The egg recalls keep pouring up, with one of the latest coming out of Sparboe Farms in Litchfield, Minnesota. The farm came forward voluntarily through the Egg Safety Media Hotline.
[Read more...]Figuring out the Real Importance of Gold
August 30, 2010 By Leave a Comment
Gold remains in high demand among individual investors, hedge funds, and central banks all swapping cash for the yellow metal. This past weekend, an FT reportage looked into what the latest money flows into gold can tell us about it’s real importance.
Among others, the Financial Times spoke with Texas Republican Congressman Ron Paul:
[Read more...]Still Propping Fannie and Freddie
August 24, 2010 By Leave a Comment
The White House is currently looking at how to inch its way out of backing mortgages… this time by tacking fees onto lender activities, according to the Wall Street Journal.
Despite the call for new charges the government guarantees — and resulting moral hazard — remain, and the latest strategy twist isn’t likely to change much.
[Read more...]Congress and the W-Shaped Recession
August 22, 2010 By Leave a Comment
Each political party has more than earned its share of blame for the financial crisis fallout and the way it was handled. When the second dip arrives, with the same types of leaders and so much powder already spent, we should be ready to look out below.
This cartoon came to our attention via a post on The Big Picture about a double dip recession.
[Read more...]China’s Huge Economy Perhaps Not as Solid as it Seems
August 20, 2010 By Leave a Comment
China now has the world's second largest economy, but its GDP girth may not directly translate into as solid a market as one might guess. In the video below, Stratfor points out that China, despite impressive growth rates, is both export heavy and consistently dependent on razor-thin margins that can easily turn negative. This leaves the nation on a more precarious footing than developed countries with domestically-oriented economies. Until China makes that transition, Stratfor argues, it'll have a tough time eliminating the persistent threat of social unrest in order to become a sustainable economic powerhouse.
[Read more...]Some Wages in US and India Moving Toward Parity
August 20, 2010 By Leave a Comment
The democratization of technology has allowed emerging nations access to the kinds of capabilities and knowhow that industrialized nations have long had, and, as a result, salaries in developing nations are rising alongside productivity, especially relative to the developed world.
This week, there's an example of this global trend in call center operations. What's historically been the one of the most obvious cost-advantaged jobs to export to India is now, since the broader economic downturn, a business opportunity showing new signs of competitive life when based in the US.
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China, Japan Car Sales Take Off, US Way Down
The new regional automotive sales lines are being drawn, with very different outcomes in Asia and the US. Toyota, even despite its recall issues, had the largest increase in its domestic auto sales in 38 years. Chinese automakers also saw sales increase dramatically. This, of course, while sales in the US were slower last month than they’ve been in about three decades.
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