Global economy jitters as US debt debacle lingers

For the first time in its history America faces prospect of bankruptcy and a potential crash of the global economy as US law makers continue to bicker over the raising the cap on the borrowing limits of the US Treasury.

With the Tuesday deadline of a possible default looming, Americans yesterday reacted angrily with phone calls to their representatives in Washington in response to President Barack Obama’s nudge to Americans to call their representatives to order.

China Scolds U.S. for Politicizing the 'Dangerous' Debt Talks

China's state-controlled media agency Xinhua published a scathing editorial on the U.S. debt talks, illuminating the nation's fear that American default will hurt the global economy.

The newspaper criticized lawmakers in the United States for stalling and letting politics stand before its economic future, calling the talks "dangerously irresponsible" and a "game of chicken."

Double-Dip Scare

The latest GDP numbers show the U.S. is in a cyclical downturn.

And now a double-dip scare is upon us, as first quarter results were revised down to stall speed of 0.4%. The second-quarter came in worse than expected at 1.3%.

Those numbers could get revised again into negative territory, meaning, we could now be in a double dip.

Once the Debt Ceiling Is Hiked, Markets Have to Confront Slower Growth

The woes besetting the global equity markets will remain after the contrived crisis over the U.S. debt ceiling is settled.

Global economic growth is slowing, as indicated by the slide in stock prices from Sydney and Shanghai to European bourses and back to New York. Industrial companies are corroborating the message of economic data that the much hoped-for second-half economic rebound will fall short of the hype.

Gold price seen rising further by African Barrick Gold

FTSE 100 miner African Barrick Gold expects the price of gold to continue rising because of global economic uncertainty.

The company, the largest producer of the metal in Tanzania, said gold's attraction as a safe haven for investors means prices will grow further despite already clearing record levels of $1,600 per ounce.

CN Rail shares slip on global economic worries

VANCOUVER (Reuters) - Shares of Canadian National Railway Co (CNR.TO: Quote) slid more than 3 percent on Tuesday on concerns about a potential slowdown in global economic growth along with profit-taking after a rally by its stock this year.

The slide came a day after CN Rail, Canada's biggest railroad, reported better than expected second-quarter results, despite difficulties including floods in Western Canada, forest fires and mudslides.

Evan A Feigenbaum: Who will win as China's economy changes?

China has unsettled its neighbours with naval displays and diplomatic spats. But could erstwhile Asian strategic rivals end up as big winners from China’s economic success?

In one sense, at least, Asian economies are already winning from Chinese growth — slack global demand has meant that China increasingly powers the growth of nearly every major economy in Asia.