A weekly section discussing how general events can influence the future of the cryptocurrency sector
US Public Debt Reaches Record of $18.14 Trillion
On the last day of the year 2014, the total US debt reached to its record-peak around $18.14 trillion. Earlier it was around $98 billion, but encountered a surprising $32 million; thus setting a new record. According to the given figures, the US debt increased by 70% under President Obama administration.
Spain Will Increase Its Debt by €55,000 Million
For 2015, the net emissions of the State Spanish debt will be €55 billion. Since 2008, the debt has increased by more than €600 billion, which contradicts the official discourse whereby applying austerity in public accounts.
Greek’s Economic Problem Continues to Exists
A majority of Greek MPs rejected the presidential candidacy of incumbent Prime Minister Antonis Samaras, triggering the anticipation of the general election. This defeat has meant a major setback for Prime Minister, as well as for eurozone countries that rescued Greece from the brink in 2010 (since, € 240 billion has been invested in helping Greece to pay off debts) . The selling pressure led Greek government bonds yields above 9% (9.7% for 10-year bonds).
BoE Ex-Director Says Financial System Are Still Weak
Mervyn King, who led the Bank of England during the financial crisis, said the banking system cannot survive another crisis. He also stated that it makes no sense to continue with the UK’s historic low interest rate, which has remained at 0.5% for over five years. However, he warned that if interest rates were increased now, that “probably lead to another recession.”