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In The Lending Ecosystem Nobody Wants To Be Reckless Anymore

A report from the Irish Independent. “A glut of new houses for sale has led to builders cutting back on the construction of homes. Goodbody economist Dermot O’Leary said there is now a rising inventory of unsold stock forming for house builders. The report shows that there has also been a big fall-off in sales of homes priced at more than €500,000.”

“Calculations by another economist estimate has found that Dublin house prices are now nine times average earnings. KBC Bank’s Austin Hughes has also calculated that in the rest of the country prices are just over six times average earnings.”

From Ahval on Turkey. “According to the Turkish Statistical Institute on, house sales in Turkey fell by nearly half in June compared to the same period last year, the sharpest drop since the start of 2019. Citing several sources in the industry, Reuters said that one key reason for the lack of progress in restructuring the construction sector’s bad debt was sharp disagreement over the value of properties, which left banks and companies unwilling to buy or sell assets.”

From The National on Dubai. “The developer of a luxury housing community in Dubai said it is working to tackle ‘lots of issues’ with the development, as homeowners complained of an influx of snakes, open sewers and swarms of mosquitoes. Jaswinder Singh purchased a six-bedroom villa for Dh6.3m in 2015, but has yet to move his young family into the property. He said it was only partially ready.”

“‘I have three daughters and have an expensive villa that we can’t live in,’ he said. ‘We were sold this dream of a lifestyle destination.'”

From Forbes India. “Q. Do you see a correction coming up in the real estate market? Mahesh Misra, the chief executive officer of India Mortgage Guarantee Corporation: Internationally, when asset prices fall, the slowdown becomes prolonged. The speculator has vanished from the market, and right now, the industry is going slow. So a lot of today’s demand is coming from the end-user. However, a price correction has happened in certain markets.”

“One of the biggest positives in the lending ecosystem today is that nobody wants to be reckless anymore. The market will not give anyone 100 percent comfort, especially at a time of a certain slowdown and asset price correction.”

The Epoch Times on China. “China’s onshore real estate market has fallen drastically. Moreover, mainland real estate companies which relied on easy financing will soon face debt repayment for short term borrowings made in 2018 and 2019. As business prospects are increasingly gloomy and cash is harder to come by, various real estate firms have had no choice but to issue bonds overseas and use new debts to pay off old ones.”

“As the wave of real estate debt defaults continues, experts worry that real estate will soon become a ‘grey rhinoceros,’ a highly probable yet widely ignored event. A bond trader in Beijing said with the tightening of  real estate financing, a sharp decline in the cash flow growth of real estate enterprises, and the peak period of debt repayment yet to come, some housing companies are already at risk of default.”

The Sydney Morning Herald in Australia. “Luxury Zetland terrace apartments expected to fetch up to $1.2 million each are allegedly ‘unsaleable’ because of the evacuation of the lofts immediately above them. Court documents obtained by the Herald have revealed concerns over combustible cladding on the terrace apartments, which remain occupied even though they are in the same site as the abandoned lofts.”

“According to Wolseley Grove, prospective buyers were ‘no longer willing’ to purchase the terrace apartments or would only do so at ‘very substantially reduced prices.'”

“Anthony and Diane Yap picked one of the units as the perfect place to start their family, moving in in February. The couple say they were unaware of the defects in or the evacuation of the lofts when they signed their two-year lease. ‘I guess we are lucky we didn’t look into buying this place,’ Dr Yap said.”

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This Post Has 108 Comments

  1. ‘I have three daughters and have an expensive villa that we can’t live in…We were sold this dream of a lifestyle destination’

    Yeah, you got fooked hard Jaswinder. Check out those photos! Besides looking like Mad Max, those pit vipers are gnarly.

    4. Seems like a great destination for the squad. One of them could bring her husband/brother along for a reunion. BTW, I think we had only criminal immigration fraud going on not incest but I could be wrong.

  2. ‘Luxury Zetland terrace apartments expected to fetch up to $1.2 million each are allegedly ‘unsaleable’

    This construction defect thing is hitting Australia hard, with bad news piling up by the day on huge projects.

  3. Shortage.

    Shortage!

    ‘A glut of new houses for sale has led to builders cutting back on the construction of homes’

  5. Another one bites the dust…

    Hovnanian’s stock tumbles after disclosure of NYSE delisting notice
    By Tomi Kilgore
    Published: July 18, 2019 2:49 p.m. ET

    Shares of Hovnanian Enterprises Inc. (HOV, -18.65%) plunged 14% in afternoon trading Thursday, after the home builder disclosed that it received a de-listing warning from the New York Stock Exchange, citing the market capitalization listing standard. Hovnanian said it received written notification of non-compliance on July 11, because the company’s market cap averaged less than $50 million over a consecutive 30 trading-session period. The market cap declined to $43.59 million, after being above $50 million the previous 5 sessions, according to FactSet data. In the 30 sessions before July 11, market cap averaged $48.8 million. The NYSE’s warnings comes after Hovnanian effected a 1-for-25 reverse stock split on March 29, after the stock closed March 28 at a pre-split-adjusted price of 55 cents. Hovnanian’s stock has tumbled 57% year to date,…

    1. ” … after Hovnanian effected a 1-for-25 rever$e $tock $plit on March 29, after the stock closed March 28 at a pre-split-adju$ted price of 55 cent$. Hovnanian’$ $tock has tumbled 57% year to date,…

      No worrie$, they will reli$t as Hovnanian Enterpri$es bit.coin$, problem$ $olved!

      1. No worrie$, they will reli$t as Hovnanian Enterpri$es bit.coin$, problem$ $olved!

        Long Island Ice Tea -> Long Blockchain Corp = stock up 200%

        “The Farmingdale, New York-based beverage maker said in a release that it is “shifting its primary corporate focus towards the exploration of and investment in opportunities that leverage the benefits of blockchain technology.”

        “The company, however, is still going to make iced tea and other juice beverages, it said. As of Wednesday, it had a market value of just $23.8 million. In the 12 months ended in September, the company had about $5 million in sales, according to FactSet.”

        https://www.cnbc.com/2017/12/21/long-island-iced-tea-micro-cap-adds-blockchain-to-name-and-stock-soars.html

      2. The sad thing is that you’re probably right. Except they will probably be “Hovnanian Enterprise Bitcoin Solutions.” There. That’ll bring in the angel VCs.

          1. amazon effect for you

            I notice that Zillow removed the (xx) number of houses for sale from their page. Dumbing it down, or hiding it by making us count. b-tards.

            One house for sale nearby. Fix/flip listed for nearly $200K more than it was bought. Total redo, but still they are looking for a $100K profit. Heh. Even Tarek and Christina almost never broke $100K profit. I hope it sits and rots.

            (Update… o funny, since last week they’ve already cut the price $12K.)

  6. “As business prospects are increasingly gloomy and cash is harder to come by, various real estate firms have had no choice but to issue bonds overseas and use new debts to pay off old ones.”

    Debt kiting?

    1. Dear Professor, AQdan will remind you of the evil$ of globali$m … any $econd now …

      1. “How does a real estate firm ‘go into debt’?”

        It has something to do with signing dotted lines. Come visit me at my bank and I will allow you to experience a genuine hands-on demonstration.

          1. From the article …

            “On May 11, 2018, the National Development and Reform Commission revealed that more than ten companies, including leading domestic developers such as Sunac China, Vanke, Huayuan Real Estate, Dalian Wanda, and Capital Land have registered to issue offshore bonds.”

            In these cases “real estate firms” are developers.

  7. “The market will not give anyone 100 percent comfort, especially at a time of a certain slowdown and asset price correction.”

    Obviously the writer is not describing the U.S mortgage lending system.

    3 types of loans that can help you buy a house when you can’t afford a full down payment
    Tanza Loudenback
    Jul. 16, 2019, 1:50 PM
    There are a few alternatives to a conventional mortgage in which you can buy a house with no money down. Maskot/Getty Images
    – Saving money for a house isn’t easy on an average salary.
    – Luckily, there are a few alternatives to a conventional mortgage in which you can buy a house with no money down.
    – Government-backed home loans can help homebuyers in a financial squeeze, but of course, there are some tradeoffs.

    Coming up with the cash for a down payment can be a big hurdle for anyone hoping to become a homeowner.

    Most financial experts recommend aiming for a 20% down payment to avoid paying extra each month for private mortgage insurance. If you feel like it may be impossible to save up that much, you’re not alone. The typical millennial homebuyer put down an average of 8.8% of their home’s purchase price as of December 2018, according to Realtor.com data.

    Luckily, there are alternatives to a conventional mortgage that can help you buy a house with no money down. The US government offers home loans for homebuyers in a financial squeeze, but of course, there are some trade-offs. While these loans may come with favorable terms, like lower interest rates, there’s usually a high standard for qualification. Obtaining one of these loans also doesn’t let you off the hook completely, as you still need cash to cover closing costs, and once you’re in the home, monthly mortgage payments.
    …

    1. Ha, an angry black f.emale! …

      Here$ an angry white m.ale:

      “One of the strongest natural proofs of the folly of hereditary right in kings, is, that nature disapproves it, otherwise, she would not so frequently turn it into ridicule by giving mankind an ass for a lion.”
      ― Thomas Paine, Common Sense

      1. ‘the folly of hereditary right in kings’

        ‘This was a huge advantage for Bernie Sanders in 2016. He came way closer to beating Clinton in the primaries than most people thought he would by tapping into the passion of the base and the frustrations of other Democrats who didn’t relish a Clinton dynasty and disliked both Hillary personally and the corrupt practices of the establishment she represented. She ran on the implied claim that it was simply her “turn” to be president’

        https://www.nationalreview.com/2019/07/hillary-clinton-democratic-party-leftward-turn/

        1. “long habit of not thinking a thing WRONG, gives it a superficial appearance of being RIGHT,”
          ― Thomas Paine, Common Sense

          1. “long habit of not thinking a thing WRONG, gives it a superficial appearance of being RIGHT”

          2. ” …the folly of hereditary right in kings, is, that nature disapproves it, otherwise, she would not so frequently turn it into ridicule by giving mankind an a$$ for a lion.”

        2. We can all thank Trump for blowing up the Presidential Dynasty myth to smithereens, not only Hillary but also Jeb.

          1. +1000. Almost as satisfying as seeing Trump vanquish Screech was his systematic rout of the Hollow Man corporate stooges and Goldman Sachs errand boys put up by the Establishment GOP and its globalist oligarch donors as “alternatives” to Crooked Hillary.

          2. Getting rid of the Bush and Clinton dynasties is indeed one of his best accomplishments.

      2. “Ha, an angry black f.emale! …”

        by Ellie Bufkin, Jerry Dunleavy, & Caitlin Yilek
        July 13, 2019

        ” the Massachusetts Democrat said on Saturday. “If you’re not prepared to come to that table and represent that voice, don’t come, because we don’t need any more brown faces that don’t want to be a brown voice.”

        “We don’t need black faces that don’t want to be a black voice,” she said. “We don’t need Muslims that don’t want to be a Muslim voice. We don’t need queers that don’t want to be a queer voice. If you’re worried about being marginalized and stereotyped, please don’t even show up because we need you to represent that voice.”

        https://www.washingtonexaminer.com/news/aoc-squad-revolts-ayanna-pressley-says-no-more-black-faces-that-dont-want-to-be-a-black-voice

        1. Open identity politics had not taken that last step to open identity representation. That should make those blue collar white Democrats desert Trump. Not!!! I sense a meltdown of liberal Democrats as they realize that not only is Trump not going to be removed from office during his first term, his chances of winning a second term improve everyday.

          1. There is still a good chance that Trump will lose.

            First: Demographics. 4 years later means a huge crop of Hispanic anchor babies turning 18. They are more about family than they are about policy, and they will not vote for the man who trashed their parents.

            Secondly, you can be sure that the Dems will learn from Hillary’s total disregard for the electoral college. I expect all the nominees to hit the Rust Belt this time, and hit it HARD. They have given up on the white uneducateds, and will likely court the African-American uneducateds by putting an African-American on the ticket. Also look for them to squeeze every vote out of Florida.

            Thirdly, Dems will re-learn — and learn well — the lesson that they forgot from 2000. No more Bernie stay-at-home protests or Green-party nonsense. You can be sure that every single non-Republican will be united behind the candidate this time. (To counter that, I believe that Libertarian Gary Johnson has said that he will not run again. I expect Trump to pick up a lot of those votes.)

            So don’t get your hopes up for Trump again.

          2. There is still a good chance that Trump will lose.

            Technically true, but I don’t think any of the things you listed will do it. I think the only thing that can unseat him is a really big downturn in housing and the stock market in the next year. Which I think is the reason he is jawboning the economy and the Fed so hard. If Wile E. Coyote can just avoid looking down for one more year or so it’s a done deal.

          3. I think the only thing that can unseat him is a really big downturn in housing and the stock market in the next year.

            I concur.

            Trump’s Electoral College Edge Could Grow in 2020, Rewarding Polarizing Campaign
            New York Times
            July 19, 2019

            “President Trump’s approval ratings are under water in national polls. His position for re-election, on the other hand, might not be quite so bleak.”

            “His advantage in the Electoral College, relative to the national popular vote, may be even larger than it was in 2016, according to an Upshot analysis of election results and polling data.”

      2. If it’s true that Omar committed immigration fraud by marrying her brother, isn’t that grounds for impeachment and deportation?

        2. “If it’s true that Omar committed immigration fraud by marrying her brother, isn’t that grounds for impeachment and deportation?”

          Asking that question is clearly racist.

          1. “According to the couple’s marriage certificate, he is also three years younger than Ms. Omar, whose mother died when she was 2 years old.”

            Wouldn’t that make it hard for him to be her brother?

          2. Apparently Omar wasn’t her original name. When fraud is committed , if it was, the fact checking can be looking at facts fraud. Compare her DNA to her husbands/brother. You really don’t think the New York Times is the fact checker of choice.

          3. From snopes.com:

            “Also, if Ahmed Elmi were truly Omar’s brother, why would he have needed to take the drastic step of marrying her in order to secure a path to U.S. citizenship? U.S. Citizenship and Immigration Services (USCIS) policies qualify immigrants as eligible to apply for permanent residency status (and later become naturalized citizens) if they are the “spouse of a U.S. citizen” or the “brother or sister of a U.S. citizen.” Why would Omar commit a federal crime and risk a prison sentence (and possibly her own citizenship status) in order to provide her brother with the opportunity to apply for something he would already have been eligible to seek?”

            “Elmi reportedly attended North Dakota State University with Omar between 2009 and 2012. But as a British citizen Elmi could have studied at any university in the European Union or European Economic Area, and in some of those countries his education would have been tuition-free. Was attending school in North Dakota instead such a priority as to merit committing marriage and immigration fraud and risking a fine of up to $250,000 and five years in prison?”

            “If Elmi was so desperate for U.S. residency/citizenship status that he engaged in a sham “marriage” with his sister in order to seek it, why did he return to England after his split with Omar? And why is there no record of Elmi’s having applied for or obtained such status if that was the whole point of his supposedly “fraudulent” marriage to his alleged sister?”

            The strategy of trying to get someone to “prove a negative” (e.g. that Ilham Omar didn’t commit immigration fraud) is one of the oldest tricks in the political book. Of course she didn’t marry her brother. But that is not the point. The point is just to get people to keep talking about it and sowing discord/confusion. Reminds me of this anecdote:

            “This is one of the oldest and most effective tricks in politics. Every hack in the business has used it in times of trouble, and it has even been elevated to the level of political mythology in a story about one of Lyndon Johnson’s early campaigns in Texas.

            “The race was close and Johnson was getting worried. Finally he told his campaign manager to start a massive rumour campaign about his opponent’s life-long habit of enjoying carnal knowledge of his barnyard sows.

            “Christ, we can’t get away with calling him a pig-f****r,” the campaign manager protested. “Nobody’s going to believe a thing like that.”

            “I know,” Johnson replied. “But let’s make the sonofab****h deny it.””

          4. https://twitter.com/realDSteinberg/status/1152271657844846592

            The @NYTimes, in a piece on @ilhanmn with “fact check” in the URL, makes an error that wouldn’t clear fact checkers at a middle school journalism club.

            They say Elmi isn’t @IlhanMN’s brother, because she is 3 yrs older than him yet her mother died when she was 2. Well… (1/2)

            Here’s the marriage certificate. Elmi is born on 4/4/85. @IlhanMN is born on 10/4/82.

            That’s a six-month window for her mother to have passed away while Ilhan was 2.

            Let’s see if a @nytimes correction is forthcoming. (2/2)

          5. Rather than relying on bogus “fact checking” sites . . .

            DAVID STEINBERG: TYING UP LOOSE THREADS IN THE CURIOUS CASE
            In four intensely reported investigative columns — here (August 13, 2018), here (October 23, 2018), here (October 30, 2018), and here (November 5, 2018), — David Steinberg has explored the evidence suggesting that Ilhan Omar entered into a sham marriage with her brother in 2009. This is his fifth. He titles it “Meet Leila Elmi: The Missing Link Showing Ilhan Omar Married Her Brother.” Drawing on his research, interviews, and social media evidence he makes the case that Omar has engaged in a variety of fraudulent activities and willful misrepresentations related to her marital arrangements.

          7. Mother Jones and Snopes are not credible sources. You are an intellectually lazy propagandized moron.

          9. Redpilled Redhead

            And you’re a troll that spouts nonsense. You’re likely not even an American. Probably someone out of the Internet Research Agency and your tin-hat conspiracy theories.

          12. You’re likely not even an American.

            American through and through with ancestors who founded Andover, MA in 1646 and other ancestors who fought in the Revolutionary War.

          13. I reached my limit with OAM’s misinformed and/or ill-informed statements but I’m the troll and conspiracy theorist for citing a well-sourced piece of investigative journalism in response to OAM citing Snopes as an authority source. WOW!

          14. well-sourced piece of investigative journalism

            @RedPill Redhead There is one RedPill on this blog whose comments are worth reading, but it isn’t yours. 90% of your comments have nothing to do with housing and down the rabbit hole and link to obscure conspiracy theory/fringe websites. It is either a page out of the Russian Internet Research Agency, or someone who has been misled and is reposting garbage like this:

            https://www.facebook.com/pg/ALLODSatire/photos/?ref=page_internal

            Yes, David Steinberg of PJ media is very credible source. Truly even-handed investigative journalism. /s

            You are an intellectually lazy propagandized moron.

            Karl Rove tactic #3: Accuse your opponent of your own weakness.

            I challenge you to make your next 20 housing posts about housing.

  9. and yet – last week on CNBC they mentioned Dubai has the most construction cranes in the world. What the heck is happening?

    1. How many wives? She could easily share the same father and not the same mother with her husband in an Islamic society. Of course, in Islamic countries uncle niece marriages are common and so are for first cousin marriages so perhaps a marriage to a half brother is allowed so there is no real fraud. I have read she is not cooperating with her home town paper with its investigation of the matter.

  10. She’s “had.a.bad.day” & tired of hearing folks complaining & knot “doing.anything.’boutit”

    Sorry, electing “thee.squad” in 2018, yeah that was doing sumthin’ ’boutit’, hey, without running away from the MAGATS Shouts!

    “Girls.just.wanna.have.fun! ” … Is a American music hit bye a American “white.gryl”! … Imagine that!

  11. “One of the biggest positives in the lending ecosystem today is that nobody wants to be reckless anymore. The market will not give anyone 100 percent comfort, especially at a time of a certain slowdown and asset price correction.”

    Funny how things work… so they were reckless when prices were going up????

  12. Could underwater bond yields and a rising gold price possibly be a sign that investors are steering clear of equities and other risk assets before THE BIG ONEstrikes?

    1. The Financial Times
      Gold
      Tumbling bond yields kindle investor demand for gold
      Metal seen as solid hedge against equity weakness and slowing growth
      The vault at the New York Fed. Gold is forecast to rise in value to $1,500 a troy ounce by the end of 2019
      © Alamy
      Henry Sanderson
      45 minutes ago

      Colleagues used to ask Jim Luke why he had so much faith in gold — a metal that just sits in portfolios, offering no income.

      “People involved in gold often get accused of being ‘goldbugs’, or being cranks or eccentrics,” mused the Schroders fund manager, based in London. “I’ve had people ask me, ‘isn’t it odd to have such faith in an inert metal that gives you no yield and has little functional value?’.”

      Not lately, though. These days, the conversation is changing as fears rise about the fate of the global economy and bond yields continue to fall — pushing the total amount of bonds that provide a negative yield to almost $13tn by the latest count, up from $6tn in October, according to data from Barclays. The correlation between the growing volume of negative-yielding bonds and the rising value of gold is striking.
      …

      2. The last sentence is the key. In countries with negative bond yields buying gold is a very attractive option. I am not sure it says anything about the big one. Unlike earthquakes humans can delay the big one. Europe is creating purchasing power thus impacting asset prices throughout the world.

    1. Not sustainable. We have so far stubbornly maintained our dead tree newspaper subscriptions, even as I find myself spending more time online, reading what I want, and less time reading what the newspaper editor decided to publish, much of which doesn’t interest me. I don’t really want the dead tree paper era to end, because I fear some of our press freedoms may go with it, but I don’t see the alternative.

      1. “I find myself spending more time online, reading what I want, and less time reading what the newspaper editor decided to publish, much of which doesn’t interest me.”

        And there it is.

        1. The great thing about online news is that everyone can have their own version of facts and find stories that correspond with their own version of how the world is.

          1. Or you can have the NYT do it for you, finding facts that match their narrative and ignoring facts that don’t.

          2. Or you can have the NYT do it for you, finding facts that match their narrative and ignoring facts that don’t.

            I agree! Ilhan definitely married her brother and loves terrorist organizations!

    1. Sorry the Fed Funds rate is 2.5 now, the talk is reducing it to 2.25. it was .25 when Trump was elected. Despite it being more than ten times the rate, Trump had beat Obama’s average 1.9 percent growth rate in the GDP. It will be a little lower than that in the second quarter but the rate for six months will be well above that average. A poor quarter for Trump is an average quarter for Obama but the MSM is treating it as a recession

  22. So sorry, havie no money.

    Markets
    Chinese Conglomerate’s Debt Crisis Deepens; Bonds Plunge
    China Minsheng Investment Group’s looming default marks one of the biggest Chinese defaults on a U.S. dollar bond this year
    Bond defaults among Chinese companies have been on the rise.
    Photo: aly song/Reuters
    By Frances Yoon and
    Stella Yifan Xie
    July 19, 2019 7:46 am ET

    A large Chinese conglomerate fell deeper into a debt crisis, after it said it won’t repay $500 million in U.S. dollar bonds coming due next month.

    Cash-strapped China Minsheng Investment Group said on Friday it will not be able to repay the principal amount or interest on the three-year bonds that mature on Aug. 2, marking one of the largest Chinese defaults on a U.S. dollar bond this year.

    The unrated bonds, which carry a 3.8% coupon, were issued by an offshore subsidiary called Boom Up Investments. On Friday, they lost nearly a third of their value to trade at 50 cents on the dollar, according to a Hong Kong-based trader, indicating a very high likelihood of default.
    …

    1. Markets
      Cracks in Asia Junk Bonds Shown in Fast Fall of Textile Firm
      By Denise Wee
      July 17, 2019, 1:30 PM PDT
      Updated on July 18, 2019, 3:24 AM PDT
      – Bond sold in March lost nearly 67 cents on dollar this week
      – Indonesian firm Duniatex’s stumble highlights governance risks

      The wild ride in an Indonesia textile maker’s dollar bonds is putting a spotlight on the risks that Asia junk bond buyers are taking.

      Four months after a subsidiary of Indonesia’s Duniatex Group sold a $300 million bond, attracting over $1 billion of orders, that bond has plummeted, losing nearly 67 cents on the dollar this week. The stunning fall, prompted by a missed loan payment by another group subsidiary, has shocked bond investors.
      …

  23. As far as I know the Fed is still reducing its balance sheet by $20 billion dollars a month. While substantially down from the $50 billion a month of last fall, it is still substantial. Some Trump’s election the rate has been raised from .25 to 2.25 so given back .25 is not using all of its ammunition. It can reflate its balance sheet to Obama’s levels and drop interest rates by 2 Percent I am not advocating it but it is there and of course there is no legal limit on the size of the balance sheet and negative interest rates are a possibility.

    1. As far as I know the Fed is still reducing its balance sheet by $20 billion dollars a month.

      For 1 more month. Quantitative tightening ends in September.

      1. Ok but the balance sheet went from $870 billion in 2007 to 4.5 trillion just prior to Trump, and During the Trump administration it has been reduced by around $600 billion. The Globalist Fed hates Trump. Any reduction in interest rates will be forced by its desire to keep the World’s economy from collapsing not any desire to keep our economy humming along which will reelect Trump. There will be no attempt to reinflate the housing bubble under Trump. Now if Biden gets elected the Fed will have his back. Of course, China will get more of our wealth. Thus, Biden is the candidate you want if you want higher asset prices and lower wages. The pattern of thirty years of Globalist policies.

        1. Thus, Biden is the candidate you want if you want higher asset prices and lower wages.

          I don’t want Biden, I want Warren.

          1. You do not think her proposals will require MMT? You do not think her immigration proposals will lead to a flood of immigrants and ultimately the US being part of a global government?

          2. With an attorney in charge, we are likely to move further from free market ideals and become ever more deeply entrenched in REIC crony capitalism with special benefits bestowed on the chosen ones.

            Finance
            Wall Street Banks Would Love President Elizabeth Warren
            They will thrive under an administration that supports the middle class and the housing market.
            By Conor Sen
            July 19, 2019, 3:00 AM PDT
            Banks have changed a lot since the years when Elizabeth Warren earned a reputation reining them in.
            Photographer: Sara Stathas/Bloomberg

            Surprisingly for someone who made her name in part by criticizing the practices of Wall Street, Senator Elizabeth Warren is slowly winning the respect of the industry. Tech billionaire Peter Thiel fears a Warren administration, and it would most likely take on certain players in finance – private equity and hedge funds, CEOs, and the very wealthiest Americans. On Thursday she announced her plans to rein in private equity. But for banks themselves, Warren would make the best president of the 2020 field.
            …

          3. Elizabeth Warren’s latest Wall Street enemy: private equity

            Warren’s plan, outlined in full in her proposed legislation, would make a number of changes to how private equity firms are governed. Here are some examples:

            “-Private equity firms extract monitoring and transaction fees from the target companies they buy and take dividends from those firms for themselves and investors. Warren’s bill would put a 100 percent tax on those fees and ban dividends for two years after a transaction.
            The bill requires funds to share responsibilities and liability for the target company’s debt, including for legal judgments, violations of the WARN Act (a law that requires companies to give 60-day notification to employees about plant closings and mass layoffs), and pension-related violations. So if a company takes on a bunch of debt in its turnaround effort and fails, the private equity fund is on the hook to deal with the fallout, which isn’t the case now.
            -The bill closes the carried interest loophole.
            -It moves certain parties — namely, workers and consumers — up the totem pole in bankruptcy proceedings. It prioritizes worker pay in bankruptcy proceedings and clarifies that gift cards count as consumer deposits, moving them up in line for payouts as well.
            -The bill increases transparency to investors, including requiring the Securities and Exchange Commission to issue rules that require annual disclosures of information such as fund ownership interests, debt, performance, and fee payments.
            -It reinstates a Dodd-Frank Act requirement that requires the parties that arrange debt obligations to retain some risk.”

  24. For further qualification the Fed rate is a range presently 2.25 to 2.50. I do not think a range of 2 to 2.25 is using all the ammunition since it was .25 to .50 on his election day.

  25. QE is essentially MMT it is just the monetization of debt. Both the Republican established and the Democrats are Globalists. They just appeal to their voters like Mr. Banker appeals to his victims I mean clients. The goal is the same. Trump only has his voters who try to keep the Republicans in line. Anyone who sees politics through a Republican or Democrat lens has already been duped. It is Globalist or non Globalist. What is their voting record on immigration and trade? That is how you know whether they have been bought off. Arguing open borders based on humanitarian or economic reasons is just tailoring the argument to the audience. That is why the Bush family, Obama and the Clinton’s could become friends so quickly after leaving office, they all shared the same Masters and the same objective.

    2. Anyone who sees politics through a Republican or Democrat lens has already been duped. It is Globalist or non Globalist.

      When I realized this, politics made much more sense.

    1. OneAgainstMany,

      I’m not saying that Mrs Omar is quilty of immigration fraud, because I really don’t know at this point.

      But look how Trump had to go through a big investigation to determine he didn’t collude with the Russians.

      The immigration fraud is rampant, so it’s not far fetched to think it’s possible that this could of happened.

      I think it deserves a 35 million dollar investigation for 21/2 years done by Rep. FBI Investigators.

      1. I run with a retired auto exec from Ford. He’s about 30 years older than me, but he’s in excellent shape. One of the best runners in the country in his age category. He lived in Michigan for years and was the comptroller (as a side note, he won’t ride in my Tesla, so we take his Lincoln Navigator truck. He gets a new one every year as part of his excellent retirement package).

        He is a pro-DJT guy. His wife is as liberal as they come. They get along just fine. She confided in me that she was having a tough time making friends in their second house where the spend winters (my home town). Then she ran into a lady that she really got along with. Then one day they started talking politics and she said, “You know, Michelle Obama is really a man, right?” My friend’s wife said, “That’s when I realized that friendship just wasn’t going to work.”

        I mean, this was an educated lady and she had just gone down the rabbit hole. It’s not even that she minded having different opinions, but the lack of critical thinking required to get to “Michelle Obama is a man” is just astounding. I put Ilhan Omar’s accusation of immigration fraud in the same bucket. It doesn’t dignify a response because it is a contrived issue spouted by coordinated political hacks. I think it is totally fine to question Omar’s positions on immigration or her attacks on Israel (which I happen to agree with; I think we are far too cozy with Israel). But to engage in this type of slander weakens our democracy. It is about as low as when George Bush pushed the “black baby” narrative against John McCain in 2000.

        1. If you doubt DJT’s attack on The Squad was successful, look no further than the bandwidth on this blog that it generated, or the news reports about the new Trump campaign rallying cry (“Send her home!”). Love him or not, it’s hard to imagine the Dumbocrats fielding a candidate who can rise to the level of Trump’s political skills.

          1. Love him or not, it’s hard to imagine the Dumbocrats fielding a candidate who can rise to the level of Trump’s political skills.

            This I agree with, which is kind of sad. I would hope that at some point the election would be about issues. Sadly, it seems to be about tribalism and playing on peoples’ emotions.

          3. (“Send her home!”)

            If this keeps up for too long, I think it will backfire. Omar was greeted at the Minnesota airport by chants of “Welcome home Illhan.” The “send her back” chants are fodder for DJT’s base, but it is a terrible look for wider support from independents. People who are on the fence about pulling the lever for DJT will recoil by that. Our state (one of the reddest in the country) is currently saying that only 33% would vote for DJT. Melania and Ivanka were said to be very upset by this chant and pushed on DJT to denounce it, which is why he said “He didn’t agree with it.” (closest think you’ll get from an apology).

            DJT will win next election most likely unless there is a recession or war. But US demographics are changing very rapidly.

          4. I would hope that at some point the election would be about issues. Sadly, it seems to be about tribalism and playing on peoples’ emotions.

            In the end that’s what all elections are about. No point in having unrealistic expectations.

        2. Ok, OneAgainstMany, but I didn’t say I thought it was true or not. I would need a lot of proof .

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