Author Archives: Yves Smith

Unexpected China Factory Contraction Confirms Deflationary Headwinds, Overcapacity

China’s leaders admit to widespread overcapacity, such as in EVs and solar panels. Faillure to solve it could generate Japan-style deflation

Consumers Are Footing the Bill for AI’s Insatiable Appetite for Energy

The energy cost of AI is probaby vastly higher than you realized, and will be showing up soon in your power bills.

Long-COVID, Viruses and ‘Zombie’ Cells: New Research Looks for Links to Chronic Fatigue and Brain Fog

A theory of what might cause the many symptoms of Long Covid, which if proven further, should help in developing treatments

South America’s Sovereignty Is Being Lost in Big Tech’s Clouds

How South America and the Global South generally are selling out their automony and the promise of multipolarity for Big Tech convenience

Links 7/30/2025

CEOs Celebrate Even Bigger Wins in Class Warfare via Cutting Employment

CEOs are not just looting their companies but now the broader economy with the intensity of their headcount cutting.

The Post-Pandemic Disinflation: Low Sacrifice, High Prices

Central banks in advanced nations really do believe they did a masterful job of managing the post-Covid inflation. This article explains why

Hubert Horan: Can Airlines Get Passengers to Accept AI-Driven Personalized/Surveillance Pricing?

Delta has fevered dreams of AI-engineered individual pricing to boost revenues. But would this work in practice?

Links 7/29/2025

Iran Refuses to Blink as Europe Eyes Snapback Sanctions

urope is allegedly threatening to launch the JCPOA snapback, which would re-institute tougher sanctions on Iran. But is this threat real?

The EU-US Trade Deal: Von der Leyen Just Subordinated the EU as the US’ Largest-Ever Vassal State

The EU submits to Trump on trade and accepts further insult via required US investment and energy purchases

Fed’s Rates Not Restrictive for Markets. Financial Conditions Ultra-Loose. Manias Form, Margin Debt Blows Out, Junk Bonds Party in La-La-Land

Despite the Fed depicting its current rate policy as restrictive, manic pricing in many financial markets says otherwise.

As White House Touts ‘Economic Boom,’ Americans Say They’re Barely Scraping By

Despite Trump’s economic claims, with rising tariffs, just 30% of Americans say they can meet their costs per a poll from Data for Progress.