“SPIKE IN DEFAULTS”: STANDARD & POOR’S GETS GLOOMY, BLAMES FED

Credit rating agencies, such as Standard & Poor’s, are not known for early warnings. They’re mired in conflicts of interest and reluctant to cut ratings for fear of losing clients. When they finally do warn, it’s late and it’s feeble, and the problem is already here and it’s big.

So Standard & Poor’s, via a report by S&P Capital IQ, just warned about US corporate borrowers’ average credit rating, which at “BB,” and thus in junk territory, hit a record low, even “below the average we recorded in the aftermath of the 2008-2009 credit crisis.”

The one-year average default rate for US companies with a credit rating of B- is 9.8%, according to Standard & Poor’s. That’s a 1-in-10 chance that the company will default over the next 12 months. Companies getting downgraded deep into junk and issuing more low-grade bonds are precursors to soaring defaults

http://www.infowars.com/spike-in-defaults-standard-poors-gets-gloomy-blames-fed/

 

Warning: If You Live Anywhere Near Chicago, Brace Yourself For Massive Rioting

The city of Chicago has released a video that shows a white police officer shooting a 17-year-old African-American young man named Laquan McDonald 16 times.  Cook County State’s Attorney Anita Alvarez says that this video is “graphic”, “violent” and “chilling”, and it is expected to provoke a very strong emotional reaction from Chicago’s very large African-American community.  Over the past few years, Trayvon Martin, Michael Brown and Freddie Gray have all become household names because of the way that they died, and now it looks like Laquan McDonald’s name will be added to that list.  But the situation in Chicago is potentially even more volatile what we witnessed in either Ferguson or Baltimore.  More than a million African-Americans live in the Chicago metropolitan area, and the crime rate in the city has already been skyrocketing.  In fact, it is being projected that Chicago’s murder rate will increase by 20 percent in 2015.  This is a city that is always living on the edge of chaos, and now the video of Laquan McDonald’s death could be the spark that sets Chicago ablaze.

http://investmentwatchblog.com/warning-if-you-live-anywhere-near-chicago-brace-yourself-for-massive-rioting/

8 Financial Experts That Are Warning That A Great Financial Crisis Is Imminent

Will there be a financial collapse in the United States before the end of 2015?  An increasing number of respected financial experts are now warning that we are right on the verge of another great economic crisis.  Of course that doesn’t mean that it will happen.  Experts have been wrong before.  But without a doubt, red flags are popping up all over the place and things are lining up in textbook fashion for a new financial crisis.  As I write this article, U.S. stocks have declined four days in a row, the Dow is down more than 750 points from the peak of the market in May, and one out of every five U.S. stocks is already in a bear market.  I fully expect the next several months to be extremely chaotic, and I am far from alone.  The following are 8 financial experts that are warning that a great financial crisis is imminent…

http://theeconomiccollapseblog.com/archives/8-financial-experts-that-are-warning-that-a-great-financial-crisis-is-imminent