Wednesday, February 26, 2014

The Last 3 Weeks Have Seen The Macro Fundamentals Of The G-10 Major Economies Collapse At The Fastest Pace In Almost 4 Years And Almost The Biggest Slump Since Lehman

Global Economy Collapses Despite 4th “Warmest” January On Record
The last 3 weeks have seen the macro fundamentals of the G-10 major economies collapse at the fastest pace in almost 4 years and almost the biggest slump since Lehman. Despite a plethora of data showing that ‘weather’ is not to blame, US strategists, ‘economists’, and asset-gatherers are sticking to the meme that this is all because of the cold on the east coast of the US (and that means wondrous pent-up demand to come). However, as the New York Times reports, for the earth, it was the 4th warmest January on record.
 
G-10 macro data is collapsing…
 
Must be the weather in the US, right?
For people throughout the Eastern United States who spent January slipping, sliding and shivering, here is a counter-intuitive fact: For the earth as a whole, it was the fourth-warmest January on record.
But this might be another surprise: Despite all the weather drama, it was not a January for the record books.
By the time analysts averaged the heat in the West and the cold in the East, the national temperature for the month fell only one-tenth of a degree below the 20th-century average for January. January 2011 was colder.
No state set a monthly record for January cold. Alabama, also walloped by the ice storms, came closest, with the fourth-coldest January on its record books…..
Chinese Home Price Growth Slows
Chinese now home prices were up 9.6% year-over-year in January. This was down from 9.9% in December.
Home prices were up in 69 of 70 cities surveyed.
CNBC’s Dierdre Wang Morris pointed out that Chinese developers were taking a hit after the data.
This also comes on the back of news that Industrial Bank Co. has restricted lending to developers and related industries like steel and cement, reports Bloomberg.
This Week’s Data Will Help Us Figure Out If The Slowdown Is Really About Weather — Here’s Your Complete Preview
G-20 Agrees To Grow Global Economy By $2 Trillion, Has No Idea How To Actually Achieve It

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