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The Global Distortions of Doom Part 1: Hyper-Indebted Zombie Corporations

The Global Distortions of Doom Part 1: Hyper-Indebted Zombie Corporations The defaults and currency crises in the periphery will then move into the core. It’s funny how unintended consequences so rarely turn out to be good. The intended consequences of central banks’ unprecedented tsunami of stimulus (quantitative easing, super-low interest rates and easy credit / […]

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Wave of Corporate Bankruptcies Coming: GE Warns About its Subprime Mortgage Unit

Wave of Corporate Bankruptcies Coming: GE Warns About its Subprime Mortgage Unit Earlier today I commented to a friend about corporate bankruptcies. A few hours later, another friend Emailed about GE. Earlier today a friend pinged me with this story: U.S.Personal Spending Outpaces Income Growth For 26th Straight Month. He commented: “Hey, a lot of […]

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Zombie Corporations Litter Europe, Kept Alive by ECB

Zombie Corporations Litter Europe, Kept Alive by ECB Bank of America says 9% of European firms have subpar interest coverage. Bloomberg covers the story in its report Zombie Companies Littering Europe May Tie the ECB’s Hands for Years. Watch out for the zombies. The plethora of companies propped up by the European Central Bank will limit policy […]

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FED LUNACY IS TO BLAME FOR THE COMING CRASH

FED LUNACY IS TO BLAME FOR THE COMING CRASH This week John Hussman’s pondering about the state of our markets is as clear and concise as it’s ever been. He starts off by describing the difference between an economy operating at a low level versus a high level. He’s essentially describing a 2% GDP economy […]

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Olduvai IV: Courage
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Olduvai II: Exodus
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