Thursday, January 31, 2013
News Links, January 31-February 1, 2013
## Global Ponzi meltdown/House of Cards ##
Container Shipping Faces Merger Urge as Money Dries Up: Freight
"The container shipping industry may face a wave of mergers as carriers try to cushion themselves from the current crisis and grow to lower costs and improve access to funding."
S&P Keeps Negative Outlook on Belgium With Deficit Goal at Risk
"The container shipping industry may face a wave of mergers as carriers try to cushion themselves from the current crisis and grow to lower costs and improve access to funding."
S&P Keeps Negative Outlook on Belgium With Deficit Goal at Risk
(Not) Full Disclosure: Companies Bury 4Q Earnings Data (SKorea)
Sweden tells unemployed youth to look for work in Greece
Spain Recession Deepens More Than Forecast Amid Austerity
Catalonia asks Spain for further 9bn euros bailout
Sweden tells unemployed youth to look for work in Greece
Spain Recession Deepens More Than Forecast Amid Austerity
Catalonia asks Spain for further 9bn euros bailout
Power chief: Carbon credits face a 'junk bond' future
"Europe is staring at a 'lost decade' that will make decarbonisation impossible and reduce carbon credits to the value of 'junk bonds' unless politicians back a carbon market reform package, the head of Europe's electricity industry association has told EurActiv."
"Europe is staring at a 'lost decade' that will make decarbonisation impossible and reduce carbon credits to the value of 'junk bonds' unless politicians back a carbon market reform package, the head of Europe's electricity industry association has told EurActiv."
Like me, this author sees a neo-feudalist system rising. Unless you are super-rich, get your serf wardrobe ready. -- RF
Credit Supernova! (Bill Gross)
Countdown to the Collapse
"On multiple fronts there appears to have been a resumption of hostilities in the global currency wars. A subtle indication of this is the recently released report, Gold, the Renminbi and the Multi-Currency Reserve System, which I believe is highly significant for two reasons: First, it demonstrates that major global actors are now keenly aware and frightened of the possibility of a major breakdown in international monetary relations. Second, it suggests that these same actors are trying to contain the growing demand for gold as an alternative reserve asset and pre-empt an uncontrolled gold remonetization. These efforts will fail. A collapse of the current, unstable global monetary equilibrium is inevitable. Recent events indicate that the countdown has begun."
"On multiple fronts there appears to have been a resumption of hostilities in the global currency wars. A subtle indication of this is the recently released report, Gold, the Renminbi and the Multi-Currency Reserve System, which I believe is highly significant for two reasons: First, it demonstrates that major global actors are now keenly aware and frightened of the possibility of a major breakdown in international monetary relations. Second, it suggests that these same actors are trying to contain the growing demand for gold as an alternative reserve asset and pre-empt an uncontrolled gold remonetization. These efforts will fail. A collapse of the current, unstable global monetary equilibrium is inevitable. Recent events indicate that the countdown has begun."
## Airline Death Spiral ##
Bankrupt Batavia Air ceases operation
Japanese airlines had Dreamliner battery issues before recent incidents
Japanese airlines had Dreamliner battery issues before recent incidents
Hawaiian Airlines parent reports $3.4M loss in Q4
Air India ranked world's third worst airline, China Airlines most unsafe
Air India ranked world's third worst airline, China Airlines most unsafe
Smog Is So Bad in Beijing That Flights are Being Cancelled
Delta's oil refining efforts hit turbulence
"Losses at Trainer refinery add $63m to airline's fuel bill"
Delta's oil refining efforts hit turbulence
"Losses at Trainer refinery add $63m to airline's fuel bill"
## Fault lines/flashpoints/powder kegs/military/war drums ##
South Korean rocket blasts off in new attempt to put satellite in orbit
South Korean rocket blasts off in new attempt to put satellite in orbit
$7.3 million camp for Afghan police found nearly empty: inspectors
"A $7.3 million base camp built to house 175 Afghan Border Police was sitting virtually empty two months after it was handed over to Afghan authorities, and some equipment like wood-burning stoves had been dismantled, U.S. inspectors reported on Tuesday."
"A $7.3 million base camp built to house 175 Afghan Border Police was sitting virtually empty two months after it was handed over to Afghan authorities, and some equipment like wood-burning stoves had been dismantled, U.S. inspectors reported on Tuesday."
Syria says Israel attacked military research center
"Israeli warplanes attacked a military research center in Damascus province at dawn on Wednesday, Syria's military command said, denying reports that the planes had struck a convoy carrying weapons from Syria to Lebanon."
"Israeli warplanes attacked a military research center in Damascus province at dawn on Wednesday, Syria's military command said, denying reports that the planes had struck a convoy carrying weapons from Syria to Lebanon."
## Global unrest/mob rule/angry people/torches and pitchforks ##
Greek protesters occupy ministry office, clash with police
Iran crude oil exports rise to highest since EU sanctions
"Iran's crude oil exports in December leapt to their highest level since European Union sanctions took effect last July, analysts and shipping sources said, as strong Chinese demand and tanker fleet expansion helped the OPEC member dodge sanctions."
"Iran's crude oil exports in December leapt to their highest level since European Union sanctions took effect last July, analysts and shipping sources said, as strong Chinese demand and tanker fleet expansion helped the OPEC member dodge sanctions."
"Even though Brent prices are up, so are the costs of producing that crude, and gas is a big drag."
Hess Should Consider Bakken Spinoff, Elliott Management Says
"Hess Corp. (HES) should conduct a full strategic review, including potential spinoff of its Bakken shale assets, Paul Singer's Elliott Management Corp. said."
"Hess Corp. (HES) should conduct a full strategic review, including potential spinoff of its Bakken shale assets, Paul Singer's Elliott Management Corp. said."
If the Bakken is such a success, why would they want to dump it? -- RF
Expensive takeovers haunt miners as writedowns near US$50-billion
"The world's biggest mining and steel companies have wiped about US$50-billion off project valuations in the past year and the purge is poised to continue this earnings season as managers reassess expensive takeovers."
"The world's biggest mining and steel companies have wiped about US$50-billion off project valuations in the past year and the purge is poised to continue this earnings season as managers reassess expensive takeovers."
Must read: Reality check (Bulletin of the Atomic Scientists)
"In January the World Wildlife Fund released a report asserting that Indonesia, Madagascar, Mexico, Morocco, South Africa, Turkey, and the Indian state of Madhya Pradesh could meet 100 percent of their projected electricity needs in 2050 by installing solar photovoltaic power plants on less than one percent of their total land area. Which would be excellent news if all anyone needed to make electricity was land and sunshine. Unfortunately, the WWF has let fantasy overtake reality in its dream of an all-renewables future."
"In January the World Wildlife Fund released a report asserting that Indonesia, Madagascar, Mexico, Morocco, South Africa, Turkey, and the Indian state of Madhya Pradesh could meet 100 percent of their projected electricity needs in 2050 by installing solar photovoltaic power plants on less than one percent of their total land area. Which would be excellent news if all anyone needed to make electricity was land and sunshine. Unfortunately, the WWF has let fantasy overtake reality in its dream of an all-renewables future."
At last some realistic thinking! I've repeatedly said that running industrial civilization on renewables is a pipe dream, especially under the infinite-growth paradigm. Renewables will help ease our transition back to a pre-industrial lifestyle, but they won't save industrial civilization or the consumer culture. -- RF
Greek Ministry of Environment implements illegal logging program
"The Greek Ministry of Environment has launched a €1.5 million program against illegal logging, a growing trend as many Greek citizens can no longer afford to heat their homes unless wood is used."
"The Greek Ministry of Environment has launched a €1.5 million program against illegal logging, a growing trend as many Greek citizens can no longer afford to heat their homes unless wood is used."
France to turn off office and shop lights at night
"French shops and office buildings will have to turn off their lights at night to save energy and reduce light pollution, the French environment ministry said on Wednesday."
"French shops and office buildings will have to turn off their lights at night to save energy and reduce light pollution, the French environment ministry said on Wednesday."
"E.ON, Germany's largest utility, said it would rake in less profit, close plants and sell more assets to cope with falling demand for energy in recession-hit Europe."
Here we can see the negative feedback system in action. High energy prices are a drag on the economy, resulting in lower consumption, which in turn cuts energy companies' income, causing them to downsize (many other industries have downsized themselves into profitability since 2008, and the energy industry is no exception). We would be seeing a rapid virtuous circle of energy ascent in developing countries, but primary energy supplies are already too expensive, and heavily populated countries like India are hopelessly overburdened. -- RF
Work continues with hopes of all power restored tonight (Australia)
"Energex crews are still working to restore electricity after the Sunshine Coast's most significant outage in memory."
"Energex crews are still working to restore electricity after the Sunshine Coast's most significant outage in memory."
Russia's Rosneft invests big in Venezuela
"Russia's state-owned oil company Rosneft said it aims to invest around $10 billion to support its work in the Venezuelan energy sector."
"Russia's state-owned oil company Rosneft said it aims to invest around $10 billion to support its work in the Venezuelan energy sector."
Energy literacy: visualizing the impacts of unlimited growth
"Humans have already amply demonstrated the resource limitations of unbridled economic growth by not anticipating and then not addressing the myriad critical environmental and resource problems we face today."
Helium Rises to Highest Since 1995 in Fallout From Shale Boom
"Helium prices in the U.S., the world's biggest producer, are trading at the highest level since at least 1995 as the shale boom exacerbates a shortage of the gas used in everything from semiconductors to medical equipment."
"Humans have already amply demonstrated the resource limitations of unbridled economic growth by not anticipating and then not addressing the myriad critical environmental and resource problems we face today."
Helium Rises to Highest Since 1995 in Fallout From Shale Boom
"Helium prices in the U.S., the world's biggest producer, are trading at the highest level since at least 1995 as the shale boom exacerbates a shortage of the gas used in everything from semiconductors to medical equipment."
## Infrastructure scavenging ##
Return to anarchy; Thieves strike as Gov't reopens scrap metal trade (Jamaica)
## Got food? ##
Input Costs are Going Up and Farmers are Borrowing More to Cover Them (US)
Record Profits No Job Creator on Farms as Owners Automate
Record Profits No Job Creator on Farms as Owners Automate
"The 3,600 acres of mostly corn, wheat and soybeans the Liefers hold were about 30 separate, individually operated farms more than 40 years ago."
Grains agency allays fears of flour shortage (KSA)
"The General Organization for Grain Silos and Flour Mills (GOGSFM) has again denied reports of a shortage of grain, flour or any other essential food item in the Kingdom."
Grains agency allays fears of flour shortage (KSA)
"The General Organization for Grain Silos and Flour Mills (GOGSFM) has again denied reports of a shortage of grain, flour or any other essential food item in the Kingdom."
Govt ups minimum rice price by 10%
"China's top economic planner said Wednesday that it will raise the State-set minimum prices for rice in 2013, in a bid to boost grain production and ensure food security."
"China's top economic planner said Wednesday that it will raise the State-set minimum prices for rice in 2013, in a bid to boost grain production and ensure food security."
This is not the future of farming. -- RF
With too many people chasing too few fish, this is inevitable. The road to infinite growth ends here. -- RF
The Fog of Austerity: This Smoke Cloud Is the Ultimate Symbol of Greece's Depression
## Intelligence/propaganda/security/internet/cyberwar ##
The New York Times Was Attacked By Chinese Hackers Over Four Months
## Intelligence/propaganda/security/internet/cyberwar ##
The New York Times Was Attacked By Chinese Hackers Over Four Months
Sometimes, the Internet just breaks
US can spy on foreign nationals using Google and Apple cloud servers
US can spy on foreign nationals using Google and Apple cloud servers
Pentagon's new massive expansion of 'cyber-security' unit is about everything except defense
9/11 Military Trial Judge - Like 9/11 Commission - Frustrated by Government Shenanigans
Amazon back after rare site crash
9/11 Military Trial Judge - Like 9/11 Commission - Frustrated by Government Shenanigans
Amazon back after rare site crash
## Systemic breakdown ##
Is India facing a 'cultural emergency'?
## Japan ##
Fukushima decontamination faces severe labor shortages
Is India facing a 'cultural emergency'?
## Japan ##
Fukushima decontamination faces severe labor shortages
Homeless, jobless forced to take refuge under Golden Arches
"Japan's long-moribund economy has spawned a new breed of jobless and homeless people dubbed "makudo nanmin," or refugees at McDonald's."
"Japan's long-moribund economy has spawned a new breed of jobless and homeless people dubbed "makudo nanmin," or refugees at McDonald's."
Japan jobless, household spending data disappoint
## China ##
Nanjing sees worst air pollution in city's history
## China ##
Nanjing sees worst air pollution in city's history
Curtailed access to China's diplomatic archives fuels Senkaku conjecture
"Access to diplomatic documents at the Chinese Foreign Ministry's archives has been strictly limited since early January, possibly because a 1950 government paper found in them earlier describes the Senkaku Islands as part of Japanese territory, sources said."
"Access to diplomatic documents at the Chinese Foreign Ministry's archives has been strictly limited since early January, possibly because a 1950 government paper found in them earlier describes the Senkaku Islands as part of Japanese territory, sources said."
## UK ##
Britain's "dark days" are like the 1930s, new archbishop says
"The new Archbishop of Canterbury has claimed that Britain's current economic dark days are reminiscent of the 1930s and children are going hungry."
Councils cutting spend on care of elderly and disabled, says National Audit Office
"Guest workers": indentured servants"The new Archbishop of Canterbury has claimed that Britain's current economic dark days are reminiscent of the 1930s and children are going hungry."
Councils cutting spend on care of elderly and disabled, says National Audit Office
Energy prices on the rise again
Demise of small Hess refinery threatens U.S. East Coast pump pain
"Hess Corp's decision to close its U.S. East Coast refinery, the latest plant to fall victim to weak profits in the Atlantic Basin, could threaten painful gasoline price spikes for regional drivers as local fuel supplies dwindle further."
Demise of small Hess refinery threatens U.S. East Coast pump pain
"Hess Corp's decision to close its U.S. East Coast refinery, the latest plant to fall victim to weak profits in the Atlantic Basin, could threaten painful gasoline price spikes for regional drivers as local fuel supplies dwindle further."
Ten Reasons for Declining GDP Growth Over Time; Analysis of Various GDP Deflators
Where did all the housing inventory go?
The Fed's Ten Year-Equivalent Holdings Hit A Record 29% Of The Entire Treasury Market
Where did all the housing inventory go?
The Fed's Ten Year-Equivalent Holdings Hit A Record 29% Of The Entire Treasury Market
