“Thousands of Venezuelans fleeing the economic and humanitarian crisis roiling their homeland are facing increasing hostility from their South American neighbors.
“Stricter border rules and mob violence have greeted some migrants as they look for refuge from the chaotic situation in Venezuela.
“The mass exodus is ratcheting up tensions in countries such as Peru, Ecuador and Brazil even as Venezuelan President Nicolas Maduro announces the introduction of “a magic formula” to get his country back on track.”
https://edition.cnn.com/2018/08/20/americas/venezuelan-humanitarian-crisis/index.html
“Hyperinflation is the term used to describe prices spiralling out of control, accompanied by plunging currency values – leading consumers to require wheelbarrows full of money to buy everyday essentials.”
https://www.theguardian.com/world/2018/aug/20/venezuela-bolivars-hyperinflation-banknotes
“Brazil’s far-right candidate Jair Bolsonaro holds a solid lead in the race for October’s presidential election in a new survey on Monday by pollster Ibope… The Brazilian real fell to its weakest in two years against the dollar after the polls showed Lula’s strong support and investors’ favourite Alckmin trailing in the field of main candidates.”
http://www.euronews.com/2018/08/21/brazil-poll-excluding-lula-shows-far-right-candidate-holding-lead
“South Africa’s state-owned Land Bank said on Monday a plan to allow the state to seize land without compensation could trigger defaults… President Cyril Ramaphosa announced on Aug. 1 that the ruling African National Congress (ANC) is forging ahead with plans to change the constitution to allow the expropriation of land without compensation, as whites still own most of South Africa’s land more than two decades after the end of apartheid…”
“During my last appearance on CNBC, before I was banned several years ago, I warned that the removal of massive and unprecedented monetary stimuli from global central banks would have to be done in a coordinated fashion. Otherwise, there would be the very real risk of currency and debt crises around the world. However, coordination among central banks is not what is happening. The Fed is miles ahead in its reversal of monetary stimulus…”
http://www.marketoracle.co.uk/Article62945.html
“…current trends will continue to play out, and Turkey will likely experience even higher inflation, bankruptcies, soaring borrowing costs, more debt and lower growth.”
“An unidentified gunman fired six shots at the US Embassy in Ankara, Turkey, early Monday morning local time. No one was injured in the shooting, but the incident has shaken up both countries, which are engaged in a bitter diplomatic fight over a detained US pastor.”
https://www.vox.com/world/2018/8/20/17759078/turkey-us-embassy-shots-fired-brunson-feud
“…residents and businesses across the Gulf [are] seeing budgets tighten and numbers fall, as a combination of sustained low oil and gas prices and a jumping cost of living hit pockets. Economic growth has slowed or stopped, public debt has been rising and political uncertainty has been clouding the future, with conflict, sanctions and blockades disrupting regional businesses.”
http://www.atimes.com/article/gulf-grapples-with-silent-economic-crisis/
“Iran’s oil minister said on Monday that France’s oil giant Total SA has officially pulled out of Iran after cancelling its $5 billion, 20-year agreement to develop the country’s massive South Pars offshore natural gas field over renewed U.S. sanctions.”
“If India’s banking sector is in a mess, it is not just the lenders who are to blame. The government and the judiciary, too, have had a role in the industry’s massive bad-loan problem, believes Rajnish Kumar, chairman of India’s largest bank, the State Bank of India.”
“Consumer borrowing is accelerating significantly in Thailand and around a quarter of consumers are having trouble making repayments on their debts, with credit cards and car loans the main areas of concern, according to an FT Confidential Research survey.”
“The immediate fate of emerging markets and the global credit system hangs on a word of comfort from Jay Powell at this week’s conclave of central bankers at Jackson Hole. A chorus of analysts warns there will be serious trouble if the new chairman of the Federal Reserve ignores the gathering storm and sticks doggedly to the current path of interest rate rises and quantitative tightening.”
“China’s hot real estate market remains a challenge for authorities trying to maintain stable economic growth in the face of trade tensions with the U.S. In fact, property is the country’s biggest risk in the next 12 months, much greater than the trade war, according to Larry Hu, head of greater China economics at Macquarie.”
https://www.cnbc.com/2018/08/21/china-economy-biggest-risk-may-be-property-market-not-trade-war.html
“President Donald Trump downplayed expectations for this week’s trade talks between US and Chinese officials during an interview Monday and didn’t set a timetable for the end of the trade war with China. During an interview with Reuters, Trump said he did not “anticipate much” would come of the trade talks.”
“Excessive leverage, which was at the root of the financial crisis in 2008 as well as the Asian financial crisis in 1997-1998, has resurfaced in the U.S. market. Leveraged loan volumes are setting new records and nearing $1.4 trillion, making it larger than the $1.3 trillion high-yield bond market.”
“Student loans are now the second-largest category of household debt in America, topping $1.4 trillion and trailing only mortgages at $9 trillion. And while Korn Ferry puts the average starting salary for a 2018 college graduate at $50,390, up 2.8 percent from 2017, the just-released July Consumer Price Index report shows the inflation rate rose 2.9 percent over the last 12 months. Does the phrase “treading water” come to mind?”
https://www.bloomberg.com/view/articles/2018-08-20/student-loans-are-starting-to-bite-the-economy
“It is not just Germany’s economy showing signs of fatigue, as Europe’s recovery is also looking more frayed around the edges these days. The European Central Bank’s super-stimulus programme will soon end and add to the gloom.”
“British households owe almost £19bn in utility bills, missed council tax payments and overpaid benefits, according to figures revealing a hidden mountain facing the country. Putting an estimate on the overall amount owed by people falling behind on essential bills for the first time, the estimate from Citizens Advice comes as UK households are under increasing financial pressure.”
“Though [Greece] is emerging from the bailout program, it remains beholden to its euro zone creditors and the huge loans they have made. These account for the lion’s share of its towering public debt which, at 180 percent of GDP, is the highest in Europe.”
“Italy’s sovereign debt may swell by as much as €9.4 billion if the government goes ahead with plans to nationalise the toll roads run by Atlantia’s unit Autostrade per l’Italia… Autostrade reported €9.4 billion of net debt last year in its financial report. A large bill for the government could prompt another clash with the European Union, which is already concerned about the impact the populists’ fiscal and spending plans could have on Italy’s budget.”
“A new survey reveals that a sizeable portion of auto industry suppliers are expressing concerns regarding a potential Tesla bankruptcy. In a survey of members of the Original Equipment Suppliers Association’s council, obtained by the Wall Street Journal, eight out of 22 respondents — more than one in three — said they were worried about Tesla filing for bankruptcy. Additionally, 18 of the 22 respondents reportedly said in the survey that they believe Tesla to now be a financial risk to their companies.”
http://uk.businessinsider.com/suppliers-worry-about-tesla-bankruptcy-survey-2018-8?r=US&IR=T
