Tuesday March 14 2017 Housing and Economic stories

TOP STORIES:            

Deutsche Bank Tries to Stay Alive - (www.wolfstreet.com) Let me say this upfront: When an at-risk too-big-to-fail bank raises fresh capital from investors, it’s a great thing for affected taxpayers. When push comes to shove, every dollar thus extracted from investors lowers the burden on taxpayers. Since the Financial Crisis, Deutsche Bank has been raising capital in large waves — $20 billion so far. And now, its new efforts to raise another $8.5 billion by selling shares would bring the total to $28.5 billion, and it would nicely dilute existing shareholders further, and it would be a great thing for affected taxpayers. Not that taxpayers would be off the hook: The assets on Deutsche Bank’s opaque balance sheet equal 58% of Germany’s GDP. That $8.5 billion in new capital would nevertheless lower both the risks for affected taxpayers. So I’m all for it. But I just love the way they’re going about doing it.

Why Aren't Americans Filing Their Taxes This Year? IRS Says 6 Million Fewer Filings Than 2016 - (www.zerohedge.com)  Disaffected liberals not willing to pay taxes to a government run by Donald Trump?  Families just so flush with cash that they don't need those tax refunds this year?   Americans just getting lazier? Whatever the reason, Americans are simply not filing their taxes in 2017.  As the Internal Revenue Service recently reported, we're now officially halfway through the 2017 tax filing season and nearly 6 million fewer people have filed their returns than at the same point in 2016, that's an 8.5% decline.  Meanwhile, average refunds are actually up 0.8% but that doesn't seem to matter all that much. Whatever the reason, Americans are simply not filing their taxes in 2017.  As the Internal Revenue Service recently reported, we're now officially halfway through the 2017 tax filing season and nearly 6 million fewer people have filed their returns than at the same point in 2016, that's an 8.5% decline.

Gold Slides Below $1,200 in Longest Losing Run Since October - (www.bloomberg.com) Gold dipped below $1,200 an ounce in its longest losing run since October as positive U.S. economic figures reinforce expectations that yields on other investments will rise this year. Bullion for immediate delivery fell as much as 0.3 percent to $1,197.70, the lowest since Jan. 31, and was at $1,198.57 at 9:22 a.m. in Singapore, according to Bloomberg generic pricing. The metal is down 2.9 percent this week after dropping on all five days as yields on 10-year Treasurys extended gains, making non-interest bearing assets less attractive. The precious metal has been hit by Federal Reserve officials including Chair Janet Yellen talking up the prospect of higher rates this month. Better-than-expected U.S. private jobs data this week also boosted the dollar before official payrolls figures on Friday, which is the last major piece of economic news before the Fed meets next week. The European Central Bank, meanwhile, signaled it won’t add to stimulus as growth picks up.

Warning Signs Flash on Best Emerging-Market Stock Gain Since 2012 - (www.bloomberg.com) Emerging-market equity traders may be in for a reality check. Rising profit forecasts and confidence that developing nations can withstand higher U.S. interest rates have sent stocks to the best start to a year since 2012. That optimism stands threatened this week after markets from Russia to Peru wilted under the pressure of oil prices below $50 a barrel. Now, some investors are turning cautious. They say the rally could be undone by any of the risky events expected this month: oil-price fluctuations, policy announcements by U.S. President Donald Trump or a Federal Reserve hike. “From low stock volatility to multi-year lows in bond spreads, signs are coming together to tell us to be a little cautious,” said Simon Quijano-Evans, an emerging-market strategist at Legal & General Investments Management Ltd. in London. “Given that the performance has been positive so far this year, some might want to lock in the performance.”

China stealth jet enters service, navy building 'first class' fleet - (www.reuters.com) China has put into service its new generation J-20 stealth fighter, a warplane it hopes will narrow the military gap with the United States, as senior naval officers said the country was building a "first class" navy and developing a marine corps. Chinese President Xi Jinping is overseeing a sweeping modernization of the country's armed forces, the largest in the world, including anti-satellite missiles and advanced submarines, seeking to project power far from its shores. In a report late on Thursday, state television's military channel confirmed that the J-20 had now entered service, though it gave no other details.

OTHER STORIES:

Treasuries Slump Worsens Before Jobs as Oil Drops: Markets Wrap - (www.bloomberg.com)
Oil drops to lowest since OPEC deal, U.S. crude below $50/bbl - (www.reuters.com)
Tsipras Faces Fight as Greek Opposition Won't Back New Measures - (www.bloomberg.com)

China's `Stable, Solid' Yuan Faces Five Key Threats This Year - (www.bloomberg.com)
As E.C.B. Charts Economic Course, Politics Complicate the Picture - (www.nytimes.com)
U.S. Consumer Comfort Just Reached Its Highest Level in a Decade - (www.bloomberg.com)