Will the bears forever have a trail of tears ? Time is the answer.
Comments »Can China Actually Drive Global Growth ?
A Round Up of Global PMIs
We all know the global economy is slowing, but these numbers are horrific. Let’s hope we have hit bottom!
Comments »Finland and the Netherlands Vow to Block ESM Purchase of Bonds
“Fears about the imminent collapse of the European financial system appeared to have subsided somewhat since last week’s EU summit, where leaders announced new steps to bolster bank and sovereign funding.
But there could be a big kink in this plan.”
Read more
Mexican Elections Underway
Mexico City (CNN) — Mexicans headed to the polls to vote Sunday in what officials have called “the largest and most complex election day” in the country’s history.
Four candidates are vying for the presidency. Voters will also cast ballots in congressional contests and, in six states, gubernatorial races.
“Never in Mexican democracy have so many posts been at play in the same popular election,” Federal Election Institute President Leonardo Valdes said in a statement.
More than 2,100 federal, state and local offices will be decided by Sunday’s vote, the institute said.
For the first time, more than 79 million people were registered to vote, according to the institute. Among them are 3.5 million young people who will vote for the first time, the institute said.
Nationwide, authorities said there would be more than 143,000 polling stations and more than 13,000 accredited observers.
Read more here:
Comments »ESM To Provide Direct Funding, Breaking Link Between Sovereigns and Banks
“Ireland’s bid to avoid a second bailout may be buttressed by what Prime Minister Enda Kennycalled a seismic shift in European policy.
After 13 1/2 hours of talks ending at 4:30 a.m. in Brussels today, leaders of the 17 euro countries opened the door to recapitalizing banks directly with the European Stability Mechanism, instead of through the government, once Europe sets up a single banking supervisor.
“The fundamental principle of the ESM providing the funding to break the link between the sovereign and the bank has now been established,” Kenny said after the summit.”
Comments »The EU Financial Summit Produces a Bailout for Cyprus, But Clouds Action Over Italy and Spain
As expected, when you do not have many options to choose from you deliberate and disagree over how to move forward; this is the folly that continues at the European financial summit of 27 leaders.
Comments »The State Of Everything That’s Important In The World
$MS just put out a massive presentation analyzing the bull and bear arguments for many asset classes.
Comments »
The ECB Proposes Bank Supervision for the EU Union
The ECB has prepared a report stating procedures and reasons why they should supervise all banks within the region.
Full article
Comments »A Banking Takeover is Working in Spain
“Saddle them with debt, blow them up with derivatives, and then refinance for the crown jewels”
Comments »Despite Global Central Bank Commitment Markets are Worried of a Lost Decade
The markets finally get it. Stimulus does promote growth, but you can still have a Japan style malaise for a decade or more. Only this time it is different since Japan had their lost decade during a global credit expansion; today the world is going through credit deflation.
Comments »FLASH: SYRIA JUST SHOT DOWN A TURKISH JET
The office of Turkish Prime Minister Recep Tayyip Erdogan says it is “understood” that Syria shot down a Turkish military jet. The Syrian military confirmed that it downed the plane “over Syrian territorial waters.”
The office’s statement says Turkey will “decisively” take the necessary measures once all details of the incident come to light, Reuters reports. The search and rescue operation for the missing parts is still underway, the statement says.
“As a result of information obtained from the evaluation of our concerned institutions and from within the joint search and rescue operations with Syria, it is understood that our plane was brought down by Syria,” The Prime Minister’s office stated.
The statement was issued after a two-hour meeting between Erdogan, members of the cabinet and the military.
Rescuers have already found an ejector seat and a parachute in the sea, though there were no signs of the plane itself, Turkish state television reported.
Beware of Greeks Bearing Bailout Wish-Lists
(Reuters) – Greece’s new government promised on Thursday to renegotiate the terms of the country’s bailout without endangering its future in the euro, responding to intense pressure to ease mounting social tensions but also risking a showdown with European powers.
The three-party coalition called for changes to the deal that is helping Greece avoid bankruptcy after the announcement of an 18-member cabinet dominated by the conservative New Democracy party of Prime Minister Antonis Samaras.
READ THE REST HERE AT REUTERS.COM
Comments »Global Q1 TV Shipments Off 8%; LCDs First-Ever Down Quarter
BRIC Countries Discuss Currency Swaps and a Liquidity Pool To Avoid Problems With Euro Crisis
“Brazil, Russia, India and China, the BRIC countries, are back to talking about creating a unified financial system where they can avoid euro and dollar volatility. This time, a pooling of Central Bank dollars from the countries in case liquidity dried up as the world tracks the West’s crisis momentum.
Regardless of the amount of difficulty involved, the big four emerging markets plus South Africa said earlier this week they were considering setting up a foreign-exchange reserve pool and a currency-swap arrangement in an effort to avoid any credit crisis stemming from the advanced economies.”
Comments »The BRIC Countries Help Out Poor Old Europe by Doubling the IMF Firewall Fund
12 Nations have pledged more money than soft commitments given in April. China and Brazil led the way and the IMF now has a firewall fund of around $456 billion.
So technically we have Spain fully covered and now we will have to wait and see what will happen with Italy and Cyprus.
Comments »Greek Elections: Returning to the Unsustainable Status Quo
An analysis of Greece’s near-term future is presented and the author concludes, “I expect the rally to be short, as this election has just returned us to the utterly unsustainable status quo.” The author goes on to predict a collapse of the Greek government by the end of this year.
Read the article here.
Comments »Off Balance Sheet Liabilities Put Underfunded State and City Pension Funds at $4 Trillion
Off balance sheet problems are plaguing every balance sheet known to local, state, and sovereign governments. A confidential report by JPM explores the details.
Comments »Asian Markets Rally on Greek Vote
As Fly has so often proclaimed, the status quo will not just roll over.
The outcome of the Greek election sparked a rally in risk assets in Asia as investors were cheered by the victory of pro-bailout New Democracy party, as the results pushed up both currencies and stocks, with Japan’s Nikkei Average reaching a one-month high.
The winning party has already started informal talks with the country’s socialist party to form a new government, with a cross-party coalition likely to be formed by Wednesday.
Read the article here.
Comments »BIG BROTHER TO THE NORTH- CANADA WIRES AIRPORT TO EAVESDROP ON CONVERSATIONS
Sophisticated cameras and microphones will put passengers at the Ottawa airport under greater scrutiny than ever before.
Photograph by: Mike Carroccetto , The Ottawa Citizen
OTTAWA — Sections of the Ottawa airport are now wired with microphones that can eavesdrop on travellers’ conversations.
The Canada Border Services Agency (CBSA) is nearing completion of a $500,000 upgrade of old video cameras used to monitor its new “customs controlled areas,” including the primary inspection area for arriving international passengers.
As part of the work, the agency is introducing audio-monitoring equipment as well.
