Greece is set to become the first developed nation to not pay its debts to the International Monetary Fund on time, as the country sinks deeper into a financial emergency that has forced it to put a nationwide lockdown on money withdrawals. Greece owes the IMF about $1.9 billion by the end of Tuesday but…
Greece to Miss IMF Debt Payment and Bailout to ExpireDetailsIt was more or less impossible for Greek banks to open on Monday, once the European Central Bank announced it was turning off emergency lending to them. Because in the absence of any increase in this so called Emergency Liquidity Assistance, the banks had no way to supply cash to Greek depositors who have been…
Greece's Bank Holiday from HellDetailsThe Organization for Economic Cooperation and Development warned on Wednesday that prolonged low interest rates fueled by central banks’ quantitative easing pose a serious threat to the solvency of pension funds and life insurers that could send ripples through the global financial system. As interest rates are expected to stay low for an extended period,…
Low Interest Rates Are Threat to Pension Funds, Life Insurers, Says OECDDetailsPresident Obama continues to hail the economic “breakthrough.” Yet in the seventh year of his presidency, few families are enjoying a breakthrough for them. Instead, most families continue to struggle through the worst economic recovery since the 1940s. We recently learned that the economy actually shrunk in the first quarter of this year, and a…
We Need Not Accept Economic StagnationDetailsRising federal debt threatens to choke economic growth within a decade, beginning a death spiral that will sap revenue from government programs even as demands grow, forcing the government to borrow even more, Congress‘ budget watchdog said in a frightening report Tuesday. Budget cuts or tax increases now would help avert that scary scenario, leaving…
Government Debt Threatens to Send U.S. Economy into Death Spiral, CBO WarnsDetailsThe U.S. economy was still running below trend in May, according to the Chicago Fed’s national activity index released Monday. The index, a weighted average of 85 different economic indicators, edged up to negative 0.17 from negative 0.19, and the three-month average edged up to negative 0.16 from negative 0.20. A zero reading shows the…
U.S. Economy Still Running Below Trend in May, Chicago Fed Indicator ShowsDetailsEuro zone leaders will hold an emergency summit on Monday to try to avert a Greek default after bank withdrawals accelerated and government revenue slumped as Athens and its international creditors remain deadlocked over a debt deal. Finance ministers of the 19-nation currency bloc failed to make any breakthrough on a cash-for-reforms agreement at talks…
Euro Zone Sets Emergency Summit on Greece as Money FleesDetailsThe U.S. economy is nearly six years into its current economic expansion cycle and overall economic numbers continue to disappoint. Friday’s news that the U.S. economy contracted by 0.7% in the first quarter is expected to be a temporary blip in overall economic growth, but the current recovery phase remains limp and lackluster at best…
Six Years Later, U.S. Economy Still UnderperformsDetailsInvestors might want to add a little cash and some gold to their portfolio’s summer outfit. So say analysts at Bank of America Merrill Lynch, who are forecasting a grim summer for stocks this year. In other words, it might be wise to apply ample dollops of market-correction block in addition to any sunscreen you…
Bank of America Is Forecasting a ‘Scary Summer’ for the Stock MarketDetailsChina has set up its largest gold-investment fund ever, expected to total 100 billion yuan ($16 billion), aiming to invest in mining projects in the region and enhance Chinese influence in global gold markets, local media reports said Wednesday. The “Silk Road Gold Fund” — led by the Shanghai Gold Exchange and others — is…
China Sets Up Giant Gold Fund to Expand Its Market PowerDetailsStill feeling uncomfortable about that tax bill you owed last month? Think about it this way: If you didn’t pay it, America’s fiscal future would look even worse than it does now, six years out from the financial crisis. Driven by higher interest costs, Social Security and Medicare for baby boomers, as well as tax…
America's Future Got $7 Trillion Worse Since the Financial CrisisDetailsGold futures were flat on Monday after rallying to their biggest monthly gain in three years last week but the precious metal is poised to strengthen with U.S. stocks under pressure. Gold for April delivery on Comex GCJ5, -0.23% settled at $1,279.20 an ounce, unchanged from Friday, while March silver SIH5, -1.70% climbed 43 cents, or 2.6%, to $17.21 an ounce.…
Gold Takes Breather after Biggest Monthly Rise in 3 YearsDetails
