Daily Digest

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Daily Digest 6/26 - The Cookie Is Crumbling, Americans Living Longer And Saving Less

Wednesday, June 26, 2013, 11:59 AM

Economy

Austria Starts New Stimulus After Insolvency Shows Not Immune

Austria committed to increase spending by as much as 1.6 billion euros ($2.1 billion) until 2016 for construction projects after a builder filed for the country’s biggest post-World War II insolvency and put 5,000 jobs at risk in an election year.

Global Central Bankers Say Tighter Policy Is a Long Way Off

The comments, along with efforts by the People’s Bank of China to allay concern over a cash crunch, helped halt a slide in stocks after the Fed’s June 19 decision to outline a timetable for tapering quantitative easing. Bank of England Governor Mervyn King and European Central Bank Executive Board member Benoit Coeure today echoed Fed counterparts in saying policy will stay loose to safeguard economic expansion.

India's central bank moves to deter rural gold buying

India's central bank told rural regional banks on Tuesday they could no longer provide loans against gold jewellery and coins - the latest move to discourage gold buying as the government seeks to reduce a record current account deficit.

Jewellers join government's campaign to cut gold buying (India)

India's biggest jewellers' association has asked members to stop selling gold bars and coins, about 35 percent of their business, adding its weight to government efforts to cut gold imports and stem a swelling current account deficit.

Munis Extend Worst Losses Since 2008 as Illinois Sets Sale

The selloff is the backdrop for a $1.3 billion general-obligation sale tomorrow by Illinois, the lowest-rated U.S. state. Local-government debt has lost 5.1 percent this month, matching the drop in September 2008, the month Lehman Brothers Holdings Inc. filed for bankruptcy, Bank of America Merrill Lynch data show

College Debt Forcing Recent Grads To Put Off Major Life Decisions

According to a recent survey conducted for the American Institute of CPAs by Harris Interactive, 41% are not contributing to their retirement, 40% have put off buying a car, 29% can’t buy a house, and 15% have decided to delay marriage.

China debt-crisis fears focus on ‘shadow banks’

Economists inside and outside China worry that shadow lenders are introducing risks reminiscent of America’s subprime-mortgage boom by backing projects that may never pay off, failing to disclose fully what they are asking investors to fund and appearing to give banks a way to get rid of problem loans — without really doing so.

U.S. inflation-linked bonds roiled, pose dilemma for Fed

U.S. inflation-linked government bonds have tumbled to levels that analysts say approach those common in periods of financial crisis, a sharp turnaround for what has been one of the best-performing bond classes in recent years.

Junk Bonds Suddenly Don't Look So Good Anymore

Junk bond volume has slowed to $7.1 billion this month, the slowest pace since December 2011 and about one-fifth the average monthly total previously in 2013, according to Dealogic.

The cookie is crumbling: Girl Scouts face financial troubles, declining membership

Its interconnected problems include declining membership and revenues, a dearth of volunteers, rifts between leadership and grassroots members, a pension plan with a $347 million deficit, and an uproar over efforts by many local councils to sell venerable summer camps.

Water Prices Headed Up, As Pipes Reach End Of Days (Connecticut)

The national price tag for aging water equipment, through 2035, is just over $1 trillion, according to an estimate from the American Water Works Association. And the Northeast's slice of that tab runs about $108 billion.

Number Of U.S. Children Living In Poverty Grew To 23 Percent In 2011: Survey

An annual survey released Monday by the Annie E. Casey Foundation shows the number of children living in poverty increased to 23 percent in 2011, after the recession.

Retirement Crisis: Americans Living Longer, Saving Less

“We find about 44 percent of the households will run short of money in retirement and it’s even worse if you look at the low income cortile,” he explained. “In that case it’s over 60 percent that will run short of money some time in retirement.”
What About Social Security?
Many expect to live on Social Security benefits and depend on Medicare to cover doctor’s bills. Experts, however, predict Social Security will run out by 2033.
“Within two decades we’re looking at a situation where the trust fund itself is likely to be depleted,” Vanderhie said.

Work until aged 80 "or retire in poverty" (UK)

The figures assume taking a 25 per cent lump sum. If not then they need savings of £301,700 and the worker could retire at 77, according to pension specialists Liberty SIPP, Managing director John Fox said: “These calculations highlight how Mr and Mrs Average are heading for a retirement that will be significantly below average. It’s important that people get their heads around how desperate things will be in the latter years.”

California Red Light Camera Critics Say Yellow Lights Too Short

Critics such as Jones said short yellow lights are just a sneaky way to increase revenue to pay for the red light cameras. They are backing Assembly Bill 612, which would lengthen yellow lights statewide by a full second.
But the proposal is running into roadblocks.
“This bill would put millions of California drivers at risk for increased crashes,” said Richard Retting, a consultant for Redflex. The company supplies most red light cameras in California.

Irish bankers joke over bailout at EU’s expense

In the sort of scene that must infuriate Chancellor Angela Merkel, Irish bankers were taped laughing about a bank bailout deal and then mocking the European Union’s paymaster by singing the German national anthem.
Recordings of senior executives in Anglo Irish Bank, the lender at the heart of Ireland’s EU-IMF bailout, making light in 2008 of the government’s decision to guarantee their liabilities at the height of the crisis underlined on Tuesday why Germany is so wary of creating a European banking union.

EU ready to explore loan guarantees of up to 100 bln euros

European Union policymakers are desperate to ignite growth in Greece, Cyprus, Italy, Portugal, Spain and Slovenia so they can pay back their debts. It was high sovereign debt that triggered the euro zone crisis more than three years ago.

Gold & Silver

Click to read the Gold & Silver Digest: 6/24/13

Provided daily by the Peak Prosperity Gold & Silver Group

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3 Comments

saxplayer00o1's picture
saxplayer00o1
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4163
pinecarr's picture
pinecarr
Status: Diamond Member (Offline)
Joined: Apr 13 2008
Posts: 2247
Thanks Saxplayer

Saxplayer, way to consistently put it out there!

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
6% Growth.

Therefore China's doubling time is 70/6=11.67 years?

In 23 years China is going to be 4 times as big as it is now? Consuming 4 times as much oil?

Pull the other one, it's got bells on it.

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