“A bank run at a small local institution in the southwestern Chinese city of Zigong could be a sign of an impending financial crisis.
“Shareholders of Bank of Zigong in Sichuan Province absconded with 40 billion yuan ($5.78 billion), through loans issued to shell companies that they had created, according to a Nov. 2 post in a Chinese social-media account, and a report by Da Zhong, a state-run news website. The loans were long overdue, resulting in huge losses for the bank.
“The news spread quickly, even though the post was deleted within 20 minutes by internet censors. Scores of bank customers rushed to dozens of bank branches in Zigong City to retrieve their deposits, while long lines of people could be seen from photos of the scene and uploaded by netizens…”
“…the Bank of Zigong exemplifies a common situation in many regions acrross China.
“Like many economic hubs in China, municipal authorities in Zigong have borrowed large sums from the Bank of Zigong to finance local infrastructure projects. The bank explicitly explains on its website that the institution supports initiatives by the city’s Communist Party committee and government authorities such as building projects, city redevelopment, state-owned enterprises reform, and more.
“Zigong City, as with many other municipal governments, has set up local investment firms as a popular option to borrow money. But that has led to enormous debt that governments couldn’t repay.”
“China’s economy grew at its slowest pace in a decade in the third quarter… the slowdown this year is in largely thanks to a state-led deleveraging campaign that was started last year in attempt to deal with excess debt. Most notably, authorities had attempted to crack down on risky lending as part of the program.”
“The Democrats will retake the US House of Representatives, dealing a major blow to President Donald Trump’s domestic agenda, but if anxious politicians in Beijing think that means a reprieve from the White House, they should think again. China is one of the few policy areas where there is some bipartisan consensus.”
“”As Treasury Secretary, I presided over the US response to the 2008 financial crisis, so I know a little something about systemic risk. And I simply cannot see how the international system can endure when the two countries that comprise some 40% of global GDP and over 50% of global growth are working at cross-purposes, attempting to de-integrate their two economies, and contesting the foundations of a rules-based order at every turn,” Paulson said.”
“Japan’s government has kicked off debate on changing antitrust rules to make it easier for regional banks to merge, as they struggle to generate profits due a declining population and a limited number of corporate borrowers… The plight of regional banks has become a headache for the BOJ, which is drawing criticism for hurting financial institutions’ profits by keeping interest rates virtually at zero for years.”
“Macquarie Bank says the downturn in Australia’s housing market will be larger than it first thought, with price declines of between 15 per cent to 20 per cent likely in Sydney and Melbourne… “The overall decline is now likely to approach 10 per cent… the largest peak-to-trough decline in nominal housing prices in almost 40 years.””
“[The global economic faultlines] can be seen in the build-up of leverage in emerging market economies, the shift of leverage from banks to non-banks and an increase in corporate bond issuances globally, said Monetary Authority of Singapore’s (MAS) managing director Ravi Menon, as he warned of the possibility of another global financial meltdown.”
“Rating agency Moody’s yesterday warned that South Africa and some of its emerging market peers, such as Turkey, Argentina and Brazil, faced heightened risks due to weak institutions, unpredictable domestic politics and geopolitical risk. “
“…all three of Italy’s PMI prints (manufacturing, services, composite) has entered into contraction territory and that won’t be music to the ECB’s ears. The good news is that the last time these sectors saw a contraction, it immediately recovered. However, you get the feeling that this time around is a little different.”
“…investors are partly priced for an aborted ECB rate hike cycle. Or they believe the neutral policy rate in the euro zone — the interest rate level that neither restricts nor stimulates the economy — is likely to stay negative. This is significant because it means the ECB’s room to use interest rate cuts as a tool to combat an economic downturn will be limited, suggesting it may have to turn to quantitative easing again.”
Cyclones for Yemen, a year’s worth of rain in a day for Qatar, multiple fatalities from flash flooding in Jordan, Saudi and Israel; now a deluge for Kuwait:
“Kuwait received more than a third of its total average annual rainfall overnight Monday to Tuesday as a result of torrential rains. The Directorate General for Civil Aviation (DGCA) announced on Tuesday that rainwater from the thunderstorms reached 58 millimeters in Kuwait City. Kuwait’s annual rainfall averages 75 to 150 millimeters.”
“In the floods that hit Saudi Arabia’s Qassim governorate, a man lost his life after his car flipped over. The incident took place in Boqaya Valley, according to a news report in Akhbaar 24. In the video that surfaced online, we can see the car in the midst of flood water and rescue officers helping the men out of the vehicle.”
“Saudi Arabian weather officials warned that heavy rain and dust storms will hit the country’s western Al-Baha region, which they fear could lead to torrential flows similar to those witnessed last month in the Kingdom.”
“One person was killed and another injured in Daqahliya [Egypt] due to rain and bad weather that has been hitting the governorate since Sunday evening. Daqahliya was has been hit by torrential rains and winds since Sunday evening…”
“Typhoon Haiyan hit the Philippines in November 2013 and left more than 7,360 people dead or missing. It damaged or swept away more than 1.1m houses and injured more than 27,000 people.
“More than 4 million were displaced. Five years on, photographer Ted Aljibe has revisited the scenes of the disaster where it struck Tacloban City.”
“Tropical cyclones over the western North Pacific underwent a “regime shift” in their destructive potential in 1998, according to researchers in China. In their study of the years 1979 to 2016, the destructiveness of the cyclones increased rapidly after 1998, rising 97% from the interval 1998–2003 to 2012–2016.”
““Climate change – where mean temperatures rise – has already affected drought risk in the Caribbean. While our research focused on the role of human-causes for the strong 2013-16 drought there, our findings and climate-model projections show that drought in the region will likely to become more severe over time,” said lead author Dimitris Herrera, postdoctoral associate in earth and atmospheric sciences.”
“The Barbados-based Caribbean Drought and Precipitation Monitoring Network (CDPMN) says while some parts of the Caribbean have been receiving below-normal rainfall in the past few months, there are concerns for short-term drought situations only in St. Lucia and The Bahamas.”
“Drenching rains flooded out D.C.-area roadways, including parts of the Beltway Monday, helping push the region one step closer to the wettest year on record. “It’s been quite the anomaly year in terms of precipitation,” said Brandon Fling, an NWS meteorologist. “Obviously, we’ve had quite a bit of flooding, which has definitely kept us busy here at the office.””
“While many will be heading to the polls for the 2018 Midterm Elections, severe thunderstorms are anticipated from southern Virginia to Philadelphia on Tuesday… This is the same storm system that produced several tornadoes and left a trail of damage in its wake across the south on Monday night.”
“The likelihood of super storms such as Storm Desmond happening again has increased by 25% because of climate change, research has indicated. Desmond hit Ireland and Britain in early December 2015, an extratropical cyclone that brought strong rainfall and enough rainfall to break the 24- and 48-hour British rainfall records, with a number of British and Irish rivers recording highest-ever peak discharges.”
“The biggest dust storm ever seen over Greenland has been revealed in a series of stunning satellite images.
“The unusual event is caused by ‘glacial flour’, a fine-grained silt formed by glaciers grinding and pulverizing rock. Scientists have never been able to study the phenomenon in large storms until last month, when satellite images captured a storm.”
“It’s unseasonably warm on Germany’s highest mountain, the Zugspitze. Thirty years ago, September would have brought freezing temperatures and the first snow flurries. Today, tourists explore the bare, snowless, moon-like rockscape in T-shirts and shorts…
“As temperatures increase, the permafrost — a layer of sediment, rock or soil that remains frozen for more than two consecutive years and that stabilizes the mountain rock — is retreating too. That and increased rainfall, have caused the rocks to lose their stability, leading to more than a thousand rockfalls in the Alps in the past year.”
“Flooding swamped roads in Verona, Italy, on November 5, causing at least one to close, according to local media. Days of heavy rain and flooding, some of the worst ever seen in the country, had left at least 30 people dead in Italy as of November 5. Italian Prime Minister Giuseppe Conte said a state of emergency was to be declared at a November 5 cabinet meeting.”
“Saturday earned the distinction of being as the hottest day recorded in November, in Mumbai, with maximum temperature touching 37.6 degree Celsius. The previous record was of 37.4 degree Celsius in 1979 and 2003.”
“Last month was the driest October for the country since 1976. In fact, the rainfall for the month was even lower than that received in the drought years, IMD data shows. India received a meagre 35.6mm rain in October, which was 56% short of its normal quota for the month. The previous low for October was 33mm received in 1976.”
“Snowfall that started from Friday night in Kashmir has come not just too early in the season but also as a blight on the valley’s apple orchards.
“Reports reached Kashmir Reader from across the valley of extensive damage caused to apple trees due to the heavy snow that accumulated on leaves and branches.”
“Due to rising temperature, glacial lakes in the country’s northern mountain ranges – the Hindu Kush, Himalayas and Karakorum – are melting rapidly, putting at stake lives of about 7.1 million people in the region…
“In these areas, 26.7 percent and 22 percent of the population, respectively, are below the poverty line.”
“A group of nine British tourists have escaped their burning yacht after a bolt of lightning ripped through the vessel.
“The four married couples and one other woman were on board the 50ft chartered catamaran off the coast of Phuket, Thailand, when they were caught in storms at 4:30pm on Saturday afternoon.”
“The National Disaster Mitigation Agency (BNPB) reported that at least two children were killed during floods that swamped Padang, West Sumatra over the weekend.
“The children were identified as Jihat Melani, 6, and Pasilah Azhan, 10, the agency has said in a release.”
“Air conditioners and fans will be getting a workout across South East Queensland over the coming days, with heatwave conditions for the region upgraded from severe to extreme.
“The Bureau of Meteorology alerted residents to the upgraded forecast on Monday morning, warning people to brace for scorching temperatures on Monday, Tuesday and Wednesday.”
“International Christian relief organization Samaritan’s Purse is deploying disaster response specialists and emergency relief supplies to two Pacific islands devastated by Typhoon Yutu.
“The deadly typhoon destroyed homes and infrastructure on the Northern Mariana Islands of Saipan and Tinian, leaving hundreds of families isolated, and in need of medical care and shelter.”
“The eastern Pacific hurricane season hasn’t been this active since 1992 with Tropical Storm Xavier churning offshore of Mexico. The 22nd named tropical storm of the 2018 eastern Pacific hurricane season formed on Friday night. On average, 15 tropical storms form in the eastern Pacific each year.”
“One of the longest dry spells on record has left parts of the Rhine at record-low levels for months, forcing freighters to reduce their cargo or stop plying the river altogether…
“Parts of the Danube and the Elbe — Germany’s other major rivers for transport — are also drying up. Some inland ports are idle, and it is estimated that millions of tons of goods are having to be transported by rail or road.”
“Record warm temperatures were seen in several parts of the Czech Republic on Friday, mainly in Moravia and Silesia… The highest temperature, 21.2 degrees Celsius, was registered at Lučina near Frýdek Místek. At this time of year temperatures typically range from 5 to 9 degrees Celsius. Meteorologists have attributed the unseasonable weather to a stream of very warm air coming from south-eastern Europe.”
“Floods killed 12 people on the island of Sicily, including nine members of a single family, pushing Italy’s week-long storm toll beyond 30, rescuers said on Sunday… After a river burst its banks, the bodies of the family including children aged one, three and 15 were discovered in the town of Casteldaccia in the Palerno region…
“After flying over Casteldaccia on Sunday, Sicilian prosecutor Ambrogio Cartosio described scenes of “total disaster”.”
“Rainfall in October smashed records in various parts of Majorca. The most obvious heavy rain was that which led to the Sant Llorenç floods and deaths. On 9 October, 232.8 litres per square metre were recorded at the Colonia Sant Pere weather station in Arta. The previous record was in 1990 when 200 litres fell in one day. In Sant Llorenç itself there were 220 litres on 9 October. This was vastly more than the 74 litres in 1994, which was the previous record.”
“A proposal to create one of the world’s largest marine reserves in a vast area of pristine Antarctic waters has been rejected, prompting concern among conservation groups about the ecosystem’s future.
“After two weeks of deliberations, Russia, China and Norway on Friday blocked the plan for a 1.8m square kilometres maritime protection zone in the Weddell Sea…”
“NSW is set to get an early taste of summer, with record-breaking heat forecast for parts of the state later this week – prompting a warning from fire and health authorities.
Temperatures in Sydney reached the mid- to high-30s today and is expected to reach the same temperatures tomorrow, and more than 40 degrees in the far west.
Areas west of Wagga Wagga are predicted to cop it the worst in what the Bureau of Meteorology is tipping will be the first heatwave of the season.
“For some places it’s looking fairly likely we will receive record temperatures for this time of year,” the Bureau’s Jake Phillips told reporters in Sydney on Wednesday.
“It’s going to feel pretty summery; it doesn’t feel like spring anymore.”
A high bushfire danger is likely in parts of the state, with the Rural Fire Service on alert.
“From abandoned baby kangaroos to wallabies being blinded by the sun and koalas having to go walkabout to look for eucalyptus leaves, Australia’s exotic wild animals are struggling to adapt to a crippling drought.
“The “big dry”, lasting for several years in some areas, is turning vast swathes of lush green land across the continent’s eastern interior brown.”
“Gale force winds were the order of the day along the Port Elizabeth coast [South Africa] on Tuesday and Monday yielded some record temperatures over the interior…
“…with many places recording temperatures well over 40°C.”
“Severe hailstorms turned parts of Gauteng an icy white on Thursday. The area north of Pretoria was badly hit, forcing motorists to drive with their hazard lights on along the N1 near Hammanskraal. The South African Weather Service had issued a warning of extreme weather conditions for Wednesday and Thursday.”
“Odisha [India] is bearing the brunt of climate change with one part of the State struggling to recover from the ravages of cyclone Titli and another battling drought conditions due to deficit rainfall.”
“All typhoon alerts were cancelled on Friday morning, but by this time, Typhoon Yutu had set a Hong Kong record by becoming the first November storm in 25 years to prompt a No 3 warning signal.”
“Texas weather conditions emerged from one of the hottest, driest summers on record into the wettest two-month period on record, according to the Texas state climatologist… conditions changed drastically beginning in September…
““Already at the end of October Texas has received more rainfall than it receives on average in an entire year,” Nielsen-Gammon said.”
“Severe storms roared across the Deep South late Wednesday and early Thursday, leaving two people dead and about 100,000 homes and businesses powerless…
“Eight tornadoes were reported across the region late Wednesday and early Thursday, AccuWeather said. “
“The UK has experienced more weather extremes over the last 10 years when compared with previous decades, a Met Office report has said. The hottest days have become almost 1C hotter, warm spells have increased, while the coldest days are not as cold. “The number of so-called tropical nights – when temperatures stay above 20C – is increasing.”
“Climate change is hitting the Mediterranean basin countries harder than most other regions and the risks are being underestimated, a groundbreaking new report in Nature Climate Change warns… climate change is also bounding beyond global trends in most parameters all around the Mediterranean basin. Risks are being underestimated because of the tendency to focus on one or a few parameters at a time…”
“Four people died Thursday in the second of two storm fronts that battered Italy with torrential rains and gale-force winds beginning at the weekend, local media reported… The adverse weather front, which Civil Protection Department chief Angelo Borrelli described in a tweet as “the perfect storm”, lashed the country from north to south, causing floods, landslides, tornadoes, black-outs, and tsunami-like sea waves that swept through coastal communities, claiming 12 lives between Monday and Tuesday.”
“All-time temperature records on the Dalmatian coast for the month of November could be broken this weekend as a warm front moves in, Dalmacija danas reports.
“Whilst parts of the Dalmatian coast, mainly in the north and south, will see more some heavy doses of rainfall on Friday, records could tumble this weekend.”
“At least six people have died and hundreds have been affected by the floods and landslides that have occurred in southwestern Russia because of the rains of recent days
“…flash floods were seen in Wadi Malal, west of Medina, along the Yanbu highway, in the valleys of Al-Melayhil in the north, Wadi Al-Nakheel in the east and the valley of al-Faraa in the south. Nature enthusiasts flocked to the region enjoying themselves in the natural parks, not bothered by the heavy rain as this is considered a blessing in a region once considered full of sands and hot deserts plagued with drought.”
“In many ways, the summer of 2018 marked a turning point, when the effects of climate change — perhaps previously on the periphery of public consciousness — suddenly took center stage. Record high temperatures spread all over the Northern Hemisphere. Wildfires raged out of control. And devastating floods were frequent.
“Michael Mann, climate scientist at Pennsylvania State University, along with colleagues, has published a new study that connects these disruptive weather extremes with a fundamental change in how the jet stream is behaving during the summer…
“In an email, Mann said climate models aren’t fully capturing the phenomenon, and, for this reason, we should expect weather extremes “beyond what is typically projected” into the future…
“Mann said in his blog commentary that he was particularly struck by the jet-stream behavior in the summer. “In summer 2018, I would argue, that signal was no longer subtle,” he said. “It played out in real time on our television screens and newspaper headlines in the form of an unprecedented hemisphere-wide pattern of extreme floods, droughts, heat waves and wildfires.”
“Jennifer Francis, a climate researcher at Rutgers University who has published work exhibiting changing jet-stream behavior because of climate change, found the results of this new study compelling. “This work takes a big step toward understanding the spate of deadly extreme weather events during recent summers — heat waves, floods and droughts,” she said in an email.”
“Fourteen people have been killed in the extreme weather conditions in Saudi Arabia over the last two weeks.
“The Kingdom has been hit by heavy rain and thunderstorms and officials said this year has seen some the most extreme weather conditions in decades.
“The Directorate General of Civil Defense said one of the deaths occurred in Riyadh, four cases were recorded in Makkah, two in the Eastern Province, one in Asir, one in Tabuk, three in Al-Baha, one in Jazan and one in Hail.
“Since Oct. 19, the Command and Guidance Center in Riyadh has received 423 requests for help from the civil defense, as the heavy rain affected 13 areas of the Kingdom, SPA reported.”
“It was freezing cold in Mysuru on Tuesday, with the city recording the lowest temperature in October for 125 years… According to the India Meteorological Department, Mysuru recorded the lowest minimum temperature of 11.2°C on Tuesday.
“The temperature recorded for the 24 hours ending at 8.30 a.m. on Tuesday was almost 8°C below normal for the period.”
“At least seven people are dead and dozens are trapped as powerful Typhoon Yutu struck the northern Philippines on Tuesday, Reuters said Wednesday.
“Regional police chief superintendent Rolando Nana said authorities were verifying whether a landslide triggered by heavy rains had trapped more than 20 people inside a government building in the mountain province on Nantonin…”
“A group of Japanese doctors on Wednesday urged Olympic organisers to start the Tokyo 2020 marathon as early as 5.30am, saying failure to do so could “lead to deaths” from heatstroke.
“The warning is the latest in a chorus of concern about how extreme heat could affect several sporting events at the Olympic games, particularly after Tokyo sweltered through a record heatwave this year.”
“Australians are being warned of a dangerous bushfire season ahead and an unusually dry winter and spring.
“The Bureau of Meteorology and state fire authorities today issued warnings for increased danger levels coming in the warmer months while a building heatwave sweeps across the country.”
“”These huge marine heat waves, which are being exacerbated by global warming, are equivalent to an atomic bomb in terms of impact on coral reefs—they kill millions of corals across huge areas of ocean in a very short time” says WHOI scientist Anne Cohen, who was principal investigator on the work.
“”We’ve seen this play out now globally for the past 30-40 years, and bleaching events have become more frequent and more severe.””
“A 50-year-old woman was killed on Tuesday night after being swept away when she was trying to cross the River Seco in the municipality of Vélez-Málaga in Málaga province, according to sources from the fire service.
“The area had seen 71.6 millimeters of rainfall, the highest amount registered in all of Spain on Tuesday, according to early data from the AEMET state meteorology department.”
“The Civil Guard finds a submerged car half a kilometer from the coast in the area affected by the floods of Mallorca… It is the third car found in that area in recent days… It should be recalled that the catastrophe experienced in Mallorca three weeks ago left a tragic record of 13 fatalities, as well as significant material damage in the affected areas, covering some 100 hectares in total.”
“The death toll from fierce storms battering Italy has risen to 11, civil protection authorities said on Tuesday, as wild weather caused schools to close and trapped dozens of tourists in the north of the country.
“With ferocious storms lashing the country, winds reached up to 110 mph in some areas, toppling trees and causing flooding.”
“The Nigard Glacier in Norway’s western county of Sogn og Fjordane retreated 80 meters this summer, Norwegian media reported Tuesday. “Some of these glacier arms are quite dangerous. When they melt back and burst, they become potentially even more dangerous to those who come too close,” he said. It was both “dramatic and surprising” to find out that the glacier retreated as much as 80 meters, Nesje said.”
“An iceberg about five times the size of Manhattan has broken off the Pine Island Glacier in West Antarctica over the past 24 hours, an ominous sign of the continued retreat of this fast-flowing mass of ice.
“Like many other marine terminating glaciers in Antarctica, this glacier is retreating over time, and increasing the movement of ice into the sea.”
“As far as I know, your work is unique in pulling together stories from all over the world. Very sobering but a better and more complete view. Terrific and necessary work. Thank you!” – Simon
“With the inundation of so much depressing news, Justin Panopticon presents it in a succinct format that one can quickly go thru and see the big picture of climate and economics/politics to stay current and if a particle topic is of interest one can delve into the details… I try never to miss any of his posts…I am a Patreon of his work.”
– Karina S.
Search
About This Site
Weekday updates on both climate change and the global economy. Stay current with what’s happening around the world with a quick scan of top news.