Global Trade Contracts in July; Some European Imbalances Correcting; China Looks to Establish “National Territory” in Gulf

August 31, 2012

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“In individuals, insanity is rare; but in groups, parties, nations, and epochs it is the rule.” ~ Friedrich Nietzsche

Research:

Rainfall shocks increase rates of democratic change Bruckner and Ciccone (2010b) and Burke and Leigh (2010)

There are about 500,000 centenarians worldwide

Quite the RSS reader ~ rssvoyagedesktop software is going away

Graphs on how people split their time between phone, tablet, computer, television ~ Google

U.S.

“I try to forget that Apple once ripped off Xerox. Damn. I just remembered.” ~ @EmanuelDerman

Morgan Stanley’s Reinhart says discussion is over “open ended” money printing, tied to some benchmark ~ @themoneygame

World:

Global Trade, one of the bright spots for the world, contracted the most in quite some time in July ~ twitter

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TOPIX-17 FOODS ETF chart ~ Bloomberg – sideways ~ could see the price of volatility rise in either direction

Goldman Sachs says “perverse incentives” and “perpetuation of fiscal balances” are the ‘chronic’ consequences Of ECB Bond Buying ~ GS via Zerohedge

Europe’s imbalances are correcting. ~ FT Alphaville

Trade Balance is improving for Greece, Spain, and Italy. Additionally, wage imbalances between Germany and Periphery are narrowing, shows chart

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From 2000-2008, Greece’s unit labor costs rose 33.7 per cent, as money supply expanded by 101.5 per cent ~ FT – Labor costs barely budged in Germany as union rights were paired back.

“Germany Is Cornered,” says Mark Grant, who sees a new German leader rising to power ~ Zerohedge

German exports to China were 206% higher in 2011 than 2005 ~ WSJ

China:

Copper Demand in China Seen Growing at Slowest Pace in 15 Years ~ BloombergNews

“Large scale deep water rigs are our mobile national territory and a strategic weapon” ~ CNOOC chairman Wang Yilin

 

CNOOC is attempting to purchase Canada’s Nexen for $15.6b giving CNOOC a “national territory and strategic weapon” in the Gulf of Mexico

Ignore China’s pre-election posturing, says @LizEconomy

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