Weekend Links July 13-14

ScreenHunter_01 Apr. 02 06.19

Global Macro/Markets:

  • Energy prices shouldn’t be rising, but traders keep pushing them higher – Quartz
  • Explaining the bond market selloff: Traders versus economists – The Economist
  • A Peek at Trucking Data, and Then the Stock Surged – WSJ
  • Bernanke: Still day trading the economy and stocks love it – Upside Trader
  • Avoiding the Resource Curse: How to Manage Natural Resource Wealth for Human Development – Brookings
  • Wall street’s hottest address? K street – CNBC

North America:

  • RealtyTrac: Foreclosure Activity Drops to Lowest Level since 2006 – Calculated Risk
  • Summers Said to Show Interest in Fed Chairmanship After Bernanke – Bloomberg
  • Obama Tells Chinese He’s Disappointed Over Snowden Case – Bloomberg
  • Bernanke Departure With Duke Heralds Cascade of Fed Appointments – BBG , bet on it here
  • Avg 30-Yr Mortgage Rate Jumps Again To Two-Year High 4.51% – Barrons

Europe:

  • Schaeuble: EU Plan for bank resolution ‘On shaky foundations’ MNI
  • Ford sees turnaround in Europe – France 24
  • Code of silence seeks to avert bailout revolt in German poll – FT
  • British Banks ‘Bamboozled’ Government, Ex-BOE’s Jenkins Says – Bloomberg
  • Spain Prepares Cuts in Renewable-Energy Subsidies – WSJ

Asia:

  • China finance minister signals may accept growth below 7 percent Reuters , Bloomberg
  • China cuts growth target… or does it? – FT

Local:

  • Employ busy women, save billions AFR
  • Campbell Newman gets more time for talks on Gonski reforms The Oz
  • NBN board hires lobbyists to win Coalition’s favour – AFR

Other

  • Your smartphone is making you fatter, finds study Firstpost
  • Egypt faces moment of reckoning on its economy as protests wane – FT
  • Al Jazeera staff resign after ‘biased’ Egypt coverage – GulfNews
  • Revealed: how Microsoft handed the NSA access to encrypted messages – Guardian

Comments

    • Yes, the goal of the new legislation is to get the strategy for an area in place so that people have some certainty as to what they can do with their land.

      The NIMBYs can knock themselves out during the planning phase but then accept the strategy that is reached.

      Of course this approach is a nightmare for the lawyers who love nothing better than representing NIMBYs and the victims of NIMBYs through the current planning process.

      Note the skilful, albeit obvious, use of an extreme horror story to attack the whole approach.

      It would be less risible if they said the approach was generally a good idea but some extreme situations may need to be considered.

      The day that our brightest young minds steer clear of law as a career option is the day that more of our young talent will be directed to more worthwhile pursuits.

  1. TheRedEconomistMEMBER

    Right on cue for all the Saturday morning punters, we get this rubbish front and centre on the SMH website

    http://www.smh.com.au/nsw/cheaper-to-buy-than-to-rent-20130712-2pvl4.html

    So how many suburbs are there in Australia. 5000 or more? So are we talking about 15% at best. What about the other 85%

    I know last time these rent vs buy articles appeared, MB dismissed this spruik

    http://www.macrobusiness.com.au/2012/11/cheaper-to-rent-than-buy-in-at-least-93-of-locations/

    I was surprised to see the that Winston Hills a suburb I grew up in was number 1.

    Just so you are aware… Winston Hills would be lucky to have 50 units if that out of a few thousand home.

    Winston Hills is zoned as your pure 1970’s quarter acre block.

    There are basically no units or apartments there. Those units are in development on the side of a Hill with view of the greater west. I would shudder to think what the strata is.

    With the recovery of ongoing strata bills being in built into a tenants rent, but appearing in the purchase price of the property, of course the rent would be a little pricey.

    In my view, Fairfax has well and truly lost the plot I would have thought such cherry picking and scare mongering would be confined to the right side of politics, not a publication I once respected.

    Unfortunately, due to Fairfax’s inability to adapt with the times, they are now just a mouth piece of vested interest and the real estate industry.

    What ever matrix you assess affordability, House prices in Sydney are absurdly expensive due to land banking by developers and investors crowding out owner occupiers.

    Fairfax has become just a parasite, leaching off whoever can pay the cheques

    What a shame.

    • Ultimately, if you want an independent source of news and opinion it must be largely free of advertising and rely on reader subscriptions and memberships by people who value its content.

      Which is why I think supporting MB with a membership is as much in the public interest as my self interest.

      • Not necessarily. The ABC and SBS are also clearly property bulls/pro mass immigration/pro making life even worse for Australians for immoral and unearned wealth.

        I think if a media company went along with the general spirit and ideas that MB usually espouses, they’d be very successful. But who’s got the tens, or hundreds of millions it would cost to start up a decent competitor to the main stream media?

      • I don’t think that you need to be mainstream to influence the mainstream.

        Much of the stuff in the mainstream is as much cluelessness as deliberate spruiking.

        Most journos would be horrified/outraged if you suggested that they are spruik-bots.

        People with a brain will gravitate towards the credible and that will eventually affect the approach they take elsewhere. Macrobusiness may never get readers who start at the sport section of a paper but that still leaves a large potential general readership.

        You only have to read the comments sections on many mainstream sites and increasingly some of the articles to see that alternative and credible perspectives on economic issues are seeping out into the broader community.

        The debates that took place in Australia in the 1980s about tariffs, protection, regulation went on for years and years before they started to gain traction.

        My impression is that the current debate is actually moving fairly quickly considering the level of interest most people have in the world of central banking, debt and economic policy.

        Largely that is due to the internet and the ability to make dissenting perspectives widely available without the cost and operational challenges that are involved in a print publication.

  2. The Patrician

    Who is Siobhan Louise McKenna?
    How does a 41yo with no experience in building large broadband infrastructure and strong Murdoch family connections get appointed (by a Labor government battling with Rupert) to chair the NBNCo?
    This March 2013 story by way of background of the publicity-shy Ms McKenna.

    http://www.afr.com/p/technology/murdoch_insider_for_nbn_co_chair_CEixtFSq9dnGkxWtfBmS8I

    How does she reconcile her clear conflict of interest as Managing partner of Lachlan Murdoch’s Illyria Investments?
    Why does she then sack CEO Quigley and engage Alexander Downer to lobby the torys?
    Whenever anyone engages Alex to do anything important, I get nervous.

    Lots of questions, few answers.

  3. Rudd to abolish Carbon Tax.

    http://www.couriermail.com.au/news/national/kevin-rudd-to-announce-scrapping-of-carbon-tax/story-fnii5s41-1226678990206

    “Economic modelling will show this will ease cost of living pressures for families and create jobs,” a government source said. “This is about transitioning the economy from a post mining boom world to a more competitive agenda.”

    So, the ALP Govt admits it’s lies, deceit and spin of the last 3 years. On just this one issue at least.

    • How quaint – he that spent $30B of our hard earned taxes and then pissed another couple of hundred billion against the wall on credit for our kids to pick up – understands “living pressures”.

    • drsmithyMEMBER

      Rudd to abolish Carbon Tax.
      Not according to your boy Tony:

      Mr Abbott last night described the carbon tax change as a deception. “Mr Rudd can change the name but, whether it is fixed or floating, it is still a carbon tax,” he said. “It is still a tax on electricity bills which will still hurt families and still hurt local families.

      So, the ALP Govt admits it’s lies, deceit and spin of the last 3 years. On just this one issue at least.
      Indeed. That’s just what doing exactly what they said they’d do, only 12 months sooner, is.