CHART OF THE DAY: "The Most Important Chart In The World Right Now"

button more charts
button chart prev
button chart next

Want to understand why the world is going through sovereign debt gyrations that threaten to plunge the global economy into a new crisis?

Tracy Alloway has snagged a fantastic chart from a new BIS report, which she calls “the most important chart in the world right now.”

Basically, it looks at total issuance of AAA-rated credit by year. You can see there are twin peaks: First in 2005 and 2006, during the worst of the housing-related excess, when garbage was repackaged into AAA, and then following that AAA-rated issuance peaked again when governments bailed out the financial sector.

So now… well, you know what’s going on these days.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at