Economic Forecast August 2013: Economy Slowing To a Crawl
Written by Steven Hansen
Our
August 2013 Economic Forecast suggests the economy has slowed to a
crawl. Many portions of our economic model are not expanding, and the
government portion is in contraction.
Read more >>
What We Read Today 28 July 2013
Econintersect: Click Read more >> below graphic to see today's list.
The top of today's reading list
discusses the "BRIC bust" ........ and the last article is about how
the defense industry gets what they want through political
contributions.
Don't MessWith Russian Truckers #4
Road rage, DUI and stupidity seem to sometimes dominate the Russians roads as you watch more of the Russian dash cam action.
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Infographics of the Day: American Wine in the 21st Century
Increased
investment in wine-making, a growing cadre of world-class wine
professionals, and the growth of e-commerce and social media have helped
make America the World's most exciting wine market.
The Week Ahead: Are You Ready for Some Action?
by Jeff Miller, A Dash of Insight
In last week's prediction for the week
ahead I guessed that it would be "all about earnings". From a market
perspective that was mostly accurate despite some competing stories:
charges against SAC Capital, fresh speculation about the new Fed Chair,
and the arrival of Prince George.
Gold Market Rebound Gains Strength
by Erik McCurdy, Prometheus Market Insight
In
June, we observed that the cyclical downtrend in gold was declining at
an unsustainable rate following the trading range breakdown in April.
During the final week of June, our analysis indicated that prices had
returned to a level at which the development of a potentially violent
oversold reaction was likely. After forming a short-term cycle low
(STCL) during the final session of June, an intermediate-term cycle low
(ITCL) followed during the second week of July, suggesting that a
sustainable rebound was in progress.
The Great Banking Divide
by Jayati Ghosh, Triplecrisis.com
The Great Recession of 2008 has become a
marker for many turns of the tide, including the relative position of
nations in the global economic hierarchy. Among the many ways in which
emerging economic powers (like the BRICS) are
supposed to be doing better than developed countries in patterns of bank
lending. So while the credit crunch continues for many businesses and
households in the US and Europe, banks in the developing world are said
to be providing larger and larger amounts of credit to enable investment
and economic expansion.
Terminal Velocity (16) 'Show and Tell'
Written by Adam Whitehead, KeySignals.com
The Bank for International Settlements (BIS) was observed preparing the
markets to deal with increased volatility in Terminal Velocity
'Normalization?' Its recent communications have now clarified the
economic implications of this greater volatility. Rising real yields
will exacerbate debt costs in those indebted nations which are unable to
grow fast enough to service their debts[i]. Cutting debts will further
slow economies and produce a negative feedback loop; as has been seen in
the weaker European economies.
Read more >>
Economists Question if QE Can Be Unwound
Econintersect: Two economists posted an essay last week at the Triple Crisis
blog. The title of the piece written by Malcolm Sawyer (University of
Leeds) and Philip Arestis (University of Cambridge and University of the
Basque Country, Spain) was "Quantitative Easing: Can It Be Unwound?" The two have doubts, discussed below.
Steve Keen: U.S. Releveraging is a Mistake
Econontersect: Australian economist Steve Keen has criticized the the course of movement in the U.S. economy in a recent interview posted by Piera.
In Keen's view the U.S. is paying too little attention to what caused
the Great Financial Crisis (GFC) in the first place. He also discusses
why the economic fortunes of the U.S. and the UK have diverged in the
post-crisis period.
Documentary of the Week: Honor the Treaties
Editor's note: We again interupt the four-part series by Birk Bezemer on money operations. Part 3 will be in this spot next week.
Econintersect: This week the
documentary has two parts. The first part is a 2010 Ted Talk by
photographer Aaron Huey which gives a factual history of the Oglala
Lakota Sioux as a part of the United States. The Ted Talk tries to
finish the presentation with an appeal for action. The second part is a
2012 short film by Eric Becker featuring the same Aaron Huey. The Becker
film is an effective documentary for the present reality of the Oglala
Lakota nation and a much more effective call for action. Each of these
videos is approximately 15 minutes in length.
1 in 5 Use Facebook Exclusively From Mobile Devices
by Felix Richter, Statista.com
On Wednesday, Facebook released its
financial results for the second quarter of 2013. The social network
increased its sales by 53 percent to 1.8 billion U.S. dollars in
comparison to the same quarter last year. Profit amounted to 333 million
U.S. dollars. A year earlier, Facebook posted a loss of 157 million
U.S. dollars.
