Hard hitting global and local news
Inquiring minds note China, Germany Plan to Settle More Trade in Yuan, Euros . Germany and China plan to conduct an increasing amount of their trade in euros and yuan, the two nations said in a joint statement after talks between Chancellor Angela Merkel and Chinese Premier Wen Jiabao in Beijing on Thursday
Flash China Manufacturing PMIâ„¢ at 47.8 (49.3 in July). 9-month low. Flash China Manufacturing Output Index at 47.9 (50.9 in July)
Robots to Rule the World? Taking All Jobs?
Pettis on Debt, Currency Wars, Commodity Prices and Capital Flight; China FDI Contracts 8.7% YoY, 8th Drop in 9 Months The much-denied hard landing in China is now underway with weakening data everywhere one looks.
Financial Times Alphaville picked up on the story in Chinese Banks’ Weapons of Mass Ponzi We wrote last week that China’s shadow banking system was reflecting and, to an extent, contributing to a growing liquidity risk which in turn is being exacerbated by net capital outflows. Since then, there have been some interesting revelations on the domestic liquidity management, especially in shadow banking, and especially especially in wealth management products
Continued here: Japan Services PMI Shows Sharp Decline in New Orders; Global New Export Orders Have Steepest Drop Since April…
Reuters reports Global factories struggle as growth fears rise U.S. and euro zone factory activity slumped again in July while Chinese manufacturing hit an eight-month low, surveys showed on Wednesday, as economies worldwide showed signs of slowing
Foreigners Dump Nearly €80 Billion in Spanish Debt; Haircuts Come After More Dumping Through the first half of the year, foreigners reduced Spanish debt by Nearly €80 Billion as banks in Spain gobbled up more of the toxic garbage. Foreign investment in Spanish public debt has decreased by 7 €78.168 billion in the first six months of the year, standing at €203.271 billion euros, compared to €281.439 billion which reached the end of 2011. This is a break of 27.7% over last year