Daily updates on climate change and the global economy.

Daily updates on climate change and the global economy.
Stay current with what’s happening around the world with a quick scan of top news.

Daily updates on climate change and the global economy.
Stay current with what’s happening around the world with a quick scan of top news.

Daily updates on climate change and the global economy.
Stay current with what’s happening around the world with a quick scan of top news.

Daily updates on climate change and the global economy.
Stay current with what’s happening around the world with a quick scan of top news.

  • Facebook
  • Twitter
U.S. Banking System Has a $168 Trillion Nightmare Looming. It Was Ignored in Written Testimony for Today’s Senate Banking Hearing

“Wall Street banks have rebuilt that derivatives doomsday machine today – a $168 trillion monster concentrated at four mega banks on Wall Street. But as we read through dozens of pages of written testimony submitted by witnesses for today’s Senate Banking hearing, the word “derivative” did not appear once.”

https://wallstreetonparade.com/2021/08/u-s-banking-system-has-a-168-trillion-nightmare-looming-it-was-ignored-in-written-testimony-for-todays-senate-banking-hearing/


  • Facebook
  • Twitter
Global Banks’ $170 Billion Haul Marks Most Profitable Year Ever.

“Never mind banker burnout, return-to-office headaches, and new pandemic waves. A simple reality stands out for the biggest global investment banks: they’re minting money like never before… JPMorgan Chase & Co. was the standout, earning the equivalent of $131 million a day.”

https://www.bloomberg.com/news/articles/2021-08-03/global-banks-170-billion-haul-marks-most-profitable-year-ever


  • Facebook
  • Twitter
Treasury Dept to invoke ‘extraordinary measures’ as Congress misses debt-ceiling deadline

“Economists say those so-called extraordinary measures will allow Treasury to pay off the government’s bills without floating new debt for two to three months. After that, Congress will need to either raise or suspend the borrowing limit or risk the U.S. defaulting on its obligations.”

https://www.cnbc.com/2021/08/02/treasury-to-invoke-extraordinary-measures-as-debt-ceiling-returns.html


  • Facebook
  • Twitter
New coronavirus wave is giving credence to the risks of a U.S. stagflation-like scenario.

“The spread of the delta variant of the coronavirus in some U.S. states is leading to the possibility that the economy may be heading into a stagflation-like cycle that could complicate the Federal Reserve’s options for tightening monetary policy in the face of the recent rise in inflation.”

https://www.marketwatch.com/story/new-coronavirus-wave-is-giving-credence-to-the-risks-of-a-u-s-stagflation-like-scenario-11628006416


  • Facebook
  • Twitter
US household debt jumps by the most in 14 years to nearly $15 trillion in the second quarter…

“Most of the gain came from mortgage originations, both initial purchases and refinances, which have been on fire as the Federal Reserve has kept benchmark borrowing rates anchored around historic lows… But the swelling debt numbers weren’t just about mortgages, with non-housing balances up $44 billion.”

https://www.cnbc.com/2021/08/03/household-debt-jumps-by-the-most-in-14-years-to-nearly-15-trillion-in-the-second-quarter.html


  • Facebook
  • Twitter
A UK credit crunch is on the cards as shoppers hit the high street again …borrowing is very different post-pandemic…

“There are far fewer credit cards from which to choose, interest rates are higher and fees for spending abroad are more expensive. The median credit card rate increased from 20.9 per cent in the first three months of 2020 to 21.9 per cent in the second quarter of 2021 — despite the Bank of England base rate remaining at an all-time low of just 0.1 per cent.”

https://www.thisismoney.co.uk/money/cardsloans/article-9857277/A-credit-crunch-cards-shoppers-hit-high-street-again.html


  • Facebook
  • Twitter
Yet again the eurozone struggles to keep up with the rest of the world…

“Every time there is a major global recession, the countries sharing the single currency stage the most sluggish and tepid recovery of any major economic bloc… with each turn of the cycle, it emerges a bit poorer, a bit smaller, and a bit weaker – and there is no sign of that changing.”

https://www.telegraph.co.uk/business/2021/08/02/yet-eurozone-struggles-keep-rest-world/


  • Facebook
  • Twitter
The terms of China’s massive loan spree. Research looks at how the world’s largest sovereign creditor lends

“…the contracts are judged by the researchers to be a somewhat odd hybrid of private and public-sector lending standards. This has the potential to hand much more power to the Chinese authorities in the event of things turning sour.”

https://www.ft.com/content/f78ebff8-a4d9-419c-9a76-dcf6cddb3ad9


  • Facebook
  • Twitter
South Korea looks to fintech as household debt balloons to $1.6tn.

“…self-employed workers, who make up nearly a third of the labour force, have seen their incomes reduced sharply due to coronavirus restrictions. Now, after struggling for years to keep a lid on household debts that hit a record Won1,765tn ($1.6tn) in March, Seoul is looking to fintech companies and peer-to-peer lenders for answers.”

https://www.ft.com/content/dde09e0c-f999-4c87-b0a2-51439064f17a


  • Facebook
  • Twitter
North Korea is releasing emergency military rice reserves as its food shortage worsens, South Korea’s spy agency said Tuesday, with a heat wave and drought reducing the country’s supply.

“North Korea’s reported food problems come as its moribund economy continues to be battered by the protracted COVID-19 pandemic.”

https://apnews.com/article/business-health-seoul-coronavirus-pandemic-north-korea-5d4003cf741b7845a32a46439e143780


  • Facebook
  • Twitter
Thai protest leader renews calls for reform of monarchy.

“A protest leader in Thailand has renewed calls for the reform of the country’s monarchy and suggested that time is running out for the powerful institution to respond.”

https://www.independent.co.uk/news/thai-protest-leader-renews-calls-for-reform-of-monarchy-thai-bangkok-harry-potter-maha-vajiralongkorn-parliament-b1896363.html


  • Facebook
  • Twitter
Taliban on brink of taking key Afghan city as residents told to flee.

“Taliban fighters appeared to be on the brink of overrunning the key Afghan provincial capital of Lashkar Gah, as officials confirmed all but one district of the city was under the hardline Islamists’ control and residents were ordered to evacuate.”

https://www.theguardian.com/world/2021/aug/03/fears-for-afghan-city-of-lashkar-gah-as-fierce-clashes-continue


  • Facebook
  • Twitter
Raging Wildfires Provide Bleak Backdrop for Embattled Erdogan [Turkey]…

“Support for the party is already at record lows amid high rates of economic inequality and unemployment, as well as allegations of widespread corruption among officials.”

https://www.bloomberg.com/news/articles/2021-08-02/raging-wildfires-provide-bleak-backdrop-for-embattled-erdogan


  • Facebook
  • Twitter
‘The rage is growing’: Beirut braces itself for protests on first anniversary of port explosion.

“Beirut is bracing itself for widespread demonstrations to mark the anniversary of the port explosion that killed hundreds of people and injured thousands. Families of the victims are expected to be joined by protesters furious at the lack of justice and accountability…”

https://news.sky.com/story/the-rage-is-growing-beirut-braces-itself-for-protests-on-first-anniversary-of-port-explosion-12372101


  • Facebook
  • Twitter
South Africa’s unrest shows that a new age of anger awaits India and Brazil…

“…rage had long been building up in the country, where unemployment stands at record levels (33%), and where many people lack food, power and running water as well as jobs.

“Those same factors will play a central role when — and there is no “if” here — similarly extensive breakdowns occur in India and Brazil.”

https://www.news24.com/fin24/Opinion/opinion-sa-unrest-shows-that-a-new-age-of-anger-awaits-india-and-brazil-20210803


  • Facebook
  • Twitter
Paraguay: Unionized truckers stage protest in Asuncion as part of indefinite nationwide strike.

“Over 500 truck drivers affiliated with the Truckers Federation of Paraguay… have converged on Asuncion with their vehicles from various parts of the country to stage a protest along the Costanera de Asuncion and in front of the National Congress building.”

https://www.garda.com/crisis24/news-alerts/509036/paraguay-unionized-truckers-stage-protest-in-asuncion-aug-2-as-part-of-indefinite-nationwide-strike


  • Facebook
  • Twitter
Amnesty condemns Colombia police brutality after scores of protesters killed.

““The incidents documented were not isolated or sporadic, but rather reflect a pattern of violence on the part of the Colombian authorities, who have responded to the protest with stigmatisation, criminalisation, unlawful police repression and militarisation,” said the report…”

https://www.theguardian.com/global-development/2021/aug/02/colombians-mourn-after-deadly-protests-as-amnesty-cites-unlawful-repression


  • Facebook
  • Twitter
IMF warns on crypto as national currency ahead of El Salvador launch… The IMF has warned on countries using cryptocurrencies as legal tender, just over a month before El Salvador is set to become the first nation in the world to allow bitcoin to pay for everything from haircuts to taxes.

“The Washington-based lender said in a late July blog post that widespread use of cryptocurrencies would threaten “macroeconomic stability”…”

https://www.ft.com/content/c36c45d2-1100-4756-a752-07a217b2bde0


  • Facebook
  • Twitter
Economies reliant on tourism face second Covid summer slump.

“Tourism-dependent emerging economies that were already struggling before the pandemic with stretched finances and ballooning debt are counting the cost of their second successive summer season slump as the spread of coronavirus keeps visitors away.”

https://www.ft.com/content/ab4ad418-ad6f-4dae-a1b1-b7d05369eb3b


  • Facebook
  • Twitter
Just for the record 2020 was the worst year ever for airlines…

“Passenger numbers were down 60.2 percent to 1.8 billion, industry-wide air travel demand (measured in revenue passenger-kilometers, or RPKs) dropped by 65.9 percent and international passenger demand (RPKs) decreased by 75.6 percent compared to the year prior…”

https://www.airlineratings.com/news/just-record-2020-worst-year-ever-airlines/


  • Facebook
  • Twitter
4 ways extreme heat hurts the economy… Summer 2021 will likely be one of the hottest on record as dozens of cities in the West experience all-time high temperatures…

Growth takes a hit… crop yields drop… energy use soars… education and earnings suffer…”

https://theconversation.com/4-ways-extreme-heat-hurts-the-economy-164382


  • Facebook
  • Twitter
The risks of endless quantitative easing

“…even if monetary policymakers are not overly concerned about high asset prices or inflation, they should be worried about another risk that prolonged QE intensifies: the government’s fiscal exposure to future interest-rate hikes.”

https://www.livemint.com/opinion/online-views/the-risks-of-endless-quantitative-easing-by-weighty-central-banks-11628017015352.html


You can read the previous ‘Economic’ thread here. I’ll be back tomorrow with a ‘Climate’ thread.

If you found value in this content, please help me continue this work by becoming a patron of my work via patreon.com.

Share This

Share this post with your friends!