KeNo's Housing and Economic Portal: Wednesday March 18 Housing and Economic stories

TOP STORIES:

Greeks Face First Product Shortages As Cash Runs Out, "It's Worse Than In 2012" - (www.zerohedge.com) Just when you thought it was getting better (or so you would believe if you listened to the mainstream media's punditry) Greece faces what ekathimerini reports is a "situation worse than in 2012." From well-known Belgian beer to electronics equipment, the first occurrences of shortages in imported goods and raw materials have arisen as a result of Greek enterprises’ inability to pay with cash in advance. In 2013, there were food riots as people could not afford the staples as a six-day strike led to food shortages... Hundreds of people jostled for free vegetables handed out by farmers in a symbolic protest earlier on Wednesday, trampling one man and prompting an outcry over the growing desperation created by economic crisis. Images of people struggling to seize bags of tomatoes and leeks thrown from a truck dominated television, triggering a bout of soul-searching over the new depths of poverty in the debt-laden country. “These images make me angry. Angry for a proud people who have no food to eat, who can’t afford to keep warm, who can’t make ends meet,” said Kostas Barkas, a lawmaker from the leftist Syriza party.

Deflationary forces creating global slowdown in shipping, confirmed by Maersk CEO - (www.globaldeflationnews.com) The CEO of Maersk Line, the world’s largest shipping company, warned that global trade growth is slowing. Søren Skou told the Financial Times yesterday that the sluggish global economy is having a “huge impact for us as an industry.” Maersk Line ships 15% of the world’s ocean borne freight. Skou admits that lower oil prices have helped the company save money in transportation fuel costs, but other deflationary forces around the world are negating the positive effects. “The economies in Europe are still very sluggish. Brazil, Russia and China: those three economies used to drive a lot of growth, and right now we are not really seeing that to the same extent. The only real bright spot is the US, and even the US is good but not great.” Skou’s comments have great merit, not only because of the size of the company, but Maersk ships all over the world, Europe, Asia, Africa, the U.S. and Latin America. Skou is in a position to know first-hand what the global growth picture looks like, and it does not look good. Where container growth expanded by as much as 10% a year before the 2008 financial crisis, this year Maersk is predicting only 3-5% growth and Skou said he is “personally more toward the low end of that.”

A stunningly bad economic signal from the Midwest - (www.businessinsider.com) There is some bad news from America's heartland. Economic activity in the Midwest unexpectedly contracted in February, according to Institute for Supply Management's latest Chicago Purchasing Managers Index. This report is somewhat out of touch with recent economic data, which has been modestly disappointing but still suggests the economy is growing at a measured pace. In its report, ISM said the West Coast port strike and harsh winter weather most likely had a negative impact on manufacturing in February, though it was difficult to gauge the magnitude. "It's too early to conclude that February represents a change in the relatively strong trend seen recently," the report said. "Nonetheless, the weakness in the Barometer points to softer GDP growth over the first quarter than previously expected."

Eurogroup Humiliation Of Greece Complete: The Troika Is Coming Back To Athens - (www.zerohedge.com) Having been shamed what seems like numerous times now by the Eurogroup in recent weeks, Greece suffered its greatest humiliation today. First, the farcical renaming of 'Troika' to 'Institutions' was summarily dismissed as "semantics," as France played good cop (asking for the group not to call it Troika) while Germany's bad-cop Schaeuble used the T-word four times in one interview. And second, Eurogroup chairman Dijsselbloem stated that "technical teams will begin considering Greek reform plans on Wednesday," adding that some of the negotiations will have to take place "in situ in Athens." So instead of discussing reforms with institutions in Brussels, the Varoufakis-defined "cabal of technocrats" Troika will be back on Greek soil to straighten out the nation.

One of the hottest new restaurant chains has mysteriously declared bankruptcy - (www.businessinsider.com) Spanish mini-sandwich chain 100 Montaditos has declared bankruptcy in the US. The chain, which is very popular in Spain, had been plotting an rapid expansion in markets like Florida and New York, reports Jonathan Maze at Nation's Restaurant News. 100 Montaditos has halted the expansion and didn't give a reason for the bankruptcy. The chain has a popular location in Manhattan's West Village. Another location on the Lower East Side closed. 100 Montaditos serves up little fresh-to-order sandwiches (or montaditos in Spanish) with ingredients ranging from traditional Spanish tortilla, Serrano ham, and Manchego cheese, to more North American options like steak and cheese and barbeque pork.

OTHER STORIES:

Why oil decline could get ugly again soon - (www.cnbc.com)

Credit Suisse chief said to be planning to step down NYT - (www.cnbc.com)

U.S. jobless claims rise; fourth quarter productivity revised down - (www.reuters.com)

Factory orders fall for the sixth straight month - (www.businessinsider.com)

ISM manufacturing index hits 52.9 in Feb vs. 53.2 expected - (www.cnbc.com)