

Jul 12 11:36

Volvo CEO Says Company May Leave Sweden Partly Due To Rise in Violent Crime

The CEO of Volvo warns that the company is considering moving its headquarters out of Sweden in the future, partly due to a rise in violent crime.

Håkan Samuelsson told a conference that the car maker was losing its appeal to foreign experts and engineers and further explained his concerns during an interview with SVD Näringsliv.

“We are building cars, we cannot solve the other problems, someone else must do that,” the CEO said, adding that it is becoming more difficult to attract workers due to Sweden’s worsening reputation.

“It’s definitely not helping when people read about shootings in Gothenburg and wonder if they really dare to move to Gothenburg,” said Samuelsson.

Jul 12 10:56

You Can Now Buy DIY Tiny House Kits on Amazon With Free Shipping

You can now buy attractive DIY tiny house kits on Amazon that two people can assemble in a few days.

The Allwood Cabin Getaway model is a high quality multi purpose tiny home or cabin for sale for $18,800 with free shipping to your property...

Jul 12 10:10

New Online Documentary Exposes Risky 5G Technology Being Installed Across the U.S. and Around the World

By B.N. Frank

5G technology is being installed in the U.S. and around the world despite the telecom industry’s inability to provide scientific evidence that it’s safe, and research that has determined that it isn’t. A new online documentary reports the risks associated with this.

Doctors, elected officials, environmentalists, security experts, the U.S. Navy, utility companies and many others have been trying to stop this deployment...

Jul 12 09:59

Bad For Buyers: The Housing Market Is About To Shift

By Mac Slavo

The housing market bubble that fueled the Great Recession a decade ago is looming once again and has been for some time. But it’s all about to shift and things are going to be pretty grim for buyers.

The housing shortage that fueled competition and resulted in sky-high price gains throughout 2017 and the first half of 2018 is on the horizon yet again, and the supply of available homes could hit a new low...

Jul 12 09:02

BOJ Trapped – How will the Nightmare End?

Jul 12 07:43

Gold Is For Freedom And Benefit

Jul 11 18:51

All seems to be rolling over

Jul 11 15:32

Deutsche CEO Scolded Bankers Who Had Suits Fitted During Monday's Mass Firing

The banks comms department refused to acknowledge the story when it first surfaced, but as the headlines spread, it seems CEO Christian Sewing has decided to address the issue before things get even more out of hand.

According to Barrons, which cited reports in the German press, Sewing personally reprimanded the senior bankers for being inconsiderate enough to invite tailors to the office on the same day as the largest mass layoff in the bank's recent history.

Christian Sewing, the bank’s chief executive, told Handelsblatt, the German newspaper: "This behavior is in no way in line with our values...I assume that the two colleagues will not forget my call."

Of course, if we were them, we'd be updating our resumes and reaching out to LinkedIn contacts. Earning the enmity of your boss's boss's boss's boss at a time of great structural upheaval within your organization certainly doesn't bode well for their employment prospects.

Webmaster's Commentary: 

The optics here... absolutely sucked a valve!! (Yes, I know that is a mixed metaphor, but nonetheless true, under these circumstances)

Jul 11 15:08

Europe's economy this summer/fall

Jul 11 13:42

AT&T to Offer WAY Expensive 5G In 7 More U.S. Cities Despite Little Interest and Predicted Lawsuits

By B.N. Frank

5G is being installed all over the U.S. despite the telecom industry’s inability to provide proof that it’s safe and research that says it isn’t.

In some parts of Sacramento, CA, it’s already been installed and few have subscribed to it. Instead many are fighting to have it removed immediately because they are being affected by exposure...

Jul 11 13:01

Deutsche Bank Facing DOJ Probe Over 1MDB After Goldman Throws It Under The Bus

When it rains inside the halls of Deutsche Bank, the flood is biblical.

Just when it seemed that the biggest (if not for long) German bank, already reeling from the biggest mass layoffs since Lehman, couldn't possibly bear any more bad news, along comes the US government with yet another potentially criminal investigation, this time over Deutsche Bank's involvement with the sprawling, multibillion-dollar Malaysian development fraud scandal that toppled a prime minister, crippled Goldman Sachs stock and stretched from Hollywood to Wall Street.

According to the WSJ, the DOJ is investigating whether the German bank violated foreign corruption or anti-money-laundering laws in its work for the 1Malaysia Development Bhd. fund, or 1MDB, which included helping the fund raise $1.2 billion in 2014 as concerns about the fund’s management and financials had begun to circulate.

Webmaster's Commentary: 

This is about to get very ugly very quickly, depending on who decides to "sing" first, to get the best deal for their own financial crimes.

Jul 11 12:44

Trade War Spurs Biggest De-Globalization Shift Since The Cold War

From an office in Tijuana, Mexico, Roberto Durazo has been capitalizing on one of the biggest shifts in global trade since the end of the cold war.

His company, Ivemsa, has been helping dozens of companies move their factories out of China and other parts of Asia and into Mexico to make goods to be sold domestically and in the United States. Operating in what is known as the “shelter industry”, firms like Ivemsa help international companies operate in Mexico without having to maintain a legal entity.

This example illustrates a wider movement that predates the trade war between China and the US, but one which experts now say is irreversible. After decades in which globalization seemed to be an unstoppable force, the trade war is accelerating a complete transformation of global trade towards a more fragmented model, and Durazo is operating at ground zero.

Jul 11 12:42

Albert Edwards: The US Is About To Take Global Currency War To A Whole New Level

One person who has no fear in defying Wall Street convention is also one of its biggest perma-bears (which it comes to equities, and the opposite for bonds), SocGen's Albert Edwards, who in his latest letter brings attention to the barrage of recent tweets from President Trump indicating that "his tolerance for the strong dollar has just about run out."

As we observed roughly two weeks ago, the dollar had resumed its rise even ahead of the stellar payrolls report, largely due to the prospect of yet another round of Draghi "whatever it takes" jawboning and even easier ECB policy - sending eurozone bond yields to record lows.

Jul 11 12:39

Epstein's Elite Wall Street Ties Revealed In Filing

Jeffrey Epstein's wealth has long been a topic of discussion since becoming known as a 'billionaire pedophile' and other similar monikers. Described by prosecutors this week as a "man of nearly infinite means," a 2011 SEC filing has provided a window into the registered sex offender's elite Wall Street links, according to the Financial Times.

Epstein, who caught a lucky break tutoring the son of Bear Stearns chairman Alan Greenberg before joining the firm, left the investment bank in 1981 to set up his own financial firm. While he reportedly managed money for billionaires for decades, most of Epstein's dealings have been done in the shadows.

A 2011 SEC filing reveals that Epstein's privately held firm, the Financial Trust Company, took a 6.1% stake in Pennsylvania-based catalytic converter maker Environmental Solutions Worldwide (ESW) backed by Leon Black, the billionaire founder of Apollo Global Management.

Jul 11 12:35

Amazon Employees Need Food Stamps To Live

Jul 11 11:11

How Regulation Wrecks Innovation

By Adam Thierer

Even in an age of hyper-partisanship, people still like a good underdog story and few are better than the small start-ups taking on the giants of industry. Entrepreneurialism helps create jobs, innovations, and other economic and social opportunities. It’s a story everyone can get behind.

Everybody, that is, except the incumbents and their political lackeys, who do not want pesky upstarts disturbing the status quo. Those companies and policymakers will take steps to protect their market and political turf—primarily through the creation and preservation of regulations. They usually sound well-intentioned, but ultimately they only serve their interests at the expense of competitors, consumers, and the public...

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