“Food prices are already at a 10-year high. There’s no relief coming in 2022, a grim new report says.
“Upward pressure on global food prices, fueled by a perfect storm of unpredictable weather, rising consumer inflation, and an energy and labor crisis, is unlikely to let up anytime soon, says Dutch bank Rabobank—even with prices already sitting at 10-year highs.”
https://fortune.com/2021/11/30/food-prices-high-2022-wheat-rabobank/
“Gas prices could double next year, JP Morgan oil analysis predicts…
“A report written by Christyan Malek, J.P. Morgan’s head of oil and gas research, said the price of oil could go up to $125 next year. The J.P. Morgan analysis was published on Nov. 29 and is predicting crude prices will average $88 per barrel in 2022 before “overshooting” to the $125 price point.”
https://www.wfla.com/wfla-plus/gas-prices-could-double-next-year-jp-morgan-oil-analysis-predicts/
“Could the Fed trigger the next “financial crisis” as they begin to hike interest rates?
“…Currently, the world is awash in financial alchemy. There is… a record number of companies unable to cover their interest expense from profits… Our research has documented that the world has never been less prepared or less equipped to deal with a possible outbreak of inflation or pull-back in Federal largesse.”
“Jailed for 51 weeks for protesting? Britain is becoming a police state by stealth…
“The last-minute amendments crowbarred by the government into the police, crime, sentencing and courts bill are a blatant attempt to stifle protest, of the kind you might expect in Russia or Egypt.”
“UK economy to return to anaemic growth as cost of living crisis spikes Brits.
“A triple threat of a worsening cost of living crisis, higher interest rates and a pulling of government Covid-19 support will throw the UK economy back into an anaemic state, according to new research published today.”
https://www.cityam.com/uk-economy-to-return-to-anaemic-growth-as-cost-of-living-crisis-spikes-brits/
“Germany’s incoming finance minister rings alarm bell on inflation.
“Germany’s incoming Finance Minister Christian Lindner on Tuesday vowed to champion solid public finances and a reduction of debt levels across the euro zone so that the European Central Bank (ECB) could fight inflation without hesitation if needed.”
“Inflation in eurozone soars to 4.9% – highest since euro was introduced.
“Inflation across the 19-member eurozone soared to 4.9% in November, outstripping City forecasts and putting pressure on the European Central Bank to review its policy of ultra-low interest rates.”
https://www.theguardian.com/business/2021/nov/30/inflation-in-eurozone-soars-to-49-highest-on-record
“Italy Minister Warns of European Blackouts Amid Rising Prices.
“Italy’s economic development minister warned of the risk of blackouts across Europe as Prime Minister Mario Draghi reaffirmed the government’s readiness to counter the effect of rising energy prices on consumers.”
“Europe’s energy crisis pushes Gazprom to record profits.
“The Russian state energy empire Gazprom has made record profits on the back of Europe’s energy supply crunch, and predicted a lucrative winter as the Continent braces for a cold snap.”
https://www.telegraph.co.uk/business/2021/11/29/europes-energy-crisis-pushes-gazprom-record-profits/
“Aussie workers unsettled and unhappy as business tiptoes around forcing workplace return while struggling to retain employees.
“Australia’s businesses must make greater efforts to retain staff in the post-lockdown world and risk losing their increasingly unhappy employees if they are too demanding about returning to the workplace.”
“Stagflation In Japan? Welcome To Tokyo’s Nightmare Scenario.
“As Japan’s 2021 staggers toward a close, no one is more aghast at the economy’s inflation situation than Haruhiko Kuroda…. Unfortunately, it’s the bad kind no nation wants: imported inflation thanks to surging energy costs.”
“China Home Sales Slump Deepens as Easing Shows Little Effect…
“Contract sales by the country’s top 100 developers plunged 38% from a year earlier to 751 billion yuan ($118 billion), sharper than the 32% drop in the previous month, according to preliminary data compiled by research firm China Real Estate Information Corp.”
“Slump in China Gas Shows Spreading Impact of Property Slowdown.
“China’s property market woes are causing pains in broader parts of the economy, as disappointing earnings drove a major gas distributor’s stock to sink by the most since 2000, wiping out $2.5 billion in market value in one day.”
“Could Taiwan Be the Next Crisis That Delays Your Retirement? With $700 billion at stake, U.S. investors have their eye on mounting tensions over the island…
“… a threshold problem for U.S. financiers and their clients is that they don’t quite realize the extent of their exposure to China or how politically sensitive their assets can be.”
“China cuts finance pledge to Africa amid growing debt concerns.
“China will cut the amount of money it supplies to Africa over the next three years by a third in a sign of Beijing’s growing caution over the continent’s indebtedness.”
https://www.ft.com/content/b7bd253a-766d-41b0-923e-9f6701176916
“French military facing growing protests in Sahel.
“France’s military involvement in the Sahel is encountering growing opposition in the region, with protests that were once isolated to urban centres spreading to rural areas, fanned by social media and anger at insecurity.”
https://www.france24.com/en/live-news/20211130-french-military-facing-growing-protests-in-sahel
“Moroccan forces violently disperse pro-Palestine protests.
“Moroccan forces dispersed thousands of pro-Palestine protesters in 36 cities across the kingdom for demonstrating against normalisation with Israel, following last week’s visit to Rabat by Israeli Defence Minister Benny Gantz.”
https://english.alaraby.co.uk/news/moroccan-forces-violently-disperse-pro-palestine-protests
“Thousands protest against military rule in Sudan.
“Sudanese security forces fired tear gas to disperse pro-democracy protesters near the presidential palace in the capital, Khartoum, as tens of thousands marched against military rule following last month’s coup.”
“South Africa Bleeds Jobs as Riots Take Toll on Commercial Hubs.
“South Africa’s two largest provinces by contribution to gross domestic product accounted for half of jobs lost in the third quarter as deadly riots in July saw thousands of businesses ransacked and shuttered.”
“The economic crisis and spiraling price rises in Turkey have forced street vendors to sell their iconic bread koulouri, or as Turks call it “simit”, cut in half.
“Turkish citizens are having increasing difficulties coping with the rising prices of almost every item amid high inflation and the depreciation of the national currency.”
https://greekreporter.com/2021/11/29/crisis-turkey-vendors-koulouri-split-in-half/
“Lebanese protesters block roads over economic meltdown.
“Demonstrators, some of them burning tyres, blocked roads across parts of Lebanon on Monday in protest at the country’s economic meltdown, days after the Lebanese pound sank to new lows.”
https://www.gulftoday.ae/news/2021/11/29/lebanese-protesters-block-roads-over-economic-meltdown
“Iranian water protests a ‘wake-up call’ for regime…
“The situation in Isfahan is extreme. For the past 14 months, the Zayandeh Roud river has mostly dried up, said Heshmatollah Entekhabi, a researcher of the Zayandeh Roud basin… The water crisis has been exacerbated by Iran’s economic crisis.”
https://www.ft.com/content/1f484ccb-794c-4122-bd29-be15e75fe0bb
“Afghanistan economic meltdown one of worst in history, UN says…
““[It’s] an economic contraction that we’ve never seen before, ever,” said Abdallah Al Dardari, the UN Development Programme’s Afghanistan head and a former deputy prime minister of Syria. “I’m comparing with Venezuela, Lebanon and so on — we haven’t seen such an immediate, abrupt drop.””
https://www.ft.com/content/465d3d35-af55-49c7-a9b8-0395550d9cdf
“France sending more security forces to Guadeloupe amid unrest.
“France is sending additional security forces to the French Caribbean island of Guadeloupe, as the country’s minister responsible for overseas territories met with union leaders to try to defuse days of unrest over COVID-19 restrictions.”
“Solomon Islands unrest: New Zealand to send dozens of peacekeepers…
““We are deeply concerned by the recent civil unrest and rioting in Honiara, and … we have moved quickly to provide urgent assistance to help restore sustained peace and security,” Jacinda Ardern said in a statement.”
“Could omicron be the trigger that bursts asset price and credit bubbles?
“The United States is no stranger to asset and credit market bubbles or to the deflationary consequences of their bursting. After all, this is what occurred as recently as 2008. When the U.S. housing and credit market bubble burst, the Great Recession soon followed.”
“We’re All Talking About Inflation, But Deflation May Also Be On The Way.
“A general decline in the prices of goods and services is regarded as bad news since it is seen to be associated with major economic slumps such as the Great Depression of the 1930s.”
[FWIW I agree that a “deflationary spiral” – and in all probability an irreversible one – is where the financial system is ultimately headed. The inflation/deflation debate can be terribly confusing and unproductive though. Perhaps just easier to say that in aggregate our purchasing power is going to fall off a cliff when our debt bubbles start bursting. In fact the system may seize up to the point where purchasing anything becomes a problem.]
https://seekingalpha.com/article/4472613-talking-about-inflation-deflation-may-also-be-on-the-way
You can read the previous ‘Economic’ thread here. I’ll be back tomorrow with a ‘Climate’ thread.
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Still so painfully obvious that the “leaders” of the so-called developed nations cannot get it through their thick skulls that all of this financial and climate disruption are part and parcel of the “overshoot” that we were warned of in 1980 by Catton. The real “leaders” who own the politicians are obviously too far into sociopathy to be of any help – indeed, they are constantly squealing for ‘more’, and getting it from their servants. All so very depressing, but nonetheless real.
Bruce, I agree. Catton was a genius.