By Dajahi Wiley: US oil production surged 64% since 2008, natural gas production 42% since 2005 – driven by the shale revolution. BP and Exxon saw the US as energy self-sufficient in 20 years. But three major red flags should curb this unfettered enthusiasm.
By Dennis Miller: Most state and local pension funds are woefully underfunded. California, Illinois, Ohio, New Jersey, and Texas together officially lack $431 billion; promised money that won’t be paid out. The real numbers may be far worse. But there is a "solution."
Many in the industry believe that in China, 90% of the high-profile wines, like certain Bordeaux, are fake. Devastating thought if you keep wine in a refrigerated vault as an asset class. And prices have collapsed. But it’s not all doom and gloom, not with California wines.
By Chriss Street: The California Bureau of State Audits set off a scandal by disclosing that the Controller’s Office made accounting misstatements of $31.65 billion. That’s about a third of California’s General Fund Budget!
By Bianca Fernet: Bond markets are abuzz about Argentina's deal with the Paris Club of creditors on US$9.7 billion of arrears from the 2001 financial crisis. Economy minister Kicillof emerged, in his mind and that of many, victorious. Brilliant diplomatic showmanship.
It was a very basic question: Have there been times when you did not have enough money to buy the food you or your family needed? In wealthy countries, the percentages should be small, and given all the money-printing, it should be zero, you’d think.
Executive Report with ISA Intel: Slashing the smoke-and-mirrors hype of the Monterey shale by 96% socked not only oil companies but also the state of California that was dreaming of $24.6 billion a year in revenues and 2.8 million jobs, now dissipated into thin air.
By Don Quijones: “The people must pay” if they want to maintain the current levels of public services, warned James Daniel, the man in charge of the IMF’s mission in Spain, who, as an employee of the IMF, pays no income taxes to any country.
How the most important “data” Wall Street hands out via its army of analysts to rationalize lofty stock valuations is consistently (chart!) the biggest hoax out there.
By David Stockman: The ECB launches QE in financial drag by purchasing the kind of “toxic-waste” that took down the US financial system; but it proclaims it’s not “monetizing” any stinking sovereign debt! What it’s really up to is snookering the German sound-money camp.
Even the soothsayers and spin doctors expected a downdraft after Japan’s consumption tax was jacked up to 8% from 5%, effective April 1. But not this.
By Nick Cunningham: The US shale oil and gas industry is in trouble. Drillers have to borrow more and more just to stay on the fracking treadmill, even as production and revenues disappoint. And some of them could be heading toward bankruptcy.
This chart shows how the vision of US liquefied natural gas exports to free Europe from Russia’s clutches or make big bucks off energy-starved Japan is nothing but a juicy lure in the big money game.
This is precisely what shouldn’t have happened but was destined to happen: as prices are soaring, only luxury home sales are growing ... 1% of the market! Something has to give.
By David Stockman: The ultimate evil of monetary central planning is that it distorts pricing signals, thereby inducing vast malinvestments that eventually result in losses and a reduction of national wealth. And that time has come to retail in America.
By Nick Cunningham: ExxonMobil, BP, Total, and other oil majors are doubling down in Russia despite moves by the West to isolate Russia; they just signed mega-contracts with state-owned Russian oil companies – sanctions be damned.
Election results for the European Parliament mortified the French political class, as this universally despised layer is called in France. But now the winner has the gall to accuse the government of “having rigged the vote by the most odious means” to prevent its victory.
By Don Quijones: The Spanish government is desperately trying to offload one of the bailed out, nationalized, and supposedly fully restored banks. The problem: no one wants it.
While the US economy, and by extension the world economy, is desperately waiting for escape velocity to finally kick in, world trade has descended into a very unpropitious slump.