Nueva Democracia: AUG 21 20 ND SIT EC y POL

AUG 21 20 ND SIT EC y POL

ND denounce Global-neoliberal debacle y propone State-Social + Capit-compet in Eco

ZERO HEDGE ECONOMICS

Neoliberal globalization is over. Financiers know it, they documented with graphics

"THESE ARE STAGGERING NUMBERS": SPENDING BY UNEMPLOYED AMERICANS PLUNGES AS FISCAL STIMULUS ENDS

The expiration of the $600/week benefit will be a big hit to income and adversely affect economic growth. It's already crushing spending by unemployed Americans.

One month ago, with millions of newly unemployed Americans fearful about their future in an economy transformed by the covid pandemic, Deutsche Bank's Jim Reid made a remarkable observation: "Recessions don’t usually result in personal income soaring, but this one has thanks to government support around the world." This was shown in the following chart:

SEE CHART:

https://www.zerohedge.com/s3/files/inline-images/personal%20income%20surging_3.jpg?itok=7u9d3Bju

Bank of America examined spending trends of the population of card holders who receive UI through ACH
(direct deposit) and compared to all other households. What it found was a dramatic divergence as the YOY rate of growth for UI recipients slowed dramatically but increased for the broader population since Aug 1st.

See Chart:

https://www.zerohedge.com/s3/files/inline-images/UI%20spending.jpg?itok=sJHvD9l5

By income, over the past two weeks, the YOY growth rate slowed by 12% for the unemployed cohort (formerly) earning under $50K vs. a roughly 5% drop for the middle and upper income cohorts.

See Chart:

https://www.zerohedge.com/s3/files/inline-images/spending%20by%20income%20bofa.jpg?itok=xeF4QeMq

The $600/week benefit was not a small support to the unemployed, it accounted for more than 60% of unemployment benefits in June (Chart 1). As the numbers on the chart indicate, that means a payment equivalent to about 5% of household income just disappeared. We don't have data yet for July and August, but the daily treasury statement confirms the collapse in payments (Chart 2). In July the average daily outlay was $4.8bn, in the past five working days it has collapsed to $2.3bn, or a drop of more than half from the peak stimulus period.

See Chart:

https://www.zerohedge.com/s3/files/inline-images/composition%20of%20benefits.jpg?itok=Kez-FN3P

However, as shown above, this recovery is deeply dependent on fiscal support. The next chart decomposes the various sources of income in recent months-unemployment benefits, other tax and transfer benefits, labor income, proprietors income and other income.

See Chart:

https://www.zerohedge.com/s3/files/inline-images/compensation%20of%20employees%20bofa.jpg?itok=xip7eOT3

As BofA's economists concludes, while they had hoped for a deal this month, "increasingly it looks like one only comes after Labor Day and after demonstrable pain in the economy." Unfortunately, in a world in which the market no longer reflects the economy, it is unclear just what signal US politicians will seek to determine that the economy is "in pain." Ironically this will make the disconnect between the soaring market which just hit a fresh all time high and the economy which is about to double dip, even more grotesque.

SOURCE::. https://www.zerohedge.com/markets/these-are-staggering-numbers-spending-unemployed-americans-plunges-fiscal-stimulus-ends

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"IT'S JUST ABSOLUTELY INCREDIBLE": WHAT'S GOING ON IN THE CORPORATE BOND MARKET IS STUNNING

"When it truly gets going, as it likely will, do not blame the virus. Blame the reckless central bankers."

Brevan Howard, the investor who pointed out the biggest flaw in the policy response to the covid pandemic said: "Many businesses face solvency risks that are not addressed by borrowing; a debt overhang cannot be cured by more borrowing no matter how cheap it may be."

Both government and corporations + central banks are now directly monetizing all the debt government treasurys have to sell, and in the latter as company CFOs take advantage of record low rates to borrow as much as possible before the window closes. This can be seen in the Goldman charts below which shows that both investment grade and high yield leverage is at all time high levels:

SEE CHARTs:

https://www.zerohedge.com/s3/files/inline-images/record%20corporate%20debt.jpg?itok=xOmP4YIU

The numbers are staggering: on Friday, BofA Chief Investment Strategist Michael Hartnett calculated that US corporate bond issuance is currently annualizing a mindblowing $2.5 trillion this year, between $2.1TN for IG and $0.4TN for high yield.

As Bloomberg writes today, while much of that fresh cash - more than $1.6 trillion in total - has helped scores of companies stay afloat during the pandemic lockdown, "it now threatens to curb an economic recovery that was already showing signs of sputtering" as many companies will have to divert even more cash to repaying these obligations at the same time that their profits sink, leaving them with less to spend on expanding payrolls or upgrading facilities in months ahead.

The paradox is that this by design attempt to prevent the corporate debt bubble - which was already at a record size before the covid pandemic - from bursting, the US central bank unleashed monetary policies that have terminally decoupled the bond market from all fundamentals, while also taking over credit risk without punishing investors and moving into lower-rated debt than ever before. Nordea's Andreas Steno Larsen writes today and shows in the following chart:

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bankruptcies%20vs%20OAS.jpg?itok=LkxJtqzG

CONTINUE Reading this article at :

SOURCE: https://www.zerohedge.com/markets/its-just-absolutely-incredible-whats-going-corporate-bond-market-stunning

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US DOMESTIC POLITICS

Seudo democ duopolico in US is obsolete; it’s full of frauds & corruption. Urge cambio

HILLARY ia an example of US CORRUPTED POLITICS

HILLARY CLINTON GAVE GHISLAINE MAXWELL'S NEPHEW "VERY POWERFUL" POSITION AT STATE DEPARTMENT: REPORT

"He worked directly on the Arab Spring..."

…..

Hillary shoud’ve been in jail since long time ago: Why? She was requested help when a Saudy terrorist group surrounded the US Embassy in Bangazi and she didn’t process such demand (criminal inefficiency). She was busy stealing the Libyan GOLD in the capital , while enjoying the brutal crime of Pres Gadhafi . She also violated US rules regarding info-phone deleted. There was Press info enough to put Hillary in Court on these matters, but Presid Obama covered. Not only covered, Obama participated in setting up the Saudi terrorist group ISIS in the Middle East, they are still operating in Syria. Nasty & criminal corruption Top Down is that we had with Obama-Hillary in power.

Why Hillary is still a top figure in the DEMs Party because that is a very corrupted party. Why the Reps allow her appearance in US politics now, because that is the other corrupted party in the duopoly -mafia system we have. It is time to clean this garbage in US politics.

Only a third party could do it. That is why they are afraid of PEOPLE FRONT, the 3^rd option. But Dems & Reps will collapse in the aftermath of this election. Whoever wins, will not have legitimacy, nore chances of governability.

The 3^rd option : THE PEOPLE SOCIALIST FRONT will calL for REFERENDUMS to install parallel government at local, region and State level demanding QUE SE VAYAN TODOS. Then we will have NEW ELECTIONS, and the SOCIALISTS PEOPLE FRONT WILL RULE AMERICA .. FDR STYLE: with BOTTOM UP + TOP-DOWN NEW DEALS .

If Bernie SANDERS-AOC are not allowed to run the 3^rd option, we will continue calling for ABSTENTION . SO:

GET OUT OF ELECTION CIRCUS RUN BY CORRUPTED PARTIES.

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CAN TRUMP LEARN FROM THE LAST THREE DEFEATED INCUMBENTS?

Examining the failed reelection campaigns of 1976, 1980, and 1992may offer lessons for the current Oval Office occupant...

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FACT: Lock downs inflict heavy economic, social & psychological damage to our Nation

BIDEN: "I WOULD SHUT COUNTRY DOWN AGAIN IF RECOMMENDED BY SCIENTISTS"

"I will be prepared to do whatever it takes to save lives because we cannot get the country moving, until we control the virus."

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FACT 2: Lock down doesn’t prevent the spreading of pandemics. It instead facilitate. Case in point: the 48 Thousand soldiers send to invade RU-CH almost a year ago. They were infested & they spread it world -wide. FACT 3: When the Nation is lock-down , the State health responsibility is transferred to families and most of them do not have resources to set right precautions inside home. FACT 4: The privatization of the Heath in the US is the best ally for CV-19 spread: the US market is already infested with private comp making huge benefits from pandemic. Public Needs has been defeated by private greed. US es el pais mas privatizado y a la vez el más afectado among rich countries.

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We have a Attorney General who is A TRAITOR OF HUMAN RIGHT: W Barr. What to do

AG BARR THROWS COLD WATER ON POSSIBLE TRUMP PARDON OF "TRAITOR" EDWARD SNOWDEN

Announces he'd be"vehemently opposed" to pardoning the former NSA contractor despite Trump vowing to "take a good look at it"...

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US-WORLD ISSUES (Geo Econ, Geo Pol & global Wars)

Global depression is on…China, RU, Iran search for State socialis+K-, D rest in limbo

IDLIB IS BURNING: NEW PROXY WAR IN DEIR EZZOR

The series of unfortunate eventsinvolving the US-led coalition, Turkey and Turkish proxies continues in Syria’s Greater Idlib...

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Stupid pretext to invade VENEZUELA . This story tell expose WAR intention of US

US Says Maduro Keeping Hundreds Of Americans "Hostage" As They Can't Leave Venezuela