The 'Climate Show' conundrum has coincided with the lowest Oil price in decades, with Natural gas prices following suit, with Iraq et al now pumping out more than ever, is the economic world plunging itself into a www. world wide wallow?
"Oil prices could slump to $30 per barrel in 2016 and could stay low throughout the year, said Russian Finance Minister Anton Siluanov, warning of tough times ahead.
Deputy Finance Minister Maxim Oreshkin said Russia is drawing up plans based on the price fluctuating between $40 and $60 until at least 2022.
That scenario would have devastating implications for OPEC, according to Oreshkin. It would also spell disaster for North Sea producers, Brazil’s off-shore projects, and heavily indebted Western producers. “We will live in a different reality,” he added." Source: https://www.rt.com/business/325851-oil-plunge-record-glut/
An alternative reality? Them & US - Here the UK/EU (FoR inc.) is about to launch into space, while across the 'duck' pond the Fed's are about to 'lift off' by raising interest rates, the first substantial rate rise since the crash; "So the Fed needs to ask itself why, after six years of recovery, do businesses and households need it to intervene with higher borrowing costs if they are already restraining themselves from borrowing more.
Without the European farce that followed the 2010 botched rescue of Greece, and the splurge in spending by the Chinese (that Beijing subsequently needed to calm this year with its own borrowing clampdown), US interest rates would already be 2%, not 0.25%. Reading the business cycle, the Fed’s moment has passed.
Even though the UK’s recovery is no more than three years old, the Bank of England is in much the same position."
The Guardian goes on to explain that whilst low interest rates may have been handy for digging oneself out of a hole, when almost out of that hole low interest rates encourage more debt. Cyclic. But only if your face fits.
Face? Profiles - it's all the same to me ... Soc Gen talks of 'Uberisation' - Eh? Peer to peer trading, dealing, lending ... cutting out the middleman.
Down under thumbs this up as the 'Wild West of fundraising". The Australian takes the act of 'housebuying' as an example of Uberisation:
"Imagine instead a simple online interface that could generate a tailored credit score for you, taking into account your future earning potential based on your education and location. It would connect you to lenders ranging from banks and credit unions to pools of individuals who want to lend privately at a negotiated rate for whatever duration you agree on. You could shop around, combine different types of financing and arrange a mortgage package that best suits you, all within a few hours.
We aren’t quite there yet, but we may be soon. Over the next decade, the familiar 20th-century modes of banking and investing will give way to something very different." We are on the verge of the Uberisation of finance, which will bring multiple new opportunities but also a range of new risks.
The ubiquitous ride-sharing company uses a simple device — the smartphone — to connect people who want rides with people who want to drive them. Uber is a hi-tech middleman that is making the intermediaries of the past obsolete. The financial world is one of the most mediated industries on the planet, and that is precisely what is about to change. Uberisation also means using vast amounts of data to make those connections feasible."
Yep, indeedy for the Day of Aquisition I was tempted to acquire a 'Smartwatch' for the critter, thanks to the tinternet I discovered they ain't so 'smart' ... an all inclusive device, not a two in one blue tooth thingy... baskets & buttons, who needs a 'tagging device'... No doubt very soon it maybe compulsory to wear one, kids, crooks, terrorists, consumers ... profiled. Profound. So yep 'uberisation' is the buzz.
Back to the Wizard of Oz : Could come in handy this side of the pond: "The US JOBS Act of 2012 contained a seemingly innocuous provision making it easier for start-ups to raise money from investors previously deemed too poor to dabble in such ventures. At the end of October, the US Securities and Exchange Commission finally approved the rules, which will go into full effect early next year. As a result, any company or person with an idea can solicit and raise up to $US1 million ($1.42m) without most of the onerous regulatory and reporting requirements of the past."
Imminent or of the future: "The most immediate change will be an explosion in peer-to-peer lending. Just as Uber returns us to a world where anyone with a car could offer a ride to anyone with a thumb, peer-to-peer lending is both new and old. Before there was a robust retail and commercial banking system, there were people with money to lend and people who wanted to borrow it. But the current wave of peer-to-peer services takes this much further, into a hypercharged virtual realm where pools of small lenders can combine online to disperse pools of small loans. And they can do it without the friction, cost or heavy regulatory hurdles of traditional banking."
On dreamers v bricks and mortar: "Loans to large companies are up over the past decade, but lending to small business has contracted, from more than $US700bn in 2008 to less than $US600bn today, according to the US Small Business Administration. As for the Silicon Valley ecosystem of venture capital, it certainly doles out funds to dreamers, but it excludes many types of businesses, especially brick-and-mortar ones."
Not for Noah's Ark or the Sky Lark then ;-) https://www.youtube.com/watch?v=5J11OHfHSfs
A Hitch Hikers guide to the Galaxy?
"We are on the verge of the Uberisation of finance, which will bring multiple new opportunities but also a range of new risks. The ubiquitous ride-sharing company uses a simple device — the smartphone — to connect people who want rides with people who want to drive them. Uber is a hi-tech middleman that is making the intermediaries of the past obsolete. The financial world is one of the most mediated industries on the planet, and that is precisely what is about to change. Uberisation also means using vast amounts of data to make those connections feasible. Technology is one source of this shift, but so is legislation. The US JOBS Act of 2012 contained a seemingly innocuous provision making it easier for start-ups to raise money from investors previously deemed too poor to dabble in such ventures."
The Hitch: "core services such as lending money, raising capital and investing for clients still depend on a firm to act as a conduit — and as a choke point."
Ergo, the Banks are 'choked'. "Venture capitalists clearly believe that non-traditional lending will be a huge market, especially for millennials who, in survey after survey, express distrust and disdain for traditional banks." Technology is about to outsmart the banks, they know it we know it what are they doing about it? Chilling. Thats where the FED's come back in ... raising interest rates and puking oil out faster than a can can.
Jason (Argonaut) - "Disruption" is just a fancy way of saying "I don't want the rules to apply to me".
Ed's tip - alway read the comments ;-) You don't spose he's sucking a mint?
The Golden Fleece, or chasing the Dragon, across the Pond the pondlife are battling out for the US Presidential election Nov 8th. Bush, Trump, Rubio ... my book is for
Oooh - that was a big leap, frog. The Catch 22 - with total 'uberisation' who needs politicians or for that matter Presidents? Or for a WW Osmond show, yep tis possible to stay awake to the end of Oz.
And on this side of the pond for 2016 we have an imminent energy crisis, an imminent interest rate rise, some distant devolution and EU referendum, a Northern Poor House and before the big pig out, today we have a Peak in space.
To Infinity & Beyond? Blonde or blind ambition. Not watching. Do ya spose he could just say erm, No?
Ooops - some repetition in there. Fork it. Reinforcement.
ffs - is that HC in Rick's seat?