Friday, 29 June 2012

Friday 29th

European leaders agree to closer long-term union
BRUSSELS (AP) – After tough all-night bargaining, European leaders appeared to salvage what had seemed to be a summit teetering toward failure by agreeing early Friday to funnel money directly to struggling banks, and in the longer term to form a tighter union.

The South China Sea Oil Card
Over the weekend, the China National Offshore Oil Company (CNOOC) quietly announced that nine new blocks in the South China Sea were now open to foreign oil companies for exploration and development.

Thursday, 28 June 2012

Thursday 28th June

Barclays fined £290m as bid to manipulate interest rates is exposed
Bob Diamond forfeits bonus over bank's 'serious, widespread' breaches of City rules

The Really Big Show In Europe Is Italy
Although Italy does not have Spain’s banks, Greece’s economy, or Ireland’s deficits, it is easy to forget how close to the edge Rome reached last summer under the erratic leadership of Silvio Berlusconi. It may not be an exaggeration to say that Mr Monti has about a month to ensure it does not happen again.

Glenstrata, the tombstone
There’s quite a lot of brainpower getting it all so completely wrong.

France to Lift Minimum Wage in Bid to Rev Up Economy
French Socialist President François Hollande is set to increase the minimum wage by more than inflation, betting consumers will help revive the country's stalling economy, while his government levies more taxes on the wealthy and large corporations in a bid to reduce the budget deficit.

Chart: What Killed Us, Then and Now
The chart ranks the top ten causes of death for each year. In addition to the remarkable decline in mortality overal.

The Tragic Decline of Gibraltar's Spanish Neighbour
Many places in Spain are suffering as a result of the euro crisis, but few have been hit as hard as La Línea, a Spanish town which neighbors the prosperous British overseas territory of Gibraltar. With the city on the verge of bankruptcy, many residents have turned to smuggling to earn money.

Former Online Brokerage Chief Offers Handy How-To-Guide Re: Getting Banned From The Securities Industry

Wednesday, 27 June 2012

Wednesday 27th June

Tough times for energy stocks, good times for investors. Crude oil has been trading below $80 (U.S.) a barrel for the past three trading days, looking increasingly comfortable with the low side of the threshold and causing a great deal of pain to Canada’s oil patch. {}

Cheap oil won’t save the world’s economy

Dating crises
The cruelest month of the cruelest year {}

Where Does Money Come From? The Giant Federal Reserve Scam That Most Americans Do Not Understand {}

Houston, we have an overcapacity problem
86 pages of pure unadulterated oil porn focused on why we are not, contrary to popular belief, running out of oil.

Why (Almost) All of Us Cheat and Steal
Behavioral economist Dan Ariely talks about why everyone's willing to cheat a little, why you'll steal a staple from work but not petty cash and whether punishments for cheating actually work
'1% of people would never steal, another 1% would always try to steal, and the rest of us are honest as long as we’re not easily tempted.'

George Soros on the Euro Crisis
'A Tragic, Historical Mistake by the Germans'
With the EU summit set to start on Thursday, pressure is on European leaders to find a way out of the euro crisis. Investor George Soros is pessimistic that a solution will be found and says time is extremely short. In an interview with SPIEGEL ONLINE, he warns that Germany could develop into a hated, imperial power. {}

Tuesday, 26 June 2012

Tuesday 26th

Euro 2012: No easy EU summit wins
Ten days ago, everyone was convinced that this week's EU Summit would be a decisive moment for the future of the eurozone - a time to "make-up, or break-up", to borrow a phrase from the UK Prime Minister.

Fears Grow of Consequences of Potential Euro Collapse
As the debt crisis worsens in Spain and Italy, financial experts are warning of the catastrophic consequences of a crash of the euro: the destruction of trillions in assets and record high unemployment levels, even in Germany.

Why Chinese gold demand is likely to rebound
the range of investments available to the median Chinese family is limited. They can't take their money offshore (unless they are rich enough to afford casino junkets). The local stock market is rigged. There is no worthwhile mutual fund market.

The Indian rupee just keeps on falling.
Apparently the rupee’s plight has gotten bad enough for the Reserve Bank of India and the government to have a chat and attempt again to shore up the embattled currency.

Chinese Labor (and Fried Chicken) Shortage
A story of China, fried chicken, and labor shortages
There's a labor shortage in China. Yes, in the land of over 1.3 billion, companies cannot find enough workers.

UK government borrowing higher than expected as income tax receipts fall
ONS figures showing borrowing of £18bn in May – up from £15bn in same month in 2011 – are blow for George Osborne

Monday, 25 June 2012

Monday 25th

Bric nations rocked by aftershocks of eurozone crisis
The devastating slowdown in the European economies has shown that 'decoupling' – the idea that developing nations would go on growing despite problems in the west – is a myth

SOROS: Here's How You End The Euro Crisis

How policy has contributed to the great economic divide
The United States is in the midst of a vicious cycle of inequality and recession: Inequality prolongs the downturn, and the downturn exacerbates inequality.

Analysis: Be afraid: Some in U.S. see shades of 2008 in euro crisis

BRICs Biggest Currency Depreciation Since 1998 To Worsen.
The largest emerging markets, whose economies grew more than four-fold in the past decade, are making losers out of everyone from central bankers to Procter & Gamble Co. (PG) as their currencies post the biggest declines since at least 1998. {}

Caption competition, Alphaville pub quiz edition  {}

Friday, 22 June 2012

Friday 22nd June

Chovanec on Evergrande
The big story is the report issued by Citron Research accusing Evergrande, one of China’s ten largest property developers, of massive fraud and arguing that the company is deeply insolvent and nearing the end of its rope.
{} Have the note if you'd like to see!

The unlikely origin of the European crisis.  (FT Alphaville)
Ancestors of the eurozone crisis, with Richard Koo – from the Nomura economist’s latest note (our emphasis)

Outlook darkens as Europe sinks, China struggles
LONDON (Reuters) - The downturn in the euro zone's private sector is becoming entrenched and Chinese factories are finding the going increasingly tough, business surveys showed on Thursday, painting a darker outlook for the world economy.{}

Gas, grains and growth
Making sense of the fall in commodity prices

Mario Monti: we have a week to save the eurozone
Italian prime minister warns that there is no room for failure in talks between single currency's big four countries

The Scam Wall Street Learned From the Mafia
How America's biggest banks took part in a nationwide bid-rigging conspiracy - until they were caught on tape

A Tycoon Rises and Falls With a Chinese Leader
From her penthouse apartment in the English seaside resort of Bournemouth, Gu Kailai, wife of the now-fallen Chinese leader Bo Xilai, looked out at a hot-air balloon that gave tourists a panoramic view. She decided that Dalian, the Chinese city then run by her husband, needed a similar attraction. {}

Thursday, 21 June 2012

Thursday 21st June

40 beautiful places to visit in China

China defends curbs on rare earths exports
China has defended its curbs on rare earths mining and exports after a World Trade Organisation (WTO) challenge brought by the United States, Europe and Japan. {}

China seeks to relax entry rules for foreign investors
China's securities regulator has sought to ease entry rules for foreign investors, the latest step in its bid to open up the financial market.

The World from Berlin - "It is rather hypocritical when the Americans and the British, whose own mountains of debt have reached a high point, try to lecture the Europeans.

Japans trade balance with EU {}

The Economic History of the Last 2000 Years: Part II

Wednesday, 20 June 2012

Wednesday 20th June

No links today :(

This message has been scanned for malware by SurfControl plc.

Tuesday, 19 June 2012

Tuesday 19th June

G20: now the G stands for growth
The Greek election result means the G20 leaders gathered in Mexico can stop bracing themselves for financial Armageddon in Europe - at least for a while.

What comes first: European banking, political, or fiscal union?

Dr. Doom is back for more in the global debt crisis that never ends.  And now he’s saying that the tide will sink all boats.  Roubini disagrees with my notion that the US economy is decoupling from Europe and sees the recession in Europe developing into something much more than a Eurocentric phenomenon.  He sees problems just about everywhere: {}

On Egyptian Elections And Israeli Escalations

Taleb's Black Swan, is Spitznagel an Apostate?
'people don't appreciate the magnitude or frequency of infrequent events, these low-probability but large impact events offer good returns.'

Greece, China and the middle-income trap
Everyone is in awe of China's economy. Its prodigious exports, heroic rates of investment and colossal foreign reserves are both deeply impressive and a little intimidating. China's economic policymakers are a competent, confident bunch. Even they, however, worry about the fabled "middle-income trap", the tendency for fast-developing countries to slow dramatically when their per capita GDP reaches middle-income levels. {}

Who are the most dangerous people in financial media?

What is globalization?

Monday, 18 June 2012

Monday 18th June

We’ve been brainwashed
It's no accident that Americans widely underestimate inequality. The rich prefer it that way

Chinese financial reform
Free-range banks
China’s banks gain a little more financial freedom

Jamie Dimon Welcomes You to the Next Financial Crisis
The drumbeat of a global financial crisis is getting louder and closer; in fact, we're probably already in it. Consider the evidence:

Massive reading list

Greece, the post-election questions
The New Democrats are off to attempt forming a coalition, Pasok’s busy making itself look important but will probably join, while Syriza says it’ll be “very powerful” in opposing them. It’s already conceded to, and ruled out allying with, the NDs.

Understanding the European Crisis

Jesus Christ
‘I spend my life looking like Jesus’ {}

Friday, 15 June 2012

Friday 15th June

China’s coal glut
One of the factors at play is that as electricity production growth stalls in China, and power plants’ coal inventory remains high, inventory elsewhere is rising in ports and warehouses. No one is buying.

The Fear Trade
As Greeks head the the polls this weekend there’s a huge absence of positive vision in the market.  Fear is driving every discussion.

China would prefer rate cuts to stimulus: officials
(Reuters) - China is more likely to implement economic reform, cut interest rates and reduce bank reserve ratios to stimulate growth, rather than launch an expensive new stimulus plan, current and former officials said on Thursday.

Much has been made in recent weeks about the Eurozone troubles and the spillover into China.   It’s nice to put things into context in order to understand the global effect here and see just how much the European weakness is hurting China.

The 5 myths of the great financial meltdown
Five years after the U.S. economy teetered on collapse, here are five reasons why we need to stop pointing fingers and fix the problems that nearly sank us.

Central bank rumors are like big boobs - some are real and some are fake, but most guys are happy to play either way.

THE ARTICLE THAT MOVED THE MARKETS YESTERDAY. Exclusive: Central banks ready to combat Greek market storm.
Central banks from major economies stand ready to take steps to stabilize financial markets by providing liquidity and preventing a credit squeeze if the outcome of Greek elections on Sunday causes tumultuous trading, G20 officials told Reuters.

What's at Stake in the Greek Vote
If a Greek exit from the euro zone looks close to certain after Sunday's election, we will see a full-fledged bank run.

Thursday, 14 June 2012

Thursday 14th June

The End of the World as We Know It
Consider the following scenario. After a victory by the left-wing Syriza party, Greece’s new government announces that it wants to renegotiate the terms of its agreement with the International Monetary Fund and the European Union. German Chancellor Angela Merkel sticks to her guns and says that Greece must abide by the existing conditions.

Analysis: Endless QE? $6 trillion and counting (Reuters) - Many more years of money printing from the world's big four central banks now looks destined to add to the $6 trillion already created since 2008 and may transform the relationship between the once fiercely-independent banks and governments.

Malaysia set to surpass HK in listings
Malaysia is set to vault ahead of Hong Kong as Asia’s largest market for international initial public offerings with the planned flotation of shares in two massive government-linked companies defying a gloomy global listings environment.

Felda Raises $3.1 Billion in Asia’s Biggest I.P.O.HONG KONG– Felda Global Venture Holdings has successfully raised $3.1 billion by selling shares in Malaysia in the world’s second-largest initial public offering this year after Facebook’s botched Nasdaq listing last month.

Avoiding a U.S.-China War
Relations between the United States and China are on a course that may one day lead to war.

China government adviser predicts second-quarter growth below 7 percent
(Reuters) - China's annual economic growth could drop below 7 percent in the second quarter, an influential government adviser said in published remarks on Wednesday, the most pessimistic forecast of any government or private-sector economist.

Putin Restricts Protests with 'Scandalous' New Law
The Russian parliament has passed a new law curtailing the right to protest, which is expected to enter into force before major demonstrations planned for next week. German commentators condemn the attack on civil rights.

Wednesday, 13 June 2012

Wednesday 13th June

Hey, Europe, Here's The Right Way To Bail Out Banks...
Business Insider {}

Myth of Perpetual Growth is killing America
Yes, everything you know about economics is wrong. Dead wrong. Everything. The conclusions of economists are based on a fiction that distorts everything else. As a result economics is as real as one of the summer blockbusters like “Battleship,” “The Avenger” or “Prometheus.”

Market Watch {}

The Germans Have Learned Nothing from History
This Time, Europe Really Is on the Brink

The European Union was created to avoid repeating the disasters of the 1930s, but Germany, of all countries, has failed to learn from history. As the euro crisis escalates, Berlin should remember how the banking crisis of 1931 contributed to the breakdown of democracy across Europe. Action is urgently needed to stop history from repeating itself.

The vicious euro circle keeps turningIt's no good bailing out the banks if you can't bail out the economy. That, in a nutshell, is the judgement that financial markets seem to have been making about Spain in the past few days.
BBC {}

Spain is not Uganda. Discuss.
Spanish Prime Minister Rajoy sent a text to his finance minister in the midst of negotiations on the terms of a bailout for Spain's banks. Urging him to hold out for a good deal, it said: "We're the number four power in Europe. Spain is not Uganda." The remark caused a storm of protest in Uganda and some ironic tweets pointing out Ugandan economic success. So how do the two countries compare?

What were they thinking?

Worthwhile Canadian Initiative {} and {}

Angry Bagmaker Shows China Slowdown Worst In Wenzhou
Bloomberg {}

China Eases the Way -  Following negative data last week, investors were clearly concerned about global growth and anxiously anticipated government actions.  
TheStreet {}

Sky City in Changsa: China plans to build world's tallest tower |
Mail Online {}

Sky City: The developers in Changsa have an ambitious plan to get the gleaming 838m tower in the skies in just 90 days

Global weakness: Are we out of policy tools? -
Economics - AEI {}

Monday, 11 June 2012

Tuesday 12th June

European elites can't stop themselves crashing their own project | Chatham House: Independent thinking on international affairs {}

Spain’s Vicious Circle of Risky Bond Sales -
Madrid Leans on Its Troubled Banks to Buy Its Bonds
'Domestic investors, including banks, pension funds and insurance companies, own 67 percent of Spain’s bonds.'

Ex-PBOC Economist Sees ‘Aggressive’ Monetary Easing On Slowdown
China may cut benchmark interest rates up to two more times this year as part of “aggressive” easing to counter the nation’s slowdown

Germany, Not Greece, Should Exit the Euro
All the debate about the pros and cons of a Greek exit from the euro area is missing the point: A German exit might be better for all concerned.

Bail Fail
Hurried Spanish banking bailout fails to calm market nerves
Spain's borrowing costs rise closer to levels considered unsustainable – dragging Italy towards danger zone
Guardian {} Also Telegraph gives it a month {}

The World from Berlin, Spain Bailout 'Won't Buoy Sentiment for Long'
he hastily arranged bailout of Spain's banks on the weekend won't calm financial markets for long, write German commentators on Monday. The move exposed shortcomings in Europe's crisis-management system and is already being overshadowed by the make-or-break election in Greece next week, they say.

A Sneak Peek at Tomorrow's Europe
European leaders have long insisted they will do everything to save the euro. Now, a plan is forming that would dramatically change the architecture of the European Union. Brussels would be granted a significant say in national budgets and debt would be communalized. But the hurdles such a plan might face are high.

Goldman Sees A 29% Return From Commodities Over 12 Months

China and India 'heading for economic slowdown'UK Telegraph on the Chinese and Indian slowdowns - Note the OECD in the story talks about how things have changed in the “past month”. {}

UPDATE 3-India could be 1st BRIC to lose investment grade-S&P
While we all focus on the European mess India is slowing falling in a hole. S&P says India could be the first BRIC to lose investment grade – Reuters {}

THE country of Wales has returned it to its natural submerged state. {}

Monday 11th June

The Spanish PM gives himself a big wrap for the bailout - El Pais. He then scores an own goal by annoucing that he is off to watch the football at Euro 2012 now that the issues are “resolved” – European politicians are an interesting species.

Chinese Data Show Economic Strength
BEIJING—China's exports and imports both rose sharply in May, while inflation slowed substantially, hopeful signs for the world's second-largest economy.

Playing Until the Germans Lose Their Nerve
For Germany, being part of the European Union has always included an element of blackmail. France has been playing this card from the beginning, but now the Spanish and the Greeks have mastered the game. They're banking on Berlin losing its nerve.

Fibonacci Pigeons

Start the engines, Angela
The world economy is in grave danger. A lot depends on one woman

Friday, 8 June 2012

Friday the 8th

Why cannot other European countries show this courage?
Mainly Macro {}

Spain too big for EU rescue fund as China recoils
As Spain edges closer to a full sovereign rescue, economists have begun to doubt whether the EU bail-out machinery can raise such large sums funds at viable cost on global capital markets.
Telegraph {}

Bernanke Steps on Gold Bugs

President of Estonia Calls Paul Krugman Smug, Overbearing, and Patronizing
Atlantic Wire {}

The Soros aritcle from earlier in the week if you missed it
The Accidental Empire
project-syndicate  {}

Here’s Why China’s Interest Rate Cut Is a Really Big Deal  ~CNBC

Thursday, 7 June 2012

Thursday 7th June

Conservative Spanish Newspaper Blasts French Newspaper For Stoking Panic
In response to French daily Libération's "SOS Spain" front page, the conservative newspaper notes that "despite the alarmism of the European press, the markets enjoyed another day of calm and the risk premium fell below 500 points." Original article in La Razón

'We Like to Live Beyond Our Means'
Greek writer Nikos Dimou analyses the state of his country's psyche, describing the "deep fears that torment the Greek soul." He blames Greek politicians for the current crisis but insists the EU and Germany only have themselves to blame for the resentment that many Greeks feel.

China Wall Hit By Global Banks With 2% Market Share

Europe is in a muddle but it could also hold the solution
There's no easy fix to the crisis. But if finance is to be brought under control, it must be by bodies with power and credibility

China’s Growing Whisky Bubble
To the Chinese stock market and property bubbles, now add the whisky bubble.

The Wrong Austerity Cure
BERKELEY – Fiscal profligacy did not cause the sovereign-debt crisis engulfing Europe, and fiscal austerity will not solve it. On the contrary, such austerity has aggravated the crisis and now threatens to bring down the euro and throw the global economy into another tailspin.

Wednesday, 6 June 2012

Wednesday 6th May

"Monetary Easing" Fixes Nothing
Central banks keep pulling their one lever to "fix" the economy, but nothing is fixed. Monetary easing only compounds the problems.

Robert Skidelsky, an opinion writer for the Moscow Times, argues China will not become a superpower to rival the United States anytime soon

Analysis: G7 must look beyond China for euro zone rescuer
(Reuters) - Finance chiefs of the Group of Seven industrialized powers hoping China can step in to rescue the euro zone must look elsewhere for a white knight as Beijing increasingly focuses on domestic issues this year.

Bad News Piles Up for China's Economy
Bad tidings for manufacturing and services, and weakening consumer confidence: China sure packed a lot of disappointing economic news into just a few days.

IMF says euro needs master plan, not deadline
(Reuters) - Euro zone leaders need a master plan and "collective determination" to rescue the common currency, but not necessarily a deadline, International Monetary Fund Managing Director Christine Lagarde said on Tuesday.

Germany Grapples With Role In Rescue
BERLIN—As Europe careens deeper into political and economic crisis, the immediate survival of the euro turns more than ever on a single question: Will Germany act? G7 takes no action as Spain issues desperate plea
MADRID/TOKYO – Spain said on Tuesday that credit markets were closing to the eurozone’s fourth biggest economy as finance chiefs of the Group of Seven major economies conferred on the currency bloc’s worsening debt crisis but took no joint action.

Securitise the Queen

A Hamptons Handyman Tweets Out The Hilarious And Absurd Requests He Gets From 'Citiots' Every Summer

Tuesday, 5 June 2012

Tuesday 5th June

Germany Signals Crisis Shift
Berlin Begins Outlining Conditions for Sharing More Risk With Other Countries in the Euro Zone

Calm down, calm down

IPads On A Plane Let Scoot Save Fuel By Shedding TV Tons
Scoot Pte is offering Apple Inc. (AAPL) iPads to budget long-haul travelers after ripping out aircraft entertainment systems weighing more than two tons to save fuel.

TOP READ In A Brilliant New Speech, George Soros Reveals The Exact Moment That Angela Merkel Started The Euro Crisis
Joe Weienthal - BI {}

on the above..  
George Soros and the two choices facing Europe

Europe: A few Key Dates this Month

PUTT-HEADS, (Caddyshack style)
Drunk and unruly golfers create a scandal at Atlanta country club

Monday, 4 June 2012

Monday 4th June

Spain could see us out of both Euros
WHILE the market is still betting a solution will be found to the worsening
Spanish bank crisis, there exists a very real possibility these efforts will
fail and that several countries, including Ireland, could be forced out of the
eurozone. {}

A central-bank failure of epic proportions
Free exchange {}

Cyprus Seen Close to a Request for Bailout
NICOSIA—Cyprus looks increasingly set to become the fourth euro-zone country to
seek financial aid under Europe's temporary bailout fund, as early as this
month, as it scrambles to protect its banking system from Greece's widening
financial crisis that is threatening to engulf its tiny island neighbor.

Friday, 1 June 2012

Friday 1st June

Douche Burger, a $666 edible fiscal disaster that piles caviar, lobster & truffles on top of a foie-stuffed, gold-leaf-wrapped Kobe patty, smothers it with Gruyere melted with Champagne steam, and finishes it off with BBQ sauce made using Kopi Luwak coffee that's passed through the digestive tract of the Asian Palm Civet

Old and New China Meet along the Yellow River
Stocks ended May with their largest loss in eight months and commodities also took a battering after a spate of worrying U.S. economic data on Thursday hit markets already reeling from Europe's debt troubles.(Reuters) - {}

The Yellow River, regarded as the cradle of Chinese civilization, winds its way more than 5,000 kilometers from the Tibetan Plateau to its mouth in the Bohai Sea. SPIEGEL travelled the course of the river and discovered how quickly the country is pushing forward with its rise to superpower status -- and how ruthlessly

ALBERT EDWARDS: HAHAHAHA, The Bulls Aren't Laughing Anymore, The Stock Market Will Collapse And All Hope Will Be LostBusinessinsider- {}

The Economic Costs of FearThe S&P stock index now yields a 7% real (inflation-adjusted) return. By contrast, the annual real interest rate on the five-year United States Treasury Inflation-Protected Security (TIPS) is -1.02%.