debt

The U.S. deficit and the Treasury bonds which must be sold to fund it are beyond comprehension.

The past year has been all about shifting debt.

The financial crisis drove American homeowners into debt. Homeowners defaulted on their loans (or threatened to), driving the banks into debt. The U.S. government bailed out the banks, shifting debt to the public balance sheet.
Full article at: Debt

Now that the S&P rallied over 60 pct since last March 2009, and pretty much all other markets except housing and real estate have also rallied (anything connected to financial markets that received the half of the several $trillion of US and other central bank emergency money infusions beginning big around March 2009) it begs the question when there will be a correction. Or a crash.

The GBP USD plunged following reports that a poll indicated that the minority party may win the upcoming election. Such a move will mark the first time since 1974 that the minority party has gained such power. Investors feel that this drastic change will stall the country’s efforts to shore up the U.K.’s debt issues.

Japan is suffering from growing expenditures and declining tax revenues. Their population is both aging and declining with a debt to GDP ratio of 197%, second in the world only to Zimbabwe!

The Red Queen's Race is an apt analogy for the meltdown in assets and debt now swamping the global economy.

After starting the week on a firmer note, oil prices fell sharply toward the end of the week in a general market sell-off as investors sought the dollar as a safe haven amid worries about European Union economies.

The trading week ended with traders still fearing a widening and deepening debt situation in the Euro Region. Optimistic traders are looking for some solution to be reached by either a “pseudo-bailout” by the European Central Bank or European Union. Legally, the ECB or EU cannot offer an outright bailout package so they may have to figure out a way to get around this restriction.

An investigation by the nonprofit journalism operation, ProPublica, raises intriguing questions about reasons desperate homeowners are being turned away for the very government program aimed at helping them.

The Dollar is trading higher versus all major currencies except the Yen. Investor concerns about the sovereign debt woes in Greece will simply not go away. Traders are taking protection overnight in the Dollar and the Japanese Yen.

The problem of all this debt and fiscal profligacy is clear. Every dollar of debt is a promise to tax that same dollar in the future…and with interest. Estimates indicate that the publically traded debt will rise to $18.5 trillion by 2020.

Much ink has been spilled over the bond market bubble. I myself have written extensively on the subject. The idea that US debt is the biggest bubble in all of history is clear in my mind.

I decided to google credit cards today and see what kinds of offers came up for individuals with poor credit scores. I was shocked by some of the offers that I saw. These cards won’t help individuals with bad credit improve their credit

U.S. stock index futures soared after Abu Dhabi announced a $10 billion infusion into cash strapped Dubai World. This news helped alleviate some of the concerns that have been holding back the rally in equity markets since the Dubai debt news broke in late November. December E-mini Dow futures rallied to a new high for the year.

US foreclosure filings will hit 3.9M in 2009, bringing the 3-year total to 10% of all US homes.