by Wolf Richter • • Comments Off on Who Will Be Assigned To Eat The Losses ‘Hidden’ On China’s Balance Sheets?
Transferring bad debt from local governments to the central government does not address the cost of resolving the bad debt. Because bad debt doesn’t just disappear.
Money has no moral compunction, moves with ease from drug traffickers into mega construction projects, and politicians need it for campaigns and other purposes.
So let’s get one thing straight. Uber is not an exciting entrepreneurial endeavor. Quite the opposite. It’s backed by three of the largest corporations in the world, all merged together to again outspend the underdog and disrupt the middle class.
by David Stockman • • Comments Off on The Wall Street ‘Escape Velocity’ Scam: GDP Forecasts Fizzles Again
Nothing is more predictable than Wall Street economists proclaiming early each year that money printing will finally work, that GDP growth will hit “escape velocity.” But this year, the markdowns are fast and furious.
Buyers from China are the most prolific, spending 72% more than a year ago! On expensive homes. They benefit from the devaluation of the dollar – according to the NAR – and are desperate to get their money out of China.
According to the official story, the people of Europe will benefit enormously from the banking union; it imposes greater control and tighter regulation of the banks and saves taxpayers from having to bail them out. Or so it would seem.
Natural gas consumption in the US could soar by 19% to 31% over the next five years due to a wave of planned industrial projects. But what would that do to the price?
Orders for capital equipment – a measure of future capital expenditures and a feverishly awaited sign that Japan Inc. has finally started investing in Japan rather than just overseas – were “shocking.”
FICO: “That doesn’t feel like a healthy, sustainable growth situation.” Lenders fret “about the risk in mortgages” as consumers return to “reckless borrowing.”
