Circuit City (CC) made it official on Monday and filed for bankruptcy. Only a week ago, the company announced it would close 155 stores that were underperforming. On September 29, the company reported a third-quarter loss of $239 million, which was three times larger than the loss for the same quarter a year ago.
According to a recent report Chinese economic growth is being driven by domestic demand rather than exports. From Breitbart:
The report by economist Albert Keidel of the Carnegie Endowment for International Peace said China’s rapid growth is driven by domestic demand more than exports, and will sustain high single-digit growth rates well into the 21st century.
“China’s economic performance clearly is no flash in the pan,” Keidel writes.
A severe US recession is less likely following better-than-forecast May data from US manufacturers. This from Bloomberg:
Demand from overseas for U.S.-made products is helping to keep factories running even as spending by American consumers and businesses slows. The improvement signals the U.S. may be able to avoid a deep and protracted economic slowdown as the housing slump worsens and food and fuel prices soar.
You’ve likely heard of being “bushwhacked.” Well, yesterday the market got Fed-whacked. Notes from the Federal Reserve’s April 29-30 meeting were released and, boy, did they make for some unpleasant reading.
Commander in Chief of the ailing US economy says there’s help on the way for Americans in the form of federal stimulus checks, which have been sent out in the mail today.
The headline-grabbing refund checks, part of an economic stimulus package passed in February, will go to roughly 130 million US households and will range in value from $300 to $1,200.
The ongoing credit crisis could trigger losses of $1 trillion, according to an assessment by the International Monetary Fund.
In its twice-yearly review of the global financial markets, the UN agency also warned that there is a “collective failure” to grasp the extent of leverage in the financial system that could further damage the health of the US economy.