More than a year after hyperinflating banana republic Venezuela stopped reporting official inflation data, Venezuela has stopped publishing money supply data, depriving the general public of the last, and best, available tool to ascertain soaring inflation in what has become the world's worst-performing economy.
Rex Tillerson plans to skip an April 5-6 meeting of NATO foreign ministers for a U.S. visit by the Chinese president and will travel to Russia later in the month, U.S. officials said on Monday, a step allies may see as putting Moscow's concerns ahead of theirs.
Attempting to spend a nation to prosperity using borrowed money is not without consequences. In the short run, an illusion of wealth can be erected. In the long run, that illusion slips into decay and disrepair.
World stock indexes surged to record highs on Thursday while the dollar traded close to a one-month low after the Federal Reserve hiked U.S. interest rates but signaled no pick-up in the pace of tightening, while the Dutch elections were broadly interpreted as a drop in support for Europe's anti-establishment powers.
Logic and current trends suggest that declining output growth accompanied by higher prices will begin hitting economies and facing policy makers in the coming years. Markets should begin sniffing out this stagflationary macroeconomic setup this year.
In a second salvo against the strong dollar on the same day, Bloomberg reports that during his first appearance at next week's G-20 meeting in Baden-Baden, Germany, Treasury Secretary Steven Mnuchin plans to drive home the message that the U.S. won’t tolerate countries that engage in currency devaluation to gain an edge in trade.
"Non-financial corporate leverage is too high," PBOC Governor Zhou Xiaochuan told reporters at a news conference adding that China's deleveraging process "won't have very obvious results in the short-term because the existing stock (of debt) is very large."
The Great American Escalator is broken - and it badly needs to be fixed. With the election of 2016, Americans within the bubble finally learned that the 21st century has gotten off to a very bad start in America. Welcome to the reality. We have a lot of work to do together to turn this around.
There is no such thing as good monetary policy. There is no such thing as effective monetary policy, or monetary policy that does no harm. There are only the times when most people see no overt symptoms, when they don’t realize the damage being done.
The GDP of China’s northeastern industrial province of Liaoning collapsed by 23% in nominal terms once it was no longer able to "cook its books" and suggested that - if extrapolated to the rest of China - the data in the world's second biggest economy is nothing short of catastrophic.