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Bloomberg (August 3)

2016/ 08/ 06 by jd in Global News

Japan’s new proposal for stimulus “might win a few halfhearted cheers from Japan’s battered consumers, but it’s unlikely to have much of an effect. First, it’s just another in a long series of such moves, none of which have done much to jog the country out of its long, grinding stagnation.” While it “might keep the economy from falling into a recession…it’s unlikely to alter the anemic trends of recent years.”

 

South China Morning Post (June 27)

2016/ 06/ 28 by jd in Global News

“Thanks to Brexit, a new global financial crash is looming. More vulnerable economies risk slipping back into recession and deflation will continue to get the upper hand.”

 

Financial Times (June 23)

2016/ 06/ 25 by jd in Global News

Some say Brazil “suffers from a complex of grandeza or greatness. Lately, though, Brazil has been big in all the wrong ways. The country is facing its biggest recession. It is engulfed by its biggest corruption scandal. It has the world’s most indebted oil company, Petrobras. This week, it witnessed its biggest-ever corporate bankruptcy” when telecoms company Oi filed for protection.

 

Bloomberg (June 14)

2016/ 06/ 15 by jd in Global News

“The shipping industry is struggling through its worst recession in half a century, and that icon of globalization — the mega-container ship — is a major part of the problem. With global growth and trade still sluggish, and the benefits of sailing and docking big boats diminishing with each new generation, ship owners are belatedly realizing that bigger isn’t better.”

 

The Economist (May 21)

2016/ 05/ 23 by jd in Global News

Before the WWII, available date suggests business “cycles aged like people…. the odds of tipping into recession rose as an expansion got older.” Since then, however, the data is counter-intuitive, indicative of “ageless recoveries.” “Since the 1940s age has not withered them: an expansion in its 40th month is just as vulnerable, statistically, as one in its 80th (each has about a 75% chance of surviving the next year).”

 

Washington Post (February 17)

2016/ 02/ 19 by jd in Global News

“It’s economists vs. the stock market. Economists generally don’t forecast a recession anytime soon,” but the stock market sure seems to be forecasting one. “Who’s right? We’ll know in a few months. Meanwhile, the dispute highlights the incomplete nature of the present recovery, which has lasted a long time but, to millions of Americans, still feels unsatisfactory.”

 

Institutional Investor (February 11)

2016/ 02/ 12 by jd in Global News

“To be clear, we aren’t suggesting the U.S. economy is booming. When a ship sails in shallow water, the risk of running aground is clearly higher; likewise, a low trajectory of growth increases the vulnerability of an economy to exogenous shocks. So a negative shock is possible, but outright recession is unlikely.”

 

New York Times (January 13)

2016/ 01/ 15 by jd in Global News

“In his final State of the Union speech, President Obama endeavored on Tuesday to lift Americans above the miasma of a brutally negative presidential campaign to reflect on what the nation has endured and achieved since he took office in the midst of a dire recession.” He often succeeded in providing “inspiring words for Americans who are yearning for more civility from those in political life.”

 

Institutional Investor (December 28)

2015/ 12/ 28 by jd in Global News

“U.S. earnings have declined for four straight quarters, and market participants are taking notice.” This decline in corporate profits may “signal a looming recession.”

 

Institutional Investor (November 18)

2015/ 11/ 20 by jd in Global News

“Since World War II, the U.S. economy has averaged a recession every five years.” Despite over six years of recovery, it doesn’t look like the U.S. is especially prone to recession because “the catalysts for a downturn aren’t in place.” There’s no real asset bubble, overheating or inflation. A recession is always a risk and can be brought about by unforeseen external shocks. At the moment, however, the risk of a recession looks normal, about 20–25%, for the next 12 months.

 

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