...the recent example of Bankia in Spain shows what will happen in London and on Wall Street and in other Western countries a few months hence. Let’s limit ourselves to real estate “ghost assets” which are at the origin of the Spanish bank’s collapse and its need for a €90 billion recapitalisation. For four years Bankia (and its regulators) tried to believe/make believe that its real estate assets always had a value close, or not too damaged, compared to those on their books up to the beginning of the real estate crisis. And then, with the first major shock, the Greek crisis and its effects on the Eurozone’s financial circuits in this particular case, the house of cards collapsed. Confidence melted away and with it the value attributed to the real estate ghost assets on Bankia’s balance sheet. However the City, like Wall Street, are full of banks and other financial institutions whose balance sheets are, like Bankia’s, stuffed with ghost real estate assets . The end of markets on focusing on the Greece/Euro tandem will re-orientate concerns in this direction: where are the other Bankias in the United States, the United Kingdom, Japan, Europe and China? The general context of concern, even fear, which will take hold by the end of summer 2012, will thus make it impossible to maintain the status quo as it has been since 2008...
Revue des frets maritimes: les frets pétroliers au plus bas depuis 2009
LONDRES - Les tarifs des transports maritimes de brut et de produits pétroliers se sont enfoncés la semaine dernière à des niveaux plus vus depuis 2009, minés par le ralentissement de la demande et l'abondance de navires disponibles, tandis que les prix des frets secs baissaient légèrement.
The Triumph of Canadian Socialism
On July 1, Canada Day, Canadians awoke to a startling, if pleasant, piece of news: For the first time in recent history, the average Canadian is richer than the average American. According to data from Environics Analytics WealthScapes published in the Globe and Mail, the net worth of the average Canadian household in 2011 was $363,202, while the average American household's net worth was $319,970.
Do Business Schools Incubate Criminals?
The recent scandals at Barclays Plc, JPMorgan Chase & Co., Goldman Sachs Group Inc. and other banks might give the impression that the financial sector has some serious morality problems. Unfortunately, it’s worse than that: We are dealing with a drop in ethical standards throughout the business world, and our graduate schools are partly to blame.
Plan drawn up to cut military personnel by 20,000
The Spanish Defense Ministry has drawn up plans to cut 15,000 military posts and another 5,000 civilian jobs over the next 13 years, a reduction equivalent to 13 percent on current staffing levels. The drop in personnel is included in a plan named Vision 2025 drawn up by the head of the Joint Chiefs of Staff, Admiral Fernando García Sánchez, which aims to transform Spain's armed forces into an "agile, adaptable, sustainable and technologically advanced" unit by that year.
Fees that can halve the value of your pension
Nine in 10 of the country’s biggest pension fund managers fail to warn people about the levies, which typically wipe more than £100,000 from the value of a middle-class worker’s pension. The report by the RSA, a think tank, found that workers were routinely denied simple, low-cost pensions that are readily available elsewhere in Europe. Ministers said they were prepared to intervene unless pension funds reduced their fees and became more transparent.
Libor: le drapeau rouge flotte sur Bruxelles...
« De vrais salauds ! », s’exclame ce haut fonctionnaire européen qui n’en revient toujours pas. Cinq ans après l’éclatement de la bulle des « subprimes » américaines, quatre ans après l’explosion des bulles immobilières irlandaises et espagnoles, trois ans après le début des attaques spéculatives contre la zone euro, la Commission croyait que les banques ne pourraient plus la surprendre. Loupé !
OVERNIGHT DEFENSE: Study: 600,000 federal workers at risk if sequester goes through
As many 600,000 federal jobs could be lost if the automatic cuts through sequestration take effect, according to a new study being released Tuesday by the Aerospace Industries Association (AIA). In a study last year, the AIA found that more than 1 million defense-related jobs could be at risk if the $500 billion cut to defense and non-defense spending through sequestration occurred.
Wage growth falters amid slowdown
Trend to continue as companies feel squeeze on profits, experts suggest. Wage increases, in percentage terms, fell dramatically last year and the trend will continue as economic expansion slows, experts said. The annual income of workers categorized as non-private sector, those in State-owned enterprises, collectively owned businesses and enterprises funded by foreign investment, stood at 42,500 yuan ($6,660) in 2011, a rise of 14.3 percent from a year earlier.
Video - Why the U.S. Is in an Invisible Depression
According to Al Lewis on The News Hub, we're actually in a depression right now, but most people don't see it. One out of seven Americans are on food stamps - if they weren't getting cards in the mail every month, you'd see them in soup lines.
US Economy Goes From 'Hero to Zero'
Monday’s weak US retail sales showed that the world’s biggest economy is slowing very quickly, leading one economist to claim America has gone from “first half hero to second quarter zero.” The 0.5 percent fall for June was far worse than expected and the third monthly drop, the longest run of falling sales since 2008 when the Lehman crisis led America into recession...
L'Iran a-t-il fait sombrer PSA ?
La République islamique est-elle responsable des maux que connaît actuellement PSA ? Depuis l'annonce, jeudi dernier, d'un plan de suppression de 8 000 postes et de la fermeture de l'usine d'Aulnay-sous-Bois, le délégué CGT du site, Jean-Pierre Mercier, ne cesse de répéter que c'est l'arrêt des activités du groupe en Iran qui l'a plombé. "Pour le premier semestre 2012, on constate une baisse des ventes de 240 000 véhicules par rapport à 2011", affirme au Point.fr le délégué CGT d'Aulnay. "Or, ce chiffre comprend les 200 000 véhicules que Peugeot aurait dû vendre en Iran."...
The military 'solution'
Americans may feel more distant from war than at any time since World War II began. Certainly, a smaller percentage of us - less than 1% - serves in the military in this all-volunteer era of ours and, on the face of it, Washington's constant warring in distant lands seems barely to touch the lives of most Americans.