By Nick Giambruno, Casey Research It was the largest bank robbery in history… It started just hours after the U.S. invaded Iraq in 2003. Saddam Hussein and his sons looted over $1 billion in cash from the Central Bank of Iraq. In 2005, Brazil’s central bank was also robbed, this time in an Oceans 11-style … Continue reading
By Jeffrey P. Snider, Alhambra Investment Partners The Central Bank of Egypt auctioned $200 million at 8.85 per Egyptian pound rather than the prevailing 7.73. The inflationary move of devaluation is intended to help the country gain a more solid financial background due to a persisting “dollar shortage” that nobody seems to hold in much curiosity. … Continue reading
The outlook on China’s credit rating was lowered from stable to negative by Moody’s Investors Service on Wednesday as they cite a weakening of fiscal metrics, a continuing fall in foreign exchange reserves, and uncertainty about implementation of reforms. According to Moody’s, the key drivers of China’s outlook revision are: The ongoing and prospective weakening of fiscal metrics, … Continue reading
By Michael Pento, Pento Portfolio Strategies A little over six months ago the owners of the Baha Mar, a $3.5 billion Bahamian resort, filed for bankruptcy. Shoddy construction from the China State Construction Company led to delays resulting from leaking plumbing, porous Chinese concrete and large cracks at critical stress points. The doomed project even … Continue reading
By Eugen von Böhm-Bawerk Things are turning increasingly ugly in Venezuela between President Maduro and the opposition MUD. The core political problem after December 2015 elections is the PSUV are now using the courts to neuter any opposition voices that formally hold a legislative majority to start holding the government to account. Right on cue, Mr. … Continue reading
Regardless of election outcomes in October, Argentina’s next government will begin liberalizing its economy, potentially loosening restrictions on the repatriation of funds, reducing the enforcement of price controls and reducing subsidies. Despite slight changes to Argentina’s regulatory framework, the government will continue to bar some investment and businesses to stem capital flight and to maintain … Continue reading
By Zachary Fillingham Supply-side downward price pressure has been the story of global energy prices over the past year: newfound supply from the Shale Revolution, OPEC’s gambit of market-share grabbing inundation, and new supply coming online from Iraq and soon Iran. The result was a plunge in oil prices from $115 in mid-June 2014 to below … Continue reading
By International Crisis Group The accelerating deterioration of Venezuela’s political crisis is cause for growing concern. The collapse in 2014 of an incipient dialogue between government and opposition ushered in growing political instability. With legislative elections due in December, there are fears of renewed violence. But there is a less widely appreciated side of the drama. … Continue reading
Bangladesh is planning to launch a sovereign wealth fund (SWF) with its foreign currency reserves to help invest in much needed infrastructure projects, according to reports from Asian news media outlets. A sovereign wealth fund is a pool of money derived from a country’s reserves, which is set aside for investment purposes that are believed to … Continue reading