Daily Dispatches

By Alasdair Macleod
GoldMoney, Toronto
Thursday, June 16, 2022

Now that interest rates are rising with much further to go, the global banking system faces a crisis on a scale like no other in history. Central banks loaded with financial securities acquired through quantitative easing face growing losses, and their balance sheet liabilities are now significantly greater than their assets -- a condition that in the private sector is termed bankruptcy. They will need to be recapitalised urgently to retain credibility.

By Barbara Shecter
National Post, Toronto
Wednesday, June 15, 2022

Kinross Gold Corp. has sold all its Russian assets to the Highland Gold Mining group of companies, but the Canadian miner will realize just half the $680 million in proceeds agreed to in April, following a review by the recently formed Russian Sub-commission on the Control of Foreign Investments.

The Russian sub-commission "approved this transaction for a purchase price not exceeding $340 million," Kinross said in a statement today.

... Dispatch continues below ...

By Robert Lambourne
Tuesday, June 14, 2022

Another substantial reduction in the gold swaps of the Bank for International Settlements is indicated by the bank's statement of account for May:

https://www.bis.org/banking/balsheet/statofacc220531.pdf

By Yoruk Bahceli and Sujata Rao
Reuters
Monday, June 13, 2022

U.S. two-year Treasury yields rose above 10-year borrowing costs today -- the so-called curve inversion that often heralds economic recession -- on expectations interest rates may rise faster and further than anticipated.

Fears the U.S. Federal Reserve could opt for an even larger rate hike than anticipated this week to contain inflation sent two-year yields to their highest levels since 2007.

But a view is also playing out that aggressive rate hikes may tip the economy into recession. ...