Daily Digest

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Daily Digest 6/30 - Tsipras May Resign If Greeks Vote Yes, The Coming Shale Apocalypse

Tuesday, June 30, 2015, 9:21 AM

Economy

Greece debt crisis: Tsipras may resign if Greeks vote yes (jdargis)

EU leaders have warned that a rejection of the creditors' proposals on Sunday would mean Greece leaving the eurozone - though Mr Tsipras says he does not want this to happen.

Talks between Greece and its creditors broke down last week, leading to Greek banks having to shut this week.

Obama Making Millions More Americans Eligible for Overtime (jdargis)

Conservatives and business groups have bitterly opposed the idea, warning that it will cost jobs. The National Retail Federation, a trade group, has argued that expanded overtime will “add to employers’ costs, undermine customer service, hinder productivity, generate more litigation opportunities for trial lawyers and ultimately harm job creation.”

Dutch city of Utrecht to experiment with a universal, unconditional 'basic income' (jdargis)

The Netherlands as a country is no stranger to less traditional work environments - it has the highest proportion of part time workers in the EU, 46.1 per cent. However, Utrecht's experiment with welfare is expected to be the first of its kind in the country.

Farm Waste and Animal Fats Will Help Power a United Jet (jdargis)

But airlines are increasingly under pressure to reduce carbon emissions. The Obama administration proposed this month that new limits on aviation emissions be developed, and the International Civil Aviation Organization, a United Nations agency, is expected to complete its own negotiations on limiting carbon pollution by February 2016.

“There is a significant role for biofuels within the aviation sector, specifically for reducing carbon emissions,” said Debbie Hammel, a senior resource specialist at the Natural Resources Defense Council, who focuses on biofuel.

Supreme Court rejects EPA’s process for regulating power plant pollution (jdargis)

For the remaining justices, it simply doesn't matter when economic considerations are taken into account, as long as they are. "The question is whether EPA can reasonably find it 'appropriate' to trigger the regulatory process based on harms (and technological feasibility) alone," Justice Kagan wrote, "given that costs will come into play, in multiple ways and at multiple stages, before any emission limit goes into effect." In the minority's opinion, economics is a central part of the rulemaking process, which necessarily comes after the decision that rules are needed.

Where Electric Vehicles Actually Cause More Pollution Than Gas Cars (jdargis)

For gas cars, calculating environmental damage was pretty straightforward. The researchers considered factors like a car’s fuel-efficiency rating (city miles for urban counties, highway miles for non-urban), pollutant dispersion (such as average wind patterns), and number of environmental damages (to health, infrastructure, crops, and so on). Together that data gave them the aggregate emissions of driving a certain gas car one mile in a given U.S. county.

The Coming Financial Apocalypse For U.S. Shale (Tom K.)


“Credit markets have played a big role in keeping the entire sector alive,” said Amrita Sen of London based consulting firm Energy Aspects Ltd. Another emerging trend, according to research by Morgan Stanley, is the raising of funds for potential acquisitions, which are expected to pick up in the third and fourth quarters of this year. Apart from Shell’s upcoming acquisition of BG group, other oil majors like Statoil are actively hunting for reasonably priced opportunities.

However, there are some investment firms and trade pundits that expect a rebound in oil prices thanks to increased global demand and declining U.S. production.

North Carolina’s “Perfect Storm” for Shark Attacks (jdargis)

Most shark attacks in North Carolina happen when the water reaches about 80 degrees Fahrenheit (27 Celsius), something that happened early this year, in April. Most sharks prefer warmer water, and the higher temperatures have drawn them in from farther south.

The warmer weather has also brought more people to the state’s beaches and entices them to take a dip to cool off. That makes more chances to run into sharks.

Gold & Silver

Click to read the PM Daily Market Commentary: 6/29/15

Provided daily by the Peak Prosperity Gold & Silver Group

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."

12 Comments

thebrewer's picture
thebrewer
Status: Silver Member (Offline)
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Shale Oil

I'm at a total loss as to why bonds are still being issued to raise money to pay debt. These shale companies are raising money to pay returns to investors. Aren't returns supposed to be paid on profits? It's like we are swinging a hammer as hard as we can to put the final nails in our economic coffin.

I predict that when the shale market finally collapses and the market takes a 20% tumble, that $100+ bbl of oil they were looking for will reappear c/o OPEC. 

saxplayer00o1's picture
saxplayer00o1
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Time2help's picture
Time2help
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Posts: 2769
Sooner or later...

...they are going to wind up putting the Berlin wall back up. Ironically, people will be trying to escape to East Berlin this time around.  

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Tall
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Posts: 564
Yemenis water shortage may become bigger problem than war

"Ordinary Yemenis now pay more than 30 percent of their income just to get water in their houses, the highest rate in the world," said Abdulkhaleq Alwan, a senior expert at Yemen's water and environment ministry.

Yemen is withdrawing almost 169 percent of its renewable water resources, meaning that it is using water far faster than it can replenish its supplies.

The gap between the country's demand for and supply of water has widened to 1.4 billion cubic metres per year as a result of one of the highest population growth rates in the world and people's extensive use of water, Alwan said.

"Although it is difficult and unpractical to tell people when the basin water is going to vanish, it seems that the deadline will not be that far away if the ongoing high depletion rates continue."

http://www.reuters.com/article/2015/06/29/yemen-water-crisis-idUSL5N0Z43TL20150629

saxplayer00o1's picture
saxplayer00o1
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Stocks Rally on Hopes Greek Crisis Will Delay Rate Hike

"Stocks bounced back on Tuesday as investors bet the Federal Reserve will delay its looming rate hike as Greece moves closer to default.

Reports suggest German Chancellor Angela Merkel won't negotiate any last-minute debt deal with Greece before Sunday's referendum. That makes a default all the more likely"............"Former Fed Gov. Larry Lindsey told CNBC that central bankers will point to the drama in Greece as a reason to push its looming rate hike further down the road. "

 

saxplayer00o1's picture
saxplayer00o1
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SEC commissioner quotes....Markets "maybe even “rigged.”"

"Equity markets are “broken,” a “complete mess,” or maybe even “rigged.” Luis Aguilar, a commissioner on the Securities and Exchange Commission, was quoting others when he used those words in remarks to the inaugural meeting of the SEC Equity Markets Structure Advisory Committee on May 13. "

Luke Moffat's picture
Luke Moffat
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Posts: 364
Angela Merkel
Matthew 5:40 wrote:

And if someone wants to sue you and take your tunic, let him have your cloak as well. If someone forces you to go one mile, go with him two miles. Give to the one who asks you, and do not turn away from the one who wants to borrow from you.

Please step forward leader of the Christian Democratic Union

Perhaps I'm being too harsh. After all, the chips are down. Why bother with such petty convictions...

saxplayer00o1's picture
saxplayer00o1
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Posts: 4066
House won't vote on Chicago schools pension relief bill

"The sponsor of a bill to give Chicago Public Schools a 40-day reprieve for making a $634 million pension payment says she won't call it for a vote.

Democratic Rep. Barbara Flynn Currie said Tuesday she doesn't "have the votes" to pass the legislation.

CPS is required to make the contribution Tuesday. But district officials have said they don't have the money to do so without taking critical resources from classrooms."

IMF: austerity measures would still leave Greece with unsustainable debt

==================================

"I have nothing left and all I feel is this cruel wanting". Let the great voice of Amy Lee sing this one for Greece, Puerto Rico and Chicago Public Schools.

A lot is happening very quickly and the news has my full attention. Chris Martenson has given his alert notice and mine  (for those on my email list)  may not be far behind if this trend starts to get out of control. In all of the time that I've been here I have never given such a notice. Stay tuned.

Time2help's picture
Time2help
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Posts: 2769
In the wash

<be advised: explicit lyrics>

Time2help's picture
Time2help
Status: Diamond Member (Offline)
Joined: Jun 9 2011
Posts: 2769
Reapers

sand_puppy's picture
sand_puppy
Status: Diamond Member (Offline)
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Posts: 1763
THAT is going to p*ss off some important people!

Alex Jones report that as ISIS is routing the Afghanistani government, it is burning the CIA's opium fields in Afghanistan!!  This cuts right into a massive CIA funding source!!

It is pretty clear to most who read the alternative news that importing illegal drugs is a major covert funding source for the West's intelligence agencies and is a huge source of revenue for banks.

CIA-supported Mujahideen rebels engaged heavily in drug trafficking while fighting against the Soviets in the 90's.  During the US supported fight against the Soviets and in the years after the Soviets withdrew the opium trade prospered.  But when the fundamentalist religious group, the Taliban, came to power the fields were destroyed on religious grounds.  The Taliban did not feel that use or cultivation of opium was  compatible with their view of their scripture.  The Taliban was the Muslim equivalent of America's Christian prohibitionists.  Opium production cratered under the strict Taliban in 2001, and with it a many hundred billion dollar industry withered.

Fortunately, the US invasion in late 2001 and the insertion of a puppet government (greased by millions in bribes) was able to promptly re-establish the trade.

Here US soldiers defend poppy fields.

Bigger Picture, and Source

---------------------

Peter Dale Scott's book is highly recommended for any who doubt this story.  American War Machine: Deep Politics, the CIA Global Drug Connection, and the Road to Afghanistan

and

Professor Michel Chossudovsky's writing The Spoils of War: Afghanistan’s Multibillion Dollar Heroin Trade

And Catherine Austin Fitts and Michael Ruppert.

For me, this is very personal on many levels.  I have a good friend who is currently drug addicted.  The addiction itself has been devastating.  But on top of that, he has been imprisoned for possession of the very drugs that our own CIA imports and military defends.   And I truly love the ideals upon which this country was founded and which it espouses.  To see such destructive endeavors and such corruption in the highest places of our government makes me sick.

saxplayer00o1's picture
saxplayer00o1
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4066
Chicago schools pay pension obligation; classroom cuts likely

"Asked whether the district would have enough money remaining to keep classrooms open and pay teachers, the Chicago Democrat responded: "I don't know.""

Also: Chicago Public Schools to Cut 1,400 Jobs Wednesday

 

"Economists say more stimulus policies are needed to prop up growth in world’s second-largest economy"

But economists criticize the plan as overly optimistic, as it is based on realizing robust growth of more than 3 percent in nominal gross domestic product in the medium- to long-term, a level that has not been seen in more than 20 years.

Even with a robust nominal economic growth of more than 3 percent between fiscal 2016 and 2020, Japan would be left with around a ¥9.4 trillion deficit in fiscal 2020, according to projection of the Cabinet Office.

The persistent and exceptionally low interest rates indicate an unusually weak post-crisis recovery as central banks and market participants "fumble in the dark in search of new certainties" and attempt to reinvigorate growth, said Mr Borio, who was speaking during a media teleconference about the bank's annual report, released yesterday.

This has resulted in high risk-taking in financial markets, which can be harmful, and subdued risk-taking in the real economy, where additional investment is badly needed.

For instance, the low interest rates have weakened the financial strength of insurance companies and pension funds by encouraging an aggressive search for yield, partly channelled through a burgeoning asset management industry.

In the longer term, ultra-low interest rates risk weakening the financial sector and economic activity by hindering rational investment decisions and entrenching debt dependence, Mr Borio added.

 

 

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