[Shaved Monkey]

This the headline of the main broadsheet today.
If that doesnt scare the horses I dont know what will
New financial crash 'certain', says former Bank of England governor Mervyn King

$this->bbcode_second_pass_quote('', 'A')nother financial crisis is "certain" and will come "sooner rather than later", the former Bank of England governor has warned.

Mervyn King, who headed the bank between 2003 and 2013, believes the world economy will soon face another crash as regulators have failed to reform banking.

[dolanbaker]

The next potential crisis is also being used to scare UK voters in the Brexit referendum.

$this->bbcode_second_pass_quote('', '
')http://www.bbc.com/news/uk-politics-eu- ... m-35677385
Finance ministers from the world's leading economies have warned of a "shock" to the global economy if the UK leaves the EU.

The ministers gave their opinion in a statement released at the end of a two-day meeting of G20 nations in China.

Chancellor George Osborne, who is at the event, told the BBC the referendum issue was "deadly serious".

But former Chancellor Lord Lawson said the G20's warning was "absurd" because 15 of its members were outside the EU.

Asked if he or his officials had asked for the warning to be included in the statement, Mr Osborne said: "We've got countries around the table like the United States of America, like the IMF, like the Chinese who frankly don't do what anyone tells them to do."

However, Lord Lawson told the BBC: "The British people will not take kindly to being told by the G20 what they should do. And the notion that the UK leaving the EU would cause an economic shock is absurd.

[ennui2]

Not quite yet.

http://www.reuters.com/article/us-usa-s ... SKCN0W34HI

[onlooker]

The NY Stock Market going up may be a bad sign. The luring of the suckers before the crash. Kind of like how in a Tsunami the water recedes before the big wave. Besides the fools, manipulators and wheelers and dealers on the stock market floor are out of touch with reality, they are in the business of selling, selling hopium to buyers of hopium. Even while general contraction dynamics continue for most economies around the world, Wall St. continues to exude confidence. HO HUM.

[Outcast_Searcher]

$this->bbcode_second_pass_quote('pstarr', '')$this->bbcode_second_pass_quote('ennui2', 'N')ot quite yet.

http://www.reuters.com/article/us-usa-s ... SKCN0W34HI

[ennui2]

$this->bbcode_second_pass_quote('pstarr', '
')Which general-beat hack penned this crap?

[Outcast_Searcher]

$this->bbcode_second_pass_quote('pstarr', 'e')nnui I see no economic analysis, no defense of the Reuters and an unfounded attack on Zerohedge? Is that an intelligent response? Or a troll?

The rest is a hodgepodge of redirection. blather and arm-chair psychoanalysis.

[Cog]

Zerohedge predicts doom everyday. Using them as a source with any sort of predictive ability is foolish.

[Outcast_Searcher]

$this->bbcode_second_pass_quote('pstarr', 'O')h by the way: regarding your signature? It's not a glut.



I could prove same causative-correlation for a dozen . . . no one hundred countries worldwide. In each case the collapsing economy is a consequence of high oil prices and continued oil demand destruction.

[vox_mundi]

Citigroup: Prospect of a global ‘recession’ is getting stronger

$this->bbcode_second_pass_quote('', '[')img]https://lh3.googleusercontent.com/-lkmmn2ETOHQ/VtcpBa0Qm0I/AAAAAAAAe70/0P6DPqNgfeg/image%25255B5%25255D.png?imgmax=600[/img]

The risk of a global recession has risen, Citigroup says, as advanced economies such as the U.S. and eurozone show signs of sputtering.

The bank’s analysts have cut their global growth forecast for 2016 to 2.5%, where just in January they pegged it at 2.7%. In the middle of 2015, they predicted growth of 3.4%.

“Allowing for probable mismeasurement in China’s GDP data, ‘genuine’ global growth in 2016 probably will be barely above 2% year-on-year,” the analysts said.

In fact, that reading could even slide below 2%, if the economic weakness seen around the world persists, Citi said, raising the possibility of a recession in 2016. That’s if you define “recession” as growth below 2%, as Citi does; the more common definition is two straight quarters of contraction in gross domestic product.

[dolanbaker]

Brazil's going (further)south!

$this->bbcode_second_pass_quote('', '
')http://www.bbc.com/news/business-35715317
Brazil's GDP fared worse than almost any other major economy in 2015, contracting by 3.8%, according to the national statistics agency IBGE.

Economic growth in the world's seventh-largest economy has fallen sharply in recent months.

This was due partly to low commodity prices and sluggish global growth.

But political paralysis has hampered Brazil's efforts to tackle its economic problems, including a budget deficit that has reached 10.8% of GDP.

President Dilma Rousseff is trying to head off the opposition's efforts to impeach her over alleged accounting irregularities, which means she cannot afford to alienate supporters in her Workers' Party by cutting spending or raising taxes.

Investigations are also continuing into a high-level bribery and corruption scandal involving major construction projects. Ms Rousseff's predecessor as president, fellow Workers' Party politician Luiz Inacio Lula da Silva, is one of the people under investigation.

[Lore]

The high price of oil will not stop humans from burning every other high carbon producing substance on the planet.

[Lore]

$this->bbcode_second_pass_quote('pstarr', '')$this->bbcode_second_pass_quote('Lore', 'T')he high price of oil will not stop humans from burning every other high carbon producing substance on the planet.

[onlooker]

http://www.economic-undertow.com/2016/0 ... s-revenge/
Good article on debt and deflation and the mounting pressures of these. Price discovery and correction is part of what is causing deflation. Another is weak demand. Debt overload exacerbating all this as debt cannot be serviced and defaults becoming more common leading to further devaluation. The final reason is it is dawning on everyone that this is more or less a permanent situation, that limits to growth have been reached and thus reflexively lending will dwindle and economic activity will falter leading to even more deflation. Then at some point as people seek liquidity to salvage investments, prices will rise commensurately. Also prices will rise due to actual resource shortages. Then, we will be left with Stagflation.

[onlooker]

http://thegreatrecession.info/blog/black-swans-economy/
http://www.infowars.com/plunging-manufa ... l-economy/
Two articles on problems with US and the World economy