World Bank President gives markets reality check: ‘unemployment may cause loan defaults’ Gee ya think?!

Seriously. That is the CNBC headline: ‘Unemployment May Cause Loan Defaults in US’. Well that is a keeper for the No Shxt Sherlock files. In other news Water is Wet!

Since it is the World Bank President saying it and not we little people maybe the markets will BUY A FRAKKIN CLUE!

no-shit-sherlock

CNBC:

Stubbornly high joblessness threatens to trigger loan defaults and drag on consumption next year, hobbling a U.S. economy struggling to rebound from recession, World Bank President Robert Zoellick said Wednesday.

...”You’re going to have problems with delinquencies of credit card loans, consumer loans, people won’t be able to pay their mortgages,” Zoellick told reporters in Singapore. “Some banks are going to continue to be troubled by bad loans.”

Government stimulus spending will likely fuel economic growth through the middle of next year, Zoellick said. After that, consumer spending and business investment must take the baton to boost expansion, he said.

“If you’ve got large scale unemployment, if you’ve got consumers rebuilding savings and deleveraging, I don’t think the consumer is going to play that role,” he said. “What’s the other source of demand?”

Gee that sounds familiar! Cause we have been saying it here at MiM for OVER A YEAR!!

…Governments should execute existing stimulus packages, but hold off on implementing new ones, he said.

Asian authorities should consider ways to tighten monetary liquidity, such as raising interest rates, before asset price bubbles get out of hand, Zoellick said. Asian stock indexes and some property markets have soared since March….

Can you say China bubble? Hong Kong real estate bubble?

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November 11, 2009. Tags: , , , , , , , , , , , , . Economy, Finance, Foreclosures, Housing, Labor Department, Obama Administration, Politics, Popular Culture, Unemployment Statistics, Wall St. Comments off.

Gordon Brown to G20: Spendaholics of the World Unite!

Somebody save us from these loons, they are spending us ALL into the next millenium..they want GLOBAL bankruptcy apparently to ensure no one can recover..

Now that TOTUS has his budget to bankrupt us for generations sailing along nicely, he is off for the second leg of his Grand Tour in which he and Gordon Brown convince the rest of the industrialized world that they too can make friends and influence people, if they just keep spending…

WTH is wrong with these people?

CNBC/AFX:

A draft G20 communique shows Britain wants the group of leading economies to pledge $2 trillion in stimulus when they meet in London next week, German magazine Der Spiegel reported…

In the draft communique it cited, the magazine also said the $2 trillion was in brackets, showing that it is a proposal by G20 president Britain that has not been approved by the broader group. Der Spiegel said the draft stated the stimulus would boost growth by 2 percentage points and employment by 19 million….

British Prime Minister Gordon Brown, who will host the April 2 summit, has said he expects world leaders to do “whatever it takes” to create growth and jobs when they come together.

The draft cited by Der Spiegel includes the following pledge: “We are determined to restore growth, resist protectionism and to reform our markets and institutions for the future.” It continues: “We believe that an open world economy, based on the principles of the market, effective regulation and strong global institutions, can ensure sustainable globalisation with rising well-being for all.”

March 28, 2009. Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , . Art, Economy, Entertainment, Fantasy, Finance, Music, Obama Administration, Politics, Popular Culture, TARP, Taxes, Uncategorized. 1 comment.

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