UK Suffers Credit Rating Downgrade

The rating agency, Moody’s, handed the UK a Credit Rating Downgrade from triple A down a peg to Aa1. Investors responded by pushing the British pound $1.5073 against the dollar, the lowest level since July of 2010. Britain’s lackluster economy and anxiety over the monetary easing program of the Bank of England has had a negative impact on things as well. In spite of the government’s insistence that the UK would come to grips with the difficulties of it’s debt … Read More »

Just In Case, Gold Currency

There has been a growing unease regarding the once mighty U.S. dollar. So much so that a few states, Utah, Minnesota, Tennessee, Iowa, South Carolina, North Carolina, Georgia, among others and now Virginia, are at various stages of exploring the use of Gold Currency as a default if, or should it be said ‘when,’ the Federal Reserve Note otherwise known as the dollar goes belly up. The Washington Post recently reported that Virginia’s House of Delegates approved legislation requiring the … Read More »

Unemployment Could be a Thing of the Future

In the opinion of Lombard Street Research, a leading provider of independent macroeconomic research located in London, New York and Hong Kong, a depressing 8 percent Unemployment rate could lie in our future like an explosive mine floating in the pathway of the American economy luxury liner. In the view of Lombard Street, harsh budgetary constriction will result in zero growth or even a reduction in the first two quarters in 2013. “Our view that unemployment could rise above 8 … Read More »

PIIGS Faces Winter of Discontent: Goldman Sachs

The peripheral countries of Europe could face another “Winter of Discontent” due to high rise of unemployment rate, said Goldman Sachs analysts. According to a report by Goldman Sachs released on Friday, “The recent sharp rise in unemployment rates in the periphery is partly a consequence of a rise in labor shares during the first decade of monetary union.” Investment opportunity in the four countries within the euro zone, Portugal, Ireland, Greece and Spain (PIGS) increased radically during early years … Read More »

US Treasury Running Short of Funds to Meet Obligations beyond February 14

The ongoing fiscal crisis in the US is likely to worsen soon with the treasury expected to run out of funds soon. The US treasury is expected to face great difficulties in meeting its obligations from around the Valentine’s Day, according to a Washington based think tank. Founded by former senators of the Republican and the Democratic parties, the Bipartisan Policy Center or BPC has released a report saying that Washington is expected to run out of funds earlier than … Read More »

US Mint Suspends Sale of 2013 American Eagle Silver Coins after Stocks Run Out

Soaring demand for the 2013 American Eagle Silver coins has forced the US mint to suspend the sale of these coins. The US mint had to take this decision after it ran out of its stock for the newly minted coins in the first two weeks itself. The American Eagle silver coin is one of the highly popular bullion coins. First minted in the year 1966, the Silver Eagle features the “ Walking Liberty” design which was originally created by … Read More »

Unemployment Hits a Record High in Euro Zone

Unemployment in the 17-nation euro zone hits a record high of in November, according to data released on Tuesday. The newly released data also revealed that Spain has the highest unemployment rate of nearly 27 percent in the European Union. Eurostat data revealed that unemployment rate in the euro zone increased from 11.7 percent in October to 11.8 percent in November, leaving 18.8 million people without work. For the last three years, Europe’s economy has been mostly driven by Germany. … Read More »

Sudden fall in UK Services Sector Activity Increases the Risk of Recession

UK service sector shrank for the first time in two years in December, suggesting that the country’s economy may re-enter recession. According to Markit Economics and the Chartered Institute of Purchasing and Supply, Britain’s service sector activity shrank from 50.2 in November to 48.9 in December. This is a clear indication that the country’s economy is heading towards a recession, as a reading below 50 is usually a sign of contraction. According to Markit, this fall in service sector activity … Read More »