“Adjusting for slippage” is the latest government fashion…and it is expensive. “Governments of the world’s leading economies have more than $7.6 trillion of debt maturing this year,” Bloomberg News reports, “with most facing a rise in borrowing costs.”
January 20th, 2012 | Eric J. Fry | 0 comments | ContinuedAll Posts Tagged With: "S&P"
European Downgrades: Will There Really Be a Fallout?
On Friday, after the close of business in the stock market, S&P downgraded 9 European countries. Spain and Italy were both taken down another notch, leaving Italy with a BBB+ rating and Spain with an A. But the headline damage was done to France, whose triple-A rating got downgraded to AA+.
January 17th, 2012 | Bill Bonner | 0 comments | Continued
Downgrade of European Financial Stability Facility Becomes a Reality
“It won’t be long before the EFSF has its own credit rating cut,” we wrote yesterday. And it wasn’t! Standard and Poor’s delivered the coup de grace yesterday. It downgraded the European Financial Stability Facility from AAA to AA+.
January 17th, 2012 | Dan Denning | 2 comments | Continued
Don’t Invest in Europe’s Debt
On December 5th 2011, S&P warned the Europeans to get their divided house in order. Almost nothing constructive or helpful to solve Europe’s debt problem has happened since then. On Friday the 13th January 2012, Standard and Poor’s cut the credit ratings of nine European countries. S&P’s biggest scalp was France.
January 16th, 2012 | Dan Denning | 0 comments | Continued
How Long Can Europe Stay Positive on Creditwatch Negative?
If you believe the French and Germans, what Europe really needs to become more competitive is a new treaty. If you believe Standard and Poor’s, which just put most of Europe on “creditwatch negative”, Europe needs to sort out its underlying monetary problems before it’s too late. Who are you going to believe?
December 6th, 2011 | Dan Denning | 0 comments | Continued
S&P Puts Culture of Greed on Death Watch
Well you can forget about today’s modest little overnight rally in the US and Europe. Ratings agency Standard and Poor’s rained on everyone’s parade after the market closed. S&P downgraded 37 global banks. It upgraded two.
You’d think banking would be a low-profit, low-growth business to be in during a Credit Depression. At least we’d think so.
November 30th, 2011 | Dan Denning | 0 comments | Continued
Goldman Stole the Money Fair and Square
But Goldman Sachs is as cool as a cucumber. Goldman released its annual report earlier this week. The firm said it hadn’t done anything wrong.
April 9th, 2010 | Bill Bonner | 2 comments | Continued
Feds Say Don’t Worry About the Depression
Instead of allowing things to settle down, the feds are doing all they can to keep them stirred up. Amid the foam and splash, nobody knows what is really going on.
December 14th, 2009 | Bill Bonner | 2 comments | Continued
Stock Market Should Never Have Been Rallying in First Place
The economy still stinks, they say, and it is showing no signs of recovering. In fact, a close look at the housing market tells you all you need to know about the economy…
November 24th, 2009 | Eric J. Fry | 5 comments | Continued
The Profits Depression
And after we consider the impact of the credit boom on S&P 500 earnings we’d say that corporate earnings are never going to be the same again. They may revert to the mean. But it will not be nearly as high as it was at the highs of the credit boom. It’s undeniable that the expansion of the credit bubble and the advent of securitisation and derivatives led to…
July 28th, 2009 | Dan Denning | 13 comments | Continued
There is More to Wealth than Money
Taleb’s point is not a popular one. But it is a realistic one. The fiat money, leveraged finance Western financial system went global in the last twenty years, providing an epic rise in asset prices (and the debt used to purchase them). There’s no doubt that real goods and services have traded hands with world growth.
July 3rd, 2009 | Dan Denning | 9 comments | Continued
Rosenberg Let His Clients Know He Thought the Sucker’s Rally Was Over
“Risk is much higher now than it was 18 weeks ago,” Rosenberg wrote. ” The nine-week S&P 500 surge from 666 at the March lows to 920 as of yesterday has all but retraced the prior nine-week decline from the 2009 peak of 945 on January 6 to the lows on March 9.
May 14th, 2009 | Dan Denning | 6 comments | Continued
A Credit Depression
You don’t need to own subprime loans to take loan losses in a credit depression. Smith said the area that concerned him most was the surge in small and mid-size businesses simply closing up shop unexpectedly. “In the real economy,” he said, “there is no evidence that the world economy is yet bottoming.”
April 30th, 2009 | Dan Denning | 5 comments | Continued
S&P Ends Six Week Run
What a battler that Dow is. It’s got nothing on the S&P 500 though. The S&P is up 28% in the last thirty three trading days. It hasn’t done anything like that since the 1930s. However the index did close down for the week. That broke a six-week run of gains. One more note about that. Four-week winning streaks of ten percent are more are generally followed by much smaller gains or losses over the next four weeks…
April 27th, 2009 | Dan Denning | 3 comments | Continued
Recovery for the Real Estate Market
Sure, we’re not out of the woods yet, not by any stretch of the imagination. But facts are facts, and the recent market action bears that out: We’re moving in the right direction… especially in one of the most important sectors – real estate.
April 9th, 2009 | The Daily Reckoning | 8 comments | Continued
