ECONOMY | WHAT REALLY HAPPENED


ECONOMY

Sep 05 07:51

Massive Tesla Expose Reveals "Chaos" For Workers While Musk Does "Whatever He Wants"

It’s not just ex-employees of Tesla that are singing like birds, it now appears that current Tesla employees are also eager to reveal what life is like working under the "cult" of Elon Musk at Tesla. This was confirmed by a massive Business Insider expose on what life is like working at Tesla, according to 42 employees.

The revelations – cult-like worship, Musk hosting his own romantic dinners at the plant, an "unpredictable" home/work life balance and people shitting on the floor – confirm that working for Tesla is extremely high pressure at best, and disorganized mayhem at worst.

Business Insider spoke to 42 people who are either currently employed by the company or have been in the past. These employees hold or held a variety of jobs, from entry-level to managers, at the Fremont headquarters, as well as the Nevada Gigafactory.

Sep 05 07:50

Average US Rent Hits All Time High Of $1,412; Biggest Increase In 18 Months

With core CPI printing at a frothy 2.4%, and the Fed's preferred inflation metric, core PCE finally hitting the Fed's 2.0% bogey for the first time since 2012, inflation watchers are confused why Jerome Powell's recent Jackson Hole speech was surprisingly dovish even as inflation threatens to ramp higher in a time of protectionism and tariffs threatening to push prices even higher.

Sep 05 07:45

Citigroup Is Betting Big On This Sci-Fi Technology

After a slow start to the year, the stock markets are running riot again and taking out new highs every few days. With valuations sky-high, it’s time for investors to consider putting some of their money into budding technologies that are potential hotcakes.

The research arm of investment banker Citigroup Inc. has recommended a group of technologies that it believes are at an inflection point of accelerated adoption. Some like anti-aging medicines or floating wind farms appear like they belong more to the realm of science fiction, yet, Citi says they could become a reality in a decade or even less.

Here’s a breakdown of some of the themes:

Sep 05 07:45

PANIC Selling in Stock Market Today

Sep 05 07:45

Say Goodbye To Cheap Oil… For Now

Oil prices will be much higher over the next few years than previously thought, according to a new report from Barclays.

The investment bank significantly raised its pricing forecast for 2020 and 2025 in its annual medium-term oil report. Barclays expects Brent to average $75 per barrel in 2020, up from a previous estimate of $55, while prices may average $80 in 2025, up from $70 previously.

The bank noted that the market is dramatically different than it was at this point last year when it issued its previous medium-term report. U.S. shale drillers are maintaining capital discipline, which could lead to lower than expected production levels. OPEC and Russia have demonstrated resolve and laid the groundwork for long-term market management, which could keep supply off the market for years to come.

Sep 05 07:29

Cryptos Crash As Goldman Suspends Trading Desk Plans

Bitcoin is back below $7000, and Ethereum is tumbling back near its lowest since Nov 2017 as reports that Goldman Sachs is putting its plans to build a crypto trading desk on hold has sparked 'what do they know' anxiety in the virtual currency space.

Headlines from Business Insider reporting that the bank is ditching plans to open a desk for trading cryptocurrencies in the foreseeable future, according to people familiar with the matter, as the regulatory framework for crypto remains unclear, sparked an instant selling rampage across the entire crypto space.

Sep 05 07:28

Cryptocurrencies Flash Crash; Bitcoin, Ethereum Plummet

Just before 6am ET, cryptocurrencies suddenly flash crashed, tumbling on no news with some plunging as much as 12%, after a largely unchanged overnight session.

Bitcoin, the world's biggest digital asset, erased gains and fell more than 3% in about minutes, tumbling back under $7000 after trading in the mid-$7300 range earlier. Litecoin, Ethereum and Ripple followed, with Ethereum crashing by as much as 12%, while litecoin and ripple sank over 8%. There was no catalyst or news behind the selloff, although as Bloomberg's Andrew Cinko notes, "perhaps its just part of the risk-off mentality gripping all markets amid the latest round of weakness in emerging markets."

Sep 05 07:07

Thinktank calls for major overhaul of Britain's economy

A radical overhaul of Britain’s economy as far-reaching as Labour’s post-war reforms and the Thatcherite revolution in the 1980s is needed to address the UK’s chronic failure to raise the standard of living of millions of workers since the 2008 financial crash, according to a major report.

In a damning verdict on the state of the UK economy, the IPPR commission on economic justice, which includes the Archbishop of Canterbury Justin Welby, senior business leaders and economists, found that the UK is being held back by a business culture dominated by decades of short-term profit taking, weak levels of investment and low wages. Among the report’s 73 recommendations are: a £1 rise in the minimum wage; the replacement of inheritance tax with a £9bn-a-year “lifetime gifts” tax; and greater economic devolution across the UK.

Sep 05 07:06

EU urges 'amicable' end to Franco-British scallop war

The European Commission on Wednesday urged France and Britain to find an "amicable" solution after fishermen from the two countries clashed in the English Channel over a hoard of scallops.

Brussels insisted however that it could not get involved in the fight as arrangements for trawling for the prized shellfish were made between individual countries, not at a European level.

Sep 05 06:53

The Global Financial System Is Unraveling, And No, the U.S. Is Not immune

Currencies don't melt down randomly. This is only the first stage of a complete re-ordering of the global financial system.

Sep 05 00:24

10 Years Later – No Lessons Learned

While central bankers have more than tripled their balance sheets and funneled the fantasy bucks to Wall Street banks and mega-corporations, virtually none of it trickled down to Main Street. The only trickle is the piss running down our backs from the ruling elite. The massive debt creation has been nothing more than a last-ditch effort to prop up the crumbling financial/political paradigm. The current state of affairs is unsustainable. It is failing. And it will fail. This turkey will ultimately hit the ground like a wet sack of cement.

Sep 04 16:02

Explaining the Financial Crisis:

Sep 04 13:46

Transports-Potential topping patterns in play

Sep 04 10:53

The Collapse Of Venezuela's Imaginary Oil Currency

Earlier this year, Venezuelan President Nicolas Maduro rolled out his latest scheme to rescue his economy, offer an alternative to the increasingly worthless bolivar, and skirt U.S. sanctions on financial transactions. But Maduro’s cryptocurrency, supposedly backed by Venezuela’s oil reserves, is a very hollow promise.

To be sure, few analysts expected much from the “petro,” Maduro’s hastily launched cryptocurrency. One petro was supposed to be backed by one barrel of oil, and the vast reserves of oil located in a specific part of Venezuela were promised as a backstop for the new cryptocurrency. It was always an odd scheme. After all, what makes the petro any different from the bolivar, Venezuela’s official currency? Isn’t the value of and faith in the bolivar also effectively backed by the country’s oil wealth?

Sep 04 10:06

South Africa slides into recession amid failing government reforms

Massive declines in the agricultural, transport and retail sectors have dragged the South African economy into recession after nearly a decade of growth. It is a huge blow to President Ramaphosa's controversial reforms.

GDP in the second quarter contracted by 0.7 percent compared to the first three months of the current year. South African national currency, the rand, extended declines against the US dollar to more than two percent as government bonds fell after the released data.

Sep 04 09:48

TSB boss Paul Pester steps down with £1.7m after IT meltdown

The TSB boss who oversaw one of the worst IT meltdowns in high street banking history has walked away from the company with a £1.7 million payoff.

Paul Pester quit as chief executive today after seven years with the Spanish owned lender.

The 54 year old takes with him a year’s salary and benefits totalling £1.2 million and a further £480,000 award due to him as a result of his work with the bank before it was taken over by Alicante-based Banco de Sabadell in 2015.

Sep 04 08:02

Rees-Mogg: Barnier agrees that Chequers proposal is 'rubbish'

Jacob Rees-Mogg has claimed that he and the EU’s chief negotiator, Michel Barnier, bonded in a meeting in Brussels over their shared assessment that Theresa May’s Chequers plan is “complete rubbish”.

The Tory MP, who was visiting the European commission with the cross-party Brexit select committee, said he had been encouraged by the lack of enthusiasm he had found for the prime minister’s plans.

Emerging from the commission’s headquarters, Rees-Mogg told reporters that both Brussels and Eurosceptic MPs agreed that a free trade deal on the same lines as that signed between the EU and Canada was the most promising way forward.

Sep 04 07:55

Bitcoin Gold delisted from major cryptocurrency exchange after refusing to pay hack damages

Bittrex, one of the largest cryptocurrency exchange platforms, has delisted Bitcoin Gold (BTG) from its trading platform over the weekend after BTG maintainers declined to pay half of the damages Bittrex suffered during a complex multi-stage cyber-attack earlier this year.

According to a statement from the BTG team, Bittrex asked the BTG team to pay 12,372 BTG (~$256,000) as reparations for the attacks.

The BTG team declined to pay the asked sum, stating that their private assets can't be used to cover "a private company's losses from their own security failures."

Sep 04 07:39

Ken Livingstone: Decade after 2008 crisis, no changes made, richest get richer, inequality growing

This month marks 10 years since the collapse of Lehman Brothers created the worst economic crisis since the Great Depression of the 1930s, but governments have failed to make changes necessary to prevent a similar collapse.

Back in the 1930s, the US government responded to the Great Depression by introducing new laws that made it illegal for the local high street banks, in which we all deposit our own money, to make risky gambling decisions.

Sep 04 07:33

Brexit Won't Turn UK Into 'the Empire on Which the Sun Never Sets' – Analyst

While seeking a return to imperial hegemony, the UK is neither dominating the world nor taking care of its own people, Adam Garrie, a geopolitical analyst and director at Eurasia Future, told Sputnik. The bold Brexit rhetoric and the idea to turn the Commonwealth of Nations into a new trading bloc might ultimately face stark reality, he believes.

"A very rude awakening is in store because unless the UK settles on the Norwegian or Swiss style model — which I suspect they ultimately will, the EU will show the UK the door and slam it shut," Adam Garrie, a geopolitical analyst and director at Eurasia Future, told Sputnik, commenting on the UK's post-Brexit prospects.

Sep 04 07:32

EU Should Challenge Google, Apple, Facebook, Amazon Payment Systems, ECB Says

A European Union board member gave a speech criticizing the weak presence of European fintech businesses in the continent’s own market. The leader’s comments come in response to several major clashes with American multinationals over their unscrupulous practices.

Sep 04 07:31

Mega Gas Transit Project: TAP Pipeline on Blair's Mind Ahead of Salvini Talks

Plans to extend the Trans Adriatic Pipeline (TAP) will be on the discussion agenda during the meeting of former British Prime Minister Tony Blair and Italy's Interior Minister Matteo Salvini, according to reports.

The two officials are scheduled to discuss plans to extend a gas pipeline that will run from Azerbaijan to Puglia in Southern Italy.

Sep 04 03:55

More Debt Won’t Make America Great Again

Sep 04 03:53

The Beautiful truth about money creation

Sep 04 03:40

Global debt levels raise red flags… Finance ‘vulnerable’ as ’08…

Ten years after the worst financial panic since the 1930s, growing debt burdens in key developing economies are fueling fears of a new crisis that could spread far beyond the disruption sweeping Turkey.

Sep 03 13:38

Your Labor – What Are You Working For? Invisible Digits?

I personally feel better converting my work to tangible hard assets that I own outright rather than focusing solely on building higher and higher digits in some invisible account somewhere on a server out there on a invisible network owned by a bank or financial shell.

Sep 03 12:50

The American Dream Is Getting Smaller, And The Reason Why Is Painfully Obvious…

Almost everyone that will read this article will have debt. In America today, we are trained to go into debt for just about everything. -- If you want a college education, you go into debt. -- If you want a vehicle, you go into debt. -- If you want a home, you go into debt. --
If you want that nice new pair of shoes, you don’t have to wait for it. Just go into more debt. -- As a result, most Americans are currently up to their necks in red ink…

Sep 03 12:45

See How Much the Top 1% Earn in Every State

Sep 03 12:23

Central Banks Enrich a Select Few at the Expense of Many

The message unanimously churned out by politicians, central bankers, and ‘mainstream’ economists is that central banks are there for the ‘greater good’. They provide the economy with sufficient money and credit, and they fight inflation, thereby supporting output and employment growth. What is more, central banks, are supposedly in a position to effectively fend off or at least mitigate financial and economic crises. However, unfortunately, nothing could be further from the truth.

Sep 03 09:01

Turkey’s Erdogan calls on global trading partners to smash US dollar’s ‘monopoly’

Turkey will pursue non-dollar transactions in trade and investment with other countries, President Recep Tayyip Erdogan said in response to US sanctions. He compared the US’ behavior towards his country to “wild wolves.”

“We need to gradually end the monopoly of the dollar once and for all by using local and national currency among us,” Erdogan said at a business forum in Kyrgyzstan.

Sep 03 09:00

Bank Tells South African Farmers They Will Have to Pay Debts for Property Seized by the State

South African farmers subjected to land expropriation without compensation will still have to pay off their debts for property which has been seized by the state, according to a major bank.

In an email from Nedbank widely circulated on social media, now confirmed as genuine by Head of Group Media Relations Kedibonea Molopyane, according to The South African, farmers are warned that their debts will have to be paid in full even after their property is confiscated by the government.

Sep 03 08:58

Peso Set To Disintegrate After IMF Tells Argentina To Stop Supporting Currency

On May 11, three days after Argentina secured a $50 Billion IMF bailout - the largest in the fund's history - we jokingly noted that with the peso resuming its slide, an indication the market did not view the IMF backstop as credible, the ECB would need to get involved.

Sep 03 08:57

Out-Of-Warranty Tesla Owners Left With No Choice But To Fix Their Own Cars

Due to a lack of reputable mechanics, widespread service centers and aftermarket parts, some out of warranty Tesla owners are left with no choice but to try and fix their cars themselves. Such was the case of Model S owner Greg Furstenwerth, a self described "Tesla fan". CNBC detailedhis journey through repairing his own out of warranty Tesla when the company "treated him like [he] didn't own a Tesla" after his warranty ran out.

Furstenwerth was one of the first Model S owners, pre-ordering in 2013. He was even one of the first in the state of Hawaii to own a Tesla. Like some fans of the company have done after buying their Teslas, he even undertook a cross-country journey to prove that the world did not need gas powered vehicles and that there was nothing to be anxious about regarding the vehicle's range capabilities.

Sep 03 08:36

Lift-off for China’s controversial corporate colossus

Sitting on top of the pyramid with one eye on the stars, this corporate colossus casts a huge shadow in the land of the giants.

But like the majority of state-owned enterprises in the country, the monolithic China Aerospace Science and Technology Corporation is shrouded in an aura of secrecy.

With 170,000 employees and annual revenue hovering around the US$34 billion-mark, CASC is one of the ‘big beasts’ of the SOE sector.

Ranked in the Fortune Global 500 list, its core business revolves around the nation’s space program and missile development. Yet its tentacles extend beyond that through a labyrinth of affiliates, which are at the heart of President Xi Jinping’s “Made in China 2025” policy.

Sep 03 08:33

The New Silk Roads are just pieces in a giant puzzle

Vast Chinese infrastructure scheme is plagued by Sinophobia, damned as a 'debt trap' and tainted by corruption in Malaysia, Sri Lanka and Pakistan, yet these were faults inside these countries

Sep 03 08:30

Art Laffer’s Chinese curve ball

God bless Arthur B Laffer, the author of the eponymous curve. If statesmen are hedgehogs (with one big idea) or foxes (with many little ideas), Art is the mayor of Hedgehog City. His big idea is that lower taxes give you more economic growth.

Along with my former business partner Jude Wanniski, Wall Street Journal editor Robert Bartley, and a handful of other economists and publicists, Art sold the idea of dramatic tax cuts to Ronald Reagan and thus stood midwife to the greatest US economic boom of the past century.

Sep 03 07:53

French Farmers Sow Grass in Fields to Protest China Buying Up Thousands of Acres of Countryside

French farmers lit flares and sowed grass seeds on land bought up by firms from China, complaining locals are being squeezed out of the countryside by foreign investors.
Around a hundred farmers converged on land near Châtillon-sur-Indre in the Loire valley, where China’s Hongyang consortium has bought more than 2,000 acres of farmland.

It bought 4,200 acres in the region in 2016, and all told, the Chinese have purchased an estimated €76 billion (£68bn/$88bn) in French land since 2010, including a large number of Bordeaux vineyards — up from 30 châteaux in 2012 to over 160 today, according to The Times.

“The land is there to provide for farmers’ families and to produce food,” complained Laurent Pinatel, a spokesman for the Small Farmers’ Confederation.

“The [Chinese] owners have come here to make a profit, to speculate on agriculture while monopolising the land,” Mr Pinatel.

Sep 03 07:34

Michel Barnier says he strongly opposes May's Brexit trade proposals

Michel Barnier has said he is “strongly opposed” to the prime minister’s Chequers proposals on future trade, as he advised European car manufacturers that they will have to use fewer British-made parts after Brexit.

In his most damning condemnation yet of the UK government’s plans, the EU’s chief Brexit negotiator said the British offer on customs was illegal and its suggestion of a “common rulebook” on goods would kill the European project.

Instead, in an intervention that will concern the 186,000 people directly employed by the car industry in the UK, Barnier warned European manufacturers that the streamlined system of imports and exports between the UK and the rest of Europe would come to an end.

Sep 02 23:54

Huge China-backed free trade deal could be signed as early as November

The US trade war and a thaw in ties between China and Japan are raising prospects for the world's biggest regional free-trade deal, analysts said on Sunday (China time) after trade negotiators voiced high hopes of reaching a broad agreement in November.

Singaporean Trade and Industry Minister Chan Chun Sing said trade negotiators from 16 likely signatories - including New Zealand - of the China-backed Regional Comprehensive Economic Partnership, or RCEP, agreed on key elements of the deal at a meeting in Singapore last week, and a broad agreement was likely when leaders of the countries met in the city state in November.

"We are looking for that broad agreement, that milestone to be achieved, or what we call substantial conclusion, when the leaders meet at the end of the year," Chan said on Saturday.

Sep 02 23:18

The Day U.S. Military Supremacy Publicly Ended

Military Budgets

The U.S. Military budget for FY 2019 will be $716 Billion. Add $70 Billion for Homeland Security, $70 Billion for the nation’s 16 intelligence agencies, $186 Billion for veterans’ benefits, and the U.S. spends more than a trillion dollars a year on “defense.” Two trillion dollars covers yearly mandatory expenses for social security, Medicare, Medicaid, and interest on the federal debt, leaving less than one trillion out of the country’s $4 Trillion budget left for everything else.

Russia’s military budget is $61 B a year, less than 10 percent of the U.S. military budget and less than that of Saudi Arabia.

Given the above facts, Russia would appear to be no match against the U.S. militarily.

Sep 02 18:59

The ticking time bomb that could blow into a financial crisis

When hedge fund managers from FrontPoint Partners drove through a Florida suburb in the run-up to the financial crisis, they quickly realised the US housing market was built on sand. Anyone could grab a 2,000 sq ft slice of the American dream in the Sunshine State.

These toxic subprime mortgages were then bundled together in collateralised debt obligations (CDOs), given top ratings from credit agencies, and sold on in a neat, explosive package to buyers unaware that the US housing bubble was about to burst.

The famed hedge fund depicted in Hollywood blockbuster The Big Short would cash in on the market's over-exuberance.

"The buyers of so-called triple A, double A, triple B, double B tranches in these collateralised loan obligations (CLOs) are making an investment off data that is dubious at best," says Robin Doumar, founder of credit manager Park Square Capital.

Sep 02 17:07

US dollar completely ditched in trade between Iran & Iraq – official

The US dollar is no longer used by Tehran and Baghdad in bilateral trade, giving way to the euro and local currencies, as well as direct barter of goods, head of the Iran-Iraq Chamber of Commerce Yahya Ale-Eshagh has revealed.

“[The] US dollar has been removed from the list of currencies used by Iran and Iraq in their trade transactions and they are using Iranian rial, euro and Iraqi dinar for financial transactions,” Ale-Eshagh said on Saturday, as quoted by local media.

Sep 02 16:17

The US Share Market Reality Exposed

Sep 02 16:02

Deja Voodoo, 1994 Edition

Sep 02 15:27

11 Facts About America’s Wildly Out Of Control Student Loan Debt Bubble

Higher education has become one of the biggest money-making scams in America. We tell all of our young people that if they want to have a bright future, they must go to college. This message is relentlessly pounded into their heads for their first 18 years, and so by the time high school graduation rolls around for many of them it would be unthinkable to do anything else. And instead of doing a cost/benefit analysis on various schools, we tell our young people to go to the best college that they can possibly get into and to not worry about what it will cost. We assure them that a great job will be there after they graduate and that great job will allow them to easily pay off any student loans that they have accumulated. Of course most college graduates don’t end up getting great jobs, but many of them do end up being financially crippled for decades by student loan debt.

Sep 02 14:59

Why Is Productivity Dead in the Water?

Sep 02 09:35

EU Will Not 'Sit Like Rabbit in Headlights' in Face of US Sanctions - German FM

Washington’s decision to ramp up tariffs on steel and aluminum imports from the European Union has cost European producers billions in lost revenue and exacerbated US-EU tensions.

German Foreign Minister Heiko Maas has urged the European Union to stand up for its interests in the face of sanctions and excessive tariffs imposed on its partners by Washington.

“We should not sit like a rabbit in the headlights in the face of [US] economic sanctions and tariffs. We must protect our own interests. It is not only the 80 million Germans we are talking about, it is Europe and the 500 million people living there,” Maas said in an interview with the newspaper Bild published on Sunday.

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