World economy talk

[Monseratto]

ano idea mo OB? mag uumpisa ka ng hedge fund?

I guess OB's parents told him to go into a worthwhile business venture...

[boybi]

Ayan na, the middle earth will take over the world's financial system.

[Ry_Tower]

ano idea mo OB? mag uumpisa ka ng hedge fund?

Another Ponzi scheme but much worse! :hysterical:

[uls]

baka francswiss o aman ang idea ni OB

[uls]

China boycott of Japanese care drives up cost of protection for Toyota bonds

Toyota China boycott drives bond risk above Japan government bonds | The Detroit News | detroitnews.com

Toyota Motor Corp.'s two-year reign as a better credit than the Japanese government has ended as violent protests over a territorial dispute with China hurt its sales in the world's biggest car market.

The credit-default swaps for Toyota, the world's largest automaker, climbed 8.4 basis points to 85.5 basis points on Oct. 10, exceeding the 84 basis points for the sovereign for the first time since August 2010, according to data provider CMA. Those for Honda Motor Co. rose 7.5 to 85.9, while Volkswagen AG increased 1.1 to 105.5, the data show.

Toyota's September deliveries in China dropped 49 percent from a year earlier, the biggest drop since at least 2008, after demonstrators protesting Japan's purchase of islands claimed by both countries torched Japanese auto showrooms and smashed vehicles last month. Continuing tensions are deterring buyers concerned their automobiles will be targeted, according to Kazuo Ohara, executive vice president at Toyota's luxury brand Lexus.

[Ry_Tower]

Bad news all around.

-IMF wants more tiem for Greece but Germany wants non of it.
-Germany may face risk of recession.
-Uk has some contractions in the construction business.
-Singapore contracts 1.5%
-Greece unemployment hits all time high.
-Optimism on US jobs report waned already
-S&P cuts Spain's credit rating.

Plus slowdown of Brazil and China pa.

[Monseratto]

US fiscal cliff

The United States fiscal cliff refers to a large predicted reduction in the budget deficit[1] and a corresponding projected slowdown of the economy if specific laws are allowed to automatically expire or go into effect at the beginning of 2013.[2] These laws include tax increases due to the expiration of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 and the spending reductions ("sequestrations") under the Budget Control Act of 2011.

[Monseratto]

Better wait for the next Chinese leaders to take over...

China's top financial officials boycott IMF meeting in Japan

Updated 11 October 2012, 9:22 AEST


In a surprise move, China is not sending its finance minister or top banking officials to a major international finance meeting in Japan.

The IMF and World Bank are holding their annual meetings in Tokyo for the first time in 50 years.

The Chinese withdrawal marks a new stage in the dispute between Beijing and Tokyo over their conflicting territorial claims in the East China Sea.

But it also sends a warning to the rest of the world about how China chooses to deal with it.

[uls]

Bad news all around.

-IMF wants more tiem for Greece but Germany wants non of it.
-Germany may face risk of recession.
-Uk has some contractions in the construction business.
-Singapore contracts 1.5%
-Greece unemployment hits all time high.
-Optimism on US jobs report waned already
-S&P cuts Spain's credit rating.

Plus slowdown of Brazil and China pa.

i wouldnt worry much about Greece. despite its problems Greece isnt gonna leave the eurozone. the powers-that-be won't let that happen

risk of eurozone breakup is now lower than a few months ago



----

U.S. consumer sentiment jumps ahead of elections | Reuters

The Thomson Reuters/University of Michigan's preliminary October reading on the overall index on consumer sentiment came in at 83.1, up from 78.3 the month before, and the highest since September 2007, the survey showed on Friday.

[uls]

China exports up

China's export growth picks up in Sept |Economy |chinadaily.com.cn

BEIJING - China's exports rose 9.9 percent year on year to $186.35 billion in September, official data showed Saturday.

The export volume hit a record monthly high and the growth was higher than the 2.7 percent year on year increase posted in August, according to figures from the General Administration of Customs (GAC).

[uls]

good morning

[uls]

EURO GOVT-Greek bonds rally as euro exit risks diminish | Reuters

LONDON, Oct 15 (Reuters) - Greek bond yields fell to their lowest since August 2011 on Monday, accelerating a decline seen since late July as investors scale back bets the country will leave the euro zone.

The yield on Greek bonds maturing in February 2023 fell by over half a percentage point on the day on signs that euro zone policymakers are seeking new ways to cut Greece's towering debt.

price of 2023 bond

[Ry_Tower]

BBC News - US retail sales see strong rise in September

US retail sales see strong rise in September powered by Apple iPhone 5.

Probably this report is a reason why US stocks rebounded.

[uls]

good morning

[Monseratto]

good morning

I wonder if that cat landed on all four...

[uls]

let's compare 1 yr performance of 2 ETFs

XLY - consumer discretionary ETF (nonessentials) --> risk on

XLP - consumer staples ETF (essentials) --> risk off

[safeorigin]

Question: What are the consequences of Scotland getting its independence? (What-if)

[uls]

^^^

not really sure

they'll still be using the GBP

they'll claim some North Sea oil fields

[uls]

for weeks Spain's refusal to ask for bailout caused uncertainty in the market

finally some clarity --

Spain seeks credits without austerity straightjacket | Business | DW.DE | 16.10.2012

Spain is planning to secure a credit line from the EU's new permanent bailout fund and with it trigger bond-buying by the ECB. But Madrid is hoping to escape further austerity measures by applying a resourceful trick.

Spain is mulling a request for financial help from the European Stability Mechanism (ESM), the EU's new permanent bailout fund for crisis-stricken members.

According to reports carried by the Wall Street Journal, the Financial Times and others, Madrid's intention would not be to get hold of bailout resources to pump into the economy, but rather trigger the European Central Bank's (ECB's) bond-buying program with a view to further lowering Spanish borrowing costs on financial markets. The ECB had previously made it abundantly clear that it would only buy up sovereign debt of countries seeking an ESM bailout.

Citing a high-ranking official from Spain's Economics Ministry, who spoke on terms of anonymity, the reports indicated Madrid could sign a memorandum of understanding with international lenders which would not force significant new austerity measures on the country.

[Ry_Tower]

Some eastern news;

Asia billed as driving force of world economy - The Philippine Star » News » Business