Salient to Investors: Bill Gross at Pimco said: Insufficient credit creation with 2% economic growth jeopardizes US growth because our credit-based financial economy depends on an ever-expanding outstanding level of credit for its survival. If the credit growth is more than 4.5% a year, then private and public sectors must create
READ MORE... →Salient to Investors: Millennials may find it more difficult to climb the corporate ladder as new businesses, which employ more young workers, become a smaller force in the labor market. Gary Burtless at Brookings said rapid progress for new and young workers is much rarer in long-established firms. Burtless said
READ MORE... →Salient to Investors: Richard Arum at NYU and Josipa Roksa of University of Virginia found: Students who did as little as possible during college continued to drift after graduation. Many college students took easy courses, regarded themselves as privileged customers, socialized heavily, and came away with little to show for
READ MORE... →Salient to Investors: Fareed Zakaria said: Defeating ISIS would require a large and sustained strategic effort from the US but without significant numbers of US ground troops. ISIS videos of executions are designed to sow terror in the minds of opponents who when facing ISIS fighters now reportedly flee rather
READ MORE... →Salient to Investors: The Social Mobility and Child Poverty Commission found: The UK is deeply elitist and small elites, educated at independent schools and Oxford/Cambridge still dominate top roles 71% of senior judges, 62% of senior armed forces officers, 55% of top civil servants, 50% of the House of Lords,
READ MORE... →Salient to Investors: The Consumer Financial Protection Bureau reports the share of Americans 65 and older with mortgage debt rose to 30% in 2011 with a median debt adjusted for inflation of $79,000, from 22% in 2001 with a median debt of $43,400. The increase in mortgage debt makes these households more susceptible
READ MORE... →Salient to Investors: Dan Matjila at The Public Investment Corp. expects betting on developing South Africa’s power generation, roads, banks, communications and education will boost its economy and improve investment returns. Matjila said increasing investments in developmental projects, such as renewable energy, and in the rest of Africa would increase
READ MORE... →Salient to Investors: The CBO predicts: A declining jobless rate will raise tax revenues and shrink the US budget deficit to $469 billion in 2015, $506 billion in the 12 months ending September 30 – versus predictions of $492 billion in April and $680 billion in 2013, and a record $1.4 trillion
READ MORE... →Salient to Investors: Jan Hatzius at Goldman Sachs said: There is little evidence of the “pent-up wage deflation” that Yellen cites as a possible reason behind the slow increase in earnings and says the opposite was true, with the areas having below-average wage growth during the recession now showing above-average
READ MORE... →Salient to Investors: Currency trading suggests traders are dismissing the prospect of an upset “yes” in the September 18 referendum on Scottish independence. Strategists say the pound’s peaks and troughs in 2014 reflect the prospect of the BOE becoming one of the first major central banks to raise rates. Geoffrey Yu
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