Search Results for: recession

Russia’s GDP shrinks 4.6% due to oil prices and sanctions

Russia Moscow bridge

Russia’s economy suffered a 4.6-percent fall in GDP in the second quarter of 2015 against the same period last year, the worst performance in six years, according to official statistics. A collapse in oil prices and Western sanctions were largely to blame, however improvement is forecast in 3Q of 2015. …

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European Central Bank to start buying private-sector debt

Benoît Coeuré ECB

The European Central Bank will start buying private-sector debt instruments within days with the aim of raising the bank’s holdings of assets and steering money to the economy, ECB executive board member Benoît Coeuré said Friday. The purchases “will have the objective to steer the balance sheet of the ECB …

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Loan Market Predictions for 2017

Loan market predictions 2017 house

The repeated nationalist victories in 2016 elections have shaken investors and left many afraid for 2017. Let’s look at loan market predictions for 2017 based on the information we have and trends we can safely project into the future. Continued Deflationary Pressures Drive Investor Decisions Institutional debt is deflationary. When …

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John Williams: the real unemployment rate is 22% – not 8.1%

Jim welcomes back John Williams from Shadow Government Statistics. John believes the real unemployment rate is 22%, not 8.1%, which is why it still feels like a recession. He also calculates the CPI at 6%, not 2.8%, and explains how the government manipulates the rate of inflation. Lastly, John believes the US is still …

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Greece likely to leave Eurozone and EU

Greece EU Grexit Athens

The Greek central bank warned Wednesday that the country could crash out of the eurozone and even the European Union if it fails to reach a bailout deal with international creditors. In one of the starkest warnings so far from a Greek institution, the Bank of Greece said: “Failure to …

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Why You Should Consider CFD Trading

While daily trading volumes may have declined slightly since the Great Recession, the evolution of the financial marketplace has ensured that even volatile entities such as the foreign exchange remain surprisingly active. This is largely thanks to trading vehicles such as contracts for difference (CFDs), which enables investors to minimise …

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US government sues Standard & Poor’s after AAA downgrade

Standard Poor's

The US government is blaming the financial crisis that catapulted the US into recession in 2007 on debt raters Standard & Poor’s. But by singling out S&P, the DoJ raises suspicions that it might be retaliating for a downgraded US credit rating. In a Monday evening filing in federal court, …

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CNN is telling people the stock market is fine

CNN stock market bull

From Filip Karinja, for Birch Gold Group Stock markets around the world are teetering upon a major correction, as we saw chaos unfold last week in the equities markets. If you saw chaos and panic on the road while driving your car, you would likely slow down, investigate the situation and perhaps change …

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Fed Vice Chair says bankers should be punished for financial crimes

Federal Reserve Vice Chairman Stanley Fischer

Federal Reserve Vice Chairman Stanley Fischer said bankers who have engaged in wrongdoing should be punished, and he chided the industry for pushing back against financial regulations adopted to prevent another conflagration. “Individuals should be punished for any misconduct they personally engaged in,” Fischer said in a speech to bankers …

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European Central Bank cuts interest rate to below zero

ECB euro symbol

The European Central Bank lowered its deposit rate to -0.10% as the continent battles deflation after many failed monetary policy attempts. The bank said more extraordinary tools can can be used to prevent the derailment of economic recovery. The European Central Bank (ECB) cut its main refinancing rate to 0.15 percent from …

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Wall Street banks are still ‘too big to fail’

Bank of America

The biggest banks still don’t have adequate bankruptcy plans to avoid precipitating another economic crisis, said U.S. regulators. Eleven of the nation’s largest banks still do not have viable bankruptcy plans that would avoid causing widespread economic damage, U.S. regulators said Tuesday in a sweeping admonition of Wall Street’s giants. The Federal …

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Romanian president impeached

Romanian President Traian Basescu

Romanian MPs have voted to impeach President Traian Basescu, initiating a process that could oust the unpopular leader in a national referendum. Some 256 of the bicameral parliament’s 372 deputies voted to impeach Basescu, 114 voted against the motion, and two votes were canceled, the final count showed. Senate Speaker …

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Pro-bailout party wins parliamentary elections in Greece

New Democracy Antonis Samaras

Greece’s pro-bailout New Democracy party has narrowly won the country’s parliamentary elections by securing 29.7 percent of the vote, the Interior Ministry says. The anti-bailout far left Syriza party garnered 26.9 percent of the ballots to come in second in the Sunday elections, the ministry said. The results showed that …

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Rio de Janeiro is out of money ahead of Olympic Games

Rio de Janeiro

The acting governor of Rio de Janeiro state has declared a state of financial disaster so he has more leeway to manage the state’s scarce resources less than two months Brazil hosts the Olympic Games. Francisco Dornelles announced the decision on Friday. It will allow Rio’s state government to change …

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How Stock Market Behavioural Finance Can Be Used on Consumers

Most people probably don’t realise that emotion and human feeling comes into the stock market analysis too. While it is largely a numbers game, and the industry and sector play a huge part – not to mention how the stock market itself is faring, two companies with similar numerical stats …

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S&P to pay $1.4 billion settlement for defrauding investors

S&P Standard and Poor's

One of the world’s biggest credit rating agencies has agreed to pay United States prosecutors nearly $1.4 billion to settle claims it defrauded investors ahead of the 2008 financial crisis. Under the terms of the settlement acknowledged on Tuesday this week, Wall Street giant Standard & Poor’s will pay a …

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25 EU banks fail stress test

European banks

Nearly one in five leading European banks have failed the stress test conducted by the European Central Bank, which revealed a $31.2 billion (€24.6 billion) capital gap in 25 banks showing they’re not ready to withstand a three-year recession. The results of the EU-wide stress test were reported on Sunday …

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Goldman Sachs buys $5.7 billion in toxic mortgages

Goldman Sachs toxic mortgages delinquent loans

Most banks hear “delinquent loans” and run, but Goldman Sachs is not most banks. The massive investment bank is greedily betting that it can squeeze value out of delinquent mortgages with a multi-billion dollar purchase of auctioned loans that have unpaid loan balances of $5.7 billion. The Wall Street Journal reports that the investment bank …

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