MIKE HAYWOOD’S BANKING CRISIS DIGEST
An independent weekly compilation of current internet articles and blogs relating to the global banking crisis. The most important titles are marked with a X
Issue 00 March 1, 2011
Global Banking crisis, economy and systemic risk
XX Debt, Inflation and Global Economy Systemic Risks, The ZIRP Trap http://www.marketoracle.co.uk/Article26773.html
XX Why you cannot regulate systemic financial risk http://www.stockopedia.co.uk/content/why-you-cannot-regulate-systemic-financial-risk-54717/
X A Quick Look at U.S. Government Debt http://www.independent.org/blog/index.php?p=9512
XX Cognitive Dissonance of It All http://www.johnmauldin.com/images/uploads/pdf/mwo030711.pdf
“No Way Out” of Debt Trap, Gross Says: U.S. Living Standards Doomed to Fall http://finance.yahoo.com/tech-ticker/“no-way-out”-of-debt-trap-gross-says-u.s.-living-standards-doomed-to-fall-536001.html
Bank of Spain Says 12 Lenders Need $21 Billion More to Meet Capital Rules http://www.bloomberg.com/news/2011-03-10/bank-of-spain-says-12-lenders-need-21-billion-more-to-meet-capital-rules.html
China’s Coming Banking Crisis? http://the-diplomat.com/china-power/2011/03/11/chinas-coming-banking-crisis/
Banks ‘led by herd instinct in crisis’ http://www.herald.ie/national-news/banks-led-by-herd-instinct-in-crisis-2575900.html
Europe has a banking crisis, not a wages crisis http://euobserver.com/7/31969
Europe May Face More Ratings Cuts, Greek Default, S&P Says http://www.bloomberg.com/news/2011-03-08/europe-may-face-more-ratings-cuts-greek-default-standard-poor-s-says.html
Adding Up China’s Debt Load http://online.wsj.com/article/SB10001424052748703883504576186252054344030.html?mod=googlenews_wsj
IMF study critical of banking reforms http://www.ft.com/cms/s/0/3a971210-4a7b-11e0-82ab-00144feab49a.html#axzz1GBhONjpz
Irish Banks Seek to Delay ‘Evil Day’ of Reckoning as Mortgage Losses Mount http://noir.bloomberg.com/apps/news?pid=20601087&sid=aCEEEsgyI7iE&pos=4
Bank of England governor Mervyn King ‘out of touch’ , says City http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8363727/Bank-of-England-governor-Mervyn-King-out-of-touch-says-City.html
China Faces 60% Risk of Bank Crisis by 2013, Fitch Gauge Shows http://noir.bloomberg.com/apps/news?pid=newsarchive&sid=aU6A8BxqDFBw
THE BANKS v THE PEOPLE: DECISION TIME FOR THE WEST http://hat4uk.wordpress.com/2011/02/17/the-banks-v-the-people-decision-time-for-the-west/
A global systemic collapse would in relative terms benefit the US http://www.bi-me.com/main.php?id=51431&t=1&cg=4
It’s Time to Face the Fiscal Illusion http://www.nytimes.com/2011/03/06/business/06view.html?_r=1&smid=tw-nytimesbusiness&seid=auto
European bank tests to be softened http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8370258/Europe-weakens-bank-stress-tests.html
Fixed income investors wake up to political risk http://www.ft.com/cms/s/0/b7e74758-46ac-11e0-967a-00144feab49a.html?ftcamp=rss#axzz1FovZ5n8l
RBS crisis: FSA misjudged how much help banks needed http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8365178/RBS-crisis-FSA-misjudged-how-much-help-banks-needed.html
Bankers unite in fury against Mervyn King http://www.introducertoday.co.uk/News/Story/?storyid=4039&title=Bankers_unite_in_fury_against_Mervyn_King&type=news_features
Interest rates could rise sooner than you think http://www.moneyweek.com/news-and-charts/economics/uk/uk-economy-mervyn-king-interest-rate-rises-10901#comments
Regulating financial risks http://gregpytel.blogspot.com/2011/03/you-cannot-regulate-risk-self.html
The Canary Is Dying and So Is Our Future http://www.economicnoise.com/2011/03/09/the-canary-is-dying-and-so-is-our-future/
There are hundreds of articles each week about the continuing US Property slump. Here’s a sample of them
XX Councilman: Why I stopped paying my mortgage http://huntingtonhomes.ocregister.com/2011/03/07/councilman-why-i-stopped-paying-my-mortgage/130687/
XX The Rich Get 100 Times More Mortgage Subsidy Than the Poor http://taxprof.typepad.com/taxprof_blog/2011/03/sullivan-.html
XX Housing will go to zero? http://patrick.net/forum/?p=640125#header
Between a rock and a living space http://www.economist.com/node/18250431?source=patrick.net#ec-article-body
When the roof fell in http://www.economist.com/node/18250439?source=patrick.net#ec-article-body
Underwater mortgages rise as house prices fall http://finance.yahoo.com/news/Underwater-mortgages-rise-as-apf-1329138840.html
BofA Segregates Almost Half its Mortgages Into Bad Bank http://www.bloomberg.com/news/2011-03-08/bofa-segregates-almost-half-its-mortgages-into-bad-bank-under-laughlin.html
New CoreLogic® Data Shows 23 Percent of Borrowers Underwater with $750 Billion Dollars of Negative Equity http://www.sacbee.com/2011/03/08/3458329/new-corelogic-data-shows-23-percent.html#
Five Years of Housing Supply and 5 or 6 Trillion Dollars of Additional Pain http://globaleconomicanalysis.blogspot.com/2011/03/five-years-of-housing-supply-and-5-or-6.html
US Foreclosure and Mortgage Fraud
Behind the foreclosure crisis, big banks’ reign of error http://www.washingtonpost.com/wp-dyn/content/article/2011/03/04/AR2011030404615.html
Foreclosure Protesters Descend On Washington http://www.huffingtonpost.com/2011/03/07/foreclosure-protesters-de_n_832420.html
Mortgage Fraud Led By California, Florida, Arizona and Nevada http://www.housingpredictor.com/2011/mortgage-fraud-sunbelt-states.html
Foreclosure Fraud in Maryland: Banks’ Lawyers Accused of Forging 1,000+ Deeds http://www.dailyfinance.com/story/real-estate/foreclosure-fraud-maryland-banks-lawyers-forged-deeds-signatures/19873599/
UK Property Market
XX Property is widely seen as a safe asset. It is arguably the most dangerous of all http://www.economist.com/node/18250385
XX Warning of 30 per cent house price fall http://www.cih.org/news/view.php?id=1390
XX Financial crises and property busts go together. The link can be weakened http://www.economist.com/node/18281764
English house prices will fall due to economy http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/8361417/House-prices-will-fall-due-to-economy-says-Britains-biggest-lender.html
Interest rate rise would hit 90% of homebuyers, says analyst http://www.guardian.co.uk/business/2011/mar/09/mpc-decided-on-interest-rate-rise
Welsh housing market activity falls ‘considerably’ http://www.bbc.co.uk/news/uk-wales-12673589
Why mortgage lending slumped by a quarter and house prices may fall by a fifth http://blogs.telegraph.co.uk/finance/ianmcowie/100009765/why-mortgage-lending-slumped-by-a-quarter-and-house-prices-may-fall-by-a-fifth/
Global Pension “time bomb” and aging population
X Gloomy Malthus provides food for thought as world’s appetite builds http://www.telegraph.co.uk/finance/comment/liamhalligan/8363500/Gloomy-Malthus-provides-food-for-thought-as-worlds-appetite-builds.html
X London Councils’ pension black hole rockets to £14.6 billion http://www.thisislondon.co.uk/standard/article-23930370-councils-pension-black-hole-rockets-to-pound-146-billion.do
Pension reform: to cut or not to cut? http://blogs.ft.com/beyond-brics/2011/03/09/pension-reform-to-cut-or-not-to-cut/
What Happens When City Retirees Outnumber City Employees? http://foxandhoundsdaily.com/blog/gary-toebben/8723-what-happens-when-city-retirees-outnumber-city-employees
Unions Oppose Pension Changes in California Talks http://online.wsj.com/article/SB10001424052748703662804576189200016227420.html
UK pension reform could spark wave of strikes http://www.reuters.com/article/2011/03/09/britain-pensions-idUSLDE7280AZ20110309
Public service pension overhaul urged by Hutton report http://www.bbc.co.uk/news/business-12687489
Corporate pensions deficit reaches £1,383bn http://www.ftadviser.com/FinancialAdviser/Pensions/News/article/20110310/e9f34bd8-4595-11e0-9885-00144f2af8e8/Corporate-pensions-deficit-reaches-1383bn-Xafinity.jsp
Unions warn of strikes over pension reforms http://www.telegraph.co.uk/news/uknews/8364771/Unions-warn-of-strikes-over-pension-reforms.html
Overhaul of ‘gold-plated’ pensions could lead to calls for general strike http://www.guardian.co.uk/politics/2011/mar/06/overhaul-pensions-lead-general-strike
State pension to be simplified, says Iain Duncan Smith http://www.bbc.co.uk/news/uk-politics-12674194
Pensioners will die in debt http://www.guardian.co.uk/money/2011/mar/09/pensioners-will-die-in-debt
The affect of Austerity measures
National People’s Action Takes over Bank of America Branch in DC http://news.firedoglake.com/2011/03/07/national-peoples-action-takes-over-bofa-branch-in-dc/
Struggle to pay bills is about to get much worse http://www.independent.ie/business/personal-finance/struggle-to-pay-bills-is-about-to-get-much-worse-2567723.html
Rising prices stoke fuel thefts in B.C. http://www.theglobeandmail.com/news/national/british-columbia/rising-prices-stoke-fuel-thefts-in-bc/article1933828/
Warning Of ‘Food Price Riots In The UK’ http://uk.finance.yahoo.com/news/Warning-Of-Food-Price-Riots-skynews-2424687063.html?x=0
Deflation or inflation?
Is inflation wolf at the door? http://www.latimes.com/business/la-fi-petruno-20110305,0,4894306.column
Interest rates could rise sooner than you think http://www.moneyweek.com/news-and-charts/economics/uk/uk-economy-mervyn-king-interest-rate-rises-10901#comments
Deflation defeated? http://www.marketwatch.com/story/deflation-worries-receding-fast-2011-03-08?reflink=MW_news_stmp
Hyperinflationary Deluge Imminent http://www.zerohedge.com/article/egon-von-greyerz-hyperinflationary-deluge-imminent-or-why-bernankes-motto-après-nous-le-délu
US recessionary trends
X Police Force Nearly Halved, Camden Feels Impact http://www.nytimes.com/2011/03/07/nyregion/07camden.html
US Unemployment
Are graduates really immune from U.S. unemployment misery? http://blogs.reuters.com/great-debate-uk/2011/03/07/are-graduates-really-immune-from-u-s-unemployment-misery/
A Double Dose of Deceptive Unemployment Statistics http://news.coinupdate.com/a-double-dose-of-deceptive-unemployment-statistics-0711/
His Recession, Becoming Hers http://economix.blogs.nytimes.com/2011/03/07/his-recession-becoming-hers/
Eureka Articles that may inspire you to question the status quo
X
And for some light relief Comedy Video Sketch….Banking and inflation
XXXXX
Building Resilience to coming crises
The Peak Affordability Lifestyle http://www.chrismartenson.com/blog/managing-pain-without-meds/53866
Alternative Currencies, changing the Banking System
X Spain town reintroduces peseta to boost economy http://www.bbc.co.uk/news/world-europe-12657225
XX Fiat Currencies: Designed to Fail http://wealthcycles.com/video/fiat-designed-fail
