Bloomberg recently reported that European Banks are unprepared for a Greek exit from the Euro. Once again this issue has become paramount for investors as they try to determine if the Euro can be held together and if it cannot what the consequences will be. Investors who have not taken the time to consider this could find themselves in a very precarious situation if the situation continues to deteriorate. To view the entire Bloomberg article CLICK HERE.
Archive for May, 2012
The ports of Long Beach and Los Angeles report combined near-flat growth of 1.8% for the month of April as compared to a year earlier. Some Economist suggest that this is further proof of a slowing Chinese economy. This on top of already anemic growth rates in Europe have some concerned that there will ultimately be a spill over effect on the US economy. To read the entire story from today’s Los Angeles Times, please CLICK HERE.
The recent elections in France and Greece suggest that Europe has taken a sharp turn to the Left electing officials who view the recently agreed upon austerity measures as too severe. Time will tell how this affects Europe which is already mired in a recession, but with pledges like those from France’s President-Elect Francois Hollande to raise taxes on income to 75% on those earning over $1.3 million a year, clearly there has been a shift in Europe. Click on the following links to view complete articles from today’s Los Angeles Times on the elections in France and Greece. LATimes: France LATimes: Greece
“Housing is adding to growth now and I think it is going to continue going forward.” states Patrick Newport of IHS Global Insight. This in spite of recent data that shows home ownership at a 15-year low. “We are headed back to a market that we had 20 years ago, where to qualify for a home you would have good credit, a good down payment and a good, steady job.” Newport said. With housing always a large contributor this bodes well for the the US economy. To view the entire article from the April 30, 2012 Los Angeles Times please CLICK HERE