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
Is a global recession coming? More experts are raising the alarm. After beginning as a murmur early in the year, warnings of an incoming global recession are growing louder by the day.

“During the past week, high-profile figures from the head of the World Trade Organization (WTO) to American Nobel Prize-winning economist Paul Krugman have sounded the alarm about the likelihood of a global downturn.”

https://www.aljazeera.com/economy/2022/9/29/is-a-global-recession-coming-more-experts-are-raising-the-alarm


  • Facebook
  • Twitter
Commodity prices slumped as a deteriorating economic outlook and surging US dollar weigh on the value of the world’s raw materials.

“On Wednesday, everything from copper to gold and cotton were trading lower amid a renewed resurgence in the greenback as traders price in a darkening global economic outlook.”

https://www.mining.com/web/commodities-tumble-with-surging-dollar-hitting-raw-materials/


  • Facebook
  • Twitter
Nickel sales by commodities-dealing banks hit by soaring borrowing costs have caused spot contracts to plunge to the deepest discount to futures since the 2008 financial crisis

“…prices have slid, with fears over curbs on Russian supply giving way to worries about a worsening demand outlook.”

https://www.bloomberg.com/news/articles/2022-09-27/nickel-spreads-collapse-as-banks-face-soaring-financing-costs


  • Facebook
  • Twitter
Apple Is Seeing Softer iPhone Demand. The Consumer Slowdown Is Getting Real.

“There’s been warnings from FedEx FDX about the economy. Walmart and Macy’s are preparing for a weaker Christmas. But nothing drives home the fact that shoppers are tightening their belts more than signs Apple won’t sell as many units of its new iPhone as it thought.”

https://www.bloomberg.com/news/articles/2022-09-28/apple-iphone-14-sales-not-strong-enough-to-trigger-production-boost


  • Facebook
  • Twitter
MSC confirmed today that demand from China to the US west coast had “significantly reduced” and it would be “taking certain actions” to rebalance its capacity, starting with the suspension of an entire service.

“Until now, the major ocean carriers have used blanking strategies to take out capacity, but the demand outlook has deteriorated rapidly in the past few weeks, obliging lines to consider axing services.”

https://theloadstar.com/msc-leads-the-charge-as-transpacific-container-service-culls-begin/


  • Facebook
  • Twitter
Hurricane Ian is poised to strike at the nation’s production of phosphate fertilizer, threatening supply as the cost of growing food in the US rises by the most ever.

“Florida is home to Mosaic Co.’s phosphate rock assets, where they mine product, and to facilities where they turn that rock into fertilizers like diammonium phosphate and monoammonium phosphate, commonly known as DAP and MAP.”

https://www.bloomberg.com/news/articles/2022-09-27/ian-threatens-us-fertilizer-output-risking-more-food-inflation


  • Facebook
  • Twitter
The Bank of England has been forced into emergency action to halt a run on Britain’s pension funds after the impact of Kwasi Kwarteng’s ill-received mini budget prompted fears of a 2008-style financial crisis…

“City sources said the surprise move, less than a week after Kwarteng’s unfunded tax giveaways, was needed to halt a “doom loop” in the bond markets that risked draining pension funds of cash and leaving them at risk of insolvency.”

https://www.theguardian.com/business/2022/sep/28/bank-of-england-in-65bn-scramble-to-avert-financial-crisis


  • Facebook
  • Twitter
British companies face highest borrowing costs on record.

“Britain’s biggest companies are facing record borrowing costs as Kwasi Kwarteng’s debt-funded tax cuts continue to wreak havoc across financial markets. Blue-chip companies that raise money by issuing bonds face record refinancing costs after the Chancellor doubled down on his fiscal plans…”

https://www.telegraph.co.uk/business/2022/09/28/british-companies-face-highest-borrowing-costs-record/


  • Facebook
  • Twitter
Workers strike again at UK’s largest port Felixstowe in threat to holiday shipments.

“The dockworkers at Felixstowe, the largest port in the UK, have started an eight-day strike in protest over their wages and inflation, overlapping with an ongoing strike at Port of Liverpool. Together, the two port strikes threaten imports and exports across industries…”

https://www.cnbc.com/2022/09/27/unions-strike-again-at-uk-felixstowe-port-in-threat-to-holiday-season.html


  • Facebook
  • Twitter
France Is Hit by Strikes Over Pay at Multiple Oil Refineries.

“A strike by workers at France’s oil refineries is disrupting fuel supplies in Europe’s third-largest economy, another blow to the country as it battles a sprawling energy crisis. Workers have gone on strike at oil refineries that handle more than half the country’s fuelmaking.”

https://www.bloomberg.com/news/articles/2022-09-27/france-is-hit-by-strikes-over-pay-at-multiple-oil-refineries


  • Facebook
  • Twitter
French minister advises: ‘Wear a turtleneck sweater this winter’…

“Le Maire is not the only European politician to give an energy-saving lead through fashion – this summer Spanish PM Pedro Sanchez announced that he would no longer wear ties to the office, although in his case this was to keep cool as Spain imposed limits on air-conditioning.”

https://www.thelocal.fr/20220927/french-minister-advises-wear-a-turtleneck-this-winter/


  • Facebook
  • Twitter
Germans could have to give up ‘comfort’ under emergency energy plans.

“German households will not be guaranteed gas this winter beyond what is deemed “vital for life”, under emergency plans handed to MPs… Ministers are also refusing to exempt entire sectors such as health or education from possible power cuts, because some of their gas use is not critical.”

https://www.thenationalnews.com/world/europe/2022/09/27/germans-could-have-to-give-up-comfort-under-emergency-energy-plans/


  • Facebook
  • Twitter
Thousands of people rallied in several eastern German states on Monday evening to protest the government’s energy policy and sanctions against Russia.

“The protesters shouted slogans against Chancellor Olaf Scholz’s coalition government and carried banners bearing the messages “Stop the price explosion,” “Stop the war, stop the sanctions,” and “Open Nord Stream now.””

https://www.aa.com.tr/en/environment/thousands-march-in-eastern-germany-to-protest-soaring-energy-prices/2696034


  • Facebook
  • Twitter
Slovakia energy crisis could ‘kill our economy’, premier warns.

“Slovakia’s prime minister said soaring electricity costs had left his country’s economy at risk of “collapse”, in the starkest comments yet by an EU leader on the effects of the global energy crisis… His warning underscores the huge consequences of Moscow’s efforts to squeeze gas supplies in response to EU sanctions…”

https://www.ft.com/content/9a94385a-e007-47dd-a238-7add9f7331c7


  • Facebook
  • Twitter
Citi Says European Equity Outflows Are Biggest in a Decade… Regional stocks see eight months of outflows…

“Investors are abandoning European stocks at levels last seen during the euro zone debt crisis a decade ago, according to Citigroup Inc. strategists, adding that this could represent a contrarian signal to buy.”

https://www.bloomberg.com/news/articles/2022-09-28/citi-says-european-stock-outflows-are-at-euro-zone-crisis-levels


  • Facebook
  • Twitter
Nord Stream Hit Adds to Europe’s Economic Woes in 2009 Echo.

The economic damage from the shutdown of Russian gas flows is piling up fast in Europe and risks eventually eclipsing the impact of the global financial crisis. With a continent-wide recession now seemingly inevitable, a harsh winter is coming for chemical producers, steel plants and car manufacturers starved of essential raw materials who’ve joined households in sounding the alarm over rocketing energy bills.”

https://www.bloomberg.com/news/articles/2022-09-27/europe-faces-an-energy-crisis-how-bad-could-things-get


  • Facebook
  • Twitter
Sweden has found a new leak in a major undersea pipeline carrying Russian natural gas to the EU – making it the fourth discovered this week.

“Denmark and Sweden reported gas leaks in the Nord Stream 1 and 2 pipelines earlier this week, raising the possibility of a deliberate attack.”

https://www.bbc.co.uk/news/world-europe-63071552


  • Facebook
  • Twitter
Gas prices have risen on fears that Russia could halt supplies to Europe through Ukraine, adding to turmoil caused by damage to the Nord Stream pipelines under the Baltic Sea.

“The Kremlin-controlled gas company Gazprom said it could impose sanctions on Ukraine’s Naftogaz due to ongoing arbitration.”

https://www.theguardian.com/business/2022/sep/28/gas-prices-rise-europe-fears-grow-russia-halt-supplies-ukraine


  • Facebook
  • Twitter
Europe braces for mobile network blackouts.

“Once unthinkable, mobile phones could go dark around Europe this winter if power cuts or energy rationing knocks out parts of the mobile networks across the region… Telecoms industry officials say they fear a severe winter will put Europe’s telecoms infrastructure to the test…”

https://www.euractiv.com/section/global-europe/news/europe-braces-for-mobile-network-blackouts/


  • Facebook
  • Twitter
China’s Sept factory activity set for third straight monthly contraction.

“China’s factory activity is expected to have shrunk for a third month in a row in September, a Reuters poll showed on Thursday, as strict COVID measures in big cities and weakening exports growth hit orders and business confidence.”

https://www.reuters.com/markets/asia/chinas-sept-factory-activity-set-third-straight-monthly-contraction-2022-09-29/


  • Facebook
  • Twitter
China’s yuan sinks to record low against the dollar.

“The declines come despite China’s central bank on Monday announcing moves to stem the yuan’s decline by making it more expensive to bet against the currency. International investors have rushed to buy up the dollar, a traditional safe haven, as aggressive rate hikes by the US Federal Reserve stoke pessimism about the global economic outlook.”

https://www.aljazeera.com/economy/2022/9/28/chinas-yuan-sinks-to-record-low-against-the-dollar


  • Facebook
  • Twitter
Protests in Shenzhen as China puts it into snap lockdown over Covid cases.

“Hundreds of Chinese residents in the southern city of Shenzhen have taken to the streets to demand an end to coronavirus lockdowns in a rare public protest against the zero-tolerance Covid policies imposed by Beijing. Video from Shenzhen in southern Guangdong province showed angry citizens confronting police officers…”

https://www.thetimes.co.uk/article/protests-in-shenzhen-as-china-puts-it-into-snap-lockdown-over-covid-cases-l73t6zgpm


  • Facebook
  • Twitter
Asia must prepare for looming oil and gas shortages.

“An unprecedented and likely irreversible slump in global oil production capacity over the past two years, coupled with a sustained drop in the investment needed to rebuild it, is building toward an avalanche that will likely rattle the world, especially once fuel demand growth begins to recover from the economic slowdown now approaching.”

https://asia.nikkei.com/Opinion/Asia-must-prepare-for-looming-oil-and-gas-shortages


  • Facebook
  • Twitter
Sri Lanka power cut: Govt official blames poor oil quality, minister threatens legal action.

“As Sri Lanka grapples with a major power outage, a senior government official has blamed the poor quality of crude oil imports for the shutdown of a power plant, resulting in extended power cuts… sulphur content is too high…”

https://www.wionews.com/south-asia/sri-lanka-power-cut-govt-official-blames-poor-oil-quality-minister-threatens-legal-action-520217


  • Facebook
  • Twitter
Pakistan braces for harsh winter as gas shortages loom…

“Pakistan began importing LNG seven years ago. However, the price of the commodity on the international spot, or short-term, market has risen from lows of $2 per million British thermal units in 2020 to highs of $57 in August this year after demand in Europe surged, pushing Islamabad out of the market.”

https://www.arabnews.com/node/2171441/world


  • Facebook
  • Twitter
Afghanistan’s Taliban fire shots into air to disperse women’s rally backing protests.

“Women protesters carried banners that read: “Iran has risen, now it’s our turn!” and “From Kabul to Iran, say no to dictatorship!” Taliban forces swiftly snatched the banners and tore them in front of the protesters. Defiant Afghan women’s rights activists have staged sporadic protests in Kabul and some other cities…”

https://english.alarabiya.net/News/world/2022/09/29/Afghanistan-s-Taliban-fire-shots-into-air-to-disperse-women-s-rally-backing-protests


  • Facebook
  • Twitter
Iran Protests Show the Depth of Social and Economic Pain…

“Baraye is the Persian equivalent of the English word “for.” It’s a simple preposition that people are using to highlight the scale and scope of their grievances against the Islamic Republic as the country is shaken by some of the biggest demonstrations it’s seen since the 1979 revolution.”

https://www.bloomberg.com/news/articles/2022-09-29/iran-protests-underline-economic-social-pain


  • Facebook
  • Twitter
Rockets hit central Baghdad for second day in escalating unrest.

“Wednesday’s attack took place as parliament was holding a vote to confirm its speaker. The political crisis has left Iraq without a government for nearly a year after elections last October… The standoff spiralled into street clashes killing dozens of people in central Baghdad in August…”

https://www.reuters.com/world/middle-east/rockets-hit-central-baghdad-second-day-escalating-unrest-2022-09-29/


  • Facebook
  • Twitter
Nigeria’s central bank has raised interest rates to an all-time high of 15.5 per cent as it struggles to contain a surge in inflation.

“The bank raised its benchmark interest rate by 150 basis points — its third consecutive rate rise — to combat price pressures that have left citizens facing soaring costs for fuel and food.”

https://www.ft.com/content/cfedc391-ca24-43ea-b012-207263872b33


  • Facebook
  • Twitter
President Cyril Ramaphosa says ongoing blackouts are eroding people’s trust in government.

Ramaphosa was speaking after his speech was ironically interrupted by power cuts at the Local Government Summit in Boksburg. The two-day meeting was aimed at finding ways for municipalities to improve governance and service delivery to residents.”

https://www.enca.com/news/blackouts-eroding-trust-government-ramaphosa


  • Facebook
  • Twitter
Gang blockade cripples Haiti fuel supplies, hospitals prepare to close.

“”Some hospitals are unable to admit new patients and are preparing to close,” wrote United Nations children’s agency UNICEF in a statement on Monday, adding that three quarters of major hospitals were affected by the diesel shortages.”

https://www.reuters.com/world/americas/gang-blockade-cripples-haiti-fuel-supplies-hospitals-prepare-close-2022-09-27/


  • Facebook
  • Twitter
Volatility in the ordinarily sedate world of bonds climbed further on Wednesday to one of the highest levels since the 2007-2009 financial crisis and recession.

2The ICE BofA MOVE Index, which tracks fixed-income volatility, rose to 158.99 on Wednesday, according to Refinitiv. That’s up from 158.12 on Tuesday — the highest reading since 2009, with the exception of a brief spike to 163.70 on March 9, 2020, during the onset of the COVID-19 pandemic…”

https://www.marketwatch.com/story/bond-market-volatility-touches-one-of-highest-levels-since-2007-2009-financial-crisis-and-recession-11664379848


  • Facebook
  • Twitter
Bond Markets Are Nearing a Painful Inflection Point.

“This week’s bond meltdown has sent the mean 10-year borrowing cost for Group of Seven countries to its highest in more than a decade, with the average yield surging above 3%. What happens next could set the tone for financial markets and the global economy for years to come.”

https://www.bloomberg.com/opinion/articles/2022-09-29/bond-markets-are-nearing-a-painful-inflection-point


  • Facebook
  • Twitter
A new scarcity is upon us… It’s a depressing picture of growing scarcity, whether it be in energy, materials or food.

“Much of society had been so used to what they called the ‘age of abundance’, located within the first-world with its digital services and its branded experiences and plethora of premium price points, that hardly any mainstream commentators seriously considered it would be possible to return to a time where whatever was needed was not at one’s fingertips on a store-shelf- or a smartphone screen. But that time is here.”

https://www.managementtoday.co.uk/new-scarcity-upon-us/opinion/article/1800221


  • Facebook
  • Twitter
The Western world today faces a serious risk of slipping into another Great Depression…

“The 1920s were a decade of debt and decadence because the international system was built on an unstable pyramid of debt… The depression really set in when Europe’s collapse gave rise to a collapse of global trade. We see very similar dynamics at play in the world today…

“The collapse of Europe will take place because Europe no longer has access to sufficient energy for its economic needs… There is no going back for Europe now.”

https://thecritic.co.uk/the-next-great-depression/


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. And if you are already a subscriber or have donated – thank you! It is an enormous help as the cost-of-living crisis ratchets up here in the UK.

Share This

Share this post with your friends!