asterisk2a + squeeze   9

The Fed Sends A Frightening Letter To JPMorgan, Corporate Media Yawns
At the top of page 11, the Federal regulators reveal that they have “identified a deficiency” in JPMorgan’s wind-down plan which if not properly addressed could “pose serious adverse effects to the financial stability of the United States.” Why didn’t JPMorgan’s Board of Directors or its legions of lawyers catch this?

It’s important to parse the phrasing of that sentence. The Federal regulators didn’t say JPMorgan could pose a threat to its shareholders or Wall Street or the markets. It said the potential threat was to “the financial stability of the United States.” [...] “…the default of a bank with a higher connectivity index would have a greater impact on the rest of the banking system because its shortfall would spill over onto other financial institutions, creating a cascade that could lead to further defaults. High leverage,
corporate  media  media  conglomerate  too  big  to  bail  too  big  to  fail  too  big  to  jail  TBTF  jpmorgan  jpmorganchase  USA  GFC  recovery  liquidity  trap  repo  liquidity  squeeze  economic  history  Financial  Stability  Board  FinancialCrisisInquiryCommission  crisis  crony  capitalism  Greed  shareholder  capitalism  profit  maximisation  profit  maximization  investment  banking  retail  banking  leverage  CDS  engineering  CDO  MBS  subprime  FDIC  complexity  Fed  Janet  Yellen  Wall  Street  reflate  reflation  derivatives  credit  bubble 
april 2016 by asterisk2a
The Fed has to deal with its own zombie apocalypse
"However, there are pockets of greater weakness like these zombie companies. These pockets are likely to see some more turbulence than overall conditions. Some companies definitely will go out of business." It isn't just the zombies, though, that should worry about higher rates. Corporate America overall has been piling on the debt, which grew 8.3 percent in the second quarter, according to figures the Fed released Friday. [...] Michael Contopoulos, high-yield strategist at Bank of America Merrill Lynch, said the high-yield space is a mess no matter what the Fed does. Global economic weakness and deteriorating fundamentals are making it increasingly harder for the Fed to underwrite junk debt through a zero funds rate. [...] Earnings for junk companies have been "incredibly weak," [...] "leverage is at all-time highs" while "defaults and downgrades are creeping into the market." [...] the issues with high-yield could be more secular in nature.
zombie  corporations  zombie  consumer  Junk  Bond  Taper  Fed  Fed  mandate  USA  Richard  Koo  interest  payments  bubble  ZIRP  NIRP  QE  unconventional  monetary  policy  unintended  consequences  distortion  unknown  unkown  complexity  QT  2015  China  credit  bubble  BRIC  monetary  policy  monetary  transmission  mechanism  liquidity  trap  liquidity  squeeze  credit  ratings  secular  stagnation  western  world  refinancing  debt  monetisation  debt  monetization  corporate  debt  leverage  margin  trading  reflate  reflation  productivity  UK  Europe  output  gap  competitive  competition  globalization  globalisation  borderless  flat  world  New  Normal  economic  history  trickle-down  economics  marginal  cost  economics  of  abundance 
september 2015 by asterisk2a
World Bank warns on US rate rise - BBC News
[ game of chicken ] [ can private sector carry forward the little bit of recovery/growth the western world got in a rising interest rate world, that will eat away spending bc of higher repayment rates amid little to no wage growth !!! ] [W]arned developing countries to brace themselves for possible financial turbulence when the US Federal Reserve starts to raise interest rates. It could come as early as Thursday when the Fed concludes a policy meeting. A new report from the World Bank says there will probably be a modest impact on developing countries. But it also warns there is some risk that it could be worse. The Bank says it is possible that there would be sufficient disruption to capital flows into developing countries to harm economic growth and financial stability. //&! bit.ly/1QhP6Of //&! youtu.be/G8lCqhCbrA4 //&! youtu.be/KH1UlvgXqTE = bond sell-off move in anticipation of Taper. //&! strength of dollar added already 25bps - youtu.be/zWrxFszwrsQ &! youtu.be/lpTkQqEQmE4
Taper  Fed  BOE  2015  BIS  ZIRP  NIRP  QE  Richard  Koo  reflate  reflation  asset  bubble  hunt  for  yield  FOMO  frothy  World  Bank  distortion  unknown  unkown  unintended  consequences  capital  allocation  asset  allocation  speculative  bubbles  speculative  speculation  monetary  policy  monetary  transmission  mechanism  liquidity  trap  monetary  theory  GFC  recovery  credit  bubble  China  BRIC  Brazil  India  South  Africa  Russia  Europe  UK  BOJ  Abenomics  liquidity  credit  squeeze  excess  reserves  PBOC  economic  history  creditcrunch  credit  crunch  ECB  commodity  prices  energy  price  Oil  price  OPEC  petrodollar  QT  FX  reserves  global  trade  New  Normal  secular  stagnation  faultlines  Structural  Impediments  imbalance  western  deflationary  deflation  austerity  fiscal  policy  monetary  stimulus  monetary  system  debt  monetisation  debt  monetization  unconventional  monetary  policy  debtoverhang  refinancing  creditrating  creditrisk  deleveraging  private  debt  household  debt  disposable  income  discretionary  spending  wage  stagnation  wage  growth  income  growth  income  distribution  low  income  inequality  Gini  coefficient  squeezed  middle  class  downward  mobility  working  poor  precarious  work  Zero  Hour  Contract  Contractor  self-employment  Zeitarbeit  Leiharbeit  Sozialer  Abstieg  j 
september 2015 by asterisk2a
The "Great Accumulation" Is Over: The Biggest Risk Facing The World's Central Banks Has Arrived | Zero Hedge
PBoC’s rapid liquidation of USTs over the past two weeks has added fuel to the fire and effectively boxed the Fed in. On Tuesday, Deutsche Bank is out extending their "quantitative tightening" (QT) analysis with a look at whats ahead now that the so-called "Great Accumulation" is over.  "Following two decades of unremitting growth, we expect global central bank reserves to at best stabilize but more likely to continue to decline in coming years," [...] Less reserve accumulation should put secular upward pressure on both global fixed income yields & USD. [If the shadow actor in Belgium doesnt buy it up @rate everyone else is selling (divesting) ] [...] The current secular shift in reserve manager behaviour represents the equivalent to Quantitative Tightening, or QT. This force is likely to be a persistent headwind towards developed market central banks’ exit from unconventional policy in coming years, representing an additional source of uncertainty in the global economy. ...
bond  bubble  treasuries  Treasury  Market  liquidity  trap  liquidity  squeeze  China  FX  reserves  centralbanks  reserves  USD  Dollar  QE  ZIRP  NIRP  petrodollar  2015  Yuan  RMB  devaluation  global  trade  global  economy  global  imbalances  global  growth  faultlines  OPEC  Oil  price  Asia  emerging  PBOC  Russia  shale  gas  fracking  tarsand  Canada  USA  Taper  Fed  credit  bubble  reflate  reflation  GFC  recovery  monetary  system  financial  monetary  theory  monetary  policy  monetary  stimulus  unconventional  monetary  policy  Saudi  Arabia  UAE  Iran  commodity  prices  Quantitative  Tightening  QT  2016  New  Normal  uncertainty  BOE  IMF  SDR  reserve  currency 
september 2015 by asterisk2a
Why It Really All Comes Down To The Death Of The Petrodollar | Zero Hedge
What might not be as clear (on the surface anyway) is how recent events in developing economy FX markets following the devaluation of the yuan stem from a seismic shift we began discussing late last year - namely, the death of the petrodollar system which has served to underwrite decades of dollar dominance and was, until recently, a fixture of the post-war global economic order. In short, the world seems to have underestimated how structurally important collapsing crude prices are to global finance. For years, producers funnelled their dollar proceeds into USD assets providing a perpetual source of liquidity, boosting the financial strength of the reserve currency, leading to even higher asset prices and even more USD-denominated purchases, and so forth, in a virtuous loop. [...] For the first time in decades, exported petrodollar capital turned negative. [...] the world is now beginning to feel the impact of the petrodollar's quiet demise. // &! Follow-on! bit.ly/1IGh4O3
petrodollar  OPEC  centralbanks  reserves  USD  Dollar  2015  Oil  price  FX  reserves  China  Asia  emerging  market  global  trade  global  economy  global  imbalances  Yuan  RMB  devaluation  PBOC  Russia  shale  gas  fracking  tarsand  Canada  USA  Taper  Fed  credit  bubble  QE  ZIRP  NIRP  reflate  reflation  GFC  recovery  monetary  system  financial  market  monetary  theory  monetary  policy  monetary  stimulus  unconventional  monetary  policy  Saudi  Arabia  UAE  Iran  commodity  prices  liquidity  trap  liquidity  squeeze  treasuries  Treasury  bond  bubble  faultlines  IMF  SDR  reserve  currency 
september 2015 by asterisk2a
▶ Lower living standards in Britain: The squeezed middle - YouTube
in details picture of UK is not healthy ... is not even moving into a healthier picture. debt plays still a huge role >> Number of buy-to-let rising http://www.youtube.com/watch?v=pBrNrv_H9dM >> lack of stable skills jobs is one of the root. and the short-term thinking that debt will be affordable for ever. + >> http://www.forexlive.com/blog/2013/08/12/uk-home-buyers-boost-purchases/
manufacturing  unemployment  employment  monetary  policy  Politics  Mark  Carney  unintended  consequences  davidcameron  squeeze  negative  real  interest  rate  standard  of  living  living  standard  macroeconomics  macroeconomic  policy  QE  Buy-to-Let  NIRP  2013  economic  history  Debt  Super  Cycle  fiscal  policy  stagflation  working  poor  property  bubble  UK  ZIRP  austerity  middle  class  zombie  consumer  long-term  unemployment  GeorgeOsborne  wage  stagnation 
august 2013 by asterisk2a
Breakingviews: Don't sink the pound, Governor Carney! - YouTube
UK inflation rises less than expected in June, but still jumps to its highest level in over a year. With prices rising faster than wages, the new BoE Governor Mark Carney mustn't push down the pound.
currency  debasement  monetary  policy  consumer  squeeze  currency  war  Mark  Carney  modern  monetary  theory  monetary  transmission  mechanism  liquidity-trap  BOE  deflation  greatrecession  QE  NIRP  2013  UK  recovery  unconventional  monetary  policy  austerity  ZIRP  greatdepression  sticky  wages  zombie  consumer  wage  inflation  inflation  GeorgeOsborne 
july 2013 by asterisk2a
UK household finances are 'worse than during height of recession' - Telegraph
Almost 40pc of households saw their finances deteriorate between July and August, compared to just under 6pc that reported an improvement as Britons were hit by rising prices and a squeeze on take-home pay.The latest Markit household finance index also found consumers suffered the fastest fall in their available cash since the monthly survey began in February 2009.Income from employment fell for the eleventh month running – August saw the steepest decline in take-home pay for nine months – while spending power continued to be squeezed by rising prices.Markit said these factors contributed to the sharpest reduction in savings since March 2009. Debt levels increased for the fifth consecutive month, and at the fastest pace since November 2010.The gloomy outlook applied to all income groups, age ranges and regions monitored by the survey, but consumers in the north of England are suffering more than those in the south, the financial information company found.
UK  austerity  depression  2011  income  squeeze  household  spending  debtoverhang  deleveraging  consumer  outlook 
august 2011 by asterisk2a

related tags

Abenomics  Abstieg  abundance  Africa  allocation  Arabia  Asia  asset  austerity  bail  bank  banking  banks  Ben  benbernanke  Bernanke  big  BIS  Board  BOE  BOJ  bond  borderless  Brazil  BRIC  bubble  bubbles  Buy-to-Let  call  Canada  capital  capitalism  car  card  Carney  CDO  CDS  centralbanks  China  class  coefficient  commodity  competition  competitive  complexity  conglomerate  consequences  consumer  Contract  Contractor  corporate  corporations  cost  credit  creditcrunch  creditrating  creditrisk  crisis  crony  crunch  currency  cycle  davidcameron  debasement  debt  debtoverhang  deflation  deflationary  deleveraging  depression  deregulation  derivatives  devaluation  discretionary  disposable  distortion  distribution  distrust  Dollar  downward  ECB  economic  economics  economy  emerging  employment  energy  engineering  equity  Europe  excess  fail  faultlines  FDIC  Fed  financial  FinancialCrisisInquiryCommission  fiscal  flat  FOMO  for  fracking  frothy  FX  gap  gas  GeorgeOsborne  GFC  Gini  global  globalisation  globalization  greatdepression  greatrecession  Greed  growth  history  Hour  household  hunt  imbalance  imbalances  IMF  Impediments  income  India  inequality  inflation  interest  investment  Iran  jail  Janet  job  jpmorgan  jpmorganchase  Junk  Koo  Leiharbeit  leverage  liquidity  liquidity-trap  living  loan  long-term  low  macroeconomic  macroeconomics  mandate  manufacturing  margin  marginal  Mark  market  maximisation  maximization  MBS  mechanism  media  middle  mobility  modern  monetary  monetisation  monetization  mortgage  negative  New  NIRP  Normal  of  Oil  OPEC  outlook  output  payments  PBOC  petrodollar  policy  Politics  poor  precarious  price  prices  private  productivity  profit  property  QE  QT  Quantitative  rate  ratings  real  recovery  refinancing  reflate  reflation  regulation  regulators  repo  repression  reserve  reserves  retail  Richard  RMB  Russia  Saudi  SDR  secular  security  self-employment  self-regulation  shadow  shale  shareholder  South  Sozialer  speculation  speculative  spending  squeeze  squeezed  Stability  stagflation  stagnation  standard  sticky  stimulus  Street  Structural  subprime  Super  system  Taper  tarsand  TBTF  theory  Tightening  to  too  trade  trading  transmission  trap  treasuries  Treasury  trickle-down  trust  UAE  UK  uncertainty  unconventional  underemployed  unemployment  unintended  unknown  unkown  USA  USD  wage  wages  Wall  war  western  work  working  world  Yellen  yield  Yuan  Zeitarbeit  Zero  ZIRP  zombie 

Copy this bookmark:



description:


tags: