Western World Economic Concerns

World Currencies

Concerns about the economies of the Western world continue to be part of the regular headlines these days:

Fears rise as EU nations aim to raise borrowing

Financial Times – Sept 5, 2010…

Some strategists are warning that some of the weaker economies could fail to raise the amount of money they need as eurozone governments attempt to issue double the amount of debt this month compared with August…

A double-dip recession would hit the economies of Spain, Portugal and Ireland particularly hard, although even core countries, such as France and Germany, could struggle to attract investors, say strategists. http://www.ft.com/cms/s/0/abe5bf60-b8dc-11df-99be-00144feabdc0.html

No defence left against double-dip recession, says Nouriel Roubini

The United States, Japan and large parts of Europe have exhausted their policy arsenal, leaving them defenceless against a double-dip recession as recovery slows to ‘stall speed’.

Telegraph – Sept 5, 2010 http://www.telegraph.co.uk/finance/economics/7981334/No-defence-left-against-double-dip-recession-says-Nouriel-Roubini.html

The deficit worth worrying about

Mon, Sep. 6, 2010 By Judith Stein

It won’t be a good Labor Day for America’s jobless…For the past 40 years, American leaders assumed high-tech services, finance, and housing could sustain prosperity. They stood by as East Asian and European governments promoted manufacturing and manufacturing exports. Too much U.S. investment went into non-tradables: finance, housing, retail, personal services…If the nation is to end the trade deficit, it has to manufacture more. http://www.philly.com/inquirer/opinion/20100906_The_deficit_worth_worrying_about.html#ixzz0ylICwnzQ

Investec Sells Bonds as Market Gets `Hysterical’ About Double-Dip Economy

By Anchalee Worrachate – Sep 6, 2010

Investec Asset Management said it’s selling government bonds and betting U.S. interest rates will rise as concern economic growth is faltering is “overdone.”

The company, which has $65 billion under management, is selling European and U.S. government debt and will accelerate offloading the securities should further data point to stabilisation in the economy, said John Stopford, the company’s head of fixed income in London. http://www.bloomberg.com/news/2010-09-06/investec-sells-government-bonds-as-market-gets-hysterical-about-economy.html

IMF ponders the improbable: Will U.S. default?

Washington Post – Sept 1, 2010…

As IMF researcher and report author Jonathan D. Ostry said, it is best to be cautious.

“Markets may give little or no warning,” Ostry said, pointing to the recent troubles in Greece. “The debt limit is the point at which you bounce off to infinity. It is a point that you want to strenuously avoid.” http://voices.washingtonpost.com/political-economy/2010/09/imf_ponders_the_improbable_wil.html?wpisrc=nl_wonk

Interest rates ultimately will rise and affect the highly indebted.

While many will likely put Europe into the same category as the USA, this would be a mistake.

Europe has debt, but less of it. Europe is close to having a more advanced satellite tracking system (called Galileo) than the USA’s GPS system. Europe has the largest physics project in the world (CERN’s Large Hadron Collider) which will likely bring it high tech economic benefits. Its emphasis on manufacturing the past several decades is likely to assist its future growth. And despite the religious, ethnic, and other tensions in Europe, while the Bible shows it will not adhere very well with itself (Daniel 2:42-43), it is prophesied to lead the world for a short time.

As a side note, I saw recent news reports that Brazil’s economy grew 8.8% over the past year (Brazil’s economy booms in Q2, defying predictions) and Chile’s economy is up by 7.1% (Chile’s Economy Grew 7.1% in July, Beating Estimates). Bible prophecy seems to suggest that those lands will ultimately support the rising European power.

Japan will likely have some ups and downs, but ultimately the Bible indicates that is will align militarily with China against Europe.

The USA, however, along with its Anglo-descended allies (Canada, UK, Australia, and New Zealand), is prophesied to be taken over, by a European led power. And debt will apparently be one of the major triggers for this take over (Habakkuk 2:3-8).

For more information, please check out the following:

Anglo – America in Prophecy & the Lost Tribes of Israel Are the Americans, Canadians, British, Scottish, Welsh, Australians, Anglo-Southern Africans, and New Zealanders descendants of Joseph? Where are the lost ten-tribes of Israel? Who are the lost tribes of Israel? Will God punish the U.S.A., Canada, United Kingdom, and other Anglo nations? Why might God allow them to be punished first?
Will the Anglo-Nations be Divided? Will the lands of the United States, United Kingdom, Canada, Australia, and New Zealand be divided? What does Bible prophecy teach? Are there non-biblical prophecies that support this idea? Who will divide those lands? Who will end up with the lands and the people?
Prophecies of Barack Obama? Are there biblical and non-biblical prophecies about Barack Obama. Did Nostradamus predict Barack Obama dealing with the Antichrist? This is a lengthy article with many prophecies that Barack Obama may end up fulfilling.
Barack Obama, Prophecy, and the Destruction of the United States Some claim that Barack Obama is the prophesied “son of Kenya”. Might Bible prophecy be fulfilled by him?
Europa, the Beast, and Revelation Where did Europe get its name? What might Europe have to do with the Book of Revelation? What about “the Beast”? Is an emerging European power “the daughter of Babylon”? What is ahead for Europe?
Who is the King of the North? Is there one? Do biblical and Roman Catholic prophecies point to the same leader? Should he be followed? Who will be the King of the North discussed in Daniel 11? Is a nuclear attack prophesied to happen to the English-speaking peoples of the United States, Great Britain, Canada, Australia, and New Zealand? When do the 1335 days, 1290 days, and 1260 days (the time, times, and half a time) of Daniel 12 begin? What MUST happen BEFORE the Great Tribulation?
Is Russia the King of the North? Some claim it is. But what does the Bible teach?
Mexico, Central America, South America, and Brazil in Prophecy [Español: México, America Central, Suramérica, y el Brasil en profecíal] [Português: México, América Central, Ámérica do Sul, e Brasil na profecia] What will happen to those of Latin America? Will they have prosperity? Will they cooperate with Europe? Will they suffer in the future? What rule might the various Caribbean nations/territories play?
Japan, Its Biblical Past and Future, Part 1: Any Witness? Where did the Japanese people come from? Have they had any witness?
Japan, Its Biblical Past and Future, Part 2: Prophecy Japan in prophecy. What is prophesied for Japan? Will God save the Japanese?