OTTAWA — Canada’s economy is increasingly being caught in the tail winds of the downward global spiral, but some of the country’s problems are also homegrown.
The Bank of Canada says low interest policies that it and other central banks have put in place are adding another layer of risk to the already stressed global financial system.
The Canadian central bank says near record level interest rates that have been in place since the 2008-09 recession are taking their toll on insurance companies, pension funds.
ATHENS — Greece’s jobless rate hit a new record high of 27.6% in May, official national data showed on Thursday as the country staggers under austerity linked to its international bailout.
Data showed that those aged 15 to 24 remained the hardest-hit as the jobless rate for this age group registered 64.9%.
The tapering of stimulus by the U.S. Federal Reserve risks reigniting Europe’s debt crisis and pushing weak countries into a “debt-deflation spiral”, the International Monetary Fund has warned.
“The macro-economic environment continues to deteriorate. Recovery remains elusive,” said the IMF in its annual health check on the eurozone. “Growth has weakened further and unemployment is still rising. Mounting social and political tensions pose an increasing threat to reform.”
The Spanish banking system is in far worse shape than most realize because of unrealized losses related to Spain's imploded housing bubble. Various austerity measures and tax hikes to bail out French and German banks will greatly exacerbate this problem.
Please consider Spain Banks Face 43% Price Fall on Repossessed Homes
Prime Minister Mariano Rajoy wants you to believe the Spanish economy is improving. One look at housing suggests any improvement is an illusion.
Here are some highlights from a translation of the La Vanguardia article Mortgages plummet 42.2% in June
Rick Newman submits:It sounds dreadful. After drifting down consistently since last fall, the unemployment rate has suddenly shot up again, from 9.7 percent in March to 9.9 percent in April. But don't despair: A rising unemployment rate is actually one of the best signs yet that the economy is bouncing back.
Turin (Italy) (AFP) - Juventus star Paul Pogba underlined the challenges still facing the Italian giants in Europe despite his maiden Champions League goal securing a crucial 3-2 win over Olympiakos in Turin on Tuesday.
BRUSSELS — Eurozone factory output continued its steep fall in autumn this year, underscoring the feeble domestic demand that risks prolonging the bloc’s recession.
Industrial production in the 17 countries sharing the euro fell 1.4% in October after falling sharply in September, the EU’s statistics office Eurostat said on Wednesday. That was much worse than the modest growth expected by economists in a Reuters poll.