Trump’s Most Chilling Economic Lie
by Joseph E. Stiglitz
The very Americans who have been among the losers of globalization stand to be among the losers of a reversal of globalization—including a trade war. History cannot be put into reverse. Technology has proceeded in a certain way based on the premise of global supply chains. Disrupting the global supply chains would be costly and would increase the prices of goods that Americans buy—especially the mass-marketed goods that have kept prices so low for the goods purchased by ordinary Americans.
(IT) Inflation = more money chasing fewer goods, and therefore prices increase...
Baltic Exchange Dry Index etc is up-to-date
- (WSJ) The Vanguard Group topped $4 trillion in assets for the first time at the end of January after a year in which it pulled in more money than all of its rivals combined.
- U.S. Home ownership at 63.5% is the lowest since the 1980’s.
China’s foreign currency reserves fell below $3 trillion, the lowest level since 2011.
- China’s imports rose 16.7%, while exports rose 7.9%.
- Brent crude at $56 as Opec sticks to one of the deepest cuts in its history.
Mr. Trump is promising a “phenomenal” announcement on taxes in the next few weeks.
NYSE short interest ratio is currently at 4.3 days.
- (Guardian) A new survey of business leaders found that 58% said the Brexit vote was already having a negative impact on their firm. Just 11% said it had helped business.
- (MarketWatch) -- President Donald Trump on Friday signed executive orders that would start a process of rolling back the fiduciary rule and the Dodd-Frank bank reform law. "Today we are signing core principles for regulating the United States financial system," Trump said.
- Consequently the Dow regains 20,000 level as broader market ends firmly higher on bank rally. Goldman Sachs (GS) was the biggest gainer among Dow components, jumping
4.6%,
- (Reuters) France's far-right party leader Marine Le Pen on Sunday told thousands of flag-waving supporters chanting "This is our country!" that she alone could protect them against Islamic fundamentalism and globalization if elected president in May.
- Japan is hosting the 2020 Olympic Games and is looking to derive the medals from recyclable electronics. In all, organizers hope to collect 40 kilograms of gold, 2,920 kilograms of silver and 2,994 kilograms of bronze.
- The "failing" NYT passes 3 million paying subscribers, most in history, plus 220 million unique visitors in November.
- An attack on the Dark Web left a whopping 20 percent of it in shambles. On Friday, a vigilante managed to hack into Dark Web hosting service, Freedom Hosting II, after realizing that it was allowing for child pornography sites.
Baltic Exchange Dry Index etc. is up to date
The decision by the Trump admin to withdraw from TTP (Trans Pacific Partnership) trade deal, and intentions to renegotiate NAFTA has created a major concern for US ag exporters. A trade war with your best customers (China biggest buyer of Soy / Mexico biggest buyer of corn) is historically not “that good” for business…
(The Hill) The U.S. and Mexico are denying reports that President Donald Trump told his Mexican counterpart Enrique Peña Nieto that U.S. forces will
handle the "bad hombres down there" if the Mexican authorities don't.
Corn CPI Adjusted
Soy CPI Adjusted
Cheaper renewables to halt coal and oil demand growth from 2020: research
The falling cost of
electric vehicle and solar technology will halt demand growth for oil
and coal from 2020, according to research published on Thursday, posing a
threat to fossil fuel companies unprepared for the transition.
Oil
Oil CPI adj.
The very Americans who have been among the losers of globalization stand to be among the losers of a reversal of globalization—including a trade war. History cannot be put into reverse. Technology has proceeded in a certain way based on the premise of global supply chains. Disrupting the global supply chains would be costly and would increase the prices of goods that Americans buy—especially the mass-marketed goods that have kept prices so low for the goods purchased by ordinary Americans.
