Morgan Stanley downgrades the world

[Tamas]

stolen from this blog: http://www.thereformedbroker.com/2011/08/18/grinding-to-a-halt/

This morning, Morgan Stanley put out a note with a downgrade of, well, planet earth.  The firm's look at the prospects for global growth this year makes for a very sobering read...

From Bloomberg:

Morgan Stanley cut its forecast for global growth this year, citing an "insufficient" policy response to Europe's sovereign debt crisis, weakened confidence and the prospect of fiscal tightening.

The bank estimates expansion of 3.9 percent, down from a previous forecast of 4.2 percent, according to an e-mailed report dated today. Morgan Stanley cut its China growth forecast for next year and Deutsche Bank AG reduced its estimates for the nation for 2011 and 2012.

The threat to the global economy from the debt burdens of developed nations from the U.S. to Europe has roiled world markets this month and wiped trillions of dollars off the value of equities. At the same time, slowing expansions in countries including Germany, the key driver of European growth, are hurting confidence.

The U.S. and Europe are "dangerously close to recession," Morgan Stanley analysts including Chetan Ahya said in the note.

I view this as a massive failure of central bankers from Europe to the US.  The programs they've embarked on have meant nothing and cost us everything.  The best we can hope for is to bump along at 1 or 2% growth in the US and avoid recession.  In Europe, the best they can hope for a continuance of the masquerade that a currency union without taxing authority or a standing army is even possible.  As for China, they better pray that their best customers don't fall too hard.

[11B4V]

Screw those mother fuckers.

[Tamas]

Not sure where I read it recently (maybe it was here) but the western governments' toolbox looks awfully empty this time around.

Decrease interest rates? To where? Deficit-spend? lol

[CountDeMoney]

Screw those mother fuckers.

One winter, a Farmer found a Snake stiff and frozen with cold. He had compassion on it, and taking it up, placed it in his bosom. The Snake was quickly revived by the warmth, and resuming its natural instincts, bit its benefactor, inflicting on him a mortal wound.

"Oh," cried the Farmer with his last breath, "I am rightly served for pitying a scoundrel."

The greatest kindness will not bind the ungrateful.

[11B4V]

Screw those mother fuckers.

One winter, a Farmer found a Snake stiff and frozen with cold. He had compassion on it, and taking it up, placed it in his bosom. The Snake was quickly revived by the warmth, and resuming its natural instincts, bit its benefactor, inflicting on him a mortal wound.

"Oh," cried the Farmer with his last breath, "I am rightly served for pitying a scoundrel."

The greatest kindness will not bind the ungrateful.

Heard that before but in a different context. Had a fox and a snake or turtle and a snake or some shit like that.

[HVC]

frog and a scorpian.

[Valmy]

The U.S. and Europe are "dangerously close to recession," Morgan Stanley analysts including Chetan Ahya said in the note.

Damn.  I thought we were dangerously in a recession this whole time.

[HVC]

The U.S. and Europe are “dangerously close to recession,” Morgan Stanley analysts including Chetan Ahya said in the note.

Damn.  I thought we were dangerously in a recession this whole time.

our recession has hit a recession

[11B4V]

frog and a scorpian.

That's it

[MadImmortalMan]

I wonder if the world has an etf I can short.

Ah, screw it. I have puts on Morgan Stanley that are doing quite nicely this morning. 

[Admiral Yi]

Screw those mother fuckers.

One winter, a Farmer found a Snake stiff and frozen with cold. He had compassion on it, and taking it up, placed it in his bosom. The Snake was quickly revived by the warmth, and resuming its natural instincts, bit its benefactor, inflicting on him a mortal wound.

"Oh," cried the Farmer with his last breath, "I am rightly served for pitying a scoundrel."

The greatest kindness will not bind the ungrateful.

Bizzareness.

[Scipio]

Barry O will save us!

[CountDeMoney]

Screw those mother fuckers.

One winter, a Farmer found a Snake stiff and frozen with cold. He had compassion on it, and taking it up, placed it in his bosom. The Snake was quickly revived by the warmth, and resuming its natural instincts, bit its benefactor, inflicting on him a mortal wound.

"Oh," cried the Farmer with his last breath, "I am rightly served for pitying a scoundrel."

The greatest kindness will not bind the ungrateful.

Bizzareness.

Of course you wouldn't get it.

[grumbler]

Of course you wouldn't get it.

Not much to "get" - it is a stupid story.  Even "bizarre." A "Farmer" puts a "Snake" to his "bosom?"  WTF kind of "Farmer" puts a "Snake" to his "bosom?"

[DGuller]

Corn farmer, probably.