Economy | Corax



Bitcoin pass USD 2,000 for the first time, other cryptocurrencies rising as well lately to total market cap of USD 70 billion, equaling less than 1% of world gold reserve value 

Deutsche Bank to demand money back from former executives and board members to contribute to misconduct fines 

Uber wanted to partner with Tesla on autonomous cars, Musk turned Kalanick down as they were already planning their own service 

Housing markets in Sweden, New Zealand and Canada most at risk of busting with 30-40% risk over next five to eight quarters according to Goldman Sachs, admits model isn't perfect 

SpaceX settles with 4,100 employees in class action lawsuit, pays USD 4 million to compensate for trouble taking breaks every four hours 

Disappointing user growth causes Snapchat shares to fall 24%, USD 2.2 billion loss expected and explained by staff bonuses in connection with the IPO 

Zero Hedge: Bitfinex, world's largest Bitcoin exchange, could be headed toward collapse, lack of transparency and customers having difficulties to withdraw money has been reported  

Federal Reserve leaves rates unchanged, maintains goal to normalize rates, next meeting June 13-14 

Ant Financial part of Alibaba Group close to ink financing of MoneyGram International acquisition for USD 3.5 billion, part of strategy to expand international payment network, deal must pass US Government approval 

Six biggest Nordic banks manage USD 1.07 trillion, 11.5% increase in one year, business model thrives due to negative interest rates 

Thomas Forker who co-founded Waffle House dies at 98 years of age, other co-founder Joe Rogers died last month 

George Friedman: Cyclical pattern indicates recession in US within two years, likely to cause social unrest in Europe, China and Russia and destructive domino effects in Germany, China and other major exporting countries 

Atlanta Fed lowers forecast for real GDP growth for first quarter to 0.2%, lowest GDP quarter in which the Fed has hiked rates since Q4 1980 

ECB leaves rates unchanged and continues quantitative easing program, concerned about possible euro-skeptic victory in French presidential election  

Swedish central bank keeps rates at -0.5 % and unexpectedly prolongs quantitate easing program, krona declines 

Number of active users on Twitter increased by 11% last quarter, substantial decrease compared to same period last year, revenue increased by 1%, advertisers may be migrating to other services 

Fannie Mae allows borrowers to discount credit card debts, auto and student loans "paid by someone else" from debt-to-income ratio 

Central bank of Sweden confirms regular audits of gold reserves, refuses to publish serial numbers and fine weight, claims to be among the most transparent in the world, Public Access to Information and Secrecy Act not tried 

Libya central bank vows to defend dinar which is traded on black market to sixth of official exchange rate, country's two governments agree on strategy 

Satellite imagery of nighttime lights in China indicate higher economic growth than reported through official statistics, government numbers may underestimate growth in service sector according to US researchers 

Leaked documents show that NSA most likely has ability to interfere with bank transaction system SWIFT, company claims main network has never been breached but admits some local banks might have been hacked 

Price of potato chips increases in Japan after crop failure, pizza flavoured chips sell for USD 12 per bag, regulatory hurdles limit imports 

Uber generated USD 6.5 billion in revenue last year while its adjusted net loss was USD 2.8 billion, total valuation said to be USD 68 billion 

Peter Schiff: China and Russia considering joint organization for gold trade, eastern gold standard may challenge dollar hegemony 

Josh Ryan-Collins: Land as factor of production alongside labor and capital forgotten by modern economists fixated on marginal productivity theory, leads to misunderstanding stagnation and failed stimulus 

Canadian government proposes full legalization of cannabis from 2018, market estimated to 4.6 million users and 655 metric tons per year 

India online retailer Flipkart raises USD 1.4 billion from investors including Microsoft, Ebay and Tencent, aims to intensify competition with Amazon 

Dubai Gold and Commodities Exchange lists gold spot contracts denominated in Yuan in partnership with Shanghai Gold Exchange, first exchange outside of China to use Chinese benchmark, one contract is 1 kg of fine gold 

Costs of developing pharmaceuticals high due to most human tests of new substances fail, testing on mice may be misleading 

Bank of England implicated in Libor scandal according to secret recording where central bank pressures commercial banks to lower interbank rates 

To avoid trade war China offers US increased access to markets for financial sector investments and beef exports 

Retailers close at record pace in US, if trend continues 2017 could be worse than 2008-2009 during the financial crisis 

Federal Reserve balance sheet to be decreased at end of 2017 according to minutes from meeting with Federal Open Market Committee, has expanded from 1 to 4.5 trillion USD in ten years 

Tesla has higher market value than Ford, but still lower revenue and net income 

Iceland considers pegging currency to Euro in fears of overheated economy, last remaining restriction from banking crisis repealed in March 

Africa may be next frontier market for venture capital, investments in startups up almost tenfold in four years 

Hon Hai Precision, also known as Foxconn, reports TWD 148 billion in net profit for 2016, best result in company history 

383 ton gold deposit found in Shandong province, further 167 tons estimated to be found, potentially worth USD 22 billion 

Telecom carrier Telia Company borrows SEK 15 billion through hybrid bonds, will be used to refinance older debt according to the company 

American Airlines buys 2.76% stake in state-owned China Southern Airlines for USD 200 million 

Asian tech giant Tencent buys 5% of Tesla's shares for USD 1.7 billion, becomes one of the largest shareholders 

Crowdfunding website Kickstarter helped funding 10,000 games since 2009, millions of backers pledged USD 5.3 billions in over 100,000 projects 

Swedish company offering investment on Iranian stock exchange, financed entirely by bitcoin as no Swedish bank would let it open account due to US sanctions against Iran 

Goldman Sachs confirms hundreds of jobs to be moved from London to EU due to Brexit 

Growing Chinese middle class behind increase in lobster imports from US, trade almost nonexistent before 2010 

Danish government free from foreign debt for first time in 183 years after USD 1.5 billion repayment, has one of Europe's lowest debt levels 

Chinese tariffs and restrictions on foreign ownership in auto industry expected to be topics of discussion as Donald Trump meets Xi Jinping in April 

Deutsche Bank to raise EUR 8 billion in stock issue priced at 35% discount to closing Friday 

Saudi Arabia's king Salman bin Abdulaziz visits Beijing, China interested in Saudi Aramco IPO and listing in Hong Kong 

People's Bank of China follows Federal Reserve rate hikes by increasing borrowing costs, wants to target capital flows using rate policy 

Bank of Japan leaves rates unchanged and continues QE program at USD 700 billions annually, spread between Japanese and US 10 year government bond yields widen 

Federal Reserve increases rates, targe between 0.75 and 1%, 2% price inflation no longer "ceiling", plan on raising rates further during 2017 and 2018 

Intel bids USD 15 billion for Mobileye in push for autonomous cars 

Soundcloud enables disc jockeys to earn money from uploaded remixes 

Toshiba postpones financial reporting one more month, considers applying for Chapter 11 bankruptcy protection in US for nuclear subsidiary Westinghouse Electric 

Puerto Rico bond holders want to push budget reform plan deadline, want a bigger say in reforms, risk losing money lent 

Iceland repeals capital controls for citizens, corporations and pension funds from Tuesday, has been in place since 2008 when banks collapsed in financial crisis 

Manhattan rents fall, inventory up 12% compared to February last year, median monthly rent at USD 3,350 

ECB leaves rates unchanged, continues to inflate money supply by buying bonds but lowers amount from EUR 80 to 60 billion per month, stimulus to continue until CPI stabilises around target at 2% 

Retail bubble has burst according to Urban Outfitters CEO, oversaturated retail space in US six times higher per capita than in Europe and Japan, border tax would be devastating according to analyst 

New jobs 100,000 more than expected during first month of Trump presidency, in total 298,000 added, unemployment down to 4.7%  

Switzerland world's top currency manipulator according to The Economist, national bank has bought USD 685 billion worth of foreign currency to lower value of Swiss franc 

Snapchat sinks after IPO, down 22% since introduction day, traders pay 15 to 40 percent interest to be first in line to short stock 

Maersk Line and IBM use block chain to trace shipments and transactions 

Chocolate prices expected to fall as cocoa production increases in West Africa 

Alasdair MacLeod: Gold alternative for central banks in Eurasia as demand for USD and EUR declines for geostrategic or economic reasons, G20 failed post financial crisis 

Paris hikes tax on vacant homes, overheated market leads to more than 100,000 homes being used only as investments 

Daimler recalls one million cars after faulty fuses believed to have caused 51 fires 

Nomi Prins: Negative interest rates creates artificial financial system, world debt to GDP ratio at 300% as result of Fed policies [video] 

Gold imports in India up 82% year-over-year, strong demand driven by war on cash 

Martin Armstrong: Coming debt ceiling crisis in US planned to start after Obama left office, media will blame Trump 

Price of one bitcoin higher than that of one ounce of gold for first time, value of cryptocurrency up 185% in one year 

Nissan asks UK government to suggest domestic suppliers to enable compliance with rules of origin, will reevaluate investment strategy unless duties abolished and taxes lowered 

India still fastest growing major economy despite war on cash, 7% growth on annual basis last quarter of 2016 

David Stockman: US debt ceiling holiday ends on March 15, 2017 — Trump has inherited a mess, will not be a new Reagan 

Snap Inc might demand year-long lock-up period to decrease risk of share price collapse, considered sign of strong IPO demand 

Iran's economic recovery after end of sanctions impressive says IMF, growth at 6.6% and price inflation below 10% threatened by new sanctions 

Saudi Aramco IPO valuation estimated at USD 2 trillion, critics claim valuation should be USD 400 billion, several exchanges fight for listing 

Martin Armstrong: China's CIPS alternative to SWIFT should be viewed politically, not economically, does not want to abandon dollar 

ECB will not end quantitative easing suddenly according to Jens Weidmann who is very critical of program as debt levels in Europe are still high 

Millennials well-adjusted to modern world where focusing on niche preferences is rewarding, striving to rise in social hierarchies less fulfilling 

Trump's choice for chairing Council of Economic Advisers is proponent of free trade and government employment as stimulus, open to carbon tax as alternative to cap-and-trade 

Dynamism and creative power of US markets guarantee long-term trend of strong growth, Berkshire Hathaway up 19% per year on average for 52 years, has outperformed S&P 500 every year, says Warren Buffet in annual letter to shareholders 

Danish smart phone company ID2me goes bankrupt after only one year, intended to challenge Apple and Samsung 

Burger King owner company buys Popeyes, acquisition includes 2,600 restaurants of which 97% run on franchise basis, price USD 1.8 billion 

Alan Greenspan says gold standard should have remained, policies were actual problem, says own decisions as Fed chief would not have been different 

Increasing share of children born out of wedlock partially explained by men's declining value on marriage market as opportunities for employment in manufacturing decrease 

US pharmaceutical companies worry over Trump's deregulation agenda, claims to be unable to sell products without government control process 

Kyrgyzstan central bank wants all citizens to own 100 grams of gold, bank facilitates purchases and sales of bars between 1-100 grams 

Snap Inc, the company behind Snapchat, set IPO valuation to USD 19.5-22.2 billion, despite user growth slowing 50% last quarter of 2016 

Market concentration growing problem while antitrust fines increase, regulations part of cause as well as technological shifts and network effects making more markets trend toward winner-takes-all 

Putin and Russian central bank in intimate cooperation to clean up corruption in banking system, estimated to require 3-5 years of takeovers, receiverships and closedowns, banks accused of hiding bad debt 

Apple market cap once more over USD 700 billion after strong January report and expectations for new Iphone 

Malta's economy forecast to grow above EU average, unemployment at record lows but shortage of skilled workers problematic, EU commission thinks open trade weakens country while state owned development bank strengthens 

Tenants in expensive cities oppose new housing despite theoretically being beneficiaries of increased supply 

Vincent Geloso: Growth in post-war period overestimated due to erroneous assumption that homemakers do not produce anything, value must be subtracted from GDP growth associated with transition to wage labor for married women 

Federal Reserve holding USD 1.75 trillion US mortgage bonds expected to start selling these in 2018, sparks worries of higher interest rates and pressure on the US mortgage holders 

WeChat expands payment between users to include gifts in gold based on prior currency based success when 300 million chat users signed up 

Book store chain Waterstones posts profit for first time in several years after comprehensive new strategy with focus on independence for individual stores and from large publishing houses 

European insurance federation Insurance Europe says new directive Solvency II sets too high capital requirements which can harm customers, insurance industry and entire economy