"It's been unusual," is the subtle jab that former Democratic presidential candidate Al Gore took at the angst between Hillary and Bernie. As CNN reports, the inconvenient truth-seeker declined to endorse either Hillary Clinton or Bernie Sanders, decrying the tone of the 2016 campaign but alluding only to "signals" that he's received soliciting his support.
An EU plan that would extend visa-free travel privileges to Turkey as of July 1 will be delayed over worries Ankara won't meet the key conditions on time. Deutsche Welle adds that "Chancellor Angela Merkel is in no mood to budge" in what is the first actual indication of resistance by the German to the increasingly more whimsical demands by the Turkish president.
What could go wrong - The most expensive market ever and the biggest hockey-stick earnings hype ever?
Ahead of the last two recessions, hiring by staffing agencies (ie: temp help) rolled over - it's now happening again.
Six months ago we explained why the neocons hate Donald Trump and with his meteroric rise that dislike has only grown stronger and more desperate (and we suspect Trump's view of the hawkish warmongers has risen right alongside it). In fact, as The Hill reports, the rise of Donald Trump is threatening the power of neoconservatives, who find themselves at risk of being marginalized in the Republican Party. Whereas neoconservatism advocates spreading American ideals through the use of military force, Trump has made the case for nationalism and a smaller U.S. military footprint. Trump, for all his contradictions, gives voice to the “isolationist” populism that neocon confederates despise, and which is implanted so deeply in the American consciousness. Why us? Why are we paying everybody’s bills? Why are we fighting everybody else’s wars? It’s a bad deal! And that is why neocons hate The Donald.
Unfortunately, for Mr. Rosengren, since the average American was never allowed to actually deleverage following the financial crisis, and still living well beyond their means, economic growth will remain mired at lower levels as savings continue to be diverted from productive investment into debt service. The issue, of course, is not just a central theme to the U.S. but to the global economy as well. After seven years of excessive monetary interventions, global debt levels have yet to be resolved. If the Fed does proceed in hiking rates in the current environment, it will likely be a “policy error” which will be regretted in the not too distant future as debt service costs rise thereby further reducing consumers ability to “consume.”
After the US Manufacturing PMI plunged to 7 year lows today, we thought it relevant to remind everyone just how robust the economy is by showing the 10 companies that have cut jobs so far in 2016.
"That will precede a more general splintering to come of the republic, first by demographics, then by territory. The most exceptional thing about the US has been the rapidity of its rise and now fall in the roll-call of empires. We barely had time to put together a coherent culture that historians of the future (enjoying ratatouille with fresh rat by firelight) could identify, and now it’s all percolating into a dreadful maelstrom in which one catches glimpses of the Kardashians, PT Barnum, Betsy Ross, Davey Crockett, and Eleanor Roosevelt amid the detritus of broken Tupperware and flapping pages of the Affordable Care Act. What a goddamned mess we’ve left to posterity."
Today we got confirmation how much of an uphill climb the Temer administration will have when Brazil's Folha de S. Paulo newspaper reported that it has had access to recordings of conversations that took place in March between then-senator Romero Juca and current minister, and a former executive linked to state-run oil company Petrobras. In the conversations, the minister allegedly says a change in federal government leadership would lead to an agreement to prevent the wide corruption probe dubbed Carwash from proceeding.
We have reported for years that Russia and China have been doing everything they can to displace the use (and influence) of the US dollar. Of course, as the US has been playing geopolitical games, China and Russia have been working on strengthening their relationship with one another. At the end of 2015, China had become Russia's biggest oil customer, and as of April, Russian oil shipments to China hit a record high. Russia has also surpassed Saudi Arabia as the biggest crude exporter to China.
The errors of Keynes have empowered sociopathic political classes all over the world and deprived the world of the economic progress we would otherwise have enjoyed. No amount of stimulus ever seems to be quite enough. And when the stimulus fails, the blinkered Keynesian establishment can only think to double down, never to question the policy itself. The Keynesians are pretending they have everything under control, but we know that’s a fantasy. Simply put, "Keynes must die so the economy may live."
A month after admitting to rigging precious metals markets, Deutsche Bank has been hit with a double-whammy of more alleged fraudulent behavior today and the stock is sliding. First, Reuters reports that the bank took a charge of 450 million euros for "equity trading fraud," and then Bloomberg reports that The SEC is looking into Deutsche's post-crisis mortgage positions.
"Everyday we read headlines on what the central banks are doing. But their policies don’t have any effect. They are just like treading water. All the central banks are doing is substituting one form of debt with another form of debt... I think it means the business of central banks is like pornography: It’s not the real thing."
Baltimore police officer Edward Nero was acquitted on moments ago of all charges in the 2015 death of black detainee Freddie Gray, an incident that triggered rioting and protests and fueled the Black Lives Matter movement.