Category Archives: Credit markets

At Long Last the Government Can Borrow Straight From the Bank of England – As Modern Monetary Theory Has Always Suggested It Should

The UK embraces modern monetary theory….and perhaps hopes no one notices.

Michael Hudson: A Debt Jubilee is the Only Way to Avoid a Depression

In the face of massive economic calamity caused by coronavirus, Michael Hudson argues a debt jubilee is the only way to avoid a depression.

Why Sending $1,000 Checks to Everyone Won’t Solve the Coronavirus Crisis (Updated)

Why the Republicans’ planned coronavirus bazooka isn’t big enough.

Debt and Financial Crises: Will History Repeat Itself?

Unhappy families may all be different, but financial crises are pretty much the same, rooted in debt overhangs, and one has been brewing.

Coronavirus Means Zero Hour for the European Union

Germany’s long-standing practice of muscling the European Union to serve its own ends now risks dissolution and a banking system crisis.

The Fed Backfires: Shock and Awe Rate Drop to 0%, Emergency Bond Buying Program Leads to Limit Down Drops in US Equity Futures as Real World Coronavirus Damage Worsens

The Fed just told everyone to assume the brace position.

How the COVID-19 Shock Is Different

Looking at COIVD-19 impacts.

After Bloody Day, Coronavirus Meltdown Continues. Big Danger: Italian and Eurobanks Are Set To Blow

So many coronavirus panics that a looming risk is getting little notice: implosion of Italy’s banks, a potential Credit Anstalt event.

Oil Price Crash: 50% Of U.S. Shale Could Go Bankrupt

Yesterday’s oil price downdraft, if not meaningfully reversed, will create a world of hurt among US producers, most of all shale gas players.

Mr. Market Loses It Over Coronavirus Risk: Oil Tanks, S&P Futures Trades Halted on Limit Down Overnight, Gold Jumps

Coronavirus infects Mr. Market.

Coronavirus: Bracing for the Economic Shockwave

The coronavirus spread is setting up a nasty real economy-financial system contraction.

Wolf Richter: Subprime Credit Card Delinquencies Spike to Record High, Past Financial-Crisis Peak, as Other Consumers Relish the Good Times. Why?

The concern is not for banks or investors in subprime-credit-card backed securities. But what does this bifurcation tell us about consumers?

Foreign Exchange Swaps: Hidden Debt, Lurking Vulnerability

How hidden foreign exchange swaps contribute to financial fragility.

Subprime Auto Loans Explode, “Serious Delinquencies” Spike to Record. But There’s No Jobs Crisis, These Are the Good Times

Nearly a quarter of all subprime auto loans are 90+ days delinquent. Why?