"There’s a bombshell being delivered here - the European Central Bank is about to stop bailing out eurozone commercial banks. And that could mean another big lender going ‘bust’." — David Stevenson
Blogger’s note: Just like in the U.S. and UK, the European Union’s state bank has been extending easy credit to prevent "temporary" illiquidity in [...]
Tags: banks, bear stearns, credit, ecb, european central bank, eurozone, financial sector, institutions, spain, uk, us
"But while there seems to have been more or less a straight fight between the States and us (the UK) as to who actually plunges into a recession first, within the last few weeks another strong contender for this dubious prize has emerged. The eurozone now looks like it [...]
“A more immediate concern is the growing divergence of European economies. Two big European economies, Italy and Spain, are perceived as more risky than the two core members of the Eurozone, Germany and France.” — Lord William Rees-Mogg
by Lord William Rees-Mogg
Baltimore and London — (TFN): In the last year, the euro [...]
Tags: britain, civil war, currency, dollar, euro, eurozone, Gold, napolionic, united states, us, waterloo
“Fears that the two U.S. mortgage giants, Fannie Mae and Freddie Mac, were on the verge of collapse has seen commentators shrieking about the end of capitalism as we know it. And perhaps they weren’t far wrong.” — David Stevenson
by David Stevenson
Baltimore – (TFN): If you had to come up [...]
“So far HBOS has posted nearly GBP 4 billion (about $7.95 billion) in writedowns from the UK’s failing real estate market. And in lieu of selling chunks of itself to foreign banks to bring capital back into the company, HBOS’s shareholders just voted today to issue 1.5 billion new shares in a rights sale [...]
“In announcing ‘no change’ in rates yesterday, the Fed pretends that its policy is perfectly calibrated to deal with the current economy. In reality however, the Fed is pinned down by a cross fire of inflation and recession.” — John Browne
by John Browne
Baltimore – (TFN): Cheerleaders will face [...]
Tags: china, dow, europe, Fed, federal reserve, house prices, India, inflation, saudi arabia, stock markets, us
“Sulfuric acid prices in March hit a record high of $329/ton, according to Purchasingdata.com, after trading at $90/ton as recently as October.” — Chris Mayer
by Chris Mayer
Baltimore – (TFN): Interesting how certain investment threads come together…
I read recently that copper producers are complaining about the skyrocketing costs of sulfuric [...]
“In the past, you might have expected steel stocks to get hit hard by a U.S. slowdown and open talk of recession. But now there is so much construction taking place, America has become a much smaller piece of the puzzle.” — Justice Litle
Blogger’s note: With a U.S. recession on [...]
Tags: america, brazil, china, etf, justice litle, recession, russia, slx, steel prices, taipan, us
“There appear to be two types of depression, one of which is much stronger and longer lasting than the other. Panics, like those of 1907 or 1987, are steep, but relatively brief; great depressions can last for a decade or more.” — Lord William Rees-Mogg
by Lord William Rees-Mogg, Whiskey [...]
“With the greenback getting clubbed, China shocked the world recently by suggesting it would diversify away from the dollar. To which I simply ask, Into what?” — Louis Basenese
by Louis Basenese
Baltimore – (TFN): The world is short the dollar right now. But that could be a big mistake. The [...]
"They’d watch the jeweller meticulously cast his loupe over their tanzanite, before weighing them for quality. After a wait of an hour or so, they could walk out with as much as $2,000-$3,000 — not bad for two or three weeks’ work." — Jody Clarke
by Jody Clarke
Baltimore [...]
"We’re on track to produce more ethanol than Congress wants. Between the planting seasons of 2007 and 2009, U.S. ethanol production is expected to overshoot by 8.3 billion gallons." — Sara Nunnally
by Sara Nunnally
Baltimore – (TFN): This chart shows projected ethanol production in the billions of gallons (the [...]
“When it became clear that Countrywide’s aggressive lending policies had left it with more junk debt on its books than it could dump on careless institutional buyers, shares of Countrywide fell faster than you can say ‘no-down-payment, stated-income, negative-amortization, adjustable-rate mortgage.’ Shares of the Fed are suffering [...]
"In November 2007, the loonie spiked to a record $1.10 on soaring commodities prices. Recently, however, the loonie has been shedding its strength." — Sally Limantour
by Sally Limantour
Baltimore — (TFN): The Canadian dollar is affectionately known as the “loonie” because of the picture a loon on the coins. And today’s chart is FXC, the [...]
"The largest IPO in U.S. history will happen a day earlier than expected, meaning, as you read this on Tuesday, Visa could be pricing its shares." — Stephanie Grimmett
by Stephanie Grimmett
Baltimore – (TFN): Visa just moved up its IPO date.
The largest IPO in U.S. history will happen a day earlier [...]
"The global credit crisis isn’t just ‘a’ crisis - it’s ‘the’ crisis of our time." — Keith Fitz-Gerald
by Keith Fitz-Gerald
Baltimore – (TFN): Last Wednesday, U.S. Federal Reserve Chairman Ben S. Bernanke told the Senate Banking Committee something that’s becoming more evident by the day, "I don’t know [...]
"You know by now that I’m no Pollyanna. I don’t trust the Fed or the feds. They have placed us in an untenable position with no simple method of escape." — Russell McDougal
by Russell McDougal
Baltimore – (TFN): There has never been a more difficult period in U.S. history to discern the economic times. [...]
"Are we even in a recession now? That’s the current debate, but it’s not exactly timely, more like yesterday’s news. It all boils down to exactly whose statistics you trust." — Russell McDougal
by Russell McDougal
Baltimore – (TFN): It’s best not to mention this particular word in politically correct [...]