Below you'll find a list of all posts that have been tagged as “Central bank”
Serial capital raiser Deutsche Bank (which tapped the markets first here in 2008 and then, oopsie, we’re still a little bit short of the readies again here in 2014) is telling anyone who’ll listen that it really doesn’t need any more capital. But who knows? Over to Deutsche’s regional head of Group Audit: Mr Roesch, the regional head of Group Audit, set out, in an …
In the past year the stock markets in China erupted, contracting by nearly 50% in just three months, after having risen in the preceding year by 130%–truly a ‘bubble event’. That collapse, commencing in June 2015, continues despite efforts to stabilize it. Chinese bankers then injected directly $400 billion to stem the decline. Including other government and private sources, estimates …
When you lend When you lend somebody money, they usually have to pay you for the privilege. That has been a bedrock assumption across centuries of financial history. But it is an assumption that is increasingly being tossed aside by some of the world’s central banks and bond markets. A decade ago, negative interest rates were a theoretical curiosity that …
Jack reviews US Federal Reserve Chair, Janet Yellen’s, testimony to Congress this past week. Her overestimation of the health of the US economy and underestimation of the crisis in the global economy are noted, and special attention given to her statement that ‘negative interest rates’ are being prepared for in the US. The logic behind the $6 trillion in negative rates to date in Europe and Japan is debunked. And the negative consequences for the global economy from negative rates are explained. Central banks have gone too far, too long and are now trapped by their own policies, making the global economy worse by the day. Jack reviews evidence of the banking system beginning to crack in Europe (key banks there in trouble) and provides a summary of the ‘global financial fault lines’ from chapter 11 of his recent book, ‘Systemic Fragility in the Global Economy’, and his take on the most vulnerable financial markets. Also addressed is why the US working class is orienting toward Trump (45-54 age group) and Sanders (18-34) with serious implications for the Democrat and Republican establishments.
Seven years after the global financial crisis erupted in 2008, the world economy continued to stumble in 2015. According to the United Nations’ report World Economic Situation and Prospects 2016, the average growth rate in developed economies has declined by more than 54% since the crisis. An estimated 44 million people are unemployed in developed countries, about 12 million more than …
More indicators show growing instability in the global economy, as US economy now appears to be slowing rapidly as well. Jack disassembles US 4th quarter 2015 initial GDP numbers, showing durable goods falling at the fastest rate since 1992, as business spending and inventories and exports continue to pose a problem into 2016. Jack predicts yet another ‘economic relapse’—the fifth in as many years—on the horizon for the US for 2016. Elsewhere, global instability continues to rise: Japan announces surprise negative interest rates, pre-empting Europe’s soon announcement of another QE expansion—which will intensify global currency wars further. China capital flight reaches $1 trillion, and Jack predicts inevitable Yuan devaluation coming. Italian banks in big trouble with more than $350 billion in non-performing bank loans (Europe more than $1.5 trillion). Why economists are confused about the correlation of stock price and oil price collapse occurring now. Jack’s view of unreliability of China stats confirmed by sacking of its statistics director this week, Wan Baoan. Japan stats with resignation of Akira Amani as well. Jack reviews billionaire speculator, George Soros’, predictions at interview at Davos last week, confirming China ‘hard landing’ underway and threat of spreading deflation, which Jack predicted in his book, ‘Systemic Fragility in the Global Economy’.
Jack Rasmus comments on the worried commentary about the global economy today coming out of this week’s World Economic Forum in Davos, Switzerland. The annual meeting of the big capitalists globally is producing a stream of concerned remarks on China, global oil, and drift toward deflation—all topics Rasmus focuses on in the release of his new book, ‘Systemic Fragility in the Global Economy’ , by Clarity Press. (see his blog, jackrasmus.com for sample chapters). Jack then reviews on the show important economic events and news of the past week, including Eurozone Chairman, Mario Draghi’s, pledge to expand QE in March, growing problems in European banks’ loans, capital flight from China and emerging markets, the admitting by the US business press that low oil prices are having no effect on the US economy and early reports that fourth quarter US GDP is coming in at only 0.6% growth according to the Fed and there’s a 50-50 chance of US recession this year.
William White is one of the world’s top economists. He was the head economist for the Bank for International Settlements (BIS) – the world’s most prestigious financial institution, called the “central banks’ central bank – comprised of the world’s central banks. He is now the chief economist for OECD, made up of most of the world’s richest and most powerful …
Gerald Celente breaks down how the talking airheads on business broadcast media keep missing the larger picture of crumbling worldwide economies and the undeniable underlying factors that ultimately will determine economic fate and your bottom line. While future quantitative easing measures or other central bank interventions may temporarily pause the sharp declines in markets worldwide, Global recession and even depression in some countries are unavoidable. Celente tells you what you need to know now.
Prior to the 2008 financial crisis, the Federal Reserve had an important role – to solely act as a “lender of last resort” to traditional commercial banks. But during the crisis, the financial support was extended to many non-banking firms like money market mutual funds, the commercial paper market, mortgage-backed securities market and the tri-party repo market. Besides the extensive …
