Roberto Abraham Scaruffi

Monday 9 February 2015


Understanding the Current Account, Capital Account and the Value of the Currency

Fixing the Economists Article of the Week
by Philip Pilkington
One thing that I notice on the blogs is that I don't think I have ever seen anyone give a clear description of the external trade account of a country. Nor have I seen anyone give a clear explanation of what determines the value of a given currency. Now, I am sure that you can find some mainstream garbage where the external account always tends toward equilibrium and so forth. But that is obviously useless nonsense and anyone who has ever looked at the trade balances of countries and the currencies of those countries knows it.

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What We Read Today 08 February 2015

Econintersect: Every day our editors collect the most interesting things they find from around the internet and present a summary "reading list" which will include very brief summaries (and sometimes longer ones) of why each item has gotten our attention. Suggestions from readers for "reading list" items are gratefully reviewed, although sometimes space limits the number included.
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The Week Ahead: Time for Risk On?

by Jeff Miller, A Dash of Insight
With a modest schedule of data releases, we can expect more analysis of last week's news. Trading in several markets changed course rather abruptly. With traders poised to spot any change in trend, the question will be whether this shift is for real.
Is it finally time for "Risk On"?
risk-on



Homelessness In Washington DC Reaches Record Levels


Washington DC is struggling for answers after figures reveal that a record 4,000 people now live in the capital's homeless shelters.It is an expensive and complex problem for the city as authorities are legally required to provide shelter for those in need when temperatures fall below freezing. As many as 12 new homeless families contact the city for help every night. Anthony White is one such man who has fallen into the homeless trap: "I feel hurt on the inside, I do not feel like a man



A Word from This Newsletter's Sponsor for 08 February 2015

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Earnings and Economic Reports: Week Starting 09 February 2015

Written by Merlin Rothfeld, Online Trading Academy
Econintersect: Here is a day-by-day rundown of the global economic calendar events for the coming week and the important earnings announcements each day, as well.
Video presentation follows the Read more >> jump.merlin-rothfeld-ptr-380px

Merlin Rothfeld


There Were More Measles Cases In January Than the Whole Of 2012

from Felix Richter, Statista.com
by Niall McCarthy
Everybody's talking about measles right now.



The Only Economic Theory That Works Is Theory of What's Happening Now

by Lee Adler, Wall Street Examiner
Conomists think that just because they saw something happen once, it's universal truth. News flash. The only constant is change. In every era we must connect the dots to figure out what makes sense now, not what made sense in the last cycle or, worse, 80 years ago.

Read more >>



Steinbruck on Greece - It's Politics, not Economics!

by Dirk Ehnts, Econoblog101
Former German finance minister Peer Steinbruck (Social Democrat) has given an interview to tageszeitung's Ulrike Herrmann. It was very revealing. Since the interview was published in German, let me translate a few phrases and put them into context. Comments are open, so if you think that I mistranslated or put the extracts out of context, voice your critique! The first snippet comes in response to Herrmann quoting Varoufakis, who said that the Greeks can't pay anyway.



Trefis: Highlights Week Ending 06 February 2015

Written by Trefis
Below is a summary of the activity at Trefis during the past week that Trefis thought Econintersectreaders would find interesting.
Trefis is a financial community structured around trends, forecasts and insights related to some of the most popular stocks in the US. It provides the unique feature of allowing the user to model future valuation based upon projected changes in components of each business. It also provides communication capabilities among members, including consensus of member analysis compared to Trefis staff analysis and blogging opportunities for members.

Click on graphic for larger image and go to Trefis interactive page.
Click "Read more..." to see our clickable table of contents with the most covered companies (more than 1 article) of the week identified. 


Farm Income's Impact On The Midwest Economy

from the Chicago Fed
During the first four years following the Great Recession (which ended in mid-2009), farmers and ranchers generated the highest levels of real agricultural income since 1973, which contrasted sharply with the uneven fortunes of the broader economy over this span. Yet, since mid-2013, the incomes of crop producers have decreased, while those of livestock producers have increased, as crop (and feed) prices have fallen dramatically, mostly as a result of record or near-record harvests.



Growth Around The World Is Still Below The Trend; USA Faring Better Than Most

by Juan M. Sanchez - The Regional Economist, Federal Reserve Bank of St. Louis
The recovery of the U.S. economy from the 2007-09 recession has been slow but uninterrupted. Unfortunately, the same cannot be said about other regions in the world. Put in the context of international headwinds, the U.S. recovery looks stronger and the projected growth for this year more valuable to overall world growth. As will be seen below, more of the world's new output will be generated by the U.S. in 2014-2015 than in 2000-2007.



Investor Bulletin: Protecting Your Online Brokerage Accounts From Fraud

from the Securities and Exchange Commission
The SEC's Office of Investor Education and Advocacy is issuing this Investor Bulletin to help investors protect their online brokerage accounts from fraud. As with all web-based accounts, investors should take precautions to help ensure that their online brokerage accounts remain secure. These online security tips can help.



USA Shines Despite Dim Global Outlook

from the Dallas Fed
Weakness in the euro area, Japan and some emerging economies (especially oil-exporting countries) has dimmed the global outlook. The International Monetary Fund (IMF) lowered growth expectations further in its World Economic Outlook (WEO) update of January 2015, following a substantial downward revision in the October 2014 WEO. The IMF projects 3.5 percent annual growth in 2015 and 3.7 in 2016, down 0.3 percentage points in both years.



The U.S. Airports Where The Most Guns Get Confiscated

from Felix Richter, Statista.com
by Niall McCarthy
Scissors, deodorant spray and bottles of drinking water make up the bulk of items confiscated by the Transportation Security Administration (TSA) at U.S. airports every day.



Infographic Of The Day: 15 Shocking Things Happening Every Minute

This infographic reveals 15 intriguing things that occur each minute on the Earth.