Daily Digest 5/9 - EU Shows Resolve On Greece Debt, Response To Silver Volatility Takes Hold, Irish To Avoid 'Doomsday'
- Euro Holds No. 1 Spot as EU Shows Resolve on Greece Debt
- Clashes in Cairo Leave 12 Dead and 2 Churches in Flames
- Response to Volatility in Silver Takes Hold
- Stock World Weekly: Not Dead Yet
- Irish to Avoid ‘Doomsday,’ Honohan Says as Rescheduling Mooted
- World's Largest Commodity Hedge Fund And Andrew Hall Taken To Cleaners On Last Week's Energy Plunge
- Grid parity of solar energy can be achieved in several countries by 2013, says Eversol chairman
- Japan Reaffirms Nuclear Energy Use
Even with last week’s decline, the single European currency remains this year’s best performer after German Chancellor Angela Merkel said Jan. 12 her country would do “whatever is needed to support the euro,” exports grew and the ECB raised borrowing costs for the first time since 2008. Bloomberg Correlation Weighted Indexes show the euro has gained 3 percent against nine of its most-traded peers, compared with a drop of 5.1 percent in the dollar and 4.6 percent in the yen.
Officials of the Interior Ministry said at least six Christians and at least six Muslims had died, and about 220 people were wounded, including at least 65 who were struck by bullets.
Worried about the speculative run-up and the increased volatility of the silver market, the officials concluded that it was time to raise the amount of money that buyers and sellers had to put down as collateral to guarantee their trades. The first increase in so-called margin requirements took hold the next day, effectively making it more expensive for speculators and other kinds of traders to play in the market.
Stock World Weekly: Not Dead Yet (Ilene)
According to the New York Times, Pakistani officials provided details of a “tense discussion” with “an American envoy who traveled to Pakistan on Monday,” as well as the growing suspicion among United States intelligence and diplomatic officials that someone in Pakistan’s secret intelligence agency knew of Bin Laden’s location, and helped shield him. “Obama administration officials have stopped short of accusing the Pakistani government — either privately or publicly — of complicity in the hiding of Bin Laden in the years after the Sept. 11 attacks on the World Trade Center and the Pentagon. One senior administration official privately acknowledged that the administration sees its relationship with Pakistan as too crucial to risk a wholesale break...”
Kelly said the country faces “economic ruin” unless it walks away from last year’s bailout, withdraws support for banks and cuts its fiscal deficit to zero. Ireland’s debt will peak at 116 percent of gross domestic product in 2014, according to government forecasts published on April 29. The figure was 25 percent at the end of 2007. Energy Minister Pat Rabbitte said yesterday “in my own view” the debt stemming from Ireland’s bailout “must be rescheduled.”
And once again we get a reminder why the word "hedge" fund is such a misnomer. The FT reports the Clive Capital, the "world's largest commodity hedge fund" as defined by the FT (although we are more than confident various other and much largest "energy-heavy" funds would be much more appropriate for this moniker) lost $400 million out of its (paltry) $5 billion in total AUM during last week's coordinated energy take down, initiated by the forced margin intervention in precious metals.
Despite the tough years to come, Liao added, 2013 is expected to be the year when everything will turn well as markets such as Japan, Germany, Italy, the Netherlands, Spain and the UK achieve grid parity. Subsidy would not be needed by the industry; the government can propose policies such as part of the electricity generated must be from renewable energy sources, Liao commented.
Japan Reaffirms Nuclear Energy Use (jdargis)
The move is intended to air out the building that houses Reactor No. 1 to ensure that radiation levels are low enough to allow workers to enter. The plant’s operator, the Tokyo Electric Power Company, said the procedure would release little radiation into the atmosphere because an air filtering system installed last week had already removed most of the dangerous particles.
Article suggestions for the Daily Digest can be sent to [email protected]. All suggestions are filtered by the Daily Digest team and preference is given to those that are in alignment with the message of the Crash Course and the "3 Es."