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Monthly Archives: April 2012

Eurozone Consumer Confidence Falls Out of Bed

Economic confidence in the euro region declined more than economists had forecast in April, as the region’s slump showed signs of deepening.

An index of executive and consumer sentiment in the 17- nation euro area fell to 92.8 from a revised 94.5 in March, the European Commission in Brussels said today. Economists had forecast a drop to 94.2 from a previously reported 94.4, the median of 29 estimates in a Bloomberg News survey showed.

Europe’s economy is faltering as spending cuts across the region undermine hiring andconsumer confidence. Deutsche Bank AG, Germany’s largest bank, today reported a 33 percent drop in first-quarter profit, with Chief Executive Officer Josef Ackermann calling investors’ “risk appetite markedly lower.”

“With more austerity in the pipeline and the debt crisis still unresolved, any significant pickup in economic confidence in the remainder of this year might fail to occur,” said Martin van Vliet, an economist at ING Group in Amsterdam. “This could jeopardize a return to modest positive growth later this year.”

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South Korea’s GDP Grows 0.9%; Won Rises

South Korea’s economy expanded at the fastest pace in a year even as austerity measures in Europe and a slowdown in China cloud the outlook for exports. Stocks and the won rose.

Gross domestic product rose 0.9 percent in the first quarter from the previous three months, when it gained 0.3 percent, the Bank of Korea said today. That matches the median estimate of 13 economists surveyed by Bloomberg News.

Government spending and investments by semiconductor chip makers boosted the economy as European nations stepped up efforts to ease a debt crisis that has crimped Asian exports. The U.K. sinking into its first double-dip recession since the 1970s highlights the threat that global demand will falter as developed nations cut spending to improve their finances, andBank of Korea Governor Kim Choong Soo said last week that “downside risks” will probably remain high for some time….”

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The Yen Strengthens Overnight; First Up Day in 4

“The yen gained for the first time in three days against the euro and dollar as a report showed economic confidence in the euro region fell in April, boosting demand for the safety of the Japanese currency.

The pound strengthened to the highest level in more than seven months against the greenback after U.K. consumer confidence climbed more than economists estimated. The yen reversed two days of declines even before the Bank of Japan (8301) meets tomorrow, with economists saying policy makers will unveil new easing measures. The implied volatility of three-month options for Group of Seven currencies fell to its lowest level in more than four years.

“Yen direction will remain mainly driven by safe-haven demand linked to developments in the euro zone,” said Lee Hardman, a foreign-exchange strategist at Bank of Tokyo- Mitsubishi UFJ Ltd. in London. “The yen’s sell off on the back of BOJ easing speculation was overdone. If the euro-zone debt crisis continues to reintensify, then it is likely the yen will strengthen further despite ongoing easing.”

The yen gained 0.5 percent to 80.91 per dollar at 7:43 a.m. New York time. It strengthened 0.6 percent against the euro, to 106.92. The U.S. currency was little changed at $1.3215 per euro after reaching $1.3263, the weakest level since April 3…”

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A Response to “If I Wanted America to Fail”

One response i found from my email chain:
If i wanted america to fail i’d give tax breaks to the wealthiest people.
The biggest companies i’d let pay no taxes at all, then i’d take that deficet and make the poor and middle class pay for it, and errode all safety nets.
If i wanted america to fail, i’d start wars for no reason, with borrowed money, then i’d give no bid contracts to my golf buddies so they could charge 10 times what it would cost the army to do.
i’d make sure the soldiers didn’t have the right equipment, and when my golf buddies electricute the soldiers in the showers they built, i’d make sure no one was held accountable, and renew their contract.
If i wanted america to fail i’d start torturing prisoners to make sure we had future enemies.
If i wanted america to fail i’d let big banks get even bigger, i’d give them free money, and encourage them to play roulette with it.
If i wanted america to fail i’d make sure that only the wealthiest people and companies got things done in congress,and that the people’s wishes were ignored.
If i wanted america to fail i’d convice people that the most abundent energy source (solar).. was impossible, and subsidise the most profitable companies in the history of mankind (big oil.)
i’d stick with old ideas, and push away the new.
After fukishima i’d advocate building more nuclear plants, and laugh at the idea of implementing any lessons learned, i’d keep the one’s on fault lines open and laugh and demonize people who wanted them closed.
i’d pollute the air and water more and more, and point to an owl story to justify it.
i’d devalue the environment,
i’d make sure the citizens could’nt afford health care,
i’d make sure they couldn’t collective bargain, i’d make sure their wages fell,
i’d take away their seeds for growing real food, and make sure to poison their children with more pestisides,
i’d turn their drinking water into undrinkable water… And i’d vote republican
 
Sent from iPhone

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To Be Egalitarian or Not To Be

Some night cap reading. For some blood will boil. For others their hearts will warm. Make of this report what you will.

Source

“World population needs to be stabilised quickly and high consumption in rich countries rapidly reduced to avoid “a downward spiral of economic and environmental ills”, warns a major report from the Royal Society.

Contraception must be offered to all women who want it and consumption cut to reduce inequality, says the study published on Thursday, which was chaired by Nobel prize-winning biologist Sir John Sulston.

The assessment of humanity’s prospects in the next 100 years, which has taken 21 months to complete, argues strongly that to achieve long and healthy lives for all 9 billion people expected to be living in 2050, the twin issues of population and consumption must pushed to the top of political and economic agendas. Both issues have been largely ignored by politicians and played down by environment and development groups for 20 years, the report says.

“The number of people living on the planet has never been higher, their levels of consumption are unprecedented and vast changes are taking place in the environment. We can choose to rebalance the use of resources to a more egalitarian pattern of consumption … or we can choose to do nothing and to drift into a downward spiral of economic and environmental ills leading to a more unequal and inhospitable future”, it says.

At today’s rate of population increase developing countries will have to build the equivalent of a city of a million people every five days from now to 2050, says the report. “Global population growth is inevitable for the next few decades. By 2050, it is projected that today’s population of 7 billion will have grown by 2.3 billion, the equivalent of a new China and an India.”

But the sheer number of people on earth is not as important as their inequality and how much they consume, said Jules Pretty, one of the working group of 22 who produced the report. “In material terms it will be necessary for most developed countries to abstain from certain sorts of consumption, such as CO2. You do not need to be consuming so much to have a long and healthy life. We cannot conceive of a world that is going to be as unequal as it is now. We must bring the 1.3 billion people living on less than a $1.25 a day out of absolute poverty. It’s critical to slow population growth in those countries which cannot keep up with services.”

The report gives the example of Niger in West Africa which has increased life expectancy in the past 30 years but is doubling population every 20 years. “Even assuming its total fertility rate (Tfr) falls to 3.9 by 2050, which may be optimistic, the population will grow from 15.5 to 55.5 million by 2050. A future in which population increase outstrips the production of food and other necessities of life is a real possibility for Niger. It is difficult to see a bright future for the country without sharp reductions in fertility and population growth together with increased investment in health and education,” it said.

Most of the global population growth in the next century will come from the 48 least developed countries, of which 32 are in Africa, said Ekliya Zulu, one of the authors and president of the Union for African Population studies. “Taking Africa alone, the population will increase by 2 billion this century. If we fail and fertility levels do not go down to 2.1, (from 4.7 now) the population [there] may reach 5.3 billion. When we slow down population growth we empower women and provide more money for least developed countries to invest in education. The majority of women want fewer children. The demand to reduce fertility is there”, he said.

The authors acknowledge that it would take time and massive political commitment to shift consumption patterns in rich countries, but believe that providing contraception would cost comparatively little. “To supply all the world’s unmet family planning needs would be $6-7bn a year. It’s not much. It’s an extremely good investment, extremely affordable. To not provide family planning is an infringement of human rights”, said Sulston.

The authors declined to put a figure on sustainable population, saying it depended on lifestyle choices and consumption. But they warned that without urgent action humanity would be in deep trouble. “The pressure on a finite planet will make us radically change human activity”, said Pretty.

“The planet has sufficient resources to sustain 9 billion, but we can only ensure a sustainable future for all if we address grossly unequal levels of consumption. Fairly redistributing the lion’s share of the earth’s resources consumed by the richest 10% would bring development so that infant mortality rates are reduced, many more people are educated and women are empowered to determine their family size – all of which will bring down birth rates”, said an Oxfam spokeswoman.”

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Will Obama Do a Merlin on CISPA ?

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“The White House has officially announced that the Obama administration is opposed to the controversial Cyber Intelligence Sharing and Protection Act, or CISPA, expected to go before Congress this week. But does it really matter?

The Obama administration has formally condemned the latest Internet legislation up for vote, but this week a top White House official confirmed that the commander-in-chief’s closest officers are opposed to the bill. If Americans learned anything from the president’s under-the-table signing of the National Defense Authorization act last year though, it’s that decrees from underneath President Barack Obama can be reversed as quickly as announced.

The United States Congress could vote on CISPA as early as this week, which is the next step towards sending the bill to the White House for the president to sign into law. Alec Ross, a senior adviser for innovation to Secretary of State Hillary Clinton, reiterates to the Guardian this week that top officials underneath President Obama are pushing to keep the legislation from being signed.

“The Obama administration opposes CISPA,” explains Ross. “The president has called for comprehensive cybersecurity legislation. There is absolutely a need for comprehensive cybersecurity legislation.”

What CISPA’s supporters are asking for in Congress does much more than just implement measures to make America’s online infrastructure safe for terrorism threats, though. If approved, CISPA will let both private companies and the federal government alike infiltrate personal conversation carried out over the Internet and eavesdrop on Americans from coast-to-coast under the guise of cybersecurity.

Ross adds to the Guardian that the White House is telling Congress, “we want legislation to come with necessary protections for individuals,” which, as other anti-CISPA critics will vouch for, won’t be a reality if lawmakers approve the bill this week.

Despite insistence from the Obama administration though, will the president follow through with plans to push CISPA off Capitol Hill?…”

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Heads Up: Two Recent IPOs For Your Consideration – $SPLK & $BLOX

I have mixed feelings over IPOs in general. It depends on my mood.  BI  has presented two companies that recently went live and seem to be doing well. You of course must do your own homework, but they appear to be very intriguing business models and as with many IPOs if they peak my interest i track them for a while to see what develops.

BI Piece

 

 

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Meredith Whitney: State Finances Are Still Doomed, And These Three States Are In The Most Trouble

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“Meredith Whitney was on CNBC’s Closing Bell today.

Jeff Cox at CNBC.com spotlights one area where she’s wildly bullish. She likes the agriculture and commodity states that are ‘right-to-work’ where businesses are creating jobs:

“I am wildly bullish on the U.S. in particular markets…I think the U.S. market looks terrific (though) as a collective the U.S. market is not going to grow all together,” she said during a “Closing Bell” interview.

“There’s opportunity from Texas all the way up to North Dakota, and you can play every industry on that basis,” she added. “It’s the agriculture-commodity belt — also the Right to Work states. That’s where businesses are moving because it’s easier to operate and create jobs. So you see a massive demographic shift to those areas.”

But there are three stats in particular she doesn’t like: California (which is the worst) followed closely by Illinois and New Jersey. In Illinois, in particular, she cited something new about parents being forced to pay for school busses because finances have gotten so bad.

Some other points she made: (video)

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BREAKING: EPA OFFICIAL’S ‘PHILOSOPHY’ ON OIL COMPANIES: ‘CRUCIFY THEM’

April 25, 2012

Sen. James Inhofe (R-OK) took to the Senate floor today to draw attention to a video of a top EPA official saying the EPA’s “philosophy” is to “crucify” and “make examples” of oil and gas companies – just as the Romans crucified random citizens in areas they conquered to ensure obedience.

Inhofe quoted a little-watched video from 2010 of Environmental Protection Agency (EPA) official, Region VI Administrator Al Armendariz, admitting that EPA’s “general philosophy” is to “crucify” and “make examples” of oil and gas companies.

In the video, Administrator Armendariz says:

“I was in a meeting once and I gave an analogy to my staff about my philosophy of enforcement, and I think it was probably a little crude and maybe not appropriate for the meeting, but I’ll go ahead and tell you what I said:

“It was kind of like how the Romans used to, you know, conquer villages in the Mediterranean.  They’d go in to a little Turkish town somewhere, they’d find the first five guys they saw and they’d crucify them.

“Then, you know, that town was really easy to manage for the next few years.”

“It’s a deterrent factor,” Armendariz said, explaining that the EPA is following the Romans’ philosophy for subjugating conquered villages.

Soon after Armendariz touted the EPA’s “philosophy,” the EPA began a smear campaigns natural gas producers, Inhofe’s office noted in advance of today’s Senate speech:

“Not long after Administrator Armendariz made these comments in 2010, EPA targeted US natural gas producers in Pennsylvania, Texas and Wyoming.

“In all three of these cases, EPA initially made headline-grabbing statements either insinuating or proclaiming outright that the use of hydraulic fracturing by American energy producers was the cause of water contamination, but in each case their comments were premature at best – and despite their most valiant efforts, they have been unable to find any sound scientific evidence to make this link.”

In his Senate speech, Sen. Inhofe said the video provides Americans with “a glimpse of the Obama administration’s true agenda.”

That agenda, Inhofe said, is to “incite fear” in the public with unsubstantiated claims and “intimidate” oil and gas companies with threats of unjustified fines and penalties – then, quietly backtrack once the public’s perception has been firmly jaded against oil and natural gas.

SOURCE

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