Economy

Wal-Mart profit forecast drops, stock has steepest decline in 25yrs

Walmart

WalMart has warned that higher wages as well as spending on e-commerce and lower prices would cut earnings per share as much as 12 per cent next fiscal year, sparking the steepest one-day decline in the company’s shares in 25 years. Wal-Mart faces tough competition on multiple fronts, from the …

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China now has the world’s largest middle class, overtaking the US

China middle class Chinese girls shopping

China has crossed another economic threshold. The country’s middle class reached 109 million this year, and overtook the US’s for the first time ever, according to a Credit Suisse report released Oct. 13. China’s middle class is growing much faster than the US’s. Since 2000, China added 43.4 million middle class adults, …

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Monsanto slashes 2,600 jobs, buys back $3b in shares

Hugh Grant Monsanto CEO

Monsanto, one of the world’s largest seed and agrichemical companies, said on Wednesday that it was slashing 2,600 jobs and restructuring operations to cut costs in a slumping commodity market. The company, which said it expected low prices for agricultural products to squeeze results well into 2016, also reported a …

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IMF downgrades global growth outlook, lowest since financial crisis

Lagarde IMF National Press Club economic growth

The International Monetary Fund (IMF) has downgraded its forecast for global economic growth for the fourth time this year, reducing the figure to 3.1 percent from the 3.3 percent estimate in July. Modest growth pickup could occur in advanced economies, along with the slowdown in emerging markets, according to IMF. …

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China launches yuan-based international payment system

Chinese yuan CIPS

China launched the first phase of its China International Payment System (CIPS) in Shanghai on Thursday, allowing cross-border transactions in the Chinese national currency, the yuan. CIPS’ first phase provides clearing and settlement services, according to the People’s Bank of China announcement. Its launch is said to remove hurdles to the yuan’s internationalization by reducing transaction costs and processing …

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Silver supply is struggling to keep up with demand

Silver 999

From Filip Karinja, for Birch Gold Group In the past few weeks and months, the price of silver has been hit relatively hard on the COMEX paper derivatives market. But oddly — or maybe not at all — the complete opposite is happening in the market for the metal in its …

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China, Russia, Norway, Brazil, Taiwan dump US treasuries

US treasuries being dumped

Five large purchasers of US Treasuries – China, Russia, Norway, Brazil, and Taiwan – have changed their minds. They’re dumping Treasuries, each for their own reasons that are now coinciding. And at the fastest rate on record. For the 12-month period ended July, sales of Treasuries by central banks around the world …

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Premiums for silver coins rise to over 50%

Silver eagle

Courtesy of Sharelynx’ Nick Laird who tracks precious metal premium by vendor, we continue our recent series showing the discrepancy between paper and physical metals, in this case silver. As Nick notes, APMEX price premiums are a lot higher than the Monex. And as can be seen in the charts below, premiums …

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Stocks entering into bear market

Stock market trend

From Filip Karinja, for Birch Gold Group Jim Cramer, ex-hedge fund manager and host of CNBC’s ‘Mad Money’, has been warning his viewers this week that he does not like the market right now. Specifically stating that “we have a first-class bear market going.” From 2009 until last year, stocks had been doing …

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Eurozone needs €2.4 trillion in QE, experts warn

ECB EU QE Mario Draghi

The eurozone will need at least another three years of quantitative easing and €2.4 trillion of firepower to revive its flagging fortunes, Standard & Poor’s has warned. With unemployment stubbornly high and growth still bouncing along the bottom seven years after the financial crisis, the European Central Bank will need …

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