Countries like Germany and Turkey have demanded explanations from the U.S. and U.K. governments regarding the NSA’s and GCHQ’s surveillance and wire-tapping program. But Spain’s Rajoy regime has remained conspicuously silent – despite the fact that this surveillance is a clear infringement of Spain’s domestic and external affairs.
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Jobs Don’t Keep Up With Population Growth, But Unemployment Rate Drops Elegantly, Keeps Intact The Pretext For Fed “Taper”
by Wolf Richter • • Comments Off on Jobs Don’t Keep Up With Population Growth, But Unemployment Rate Drops Elegantly, Keeps Intact The Pretext For Fed “Taper”
When the Fed said it wanted to print more money in order to create jobs, it’s this graph that came to mind. And when it now says that it wants to taper that process because it already created enough jobs, it’s also this graph that comes to mind. Job creation and economic growth were just a pretext – a pretext that has been very crummy.
Bonds Bleed: Largest Bubble In History Unwinds, But The “Great Rotation” Into Stocks Is Deceptive Wall Street Hype
by Wolf Richter • • Comments Off on Bonds Bleed: Largest Bubble In History Unwinds, But The “Great Rotation” Into Stocks Is Deceptive Wall Street Hype
The bond-fund massacre is spectacular. Antsy investors yanked $7.7 billion in August out of the world’s largest bond fund, Pimco’s Total Return Fund. In July, they’d yanked out $7.5 billion, in June $14.5 billion. From May 1 through August 31, the fund’s assets shriveled 14%. Other bond funds got hit too. And September is shaping up to be even worse.
Massive Mission Creep In War On Syria (Already!)
by Wolf Richter • • Comments Off on Massive Mission Creep In War On Syria (Already!)
An American attack on Syria would just be a punitive action for the gruesome gas attacks. “Regime change” wouldn’t be part of it. That was the idea. Now the Senate Foreign Relations Committee voted to authorize President Obama to wage war on Syria, but amendments suddenly set new goals – smack-dab in the middle of a distant lala-land.
The Big Shift: Chinese, Russians Replace People From (Formerly) Rich Countries As Big Spenders At Parisian Airports
by Wolf Richter • • Comments Off on The Big Shift: Chinese, Russians Replace People From (Formerly) Rich Countries As Big Spenders At Parisian Airports
In Paris, “Chinese” has a new meaning: money. This phenomenon shows up by the busload at luxury retailers where sales staff say a few words of bad Mandarin, instead of bad English, in hawking overpriced handbags and glittery baubles. Now Aéroports de Paris has put a number on it. A glimmer of hope for France, though perhaps of the wrong kind.
Spanish Government Caught Erasing Evidence in Corruption Case
by Don Quijones • • Comments Off on Spanish Government Caught Erasing Evidence in Corruption Case
David Stockman: How KKR Stripped The Beds In America’s Largest Hospital Chain With Some Help From Bubbles Ben
by David Stockman • • Comments Off on David Stockman: How KKR Stripped The Beds In America’s Largest Hospital Chain With Some Help From Bubbles Ben
“Bernanke’s maniacal money printing after the Lehman event catalyzed a virtual stampede back into the very same risk-asset classes which had been reduced to smoldering ruins,” David Stockman writes. It produced the craziest junk-bond binge of all times, allowing the mega-buyouts from before the crisis to survive and pay rich fees to the LBO lords.
Bad Hair Day In Two Decades Of German Retail Sales Quagmire
by Wolf Richter • • Comments Off on Bad Hair Day In Two Decades Of German Retail Sales Quagmire
Germany’s industrial conglomerates and the vibrant Mittelstand (privately held enterprises that were world leaders in their niche until the Chinese came along), decorated with real wage declines since the heyday of Reunification… all have been bandied about as economic model for troubled, if unenthusiastic Eurozone countries. But there is a darker side.
Canada Builds Pipelines To Export Oil To Asia (At Higher Prices) As US Stalls on Keystone XL
by Contributor • • Comments Off on Canada Builds Pipelines To Export Oil To Asia (At Higher Prices) As US Stalls on Keystone XL
Abenomics Wins: Budget And Inflation Both Jump (Over The Cliff)
by Wolf Richter • • Comments Off on Abenomics Wins: Budget And Inflation Both Jump (Over The Cliff)
It would be ridiculous if it weren’t so sad: Facing exploding budget deficits and an uncircumnavigable mountain of debt over twice the size of the economy – Japan’s two largest economic problems – the government in its blind devotion to the religion of Abenomics screams, “Damn the torpedoes, full speed ahead.”