Recession time: Central banking’s brave new world

The European Central Bank is leading the charge in the next wave of central bank stimulus measures, but experts and former central bankers argue it will be insufficient to deal with the looming global downturn. Why it matters: Central banks see that the global economy is in trouble and they are stepping in to act, but […]

Stock market & Tech: are we headed for dotcom bubble 2.0?

Flotations of loss-making firms hit 2000 levels amid warning signs bubble could be about to burst The proportion of unprofitable companies floating on US exchanges has reached record levels, stoking fears the market could be headed for another dotcom bubble burst. According to analysis by the Warrington College of Business at the University of Florida, […]

Morgan Stanley’s S&P 500 Bear Unbowed After Admitting Bad Call

Morgan Stanley’s Mike Wilson acknowledges he made the wrong call on the U.S. equity market this year. But that hasn’t dissuaded him from holding onto one of Wall Street’s most bearish forecasts. With the S&P 500 Index at a record high after surging 17 percent this year, the firm’s chief U.S. equity strategist issued a […]

Hedge funds are losing clients and money

Hedge funds are losing clients and money as they continue to deliver returns far worse than the broader stock market. The big picture: Since the beginning of 2015, Americans’ total financial assets have grown by nearly $11 trillion, Federal Reserve data shows, and less than 1% of that gain has been in hedge funds. Aside from a […]

Inversion Alert: Goldman Sachs Joins Chorus Warning Against Yield Curve Panic

Goldman Sachs Group Inc. added its voice to those advising against panic over the inversion of the U.S. yield curve, which has served as a recession warning in the past. The proportion of the yield curve that’s inverted isn’t as high as in past recessions, and part of the reason 10-year Treasury yields have slumped […]

U.S. Credit Card Debt Closed 2018 at a Record $870 Billion

U.S. credit card debt hit $870 billion — the largest amount ever — as of December 2018, according to the data from the Federal Reserve. Credit card balances rose by $26 billion from the prior quarter. “The increase in credit card balances is consistent with seasonal patterns but marks the first time credit card balances […]

As Amazon drops New York project, Ocasio-Cortez…

U.S. Representative Alexandria Ocasio-Cortez wasted no time on Thursday in calling Amazon’s decision to scrap plans to build a major New York outpost with nearly $3 billion in city and state incentives a big victory for progressive politicians. The democratic socialist congresswoman has become the face of the Democratic Party’s ascendant left wing, thanks in […]

Until the Next Crash

The populist revolt is not against the crash, or even its immediate aftermath, but against the nature of the recovery. “OF THE MAXIMS of orthodox finance,” wrote John Maynard Keynes in 1936, “none, surely, is more anti-social than the fetish of liquidity, the doctrine that it is a positive virtue on the part of investment institutions […]

Top 10 Largest Economies By 2050: China, India, USA and the rest

The United States has been the global economic powerhouse for decades. It has had a significant lead over other economies, but China is rapidly closing the gap with the US. Even though China’s growth rate has slowed in recent years, economists predict its economy will surpass the US in the next few years. Other developed nations such […]

Russia is dumping US dollar from its huge reserves, shifting into euros and yuan

Russia’s central bank dumped $101 billion in U.S. holdings from its huge reserves, shifting into euros and yuan last spring amid a new round of U.S. sanctions. The central bank moved the equivalent of $44 billion each into the European and Chinese currencies in the second quarter, according to a report published on late Wednesday by the […]