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These Banks Are Lending Millions Of Dollars Without Doing Due Diligence

A report from the Business Observer Florida. “Commercial real estate professionals surveyed by PwC believe 2020 will be as robust as the previous year or few years, according to an annual litmus test of the industry. ‘What we’re not doing is re-inflating a bubble,’ says PwC Partner Mitch Roschelle and head of the consultant’s national real estate advisory practice, alluding to the cause of three of the past four economic recessions, when housing, credit and savings and loan recklessness melted growth down.”

The Kokomo Tribune in Indiana. “Scott Pitcher, a prominent local developer whose projects have in many instances received city incentives, says those incentives are needed to make the projects a reality and obtain bank support. ‘What people have to understand is: this represents $15 million worth of product, somewhere around there. It takes the city partnership, the developer partnership and the banking partnership. These banks are lending millions of dollars without doing due diligence work, without studying.'”

“A collection of nearly-completed and recently-started housing projects in downtown Kokomo has re-sparked questions about the number of apartments in the city, specifically its center, and whether the market has been overbuilt. Matt Johnson, an architectural designer with Fortune Companies, said the group fields calls nearly every day on its other, under-construction apartment projects ‘from people looking for these kind of products.'”

From Crain’s Cleveland Business in Ohio. “Plans to redevelop the expansive and vacant Star of the West property, and its looming grain towers, are underway, with early discussions of rehabbing the site into a mixture of restaurants, retail shops and housing. Kent City Council member Gwen Rosenberg said council has not identified specific parameters for what it would like to see go into the site, but the general consensus favored local business ownership over a chain and council would like any housing proposals to focus more on the empty-nester and/or the young professional market rather than student housing.”

“‘There was just a housing study that was done that (found) we are pretty well saturated, if not oversaturated, with student housing,’ she said.”

From Mansion Global. “Mansion Global looked at the top 10 most expensive condo sales last year, and how their tax bills would rise under the proposed changes. Among them, some trophy homes along Billionaires’ Row in Midtown Manhattan—an already softening segment of the city—would see tax bills more than quadruple. ‘It will wreak havoc,’ said Douglas Elliman agent Holly Parker. ‘It would just cause absolute pandemonium. You can’t change people’s obligations that dramatically, even with a phase-in period.'”

“Ms. Parker said two of her biggest clients, wealthy families from Thailand and the Middle East, have decided to stop doing business in the city because of an array of new regulatory and tax changes. She predicted a spike in property taxes would only drive other affluent investors out of the city. ‘If you’re sitting in the middle of an empty movie theater, do you then raise the price of a ticket?’ she said.”

From Curbed Los Angeles in California. “With home prices in Los Angeles just about as high as they’ve ever been, most buyers probably aren’t eager to get into a bidding war. Fortunately, a new report from Zillow shows that the number of homes sold above asking price declined significantly in 2019—at the same time as price growth tapered off. In the Los Angeles metropolitan area (which includes Orange County), the share of homes that sold for more than the listed price dropped from nearly 35 percent in 2018 to 28 percent in 2019. It was the first year since 2014 that the percentage of homes sold above asking price dropped below 30 percent.”

“Zillow points to a brief surge in inventory—or the total number of homes listed for sale—as a potential reason for the drop-off in below-asking-price sales. In the first half of 2019, buyers had more options to choose from, meaning some may have been less willing to go out on a limb to close deals. ‘There wasn’t quite as much competition last year,’ says Hattie Ramirez, a real estate agent with Keller Williams. ‘Instead of five or six offers on a good property, you might see three or four.'”

The Press Democrat in California. “In Sonoma County, the gap between the cost of buying and renting has narrowed significantly since 2017, according to a recent report by Realtor.com. During the fourth quarter of 2019, it was 25% more expensive countywide to buy than to rent — down from 39% more costly to buy in the same October-through-December quarter of 2017 based on monthly mortgage costs and rents. The softening and rebalancing local housing market has been good news for those who can afford to buy and have been sitting on the fence, as interest rates on mortgages decline and home prices plateau or decline.”

“‘I don’t see that many new buyers,’ said real estate agent Erika Rendino. ‘When interest rates come down, it might mean $100 or $200 less a month for the monthly mortgage payment, but there’s nothing out there for $300,000. Those people are out, it doesn’t matter if the interest rates are 2%.'”

“Cody Horvat, a spokesman for Realtor.com, said part of the reason is the share of income needed to buy a house also has declined. During the October-through-December quarter of 2017, the median-priced home in Sonoma County required 71% of the median income. That rate dropped to 57% during the fourth quarter of 2019. David Rendino of Re/Max Marketplace said he sympathizes with those who pray for the housing market to collapse. ‘We see a lot of people rooting for that. That’s really sad,’ Rendino said of the pricey local housing sector.”

“A.J. Ward, who works as a sales and marketing manager for Sonoma Canopy Tours, said he feels bad for hoping for a complete collapse of the local housing market. He knows that many homeowners would suffer. ‘I hate to be that guy that’s hoping for that to happen,’ he said. ‘But at the same time it’s my only way out. It’s the only way that I can have a family here.'”

The Houston Chronicle in Texas. “While most of the nation saw home foreclosures decrease, demonstrating a housing market recovery, Texas saw a spike in bank-owned properties. Some of these are concentrated in Houston’s suburbs, where vast square footage meets desirable school districts. Take a look at some bank-owned homes for sale south of town: 2959 Buffalo Springs Lane / list price: $472,000 / size: 4,492 square feet: Built in 2014, this five-bedroom house has been sitting on the market for roughly three months. Priced at $105 per foot, the Hidden Lakes property also includes a summer kitchen and expansive backyard.”

“576 Southampton Lane / list price: $324,900 / size: 3,203 square feet: This Westover Park home features recent upgrades and an expansive, modern kitchen. 411 Creekside Drive / list price:$449,900 / size: 4,125 square feet: This 1994 foreclosure has potential but will need a lot of remodeling to get it back in top shape. The gated five-bedroom house has a swimming pool, three-car garage, study, media space and oversized lot. Outside, the pool with stone water feature and slide will need to be cleaned up, since it’s been neglected while under bank ownership.”

“2578 Costa Mesa Circle / list price: $377,900 size: 4,805 square feet: This waterfront home has six bedrooms, master suite with fireplace, media room and a three-car garage with an attached porte-cochere. While it’s in dire need of reno work, the 2003 house could be a good deal for those in the market to flip a great suburban property.”

This Post Has 170 Comments
  1. ‘an architectural designer with Fortune Companies, said the group fields calls nearly every day on its other, under-construction apartment projects ‘from people looking for these kind of products.’

    Behold a mania. This has been a greater fool market for at least 5 years, and that’s how I was able to spot it as a bubble. Which is why they get overbuilt, cuz nobody cares about rents or supply demand, basic logic etc. They just have greed.

    1. Any idea of how long it will take this mania to unwind? It seems like it should have already done so, but hair-of-the-dog intervention beginning cerca 2009 has given it many years of extra life.

      1. I’ve given up on even thinking about when this may end. Like the stock market, it JUST.KEEPS.GOING. I guess central banks really have figured out that you can have free lunches forever.

          1. Investors who gamble by leveraging themselves to the hilt in order to go bigly long in risk assets, such as stocks and housing…

            Gamblers rule,
            Savers drool.

      2. When 30y mortgage rates hit 5% about a year ago, the RE market started choking on its own vomit like 27 year old rock star. Since then, the Fed’s interest rate and REPO Heimlich maneuver has the patient back on stage doing another encore before mesmerized fans. My guess is that they can do this at least a couple more times. If they can push 30y mortgage rates below 2%, it will probably induce another surge in home buying. Then they still have room to do it one more time hitting the negative rate boundary. The average person doesn’t care how much a house costs. They decide based on the monthly payment. I may be biased because I live in SoCal and don’t see any end in sight for the RE bubble. A year ago I would have said otherwise.

        1. Since then, the Fed’s interest rate and REPO Heimlich maneuver has the patient back on stage doing another encore before mesmerized fans.

          Hello? Hello? Hello?
          Is there anybody in there?
          Just nod if you can hear me
          Is there anyone at home?
          Come on now
          I hear you’re feeling down
          Well I can ease your pain
          Get you on your feet again
          Relax
          I’ll need some information first
          Just the basic facts
          Can you show me where it hurts?
          There is no pain you are receding
          A distant ship smoke on the horizon
          You are only coming through in waves
          Your lips move but I can’t hear what you’re saying
          When I was a child I had a fever
          My hands felt just like two balloons
          Now I’ve got that feeling once again
          I can’t explain you would not understand
          This is not how I am
          I have become comfortably numb
          Okay
          Just a little pinprick
          There’ll be no more, ah
          But you may feel a little sick
          Can you stand up?
          I do believe it’s working, good
          That’ll keep you going through the show
          Come on it’s time to go
          There is no pain you are receding
          A distant ship, smoke on the horizon
          You are only coming through in waves
          Your lips move but I can’t hear what you’re saying
          When I was a child
          I caught a fleeting glimpse
          Out of the corner of my eye
          I turned to look but it was gone
          I cannot put my finger on it now
          The child is grown
          The dream is gone
          I have become comfortably numb

        2. “When 30y mortgage rates hit 5% about a year ago, the RE market started choking on its own vomit like 27 year old rock star. Since then, the Fed’s interest rate and REPO Heimlich maneuver has the patient back on stage doing another encore before mesmerized fans.”

          Now that’s alliterative prose. LMFAO!

        3. totally agree the market in So Cal really was turning in the 700k and below market which is, try not to laugh, entry level SFR on the coasts. That ended in September and its been back to the moon since. The country was on a good path with 5% interest rates but the jaw boning of the Fed to help Trumps relection bid worked and here we are.

          Houses used to sit and within 2 months bidding wars returned. I big on a house after it sat for months. Couldn’t come to an agreement and the listing agent told us the sellers were so happy to get their first offer. It didn’t pencil out and we were about 25k apart. He wound up falling out of escrow once and when it relisted had 5 offers over asking. All for a house that no one wanted just 2 months earlier. Inventory has been flying off the market at the end of 2019.

          1. Likewise, I’m seeing fairly brisk turnover in the $1-1.5M range in the North County Coastal and Poway areas. My friend’s San Elijo Hills home is pending. She should hear back on her Carlsbad offer today. And, I’ve seen at least two $1.5M Poway properties go pending with not even 2 days on the market.

          2. Wa happened again?

            $1,995,0005 bd
            7,402 sqft
            Price cut: $105K (1/8)18121 El Brazo, Rancho Santa Fe, CA 92091

            1/8/2020 Price change $1,995,000(-5%)
            12/6/2019 Price change $2,100,000(-4.5%)
            10/31/2019 Price change $2,200,000(-3.9%)
            10/3/2019 Listed for sale $2,289,000(+2.8%)
            9/24/2018 Sold $2,227,500(+201%)
            4/3/2006 Sold $740,000(+19.8%)
            8/19/2005 Sold $617,500

            https://www.zillow.com/homedetails/18121-El-Brazo-Rancho-Santa-Fe-CA-92091/250070614_zpid/

            UHS.com says it’s a foreclosure:

            01/08/2020 Price Changed $1,995,000 $270
            12/06/2019 Price Changed $2,100,000 $284
            10/31/2019 Price Changed $2,200,000 $297
            10/03/2019 Listed $2,289,000 $309

            Days on Realtor.com 130 days

            https://www.realtor.com/realestateandhomes-detail/18121-El-Brazo_Rancho-Santa-Fe_CA_92067_M94106-15647?view=qv

            130 days? But you just said 2! What are you waiting for? The views, fresh air!

          3. BTW, it took me a couple of minutes to find these foreclosures. Right out in the open on the intertubes. But we’re told there aren’t any. We’re told a lot of things these days.

          4. Wa happened?

            Good question! BTW, Escondido may be adjacent to Poway but is an entirely different market for a number of reasons.

            I previously joked about this lipstick on a pig that sold on 12/9/2019 for $880K whose neighbor had an old RV that was hidden during open houses: https://www.zillow.com/homedetails/12831-Stone-Canyon-Rd-Poway-CA-92064/16747212_zpid/

            The neighbor went into default a month after they closed: https://www.zillow.com/homedetails/12833-Stone-Canyon-Rd-Poway-CA-92064/16747211_zpid/

            But we’re told there aren’t any. We’re told a lot of things these days.

            My only guess as to what’s going on is people are believing the narrative they’re being fed by their realtors and the media and/or are fed up with unaffordability and capitulating with FOMO.

          5. Flying off the shelves in Poway…except (apparently) those foreclosure homes that are going to auction.

            What gives?

          6. “We’re told a lot of things these days.”

            Market opacity increases the bid spread, and the chances that some greater fool will massively overpay.

          7. Good question! BTW, Escondido may be adjacent to Poway but is an entirely different market for a number of reasons.

            Poway is considered “up class” while Escondido is not.

          8. Poway is considered “up class”

            Not really, but with one of the top school districts in the county it is unquestionably more desirable than Escondido. Infrastructure and topography are also contributing factors. SR-56 provides relatively easy access to work centers in Sorrento Valley. Driving to those locations from Escondido is circuitous by freeway or windy and unpredictable using back roads.

          9. side yard

            The new owner extended the fence between the houses. The shared driveway is still rough. Good luck getting that fixed now.

          10. $2.399M pending same day as listing: https://www.realtor.com/realestateandhomes-detail/18365-Old-Coach-Way_Poway_CA_92064_M19277-10210?view=qv

            Two other possible explanations for what I’m seeing: these quick sales are pocket listings; this location has become more desirable since the SALT cap because of its lower tax burden (no Mello-Roos) and no or low HOA fees. I’m sure the designated and highly-rated elementary school has something to do with it too.

          11. ot really, but with one of the top school districts in the county it is unquestionably more desirable than Escondido.

            OK, it’s not La Jolla. But back in the day when I worked at HP in RB, a lot of my coworkers were very snobby about the fact that they lived in Poway,

    2. You only need to look at Kokomo on a map to see that this is a bubble. There is nothing for MILES. Like, Indianapolis is 50 miles away, and Indianapolis is hardly a hotbed of $125K+ jobs which are worth an hour’s commute. It’s an Oil City town, a bugout town.

      Apartments in downtown Kokomo? Does Kokomo even have a “downtown?”

      1. Oh, it doesn’t matter – build it and they will come! Seriously, this is happening everywhere. Little podunk towns with a “downtown” that you’d miss if you blinked are sporting new attached product. Why? Because the land is so goddamned expensive that builders need to maximize their profits on each parcel. The bubble is in the land, and around here it’s selling like hotcakes, still. Land prices are MUCH higher than last time.

        1. I know you’re being facetious, but seriously, why would land be expensive in “downtown” Kokomo? Land is only as valuable as its ease of commute to jobs, agricultural value, natural resources, or recreation value. In Kokomo, there is no traffic, there’s already agricultural land as far as the eye can see (more soy than a Hillary rally), and there are no minerals or oil or waterways, and nary a bump much less a mountain view.

          So why is the land so valuable that only luxury attached product pencils out? Who is funding all this? I mean, I realize that banks are practically giving away money for free* and it needs to be spent on SOMEthing. But surely there are more valuable things to buy than downtown Kokomo. Like, scrap metal or garlic warehouses or MCT oil or toll roads or parking meters.

          ——————-
          *which for some reason, nobody seems to realize that they need to pay back the principle. They even think houses are ATMs, when in fact they are morel like cash advances on a credit card.

  2. There wasn’t quite as much competition last year,’ says Hattie Ramirez, a real estate agent with Keller Williams. ‘Instead of five or six offers on a good property, you might see three or four OFFERS UNDER ASKING.’”

    Hattie, small details can tell a lot. Stop lying and stock up on ramen.

  3. Yes, a partnership where the city assumes the risk and any losses, the development only assumes the risk of no profits, but will not share any profits it does receive with the city, the bank will profit and assumes no real risk.

  4. ‘David Rendino of Re/Max Marketplace said he sympathizes with those who pray for the housing market to collapse. ‘We see a lot of people rooting for that. That’s really sad,’ Rendino said of the pricey local housing sector’

    ‘A.J. Ward said he feels bad for hoping for a complete collapse of the local housing market. He knows that many homeowners would suffer. ‘I hate to be that guy that’s hoping for that to happen,’ he said. ‘But at the same time it’s my only way out. It’s the only way that I can have a family here.’

    This seems to be California thing primarily. What’s the use in ‘hoping’ or ‘rooting’? What’s gonna happen will happen. It’s like these foreclosures piling up around the country. I didn’t root for that. But remember the year after year of drip, drip, lower lending standards?

    Well there you go – baked in the cake defaults. And it should be pointed out that while I was able to document these many drips, for years, the MSM is to this day pushing their horse-sh!t idea of “sound lending”.

    1. And the shortages, Dont forget the shortages! Sounds lending… perhaps their idea if “sound lending” is lending that ANYONE can qualify for ie, keeping the banksters busy and the fake ecomony trajectory to the moon

    2. The problem with these “baked-in-the-cake defaults” is that they never become available to individuals or families who want to buy them, they remain in the hands of the oligarchy.

      1. I helped buy one a couple of weeks ago at the courthouse. And there’s more every week. These Houston shacks are bank owned cuz no one bid at the courthouse.

        This has been going on for years:

        ‘Pensam Provides $56M Refi for Newly Built Florida Community
        The loan will finance the property’s lease-up and retire a $45 million construction mortgage.’

        https://www.multihousingnews.com/post/pensam-provides-56m-refi-for-newly-built-florida-community/

        $11M cash out refi, right out of the gate.

        1. “I helped buy one a couple of weeks ago at the courthouse”

          Was it anywhere near a decent price? Don’t need details, just wondering generally. The foreclosures and bank short sales in coastal CA go for so close to market value there’s no point even considering one.

          1. ‘Was it anywhere near a decent price?’

            No, I bid on it to lose money. Came in a few thousand under my high (against the bigs who were overpaying for everything 2 months ago), and significantly less than the lender was owed. Sux to be them.

            It’s on.

      2. Which is too bad. Maybe this is a spot for the gov to step in and offer 125% loans to end-user families who will buy a fixer-upper and do the repairs.

  5. (Taking out my tiny violin)

    “David Rendino of Re/Max Marketplace said he sympathizes with those who pray for the housing market to collapse. ‘We see a lot of people rooting for that. That’s really sad,’ Rendino said of the pricey local housing sector.”

    “A.J. Ward, who works as a sales and marketing manager for Sonoma Canopy Tours, said he feels bad for hoping for a complete collapse of the local housing market. He knows that many homeowners would suffer. ‘I hate to be that guy that’s hoping for that to happen,’

    If people are buying homes as their intended use rather than ATM machines, this should not be a problem. As seen here before “Crashing housing prices is good for the economy” -Mafia Blocks

    1. Houses are not ATM machines; they’re cash advances on a credit card. Principle needs to be paid back, people, not just the minimum payment. (now, if only banks followed that)

      1. “ Principle needs to be paid back”

        Not the average mindset of todays loan buyer. They know they can walk away if their “investment” goes south. If it appreciates, then more cash available to withdraw

  6. porte co·chère
    /ˌpôrt kōˈSHer/
    noun: porte cochère; plural noun: portes cochères

    -a covered entrance large enough for vehicles to pass through, typically opening into a courtyard.

    -a porch where vehicles stop to discharge passengers.

    Origin
    late 17th century: French, literally ‘coach gateway’.

      1. It is getting to be more like public sector workers retire in their 50s and private sector workers die.

      2. It is getting to be more like public sector workers retire in their 50s and private sector workers die.

        which govs? fed retire is ~60 with minimal pension start 62 and it gets higher for new hires

        It’s as much older vs younger as it is govt vs private with the systematic unwinding of private pensions plans, unions, and multiple wage scales.

        Growing up in Michigan, there was an entire generation of union retirees who had a comfortable, though materially simpler ( a good thing IMHO) life on average. Their children found the same jobs but with the pensions being phased out. Their grandchildren are applying for those same jobs at reduced wages compared to their parents.

        Just one data point, but I think it illustrates things well.

        My parents are retired with my father having a very comfortable pension from 35 years in the Michigan education system (union, finished as a district superintendent). They did pay in to the system all those years, but the payout is even better, which is why it’s going away for new people. Their golden years are a lot of fun, and very secure for them.

        My brother (who is not getting divorced after some last minute events, but still needs to be red pilled) has been in the Georgia educational system for 25+ years. He has just been scraping by financially for the past decade, mostly due to ex-wife, child support, and current wife (was a Realtor! convinced him to buy too much house in ’08).

        I’m not sure if he is union, but I do know that’s gone without even a COL raise about half the years in the past decade. His retirement (assuming it’s a pension setup) is not as generous, but it’s apparently not available at all to workers new to the education system there. His retirement will be tricky depending on what happens in his life – house paid off or not? divorced again or not? what level of spending will she demand? etc.

        Me? I’m rolling the dice as I can’t rely on any one job lasting more than 3 years. Last time I worked for a big, stable, rich company – (the Walt) Disney corp, my entire team and several others were laid off without warning, and without regard for how well the product line we made was performing (plug pulled as part of bigger product line purge). Though in my 50s, I’ve still got a number of financial hurdles to somehow achieve before I can retire and no certainty that steady progress can be made.

        Growing up In the 60s and 70s, my parents story was the default (granted I was in the midwest) and most common expectation.

        Today, I think my situation – starting over/from zero later in life (thanks divorce court!) without a safety net is more common.

        1. thanks for your intriguing share Spiffy! Guess your parents forgot to warn your brother “never marry a realtor!”

          1. Guess your parents forgot to warn your brother “never marry a realtor!”

            I’m not sure how intriguing my nutty life is.

            As for my brother, his story is more of a cautionary tale:

            He was on the rebound after divorcing his first wife for cheating on him multiple times, when he met wife #2. His new wife was hot, but nearing the wall, and ready to make babies. My bro is 6′ 2″, conventionally rugged and handsome, and unfortunately quite blue-pill. He makes, I don’t know.. maybe $70-80k ish.

            She was a realtor during the last decade boom, and after getting with my brother, convinced him to buy a new construction house (3500 sqft, 5 bed/4ba) in the Atlanta Suburbs for $350k…. in July 2008. (and then fill it with all the new furniture, etc)

            Of course, her income from prior years of easy sales was part of the qualification necessary. Not only was that going to dry up because of a) the market imploding, and b) her “taking time off’ to have baby, but that c) He married her not knowing she had not bother to file a tax return or pay income taxes for the prior 3 years (!!!).

            So saddled with a new kid, mortgage, and an upside down house, he went through the wringer – working all the extra odd jobs/side jobs he could, getting deeper in debt, unable to get mortgage relief/refinance, and wound up filing for Bankruptcy – just him, not her.

            He spent years and years on the ‘get out of debt’ treadmill, but still having to spend on things like vacations that she demanded in order to keep the peace/ceasefire at home.

            Of course once pregnant, and not providing up to her expectations, the bedroom went dead. He made it much worse by taking up a couple offers from admirers after a couple years of not getting any at home, was found out, then spent the next decade being put through hell trying to make his marriage work (she had ‘anger issues’ even before all this).

            She did finally go back to work as the kid entered school- and I suspect she’s had an affair or two enabled by that. Though I think her quest (hypothetical – Mrs Spiffy and I suspect it, Bro’s in denial) for possible alternatives/upgrades must have fizzled (monkey branch options not there) leader her to recently decide to ‘try and make things work’.

            His child support payments just ended, but he as some college obligations which will be over in a year. He’s a tired beast of burden – though he having some enjoyment in side job again that takes him to other states and countries now and then.

          2. “My bro is 6′ 2″, conventionally rugged and handsome, and unfortunately quite blue-pill.”

            “God ain’t made a man that could stand up to the power that lays between a woman’s thighs. You see, the hold that little cooter has on a man’s life is unbreakable. It can bring a strong man to his knees.” —Prentice Ritter, Broken Trail, about why he lives on the range.

          3. I don’t .. dislike .. her for being a realtor – there are other more pressing reasons for that.

            Not disclosing she hadn’t paid her taxes in years, and then effectively tricking my brother into being responsible for paying them by marrying him and getting knocked up is where I start.

            She’s a preacher’s daughter, and has probably been an 8 – 8.5 or so most of her life, so she has the classical female entitlement that often comes with being treated as pretty and used to getting her own way and not being held accountable for her actions.

            Yes, my bro did himself no favors by cheating, but for the next 10 years he went into full repent mode, determined to make it work for his son due to guilt over his divorce’s impact on his other child. And for 10 years she has used that at carte blanche to take out anything and everything on him, while treating him like crap, and even when I have been able to get him to see how wrong it is, he believes himself trapped because of his son.

            A year or so ago he was lying on the floor, curled up in a fetal position while she was kicking the sh*t out of him non-stop, and then she told friends that she had done that. In there was the threats that if he called the cops, she would hit herself and say he was beating her up. she totally knows how to exploit the Duluth model. He has many recording of her screaming profanity laden tirades full of threats.

            I was certain they were going to divorce, but about 5 months ago she flipped her stance and agreed to try an intensive church-based couples counseling retreat, and came out of it ‘willing to give it one more chance’ though intimacy is not included apparently. This is one of several reasons that make me think that plan B fell through for her.

  7. Opinion: Stock market investors’ motto — ‘in central banks we trust’ — is still working
    By Nigam Arora
    Published: Feb 10, 2020 10:23 a.m. ET
    Liquidity injections are prompting a rise in stock prices
    AFP/Getty Images

    China is the factory to the world. There are now conflicting reports about factory openings in the aftermath of the coronavirus. That matters to the economy and, of course, companies.

    It has always been the job of government and companies to spin stories. Perhaps today the same is being done with the coronavirus’ impact.

    In our analysis at The Arora Report, the impact of coronavirus on China’s GDP for the first quarter will be at the rate of about 1.5%. China is still the growth engine of the world. It will drag down world growth. Should investors care? Price action in the stock market shows that most investors do not care. Paradoxically, such investors may be right.

    The current motto of investors is: “In central banks we trust.” Central banks have shown that they stand ready to put lipstick on everything to drive stock markets higher across the world. What can possibly go wrong? So far it has been a free lunch. Let’s examine with the help of a chart.

      1. Is it possible that Corpooration$ $ecured Hotel$ & Aeroplane ride$ for $taff attending these event$ in advance?

        CYCLICAL CON$UMER GOOD$ |FEBRUARY 10, 2020,

        Global Grain conference in Singapore postponed due to coronavirus

        PARIS, Feb 10 (Reuters) – The Global Grain Asia conference scheduled for March 9-11 in Singapore has been postponed by at least three months due to the coronavirus outbreak, organisers of the event told Reuters on Monday.

        The event will now take place either on June 17-19 or on June 29-July 1, they said.

        The death toll from the coronavirus epidemic rose to 908, all but two in mainland China, on Sunday as 97 more fatalities were recorded – the largest number in a single day since the virus was detected in the city of Wuhan in December.

        Several virus infections have been linked to an international business meeting in Singapore last month, heightening concerns about the spread of the disease outside China. (Reporting by Sybille de La Hamaide, editing by Bate Felix)

    1. $ynchronized Global $lowing is a $ocial Media digital myth!

      Market$
      Treasury Inversion Is Not About the U.S., It Is About the Whole World.

      Half of world’$ haven pool is Trea$urie$: Eurizon’s Jen

      Bloomberg |By Anchalee Worrachate and Liz McCormick |February 10, 2020

      ” … Treasuries now make up more than half of all global haven assets, double the share they accounted for during the financial crisis, according to Eurizon SLJ Capital. That complicates matters when long- and short-term yields flip: What used to be a reliable American recession indicator is instead an barometer of investors diving for cover worldwide.”

      “In a grab for safety and duration, everyone is going for U.S. Treasuries,” said Gregory Faranello, the head of U.S. rates at AmeriVet Securities. “The yield curve inversion is a signal now of global growth issues, and not really reflecting what is going on in the U.S.”

      Bond yields typically rise alongside the duration of debt because they provide compensation for the effects of inflation. If rates on a 10-year note are lower than a three-month bill it suggests investors have a pessimistic view of growth and inflation a decade from now.

      “When Treasuries become most dominant, investors from anywhere in the world naturally buy of lot of these bonds when they want a safe haven,” said Jen. “The yield curve in the U.S. is increasingly reflecting the fears of the rest of the world.”

      — With assistance by David Westin

  8. China’s Businesses Struggle to Resume Work

    Operations are slow to restart, with many workers unable to reach factories or offices and supply chains disrupted

    ‘Business was slow to restart in China on Monday, even after some local governments stopped calling for people to stay away from the workplace during a coronavirus outbreak that has killed more than 900 people in the country and dented economic growth.’

    ‘Workers remained stranded, unable to reach their factories. Office towers stayed dark as companies asked employees to work from home. In the few open stores in deserted malls, bored clerks played smartphone games.’

    “None of the workers are able to come back for work,” said Luo Xiaoying, who owns a motorcycle-muffler factory in southern China’s Guangdong province. “Our production has been suspended for almost a month now, and we don’t know how long this will last.”

    ‘Even when her employees return, Ms. Luo is uncertain whether they can build or sell anything. Her suppliers and clients are also shut. “The whole supply chain is paralyzed,” she said. She estimates she could reopen in April and resume full operations in May. “That means no income for almost half a year,” she said.’

    https://www.wsj.com/articles/chinas-businesses-struggle-to-resume-work-11581342727

    Just in time.

    1. “Row, row, row yer boat slowly across the sea, merrily, merrily, merrily, export sales are but a dream” (U$D heading to $99.9)

      MARKET NEW$ |FEBRUARY 10, 2020 / updated 4 HOURS AGO

      Baltic index down on lower capesize, supramax ve$$el rate$

      (Reuters) – The Baltic Exchange’s main sea freight index declined on Monday, with weaker demand for capesize and supramax vessels outweighing stronger rates for the panamax category.

      * The Baltic index, which tracks rates for capesize, panamax and supramax vessels to ferry dry bulk commodities, fell 4 points, or 1%, to 411.

      * The capesize index fell 20 points to a negative 254, down for the 42nd straight session.

    2. “The whole supply chain is paralyzed,” she said. She estimates she could reopen in April and resume full operations in May. “That means no income for almost half a year,” she said.’

      Yet rosy Chinese official data indicates that Everything is Awesome!

    3. “Just in time” … NYMEX Crude Oil CLc1: $49.56 … $ad

      BUSINE$$ NEW$| By Liz Hampton FEBRUARY 7, 2020,

      National Oilwell Varco warns virus fallout could hit supply chain

      (Reuters) – U.S. oilfield equipment supplier National Oilwell Varco (NOV.N) on Friday called the coronavirus a “wildcard” in the oil industry’s outlook, with an extended outbreak potentially hurting access to Chinese-make materials and foreign sales.

      The Houston-based company said further shutdowns at its Chinese suppliers could limit its production of certain products such as fiberglass resins and drilling pipe.

      [There is] still a lot of uncertainty related to the extent to which this will impact operations,” Jose Bayardo, chief finance officer, said on an earnings call with investors.

      China also is a growing market for its products, he said.

      Chief Executive Clay Williams added that he was equally concerned about the virus’ impact on global oil demand, which could affect its oil and gas customers. National Oilwell is one of the largest suppliers of oil drilling equipment.

    4. With over 10% of the confirmed coronavirus deaths so far occurring just yesterday, this has to be a very tough day for China to go back to work.

      It’s also a historically bad time to be on an ocean cruise vacation.

      1. Ignore all the bad news and trust Gollum Sux: The coronavirus outbreak is contained.

        Live Updates
        Coronavirus kills 97 people in one day, while cruise ship cases almost double
        By Jessie Yeung, Steve George, James Griffiths, Adam Renton and Amy Woodyatt, CNN
        Updated 1:58 p.m. ET, February 10, 2020
        What you need to know
        — The virus: The Wuhan coronavirus killed 97 people in China yesterday, and has killed 910 people globally since the outbreak began, according to authorities. More than 40,000 people have been infected.
        — Deadlier than SARS: Since its outbreak in December, the Wuhan coronavirus has killed more people than the severe acute respiratory syndrome (SARS) outbreak, which claimed 774 victims globally from November 2002 to July 2003.
        — Coronavirus cruise: There are 65 newly confirmed coronavirus cases on the Diamond Princess ship docked in Japan, bringing the total number on board to 135.

        1. If they keep everybody locked up in that ship, it seems plausible that they’ll all end up with it. If I were a degenerate gambler, I’d short all cruise lines at this point. This will have long-lasting implications for the industry.

          1. If they keep everybody locked up in that ship, it seems plausible that they’ll all end up with it

            Crossed my mind as well.

          2. If they keep everybody locked up in that ship, it seems plausible that they’ll all end up with it

            That’s what I assumed would happen to all of us eventually based on the early numbers. However I’m becoming more open to the idea that only in situations like a Chinese city or a cruise ship where people are really packed together in the same “building” does it spread like that.

          3. I’m still puzzling over transmission. Is this contagious on surfaces? The answer seems to vary daily. There’s another superspreader wandering around, a “British national” business traveler who caught it in Singapore. I wonder if he is of Chinese descent — they don’t say.

            The Chinese also said that the virus can travel, well, through sewer systems. That might explain the cruise ship.

            Xi told Trump that heat will kill the virus by April. That might explain why this hasn’t spread in India, where it’s already probably as warm and April would be in China.

            Ugh, too many anecdotes, not enough data.

          4. well, through sewer systems. That might explain the cruise ship.

            I’m not sure what you’re imagining with that, but it is unlikely on a boat. I bet the air is recirculated big time though, which is the model for Legionnaire’s Disease.

          5. LIVE UPDATES
            Coronavirus Updates: Infection May Have Spread Through Hong Kong Building’s Pipes
            Dozens of people were quarantined at a Hong Kong housing complex after the virus appeared to spread through the building’s pipes. The number of total cases in China topped 42,000.
            Right Now
            Holland America cruise ship is denied entry to ports in at least five countries.
            Here’s what you need to know:
            — Two infections on different floors in one Hong Kong building raise fears of spread.
            — In China, the official death toll hits 1,016.
            — Cruise ship denied entry to at least five countries, despite no signs of illness.

          6. How did the Chinese know that the virus traveled through sewer pipes, instead of, say, the wall in a hallway or door of the building? Does the wastewater somehow leak into the drinking water or the showers and people take in the virus that way?

          7. Does the wastewater somehow leak into the drinking water or the showers and people take in the virus that way?

            For now I’m going to assume that’s not the case. But what about the sewer vents? There may be a cloud of virus over the building all the time?

          8. what about the sewer vents?

            Supposedly there was a bathroom renovation upstairs that let some “air through the pipes”.

        2. Close to 500 cases outside of China and two deaths. Of the cases resolved in the entire world, resolved as in dead or recovered it is over 4000 recovered and around 1000 dead. Read one expert estimate final mortality rate will be one percent. Not sure if that includes the death camps masquerading as hospitals in China were you have death rates as high as around 5 percent or just where some real medical treatment is rendered.

          1. “Not sure if that includes the death camps masquerading as hospitals in China were you have death rates as high as around 5 percent …”

            If that’s where most cases occur, the case fatality rate could easily be quite a bit higher than 2%.

  9. ““Ms. Parker said two of her biggest clients, wealthy families from Thailand and the Middle East, have decided to stop doing business in the city because of an array of new regulatory and tax changes. She predicted a spike in property taxes would only drive other affluent investors out of the city. ‘If you’re sitting in the middle of an empty movie theater, do you then raise the price of a ticket?’ she said.””

    Well the good news is Thailand and the Middle East are both excellent places to park capital. Very safe. These wealthy people are free to go to those safe havens with their clean money.

  10. “We’re losing our damn minds”: James Carville unloads on the Democratic Party’

    ‘Why the longtime Democratic strategist is “scared to death” of the 2020 election.’

    ‘Sean Illing: I wouldn’t endorse everything every Democrat is doing or saying, but are they really destroying the party? What does that even mean?’

    ‘James Carville: Look, Bernie Sanders isn’t a Democrat. He’s never been a Democrat. He’s an ideologue. And I’ve been clear about this: If Bernie is the nominee, I’ll vote for him. No question. I’ll take an ideological fanatic over a career criminal any day. But he’s not a Democrat.’

    ‘I want to give you an example of the problem here. A few weeks ago, Binyamin Appelbaum, an economics writer for the New York Times, posted a snarky tweet about how LSU canceled classes for the National Championship game. And then he said, do the “Warren/Sanders free public college proposals include LSU, or would it only apply to actual schools?”

    ‘You know how f-ing patronizing that is to people in the South or in the middle of the country? First, LSU has an unusually high graduation rate, but that’s not the point. It’s the goddamn smugness. This is from a guy who lives in New York and serves on the Times editorial board and there’s not a single person he knows that doesn’t pat him on the back for that kind of tweet. He’s so f-ing smart.’

    ‘Appelbaum doesn’t speak for the Democratic Party, but he does represent the urbanist mindset. We can’t win the Senate by looking down at people. The Democratic Party has to drive a narrative that doesn’t give off vapors that we’re smarter than everyone or culturally arrogant.’

    ‘I think the other side wants us to think there are no swing voters, that we’re doomed and it doesn’t even matter if you have a message because you can’t reach anyone. I think that’s bulls**t. I think that’s a wholly incorrect view of American politics. But look, if no one’s persuadable, then let’s just have the revolution.’

    ‘Falling into despair won’t help anyone, though. I mean, you can curse the darkness or you can light a candle. I’m getting a f-ing welding torch. Okay?’

    https://www.vox.com/policy-and-politics/2020/2/7/21123518/trump-2020-election-democratic-party-james-carville?mod=article_inline

    1. It’s heartbreaking to see the Ds start to identify what might be wrong with their own party…in public. Cough. My prediction is that he’ll just be written off within the party as another fascist from a bygone era.

      1. The real recriminations will start once whatever collectivist hack they put up against Trump loses in a landslide.

      2. I read that the other day.

        One the hand he does identify many of the core problems with their own party. One the other hand his statements are showing they are still super-glued to the ideology and status quo that is the root cause of most of their problems, and makes it clear they are a long LONG way from fixing them.

    2. When I read the phrase “career criminal”, the first person I thought of was Hillary. 🙂

    3. So Carville, Bernie is horrible but you would vote for him? I really do not believe you. You would want Bernie to lose so you could win with a globalist Democrat the next time. The Democrats lost their blue collar roots when Clinton was elected. Union Democrats were not for NAFTA and WTO status for China. Bill was and he was awarded handsomely and you did all right for yourself as his campaign manager.

    4. “The Democratic Party has to drive a narrative that doesn’t give off vapors that we’re smarter than everyone or culturally arrogant.’”

      Too late for that.

  11. “In an exchange that was widely shared on social media, 21-year-old Georgia college student Madison Moore asked the presidential hopeful to explain his poor performance in the Iowa caucus last week.

    “It’s a good question,” replied Biden, whose status as national frontrunner for the Democratic nomination was shaken by a damaging fourth-place showing in Iowa’s caucuses.

    “Have you ever been to a caucus?” he asked the Mercer University student, who nodded.

    “No, you haven’t,” Biden said. “You’re a lying, dog-faced pony soldier.””

    https://www.yahoo.com/news/biden-calls-voter-lying-dog-faced-pony-soldier-060740579.html

      1. He says that to a 20 year old young woman, then his campaign says it’s a joke and a John Wayne quote. I don’t buy it. This guy has a serious anger management issue.

        1. This guy has a serious anger management issue.

          Maybe working really hard to not touch anybody in public does that to you.

        2. I wanted to add that Biden is old and out of touch. Age is not just a number. Some people are able to age well and stay current, other people are old beyond their years. Biden is the latter. His story of a confrontation with “Cornpop” in addition to this latest gaffe shows it’s time for this fossil to hit the nursing home.

          1. He should offer free money to anyone who votes for him … oh wait … Andrew Yang already tried that, and it didn’t work.

            Maybe he could pose on a surfboard … oh wait … Gabbard already tried that.

            Hmmm … what’s a Dem to do?

        1. Dumber than rocks

          Basing an impeachment (treason) trial of our president wholly upon his inquiry into their own candidate’s embezzlement of funds has got to be the epitome of “dumber than rocks”. Biden’s crimes got mentioned a million times with the whole world watching.

          1. But WAPO told me it was debunked. Biden did nothing wrong. It’s perfectly normal to make that sort of money with Ukrainian oligarchs while your daddy is VP.

      2. He’s been insulting these people for weeks.

        Isn’t that standard procedure for any Dem who is criticized? Didn’t Senator Running Deer laugh at a dad who asked if he would get a refund for a child’s tuition he paid out of pocket, since he didn’t take out any student loans?

        1. I sincerely hope that becomes a campaign ad. Just clean up the audio and play it as is. That alone is enough to fry Warren.

      3. I’m shocked at how old these Presidential hopefulls are. Around 59 is
        the average age for Presidents to enter office..

        I don’t care how much these old people try to fool you, they are not fit for that job. Biden is really unfit in every way.

        Just because Bernie can scream out his talking points doesn’t mean he has a full deck. They are all snarly and can only answer soft ball questions.

        Bloomberg at 77 might be able to display the most intelligent responses, but he’s a Globalist who is also to old.

        Than you would need to look at who the VP picks of these jerks are because it’s likely they would get that spot. It’s all nuts , but this Country is becoming more and more nutty every year.

          1. He’s pretty much neck-and-neck with Fauxahontus in the charlatan category. Both corporate tools bought and paid for by their globalist oligarch donors.

        1. “…But this Country is becoming more and more nutty every year.”

          Sad but true. 🙁

          In particular, the founding fathers must be spinning in their graves looking at the cluster our government has become.

          1. “…looking at the cluster our government has become.”

            It’s exactly the kind of government that the blue-eyes can manipulate on the cheap.

  12. “What the hay happened to Kansas?”

    Funny how an economic implo$ion can suddenly change a dead.blood.red.state to poverty.blue, even after repubican “dirty.tricks” hoisted upon a write.in candidate! (Free text books! Good.gawd, what a $ocialist!)

    The 1930 Kansas gubernatorial election took place on November 4, 1930. Harry H. Woodring was elected Governor of Kansas, becoming only the fourth member of the Democratic Party to hold the position in state history. He won with only 34.96% of the vote, with the remainder being split between Republican candidate Frank Haucke and independent write-in candidate John R. Brinkley. Woodring’s final margin of victory over Haucke was just 251 votes, or 0.04 percent. The incumbent governor, Republican Clyde M. Reed, did not stand for re-election

    Campaign and voting controversy

    After losing his medical and broadcast licenses, “goat-gland doctor” John R. Brinkley decided to run for governor, a position that would enable him to appoint his own members to the medical board and thus regain his right to practice medicine. He began his candidacy in September 1930, just three days after he lost his medical license. He used his radio station to help his campaign, including recruiting a country music star to campaign for him. He also made use of several other publicity stunts. Brinkley campaigned on a vague program that included public works (a state lake in every county), education (free textbooks for public schoolchildren and increased educational opportunities for African Americans), lower taxes, and old-age pensions.

    1930 gubernatorial campaign advertisement, published in the Belleville Telescope. Touting Brinkley’s military service during World War I and decrying the loss of his medical license, the advertisement instructs voters explicitly how to vote for the write-in candidate.

    Because Brinkley announced his campaign so late, he had to run as a write-in candidate. Three days before the election, the Attorney General of Kansas (a known opponent) announced that the rules surrounding write-in candidates had changed, and that Brinkley’s name could only be written in in one specific way for the vote to count (as “J. R. Brinkley”). An article published at the time in The Des Moines Register estimated that between 30,000 and 50,000 ballots were disqualified in this manner.The successful candidate, Woodring, later admitted he would have lost had all of Brinkley’s votes been counted.

  13. ‘What we’re not doing is re-inflating a bubble,’ says PwC Partner Mitch Roschelle and head of the consultant’s national real estate advisory practice, alluding to the cause of three of the past four economic recessions, when housing, credit and savings and loan recklessness melted growth down.”

    The REIC isn’t reinflating the bubble. That’s being done by the Keynesian fraudsters at the Fed with their monetized debt and QE-to-Infinity.

  14. Ms. Parker said two of her biggest clients, wealthy families from Thailand and the Middle East, have decided to stop doing business in the city because of an array of new regulatory and tax changes. She predicted a spike in property taxes would only drive other affluent investors out of the city.

    Boo f**king hoo. What a tragedy if predatory oligarchs and money launderers decide not to take up residence in your city.

  15. Baltic Dry crashing to near all-time lows, while the Fed’s Ponzi markets are near their all-time highs. One of these things is not like the other.

    1. Yes. The headline grabbing Wall Street stock indexes are diverging from underlying measures of real economic activity by a shocking gap.

  16. “Long.live.the.Queen!, of Ireland” ( & Scotland & Wales!) … Why would Thee English, deny to others under.their.thumb, what they so dearly seek fer themslves?

    Irish election produces an earthquake as Sinn Fein tops poll

    PANdas | By JILL LAWLESS and NICOLAE DUMITRACHE

    “…Sinn Fein’s left-wing proposals for tackling Ireland’s housing crisis and creaking healthcare system proved a powerful draw for young voters in a country that is still dealing with aftershocks of the 2008 global financial crisis, which hammered its debt-driven “Celtic Tiger” economy.”

    Eoin O’Malley, associate professor of political science at Dublin City University, said the party’s past meant little to younger voters without memories of living through the Troubles.

    He said Sinn Fein had offered the clearest message on social problems in Ireland, which include a growing homelessness crisis, house prices that have risen faster than incomes and a public health system that hasn’t kept up with demand.

    Still, Sinn Fein’s triumph could have implications for Ireland and the U.K. The party’s struggle for a united Ireland was on the back burner during the election, but the party is calling for a referendum on reunification within five years.

    That is not something an Irish government can deliver without the support of Britain and Northern Ireland — highly unlikely in the short term. But Brexit looks likely to nudge Northern Ireland’s economy closer to that of its southern neighbor, and could increase pressure for a vote on unification.

    In London, Prime Minister Boris Johnson’s spokesman, James Slack, said the U.K. was “following the results of the Irish election carefully.”

    1. e said Sinn Fein had offered the clearest message on social problems in Ireland, which include a growing homelessness crisis, house prices that have risen faster than incomes and a public health system that hasn’t kept up with demand.

      Yet another nationalist party trounces the globalist quislings of the Establishment “centrists.” This was the public’s middle finger for unaffordable housing and “austerity” imposed on the population to maximize profits for the banks and financier oligarchy. The globalists will be clutching their pearls and warning of those evil populists who are impeding their ability to plunder and asset-strip formerly sovereign countries and peoples.

      1. e said Sinn Fein had offered the clearest message on social problems in Ireland, which include a growing homelessness crisis, house prices that have risen faster than incomes and a public health system that hasn’t kept up with demand.

        You know, it’s so completely obvious, the world over, that it’s the central banks and bankers who have caused this whole problem, yet there’s like zero talk about stopping them. Homelessness crises in Ireland, too? Come on, this is ridiculous.

        1. there’s like zero talk about stopping them

          They are powerless without the hordes of greedy debt donkeys who willingly take out huge loans in the hopes of gaining unearned wealth. Everyone with a mortgage is part of the crime.

          1. Yeah, let’s all return to serfdom and rent from a handful of extremely wealthy landlords instead. That would be so much better.

            Do you seriously consider individual ownership of property to be a criminal offense?

            Pointing to specific examples is valid. Painting everyone with a broad brush by including the majority of individuals who borrow responsibly is ignorant.

          2. borrow responsibly

            Possibly an oxymoron. If you choose the long debt road to self gratification, you are a volunteer in the transfer of wealth to your hated handful.

    1. Filed under: This can/will never happen in the U$A!

      Economic$:
      Con$umer Insolvencie$ Approach Record in Debt-Weary Canada

      Bloomberg |By Chris Fournier | February 10, 2020,

      Filings top 35,000 in final quarter last year, most since 2010

      Uptick comes despite solid period of growth in labor markets

      Canadian consumers filed the largest number of insolvencies in almost a decade at the end of last year, stoking concern about the impact of record indebtedness on households and the economy.

      Insolvencies totaled 35,155 in the final three months of 2019, the most in any one quarter since 2010, according to data released Monday by the Office of the Superintendent of Bankruptcy Canada. That’s up 10.2% compared with 31,900 in the same period a year earlier and is about 5,000 shy of the record 40,589 reached in the third quarter of 2009.

      After declining steadily after the financial crisis, insolvencies began accelerating again last year, prompting questions about whether the country’s record household debt — C$2.3 trillion ($1.7 trillion) at the end of December — is sustainable. Adding to concern is the fact insolvencies are rising at a time when Canada’s economy is doing relatively well, with an unemployment rate that averaged 5.7% in the fourth quarter. When insolvencies peaked a decade earlier, the jobless rate was almost three percentage points higher at 8.6%.

  17. Close to 500 cases outside of China and two deaths. Of the cases resolved in the entire world, resolved as in dead or recovered it is over 4000 recovered and around 1000 dead. Read one expert estimate final mortality rate will be one percent. Not sure if that includes the death camps masquerading as hospitals in China were you have death rates as high as around 5 percent or just where some real medical treatment is rendered.

  18. China’s share of the world’s trade in many commodities is 50 percent. Not hard to see how the Baltic Dry index is crashing when China is crashing. The question is how are we impacted? We are not shipping much coal or iron ore to China but we used to receive a lot of their steel. Less production of their steel really is not bad for us. Same is true for aluminum and many other items.

    1. The question is how are we impacted?

      Oil prices are taking a major hit, and that could have knock-on effects if U.S. shale plays start bleeding serious money. These shale companies are financed to the hilt with junk-grade debt, and if they start defaulting, that is going to hit the banks, and derivatives contracts. U.S. banks have enjoyed record profits, since they get free gambling money from the Fed that they can then lend to the proles at usurious interest rates, or seek yield by buying junk bonds. Which boosts the bottom line until those junk bond issuers start defaulting, which they will if oil sinks into $40s a barrel and stays there. Of course the MIC is at the bankers’ beck and call to stir things up in the Middle East if that happens, to boost oil prices, but long term consumption weakness spells trouble for oil and the financial sector.

      1. I agree but in the short term the cheaper gasoline is offsetting much of that impact. It was high gasoline prices which was the straw that broke the camel’s back last time. Drive to you can buy works better with low gasoline prices.

  19. Regret to inform you, greedheads, that Chinese “investors” won’t be coming along to buy your overpriced shack anytime soon.

    https://www.scmp.com/business/article/3049825/international-property-markets-reel-coronavirus-outbreak-chinese-investors

    Property markets reel from coronavirus outbreak as Chinese investors pause transactions

    Overseas property markets are feeling the pinch of the outbreak of the deadly coronavirus in China with inquiries from mainland buyers slowing markedly.

    One real estate agency in Adelaide, Australia has temporarily shut its office after two individuals who tested positive for the infection had visited its premises. And markets such as Thailand and the US are reeling from the halt in activities and interest coming from the Chinese, underscoring the impact of the outbreak on the sector.

    “The prolonging of the virus outbreak crisis into February has shaken up the Thai real estate market [as] Chinese buyers [are] the target group for property developers,” said Chris Dietz, executive vice-president of global operations for Leading Real Estate Companies of the World, which has brokers in more than 70 countries.

  20. This has got to be some kind of record – 20 years from default to foreclosure.

    12/23/2019
    Bank owned The lender has taken ownership of this property through a foreclosure auction for the amount of $600,000. The lender may list it for sale as a foreclosure property in the future.

    12/20/1999
    Notice of Default issued The owner of this property was served a notice of default for missed mortgage payments of $3,468.

    https://www.realtytrac.com/propertydetails/ca/west-hollywood/90069/cynthia-st-apt-407/106699740/

      1. The counties auction off the unpaid taxes as liens to investors. The investors get to collect interest on those unpaid taxes, and can foreclose on the property on the redemption rate if they so choose. So, the counties get their money every year, no matter what.

  21. Within a couple of weeks, total confirmed novel coronavirus deaths are up to about 1/10 the current flu season total for the U.S. (1000 versus 10,000). And if the count continues to rise by 10% a day, it will surpass 10,000 within the next four weeks.

    1. Getting close to home…

      Coronavirus case confirmed in San Diego as global death toll tops 1,000
      Updated on: February 10, 2020 / 10:08 PM / CBS NEWS

      The death toll from the coronavirus topped 1,000 on Monday, as more than 42,000 cases were confirmed across the globe. More people have now died from the flu-like virus than were killed during the SARS virus outbreak in 2003.

      In the U.S., an official from the CDC told CBS News that a person in San Diego had been diagnosed with the coronavirus, bringing the number of cases in the country to 13. The official said that the patient had been evacuated from Wuhan, China, on a State Department-chartered flight last week.

      Global health officials have warned that the current cases could be just “the tip of the iceberg” as they learn more about how easily the disease spreads.

      Meanwhile, dozens of new cases were confirmed Monday on a quarantined cruise ship in Yokohama, Japan, including more Americans. The number of passengers already removed or soon to be removed from the Diamond Princess for treatment in Japanese hospitals stood at 135 Monday.

      That includes at least 23 American passengers, 11 of whom were among the 65 new cases confirmed Monday. Most of the 3,711 passengers and crew remained under isolation orders on the ship.

      The Chinese government’s efforts to silence people who tried to raise the alarm about the outbreak early on — and allegedly ongoing efforts to stop people reporting on it — have created a mounting backlash on the country’s heavily-censored social media.

    2. The problem is that Chinese number is a blatant lie. Every knowledgeable person I have heard has said it’s at least 10x that amount. Think about it: The Chinese were already breaking ground on new hospitals when the dead were less than 100. DOES NOT ADD UP.

      1. As I have been saying the exponential growth in China started about two months before China admitted it.

      2. Every knowledgeable person I have heard

        Just where did you get such people and how did you discern them?

        1. Just where did you get such people and how did you discern them? I have a long set of screening questions. My first one is always, “What state is Columbus, Ohio the capital of?”

    3. China has as as already redefined confirmed cases to exclude people who test positive but have no symptoms. It has wiped out half it’s new cases of course it raises the death rate but it is meaningless in China. It is around .5 percent outside of China.

      1. “…to exclude people who test positive but have no symptoms.”

        This gets back to my point that you can’t meaningfully discuss CFR until you define a confirmed case. I can’t see how one could ever hope to get an accurate count of asymptomatic cases, unless you did random testing of the part of the population that never requests treatment.

        1. Does not matter, more and more scientists are saying the mortality rate for the virus is below 1 percent with proper medical care.

        2. unless you did random testing of the part of the population that never requests treatment. Some health departments will do that eventually. IIRC, that even happened in the recent Ebola outbreak in Africa. Epidemiology has its own standards, which are not obvious to the ill-informed.

      2. Positive with no symptoms… YET. How long do they wait before removing it as a case?

        And if people really do have the virus but show no symptoms, are they considered immune, or Typhoid Marys? Are they allowed to roam free? What do you do in that situation?

        1. if people really do have the virus but show no symptoms, are they considered immune, or Typhoid Marys? Yes to both your alternatives. Immune to the disease as far as they’re concerned. Their ability to spread the disease to others is at the moment a “known unknown”. After the dust of the COVID-19 outbreak settles, it may well become a “known known”.

  22. Just when it seemed that it could get no worse for WeWork…

    WeWork closes 100 buildings in China over coronavirus threat – CNBC
    Feb 10 (Reuters) – Office sharing startup WeWork has closed 100 buildings in China due to the coronavirus outbreak, Chairman Marcelo Claure said in a CNBC interview on Monday.

    Claure also reiterated that the company aims to be profitable in 2021. (Reporting by Bharath Manjesh in Bengaluru; Editing by Saumyadeb Chakrabarty)

    1. I’m pissed they brought cases of the virus back to the US. They should of treated those cases in China.
      What if some one is a carrier for longer than they thought, even if they recovered.
      I’m thinking this virus is very airborne , but how long does it live on surfaces. What kills the virus. In China they are throwing bleach on the streets. Just to many unknowns.

      1. Just to many unknowns.
        Welcome to the real world, as opposed to “Clown World”. Whenever I ask my Echo Dot, “Alexa, tell me the Truth,” she retorts “You can’t handle the Truth.” Go ahead, try it!

        1. I’m thinking this virus is very airborne I am also suspecting that mainland China’s extreme air pollution is a contributing factor in both the contagiousness of the virus and in its death rate. Another factory is how COVID-19 will fare when ambient temps rise to summer levels.

    1. Globalism is a faulty economic theory that only paved the way for the opportunity of the powerhungty greedheads to have their cake and eat it to.

      Globalism has shattered proper allocation of resources and rigged prices World wide. Casino investing in Ponzi schemes because of excess funds becomes the only game in town. Kill Globalism and get back to sanity.

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