Faber and Roubini

In Debt Canada

Accountants Worry About Debt Loads
A new report by the Certified General Accountants Association of Canada shows that household debt in the country kept rising through the recession and peaked in December at $1.41 trillion. That's $41,740 on average per Canadian, or debt to income ratio of 144 per cent, which is the worst among 20 advanced countries in the Organization for Economic Co-operation and Development.

Shopping till we drop?
Canadian homebuyers are spending beyond their limits and a looming increase in interest rates will likely leave many consumers stretched thin, according to a new report by Canadian Imperial Bank of Commerce."After this wave of borrowing, which culminated this spring, we will have a consumer that is much more vulnerable to higher interest rates," said CIBC economist Benjamin Tal.

Dollar Closes Above Par

Dollar Closes Above Par
The Canadian dollar Wednesday closed above parity with the U.S. currency for the first time in 22 months, since July 28, 2008. The loonie finished up .27 of a cent at 100.08 cents US.

U.S. Foreclosure Filings Rise 16%

U.S. Foreclosure Filings Rise 16%
Foreclosure filings in the U.S. rose 16 percent in the first quarter from a year earlier and bank seizures hit a record as lenders stepped up action against delinquent homeowners, according to RealtyTrac Inc. A total of 932,234 homes, or one out of every 138 households, received a default or auction notice, or were repossessed by banks, the Irvine, California-based firm said today. In March, filings rose 8 percent to the most in any month since RealtyTrac began publishing reports in January 2005.

US Credit Rating

Future Of The US Economy

US Unemployment

Our Real Enemies....

China Economic Superpower

China Ends U.S.’s Reign as Largest Auto Market
China supplanted the U.S. as the world’s largest auto market after its 2009 vehicle sales jumped 46 percent, ending more than a century of American dominance that started with the Model T .The nation’s sales of passenger cars, buses and trucks rose to 13.6 million, the fastest pace in at least 10 years, according to the China Association of Automobile Manufacturers. In the U.S., sales slumped 21 percent to 10.4 million, the fewest since 1982, according to Autodata Corp.

China Becomes Biggest Exporter, Edging Out Germany
Already the biggest auto market and steel maker, China edged past Germany in 2009 to become the top exporter, yet another sign of its rapid rise and the spread of economic power from West to East. Total 2009 exports were more than $1.2 trillion, China's customs agency said Sunday. That was ahead of the 816 billion euros ($1.17 trillion) forecast for Germany by its foreign trade organization, BGA. China's new status is mostly symbolic but highlights its growing presence as an industrial power, major buyer of oil, iron ore and other commodities and, increasingly, as an investor and key voice in managing the global economy.