Written by Econintersect
Early Bird Headlines 21 January 2015
Econintersect: Here are some of the headlines we found to help you start your day. For more headlines see our afternoon feature for GEI members, What We Read Today, which has many more headlines and a number of article discussions to keep you abreast of what we have found interesting.
Global
Asia stocks skid as crude fails to sustain bounce (Reuters) Asian shares and the dollar surrendered their gains on Thursday as recently volatile crude oil prices seesawed lower, although European shares were still expected to mark opening gains. Financial spreadbetters predicted Britain’s FTSE 100 .FTSE to open up as much as 1.5%. Germany’s DAX .GDAXI was seen rising by as much as 1.1%, and France’s CAC 40 .FCHI was seen advancing by as much as 1.2%.
How the other 1% lives: wealth gap not the only way in which global elite is taking advantage (The Conversation) This article discusses the new Oxfam report: An Economy for the 1%. Here is an excerpt:
“… higher income inequality in a nation aligns with bigger gender gaps in terms of health, education, labour market participation and representation in institutions such as parliaments. It also found that the gender pay gap was highest in the most unequal societies.”
U.S.
A staunch conservative calls for campaign finance reforms (Al Jazeera) North Carolina Rep. Walter Jones, a conservative Republican, seeks legislation that would reverse court rulings such as Citizens United.
Palin Blames Son’s Domestic Violence Arrest on Obama, PTSD as Trump Tour Rolls On (Bloomberg) Palin slammed President Obama for his treatment of veterans less than one day after her son Track, an Iraq combat veteran, was arrested on domestic violence charges. She referred to the issue as “the elephant in the room“.
Winter storm: This weekend’s snow in D.C. could be one ‘for the record books’ (CNN) A nasty snowstorm is expected to bury the Washington, D.C., area beginning Friday, and possibly surpass totals for a benchmark 1922 storm. The National Weather Service on Wednesday said it expected between 12″ and 24″ of snow to fall in the District of Columbia, Baltimore and surrounding counties by late Saturday. Those totals could be adjusted up or down depending on the exact track of the storm, which is targeting the mid-Atlantic region. CNN meteorologist Tom Sater says a computer model shows the capital will be the bull’s-eye for up to 30″ of snow by Sunday.
The Coal Miner `On Everybody’s List’ as Next Bankruptcy Victim (Bloomberg) Patriot Coal Corp., Walter Energy Inc. and Alpha Natural Resources Inc. have all filed for bankruptcy in the past year. Now that Arch Coal Inc., the second largest coal miner in the U.S., has joined their ranks, investors are wondering if the biggest, Peabody Energy Corp., could be next.
UK
Housing shortage hits mortgage lending in December (City A.M.) Mortgage lending fell in December as a shortage of new homes, higher prices and recent government measures such as stamp duty reforms weighed on the property market. Figures from e.surv chartered surveyors today showed there were 68,218 house purchase approvals in December, down 3.1% from 70,410 in November.
Sterling’s gains wiped as Bank of England governor Mark Carney says now is not the time for an interest rate hike (City A.M.) The pound lost over half a cent against the dollar today, erasing earlier gains, as Bank of England governor Mark Carney said now is not the time to raise rates. Last summer Carney said the decision on whether to raise interest rates from record lows “would likely come into sharper relief around the turn of the year.”
Russia
When Russia’s money runs out, the ‘real trouble starts’ (CNBC) Stuck in a recession and with no sign of a reprieve in the oil price, Russia could quickly descend into chaos if the money runs out, William Browder, a well-known critic of the Kremlin and chief executive of Hermitage Capital, told CNBC.
China
Explainer: what’s going on with China’s economy? (The Conversation) This author says China is not headed for trouble but simply rebalancing its economy – slowly moving from “Made in China” to “Made for China”.
Why China Can’t Keep a Stock Rally Going (Bloomberg) China’s latest stock market rally lasted precisely two days. Prices tumbled again on Wednesday, with the Shanghai Shenzhen CSI 300 Index giving back half the gains it made in an impressive rally the previous day. In Hong Kong, China stocks fell to their lowest since the financial crisis. For investors, the question is what it will take to end a bear market that has seen prices plunge 15 percent or more so far in January. When China reported the slowest economic growth in almost seven years on Tuesday, stocks responded by jumping the most in two months. The rationale was that the economic situation in China is so bad that the government would have no choice but come to the rescue. But will it? There is doubt so rallies fade.
Taiwan
Pro-China posts flood Taiwan President-elect Tsai’s Facebook (BBC News) The Facebook page of Taiwan’s new president-elect Tsai Ing-wen has been flooded with hostile posts, seemingly from mainland China. Tens of thousands of posts demanded that the island be reunified with the mainland, under Beijing’s control. Ms Tsai and her Democratic Progressive Party (DPP) won a landslide victory in presidential and parliamentary elections on Saturday. The DPP is broadly supportive of independence from China.
Bolivia
Disappearance of Bolivia’s No. 2 lake a harbinger (Associated Press) Large shallow saline Lake Poopa has dried up before but scientists say this time there be no recovery.
