Friday, December 31, 2010
News Links, January 1, 2011
-- Global economic meltdown --
China may buy debt of Hungary
China may buy debt of Hungary
"Bundesbank figures from this month show Germans continue to hoard old notes and coins worth some 6.9 billion euros ($9.1 billion), even though they can be exchanged at no cost in any of the central bank's 47 branches across the country."
-- Fault lines/flashpoints/military --
The 16 brewing conflicts to watch for in 2011 (Foreign Policy)
-- Energy/resources --
"One million minutes were lost to blackouts last financial year because of equipment failures in the state's decaying and ageing power network."
"India's millions of oil consumers are concerned as the country could face another fuel crisis as Iran said it will not sell oil to India, unless payments for such sales are guaranteed by the Reserve Bank of India."
Although population decline is anathema to politicians and economists, it is the best thing that can happen to a country at this time. -- RF
-- Intelligence/security/internet --
Report: Cyber-Spies to Wage Non-Stop Assaults on Defense Firms in 2011
Report: Cyber-Spies to Wage Non-Stop Assaults on Defense Firms in 2011
-- China --
"Already down to mere days of thermal-coal inventory, a manager at a power plant in Anhui Province has been left completely empty-handed without a single thermal-coal contract for 2011."
Inflation puts brakes on manufacturing growthThe note at the bottom in italics is most interesting. -- RF
-- US --
Budget woes force state parks to delay maintenance
Buckle your seatbelts. Airfare hikes ahead!
LMAO: US Government Fails Audit--GAO Can't Render Opinion On Bogus US Financial Statements
Buckle your seatbelts. Airfare hikes ahead!
LMAO: US Government Fails Audit--GAO Can't Render Opinion On Bogus US Financial Statements
"The recent rise in gas prices, analysts say, is largely due to decreased production both in the United States and abroad."
Duh! -- RF
Retirement account fantasy and middle class erosion – 1 out of 3 Americans has zero dollars in a retirement account
Thursday, December 30, 2010
News Links, December 31, 2010
-- Global economic meltdown --
Japan's New Budget Gives A New Meaning To The Word "Unsustainable"
The Present: On the Brink of Disaster
The Present: On the Brink of Disaster
A very grim assessment from the Daily Reckoning, but the situation is actually much worse, as factors such as peak oil, crumbling infrastructure, too many people hankering after extravagant lifestyles, and peak complexity are not taken into account. -- RF
Everyone is building up a cash position. -- RF
China continues using its barrel of cash to buy up Japan. -- RF
-- Fault lines/flashpoints/military --
Bolivia's Morales scrambles to stem crisis over massive fuel price hike
Blast outside Athens court building, no injuries
Blast outside Athens court building, no injuries
Buenos Aires swelters amid heat wave, power outages
SKorea government aims to prevent power shortage as winter sets in
Central China to face 8 mln kw electricity shortage in Jan 2011, State Grid
SKorea government aims to prevent power shortage as winter sets in
Central China to face 8 mln kw electricity shortage in Jan 2011, State Grid
The Japanese are inveterate believers in hi-tech solutions. -- RF
-- Environment/health --
Zebra mussels, scourge of the Great Lakes, invade Texas
Queensland Floods Hit Mines, Crops, May Cost Billions
Is A Police State Worth Fighting For? (Daily Reckoning)
-- UK --
Britain could be heading for coldest winter in 300 years
Union leader says 2011 will be 'horrible' year
Union leader says 2011 will be 'horrible' year
-- US --
Marc Faber: Treasurys Are A "Suicidal Investment"
Veterans Of Recent Wars Confront Grim Employment Landscape
Two new rules will give Constitution a starring role in GOP-controlled House
Veterans Of Recent Wars Confront Grim Employment Landscape
Two new rules will give Constitution a starring role in GOP-controlled House
New Years Prediction (II): The U.S. Economy in 2011 (pessimism from Robert Reich)
Blast Levels Detroit-Area Store, Kills 2 Employees
Blast Levels Detroit-Area Store, Kills 2 Employees
This might be another case of a deteriorated and leaking gas line. -- RF
Ashton Kutcher In Men's Fitness: Preparing For Armageddon
Makes some good observations, but his Rx is all wrong. -- RF
Makes some good observations, but his Rx is all wrong. -- RF
Factory farms massing in Missouri, Kansas, new report says
US M-2 Money Supply Up $4.9 Billion Last Week
US M-2 Money Supply Up $4.9 Billion Last Week
Wednesday, December 29, 2010
News Links, December 30, 2010
-- Global economic meltdown --
Tunisian president says job riots 'not acceptable'
Tunisian president says job riots 'not acceptable'
"From local coin shops to online wholesale vendors, silver buyers across the US and around the globe are buying silver as a new currency, not as some speculative investment."
A short and sweet roundup of how inflation could have shattering impacts. -- RF
-- Fault lines/flashpoints/military --
These two articles are a preview of the widespread and serious unrest we'll see as the world economy and services continue to deteriorate. -- RF
-- Energy/resources --
"The illusion underlying the OPEC statements, however, is that the current price rise is completely under their control."
"The global oil industry, far from chastened by the catastrophic spill in the U.S. Gulf of Mexico, is planning record spending next year, including a large amount for deep-water development."
The really important take-home message here is implicit. Fossil fuel energy is cheaper than renewable energy... but the former is already too expensive to kick-start the global economy and allow individuals and governments to pay off their debts. Get it? -- RF
Must read: Has innovation hit a brick wall?
Here we can clearly see two features of industrial civilization's decay. First, complexity is peaking. Second, because energy is the driver of technological advance (not the other way around!), energy decline is making it progressively harder to develop new technologies. Even if we invest more money in R&D, each currency unit is mobilizing a smaller and smaller amount of energy. -- RF
Power, gas outages return (Pakistan)
-- Got food? --
India Boosts Subsidies to Cool Food Prices
India Boosts Subsidies to Cool Food Prices
It's either cheap food or food riots. Governments know what they must do, and they're quickly approaching the make-or-break point. -- RF
-- Environment/health --
Australian Downpour Spreads South, Cuts Off Towns
Australian Downpour Spreads South, Cuts Off Towns
-- Intelligence/security/internet --
Osama bin Laden is dead
Osama bin Laden is dead
But the author's got it wrong on who has the biggest interest in keeping UBL "alive." -- RF
-- China --
China's Real-Estate Frenzy
"Rising property prices and a torrid pace of lending are signals of an inflationary bubble."
China's Real-Estate Frenzy
"Rising property prices and a torrid pace of lending are signals of an inflationary bubble."
"China is the world's largest consumer of food, and it is importing larger quantities all the time."
-- US --
Ambulance fees increasing across USA
Blessings of an Amish Christmas
iPad could replace documents in Florida city
Blessings of an Amish Christmas
iPad could replace documents in Florida city
Increasing dependence on electronic documents will backfire when the power goes out. -- RF
Sign of the times? Los Angeles Events: Depression-Era Double Features
Streetlights going out will solve the problem. -- RF
Student debt crisis threatens US economyThe Wealthy Drove Holiday Spending
Tuesday, December 28, 2010
News Links, December 29, 2010
-- Global economic meltdown --
China banking goes underground on tightening
China banking goes underground on tightening
Incredible shrinking Japan Airlines: JAL to fire about 170 pilots, flight attendants
-- Fault lines/flashpoints/military --
China moving toward deploying anti-carrier missile
China moving toward deploying anti-carrier missile
Japan and China have also considered relocating their capitals. But everything they are trying to escape would follow. -- RF
Farewell to the days when Latin America was the US backyard. Latin America is starting to march to the beat of its own drummer. -- RF
-- Energy/resources --
China Further Cuts Rare Earth Export Quotas by 11% In First Round for 2011
China Further Cuts Rare Earth Export Quotas by 11% In First Round for 2011
9 Signs That The Price Of Oil Is About To Soar Beyond $100 A Barrel
Copper Hits Record High on Weaker Dollar, Supply Fears
Copper Hits Record High on Weaker Dollar, Supply Fears
-- Environment/health --
Australian Floods Force Evacuations, Threaten Crops
Australian Floods Force Evacuations, Threaten Crops
-- Intelligence/security/internet --
S.Korea schools get robot English teachers
S.Korea schools get robot English teachers
Education in the waning days of industrial civilization. -- RD
But energy decline will put downward pressure on attempts at integration. Localization is the trend of the future. -- RF
Skyscrapers around the world will become symbols of all that was wrong with industrial civilization. -- RF
-- UK --
NI thaw leaves thousands without mains water supply; 'unprecedented' leaks, empty reservoirs
"Families are living in motels, food pantries are emptying, and outreach agencies are running out of their funds."
You Can Thank Transfer Payments For Boosting The U.S. GDP Recovery
"This was not a free lunch, however. The author estimates that the national debt was increased by over half a trillion dollars more than without the 'excess.'"
"This was not a free lunch, however. The author estimates that the national debt was increased by over half a trillion dollars more than without the 'excess.'"
With food safety bill, U.S. government will spend nearly $1 million per person to prevent food-borne illness deaths
"Food safety" is getting to be an oxymoron. -- RF
"Food safety" is getting to be an oxymoron. -- RF
Monday, December 27, 2010
News Links, December 28, 2010
-- Global economic meltdown --
Price of Silver Soaring
Price of Silver Soaring
-- Fault lines/flashpoints/military --
China Is Poised To Rise - And Things Could Get Violent
On the importance of geography. -- RF
Analysis: Could North Korea be headed for collapse?
On the importance of geography. -- RF
Analysis: Could North Korea be headed for collapse?
-- Energy/resources --
Are Canada's Oil Sands Too Dirty for the US?
Palm Oil Advances on Expectation Demand to Gain in Asia Amid Supply Drop
The touch and feel of record cotton prices
Are Canada's Oil Sands Too Dirty for the US?
Palm Oil Advances on Expectation Demand to Gain in Asia Amid Supply Drop
The touch and feel of record cotton prices
Lack of cheap energy will kill vertical farming. -- RF
-- Environment/health --
Why Is It So Cold? Should the Big Freeze Alter Our Approach to Climate Change?
Summer snow, floods in weird Australia weather
Summer snow, floods in weird Australia weather
-- Intelligence/security/internet --
Service Outages: The Challenge For Facebook, Twitter, And Skype
"There is a vocal minority of scientists who believe the Internet will become so overloaded with traffic that it will have large outages, or may even collapse in some parts of the world."
Service Outages: The Challenge For Facebook, Twitter, And Skype
"There is a vocal minority of scientists who believe the Internet will become so overloaded with traffic that it will have large outages, or may even collapse in some parts of the world."
Another challenge is finding the electricity to power the rapidly growing numbers of data centers and computers. Economies in the information age have become so dependent on the internet that major outages will have devastating impacts. -- RF
Even the royals are getting into austerity. -- RF
-- US --
Conservative chorus calling for states' right to declare bankruptcy
The Next 442 Banks That Could Fail
The Next 442 Banks That Could Fail
Desperation is mounting. They are looking for money everywhere. -- RF
Sunday, December 26, 2010
News Links, December 27, 2010
-- Global economic meltdown --
ECB Set to Become World's Largest Junk Bond Fund (WSJ)
Margin Debt Soars to Highest Levels Since September 2008
Margin Debt Soars to Highest Levels Since September 2008
-- Fault lines/flashpoints/military --
South Korean and Chinese defence chiefs to meet in Feb
South Korean and Chinese defence chiefs to meet in Feb
This will be great ammunition for those advocating burqa bans. Will they advocate bikinis? -- RF
-- Energy/resources --
Huge Amount of Oil Available, But…
Huge Amount of Oil Available, But…
Excellent presentation, especially because it deals with the relationship between expensive oil and loan defaults. Here is one of the key factors behind the rising tide of bad debt around the world. -- RF
"More than seven years after the US-led invasion, Iraq's national grid still only supplies a few hours of power each day. Intermittent electricity is one of the public's top complaints."
Power outages stop everything else. Duncan was right. -- RF
While rare earths are important, the decisive factor in developing and maintaining advanced technologies is cheap and abundant energy. -- RF
Wow! They literally are "ant tribes"! -- RF
-- US --
16 Shocking Facts About Student Debt And The Great College Education Scam
16 US Cities Facing Bankruptcy If They Don't Make Deep Cuts In 2011
16 Shocking Facts About Student Debt And The Great College Education Scam
16 US Cities Facing Bankruptcy If They Don't Make Deep Cuts In 2011
Health system challenges mount as boomers turn 65
US home-grown terrorists 'a global threat', warns congresswoman
US home-grown terrorists 'a global threat', warns congresswoman
Saturday, December 25, 2010
News Links, December 26, 2010
-- Global economic meltdown --
Singapore Inflation Quickens to 22-Month High, Putting Pressure on Policy
Singapore Inflation Quickens to 22-Month High, Putting Pressure on Policy
A house built on sand. With only 697 square km of land, of which just 1.47% is arable, and a population of 4.7 million, Singapore is going to go splat like a bug on the windshield when global trade goes south. It will be a perverse monument to cheap energy and globalization. -- RF
-- Fault lines/flashpoints/military --
Brazil uses its peacekeeping troops to pacify Rio de Janeiro
Yemen to expand anti-terror forces to fight al Qaeda
Brazil uses its peacekeeping troops to pacify Rio de Janeiro
Yemen to expand anti-terror forces to fight al Qaeda
-- Energy/resources --
Gas prices jump in Canada, highest level in two years
Gas prices jump in Canada, highest level in two years
An absurd statement. The world economy can't withstand $80 oil, as growth is strangled, there is no recovery, and bad debt keeps accumulating. -- RF
If there is a glitch in production, "really high" stockpiles will disappear in a matter of days. -- RF
-- Environment/health --
The BP Oil Spill's Long-Term Threat to Bluefin Tuna
Matt Simmons said that there isn't enough money in the world to clean up the Gulf of Mexico. The more we read about this disaster, the more it appears he was right. -- RF
-- Intelligence/security/internet --
'Jihadist' issues Christmas bombing threat
The BP Oil Spill's Long-Term Threat to Bluefin Tuna
Matt Simmons said that there isn't enough money in the world to clean up the Gulf of Mexico. The more we read about this disaster, the more it appears he was right. -- RF
-- Intelligence/security/internet --
'Jihadist' issues Christmas bombing threat
Outlook 2011 & the Next Decade: China: Is The Smart Money Right?
A barrage of bad news about China's situation. Although China may hold together longer than the US, all hell is going to break loose when these problems come to a head. -- RF
China Energy Shortages And Their Impact On Your Business
A barrage of bad news about China's situation. Although China may hold together longer than the US, all hell is going to break loose when these problems come to a head. -- RF
China Energy Shortages And Their Impact On Your Business
Got a factory in China? Better read this. -- RF
-- UK --
Fuel bills rocket 20% this winter as price rises and cold spell combine to add £100 a quarter
Fuel bills rocket 20% this winter as price rises and cold spell combine to add £100 a quarter
-- US --
Missouri Guard to train inmates for emergencies
Burglary team stripping vacant L.A. buildings bare
Missouri Guard to train inmates for emergencies
Burglary team stripping vacant L.A. buildings bare
Bottom line: Elliott Wave stands with Meredith Whitney. -- RF
Friday, December 24, 2010
News Links, December 25, 2010
-- Global economic meltdown --
Vietnam's Inflation Rate Climbed to a 22-Month High in December of 11.75%
China Trade Minister Sees 'Chronic' Euro Debt Problem
China Trade Minister Sees 'Chronic' Euro Debt Problem
"Debt-servicing costs and social security payments—which are generally seen as unlikely to drive economic growth—account for roughly 55% of the total expenditure."
It's a grim situation from which there is no hope of escape. Japan's default, which is virtually assured, will send a devastating economic tsunami around the world. -- RF
-- Fault lines/flashpoints/military --
U.S. defends permits for deals in sanctioned nations, including Iran (gasp!)
U.S. defends permits for deals in sanctioned nations, including Iran (gasp!)
-- Energy/resources --
China and India's Growing Energy Rivalry
Paris Charles de Gaulle Cuts Flights 50% on Antifreeze Shortage
Paris Charles de Gaulle Cuts Flights 50% on Antifreeze Shortage
-- Intelligence/security/internet --
US Homeland Security is alerting airlines to be on the lookout for a potential new "terror tactic" involving thermoses.
US Homeland Security is alerting airlines to be on the lookout for a potential new "terror tactic" involving thermoses.
-- China --
-- US --
Unfunded N.J. pension liability grows to $53.9B
Midwest farmland prices soar due to strong prices
Unfunded N.J. pension liability grows to $53.9B
Midwest farmland prices soar due to strong prices
Thursday, December 23, 2010
News Links, December 24, 2010
-- Global economic meltdown --
Vietnamese Seek Safety In Gold As Currency Wobbles
Vietnamese Seek Safety In Gold As Currency Wobbles
Vietnam has been largely off the radar, but economic problems are now becoming more apparent (cf. this story from yesterday). Vietnam also suffers from a chronic power shortage. -- RF
Some foods cost more in China than in the US. There has got to be a lot of dissatisfaction. -- RF
Now is the winter of our discontent, baby! -- RF
"Italy's Interior Minister Roberto Maroni told the news agencies that the attacks in Rome 'bear many similarities with the episodes that took place in November in Greece, which lead us to think the international track is the right one.'"
-- Energy/resources --
World Oil Production - Looking for Clues as to What may be Ahead
World Oil Production - Looking for Clues as to What may be Ahead
EIA's forecast is an energy fantasy land (Jeff Rubin)
Anything on a large scale meant to prop up industrial civilization is unsustainable. -- RF
Sounds great! But where will we get the energy to make the machines? -- RF
-- Got food? --
China's ability to feed its people questioned by UN expert
African Farmers Displaced as Investors Move In
African Farmers Displaced as Investors Move In
These farmland grabs will not come to a good end. Get ready for 21st-century "peasant uprisings." -- RF
-- Environment/health --
Flu kills 27 in Britain, spreading in Europe
Flu kills 27 in Britain, spreading in Europe
-- Intelligence/security/internet --
Printing Ultra-Thin Circuits Into Banknotes Could Give Electronic Security to Paper Currency
Printing Ultra-Thin Circuits Into Banknotes Could Give Electronic Security to Paper Currency
What will give real security to paper money is to back it with gold. -- RF
-- US --
Delta, American May Have to Raise Fares as Oil Climbs Toward $100 a Barrel
Behind Census Figures Showing Boom in Nevada, a Story of Bust
Delta, American May Have to Raise Fares as Oil Climbs Toward $100 a Barrel
Behind Census Figures Showing Boom in Nevada, a Story of Bust
Fed could have saved many smaller banks from collapse
Shadow Wars Get Big Bucks in Last-Minute Defense Bill
Shadow Wars Get Big Bucks in Last-Minute Defense Bill
"Always on the alert for new 'consumers' to sell stuff to, multinational corporations are no longer willing to invest in this dry husk called the United States of America."
Money supply triple from here?
