US loan defaults worse than Depression (plus gloating)

Lots of developments to cover over the weekend, and I hope to do a response to Osborne’s speech tomorrow.

But, very quickly, I found this most interesting.

…the pace of charge-offs (write-offs on bad debt) for rated US banks now exceeds the early years of the Great Depression. (Chart via the link).

This is clearly deeply worrying news.

Although, on a personal level, I now feel entirely justified in gloating that when I had this debate with Tim Congdon, back in May,  ‘I was right and he was wrong’. (Gloating finished).