naked capitalism Wed 2009-08-26 16:18 EDT

Guest Post: A Plunge in Foreign Net Capital Inflows Preceded the Break in US Financial Markets

Jesse

Served by Jesse of Le Café Américain The peak of foreign capital inflows into the US was clearly seen in the second quarter of 2007, just before the crisis in the US that has rocked its banking system and driven it deeply into recession. Are the two events connected? Had the US become a Ponzi scheme that began to collapse when new investment began to wane, and the growth of returns could not be maintained? Watch the dollar and the Treasury and Agency Debt auctions for any further signs of capital flight, which is when those net inflows of foreign capital turn negative. And if for some reason the unlikely happens and it gains momentum, the dollar and bonds and stocks can all go lower in unison, and there...

break; financial market; Foreign Net Capital Inflows Preceded; Guest Post; naked capitalism; plunge.

ClubOrlov Wed 2009-08-26 10:59 EDT

The new new money

kollapsnik

It's official: The government in Beijing has announced that the Yuan can now be used in international trade. Their mouthpiece for this occasion was the Industrial and Commercial Bank of China, a private entity, which made the announcement on their behalf. By the end of this year, it is expected that fully 50% of all transactions with Hong Kong will be denominated in the Yuan. In turn, Hong Kong re-exports 90% of its Chinese imports. Importer #1 is the European Union; importer #2 is the United States. Some of these countries may soon find themselves hard-pressed to earn enough Yuan to continue importing Chinese-made products. This is only the next small step in Beijing's "policy of small steps." Already the Chinese government has ramped down its purchases of US... US dollar losing reserve status; yuan-denominated accounts available in Hong Kong.

ClubOrlov; new new money.

The IRA Analyst Fri 2009-07-24 00:00 EDT

The Institutional Risk Analyst: Mortgage Duration Risk: The Banks Are No Longer the Problem

``Washington has indeed fixed the solvency problems of the large zombie banks...by turning them into GSEs via FDIC guarantees on their debt.''

bank; Institutional Risk Analyst; IRA Analyst; longer; Mortgage Duration Risk; problem.

Tue 2009-06-16 00:00 EDT

naked capitalism: Right Wing Turns on Elizabeth Warren, Congressional Oversight Panel Head

Congressional Oversight Panel head; Elizabeth Warren; naked capitalism; Right Wing Turns.

Tue 2009-04-21 00:00 EDT

naked capitalism: Guest Post: Turning Japanese and understanding the consequence of policy half-measures

Edward Harrison

consequences; Guest Post; measured; naked capitalism; policies; Turn Japanese; understanding.

Tue 2009-04-21 00:00 EDT

naked capitalism: Guest Post: The Banks Were Profitable In January And February Thanks To... AIG

by Tyler Durden; ``phenomenal scam...continues unabated in the financial markets, and now has the full oversight and blessing of the U.S. government, which in turns keeps on duping U.S. taxpayers into believing everything is good''

AIG; bank; February Thanks; Guest Post; January; naked capitalism; profits.

Wed 2009-04-01 00:00 EDT

Mish's Global Economic Trend Analysis: Dairy Farm Crisis; Milk Prices Turn Sour

Dairy Farm Crisis; milk prices turn sour; Mish's Global Economic Trend Analysis.

Tue 2009-02-24 00:00 EST

AlterNet: Only in America Could Misery Be Turned Into a Commodity

by Joe Bageant

AlterNet; America; Commodities; misery; turns.

Fri 2009-01-16 00:00 EST

Jesse's Café Américain: Merrill Lynch: The Wealthy Are Turning to Physical Gold for Safety

Jesse's Café Américain: Merrill Lynch: The Wealthy Are Turning to Physical Gold for Safety

Jesse's Café Américain; Merrill Lynch; physical gold; Safety; turns; wealthy.

Fri 2008-12-12 00:00 EST

AlterNet: Chomsky: Is There Truth in Obama's Advertising?

AlterNet: Noam Chomsky: Is There Truth in Obama's Advertising? ``what's happened to the country...is that there was extensive and very constructive activism in the 1960s...And the activism did civilize the country''; Tom Ferguson's investment theory of politics; Brand Obama; ``The goal of advertising is to create uninformed consumers who will make irrational choices...And when they turn to selling a candidate they do the same thing...So you undermine democracy pretty much the same way you undermine markets.''

AlterNet; Chomsky; Obama's Advertising; truth.

Sun 2008-08-24 00:00 EDT

Here comes the downsizing of finance

by Martin Hutchinson (Prudent Bear); auction-rate securities (ARS); credit default swaps (CDS); ``CDS market creates many times as much risk as it hedges or transfers''; GSEs ``leveraged more than would have been possible without the governments quasi-guarantee, lobbied like to crazy to ensure they were not properly regulated and collapsed thankfully into the arms of the taxpayer as soon as ill winds began to blow...by their presence they turned the soundest product in financial markets, the home mortgage, into an obscene speculative casino, causing collateral damage of many times their own losses.'' ``much of the financial services innovation of the last generation was spurious and unsound, and needs to be done away with''

comes; downsizing; finance.

Sun 2008-08-10 00:00 EDT

naked capitalism: Fight the Fed, Don't Fight the Fed, Baby

The Fed's broken lever; by Scott Frew; sorcerer's apprentice Greenspan turned shadow banking system to "unstoppable monster"; indispensable chronicler Prudent Bear Doug Noland

baby; Fed; fighting; naked capitalism.

Sat 2008-03-22 00:00 EDT

Daily Kos: State of the Nation

Mississippi Turning, by Meteor Blades (DailyKos); fighting Jim Crow; Freedom Summer recollections

Daily Kos; nation; state.

Tue 2008-01-08 00:00 EST

Calculated Risk: Turns Out Judges Don't Like "Efficient" Servicers

CFC slapped by bankruptcy judge over recreating documents; tanta tirade on psychopathic internal processes

Calculated Risk; efficiency; judge; services; turns.

Thu 2007-10-18 00:00 EDT

naked capitalism: August International Capital Flows Turn Negative

(dollar losing reserve status)

August International Capital Flows Turn Negative; naked capitalism.

Wed 2007-09-12 00:00 EDT

Mish's Global Economic Trend Analysis: No Greenspan, Conditions are NOT Like 1998

Fed "embraced every bubble in history"; Greenspan "consistently wrong at every major turn in his entire history as Fed chair"

1998; Conditions; Greenspan; Mish's Global Economic Trend Analysis.