An Annus Horribilis, A Bargain Hunter’s Paradox, Planting A New Garden
A weekend topic starting with Yahoo Finance. “At an event this week at a swanky restaurant atop the Equinox Hotel in Hudson Yards, New York City — the firm’s CIO Tony Roth opened evening discussions by arguing ‘3% is the new 2%,’ referring to the Fed’s inflation target. ‘As inflation comes down — and it’s going to come down, it’s already coming down — it’s going to get stuck,’ Roth said. ‘And it’s going to get stuck as a result of the real drop in labor participation and the impact that has on wages, it’s going to get stuck because of the lack of unlimited cheap supply of manufacturing from China, and it’s going to get stuck because energy prices are not going to back down to previous levels.'”
“Hedge fund manager Bill Ackman is among other Wall Street voices who have questioned the credibility of the Fed’s 2% inflation target in recent months. In December, Ackman tweeted the target was unattainable without a ‘deep, job-destroying recession.’ And during a call with investors the prior month, he said it was the firm’s view the central bank would not reach that goal.”
“Rising wages globally, the transition to alternative energy, de-globalization, and a shift to domestic sourcing and production will all weigh on the Fed’s ability to bring down inflation, in Ackman’s view, in addition to production risks ‘that have made nearly every U.S. CEO rethink outsourced or distant supply chains. A lot more of that is going to come closer to home, and it is more expensive to do business here,’ he said.”
From Bloomberg. “One of the most lucrative money-making machines in the world of finance is all clogged up, threatening a year of pain for Wall Street banks and private-equity barons as a decade-long deal boom goes bust. After driving a flurry of mega buyouts that contributed to a $1 trillion profit haul in the good times, some of the world’s largest banks have been forced to take big writedowns on debt-fueled mergers and acquisitions underwritten late in the cheap-money era.”
“The easy days aren’t coming back anytime soon for the fee-rich business of leveraged lending as a much-anticipated recession looms. Cue oncoming cuts to bonuses and jobs across the investment-banking industry. ‘The dislocation is more pronounced and longer lasting than anything since the Great Financial Crisis,’ said Richard Zogheb, global head of debt capital markets at Citigroup Inc. ‘Investors have no appetite for cyclical businesses.'”
“The most sophisticated players, paid to know when the music stops, were doling out risky corporate loans at what now looks like ludicrously generous terms as recently as last April — effectively betting that the easy-money days would live on even as inflation raged. Now the Federal Reserve’s resolve to tighten monetary policy at the fastest pace in the modern era has left them blindsided, cooling the M&A boom that’s enriched a generation of bankers and buyout executives over the past decade.”
“The freewheeling excesses of the low-rate years are no more. In that era, leverage soared to the highest since the global financial crisis, investor protections were stripped away, and ballooning debt burdens were masked by controversial accounting tricks to corporate earnings that downplayed leverage. The bottom line: the LBO machine is all jammed up, and as the Fed ramps up policy tightening it may take months to clear.”
From WPED. “Right now, prospective Myrtle Beach home buyers are facing a double-edged sword, high prices and high demand. The South Carolina House Price Index shows the current average home price in the Palmetto State is just under $390,000. In May of 2022, it was $350,000. On top of that, Myrtle Beach home buyers are also battling the loss of buying power, as interest rates are now doubled. For someone who is looking to buy a home at $250,00 in the Myrtle Beach area right now, with a 20% down payment, a 30-year loan would garner a price tag of more than $264,000 in interest because current rates are so high. Meaning, overall, you’d be paying over $566,000 for the home.”
From Vail Daily. “Chad Brasington, also an associate broker for Berkshire Hathaway HomeServices Colorado Properties, notes that for the local market, a dramatic shift back to the norm is something every local buyer and seller truly wants and needs. ‘We can’t sustain artificially inflated home prices when it comes to the most important thing to every family that lives here…their home,’ Brasington said.”
“‘If you are not under contract by the end of August, it is unlikely you will see anything until the second homeowners roll back into town in early December. When pricing a home, sellers need to flush out the memory of 2021 and early 2022 and shift their mindset to the more stable years of 2018 and 2019. It’s about market value not what you think your home is worth,’ he said.”
Nevada Public Radio. “Over the last few years, people have been paying a premium for homes in Nevada —many times bidding way more than the asking price; sometimes having to get into a lottery just for the chance to make a bid. Then the Federal Reserve raised interest rates as a way to fight inflation. The cost of getting a home mortgage rose, and home prices have fallen. Lee Barrett is the 2023 president of Las Vegas Realtors. He’s said that buyer confidence is going down, despite dropping home prices.”
“An average mortgage in Nevada today comes with a 30-year fixed rate of 6.27%. Jonathan Gedde with Simplifi Mortgage said he sees these rates as a return to normal. ‘And that includes the home price. We had a couple of years in a row of extremely high home appreciation, double digit 10, 20, 25% increases in home values per year. That’s not sustainable. And it’s not a normal market when things like that happen. So taking a little pause, coming back to earth a little bit on home prices, as we’ve seen since the peak in May, is a very healthy thing,’ he said.”
Bisnow Dallas Fort Worth in Texas. “Turmoil in the economy has the CRE industry coming to terms with the fate of beleaguered office buildings as fourth-quarter reports paint a grim picture heading into the new year. For some, that will mean giving up and handing over the keys. Ownership groups that need new debt on a maturing loan will have to decide whether sinking more money into a low-performing asset is worth the investment, said Ben Brewer, a senior managing director in Hines’ DFW office. ‘People may feel like, ‘Golly, I’ve been trying to lease this thing for two years and it’s not working, why would I throw good money after bad?’ he said.”
Bisnow New York. “New York landlord Chetrit Group is looking to sell more than 8,000 residential units it acquired across 10 states in 2019 as it faces default on a $481M loan it used to finance the acquisition, The Real Deal reports. The CMBS loan, originated by JPMorgan Chase, was used to acquire 8,671 units New York, Illinois, Indiana, Ohio and several Sun Belt states, but despite strong nationwide demand for apartments in nearly four years since the acquisition, the portfolio had an occupancy of just 76% in the year leading up to March 2022, per Trepp.”
“The occupancy rate hasn’t been high enough to pay the debt service on the floating-rate loan, which was pegged to Libor. The loan was originated at an 84% loan-to-value ratio, The Real Deal reported in 2019, and rising interest rates last year could have caused debt service payments to double. It’s not the first CMBS loan from 2019 Chetrit has struggled to stay current on. Jacob Chetrit and his sons, Michael and Simon, acquired 850 Third Ave. from Chinese conglomerate HNA Group in 2019 for $422M, and two years later, the $177M CMBS loan on the 617K SF building was sent to special servicing.”
“Multifamily properties bought in the low-interest rate environment before last summer are seen as some of the most prime buying opportunities for distress investors.”
Mortgage Introducer on the UK. “Disappointing December housing sales data may point to a buyer’s market in early 2023, along with pressure on those seeking refinancing. But there are differing views on whether prices are on the way to a serious drop, or a soft landing. Lewis Shaw, founder of Teesside-based mortgage broker Riverside Mortgages, said the slump in the Nationwide house price index was expected. And with 1.8 million mortgage holders needing to remortgage in 2023 and inflation still in double figures, Shaw believes the pain has not even started. ‘I expect to see forced sales, a massive increase in debt consolidation and adverse lending, along with a buy-to-let fire sale, all contributing to an Annus Horribilis,’ he added.”
“‘These are the snowflakes that started the avalanche,’ said Samuel Mather-Holgate of Swindon-based advisory firm, Mather & Murray Financial. Mather-Holgate said people will not be in a rush to buy properties at the top of the mountain in the new year. ‘There is plenty of room for prices to fall and I expect little activity in the market until we know where prices decide to settle and that will not be until late Spring,’ he said. Mather-Holgate added that there will be many distressed sellers needing to offload their properties when they cannot cope with cost-of-living increases.”
Stuff New Zealand. “If you’re buying a first home on a tight budget, the so-called bargains on offer include a clutch of houses not renovated since the middle of last century. The house price slump has seen median values in Wellington suburbs drop by as much as 21% over the past year, but new data suggests the housing affordability crisis continues to warp expectations.”
“This time last year there were just three suburbs with median house values under $700,000, and only 38 suburbs worth less than $1 million. In retrospect, those inflated values were the dying sparks of the housing boom. Now, according to CoreLogic figures, there are 19 suburbs worth less than $700,000. And the number of suburbs worth less than $1m has more than doubled: 79 in total. It’s a course-correction rather than a total reversal. In the Porirua suburb of Ascot Park, for instance, median house values are still up 44% on pre-pandemic levels, even with a 9% dip over the past year.”
“One of the cheapest houses for sale includes peeled-and-blistered interiors and the muted promise of possibility. ‘Yes, some serious work needs doing,’ the listing reads. ‘But a savvy buyer will recognise the amazing opportunity.’
On the market for the first time since the 1960s, homes.co.nz estimates the three-bedroom Wainuiomata house will sell for a cheapish $535,000. It’s a bargain hunter’s paradox: $107,000 cheaper than the median house value in the suburb, yet $115,000 more expensive than the RV three years ago.”
“For an extra $20,000 dollars, you could set your sights higher – an elevated three-bedroom house in Stokes Valley with a view over the valley. The $555,000 asking price is a 143% increase on when the Logie St house last sold in 2014.”
From Better Dwelling. “Canada’s overleveraged mortgage borrowers are still a big share of the real estate market. Highly indebted households represented 32.1% of mortgage originations in Q3 2022, down 6.0 points from the previous quarter. Yes, nearly 1 in 3 mortgages were still going to overleveraged borrowers—even as interest rates ripped higher. The share peaked at 40.2% of new mortgages in Q1 2022, a new record for at least 10 years, and possibly an all-time high. It remains elevated compared to historical volumes, which were already too high.”
“It’s also worth noting the distribution of smaller lenders saw a surge in highly leveraged borrowers. The first surge was in 2017, when BC and Ontario had a mini-speculative bubble. The second was during the pandemic, when record home price growth was sparked by low rates, and investors piled into the market.”
The Telegraph. “From February 2020 to February 2022, average home prices in Canada increased by 46pc, according to the CREA. This was the biggest rise among advanced economies during this period. Low interest rates were a key factor. The Bank of Canada, the central bank, cut rates from 2pc to 0.5pc in 2020. This was a steeper drop than in Britain, where interest rates fell from 0.75pc to 0.1pc. Canada’s market was further frothed up by domestic and foreign investors, said Sal Guatieri, a senior economist at the Bank of Montreal.”
“‘When prices were going up as much as they were, there’s an incentive to invest…and as you’re doing that you’re pushing prices higher,’ he said. ‘It was just a massive asset bubble,’ he continued. ‘It wasn’t just in the housing market. Asset prices exploded higher globally across most categories.'”
The Globe and Mail. “Plenty of homes, too few homeowners. That’s the paradox of Canada’s housing crisis – there may not be an actual housing shortage. Any first-time homebuyers who ever got trapped in a bidding war, or tenants wrestling with escalating rents because they can’t put together the money for a down payment on their own home, will find that idea outrageous. But it may actually be there’s enough accommodation to go around.”
“Those years of bidding wars, on the other hand: they’ve been all too real. But it’s also possible we’ve misinterpreted them. We’ve generally surmised that they resulted from a growing pool of homebuyers chasing a limited stock. However, it may just be something else is going on – namely, an increase in activity by property investors. In some parts of Canada, up to two-fifths of the housing stock is now owned by multiple-property investors, one in six owners owns more than one property, and the figure seems to be rising. In short, there are a lot more houses than there are homeowners.”
“Over the past few years, anyone with money to invest would have been drawn to property, because the Bank of Canada’s monetary policy made it a money-mill. Despite the apparent anomaly that property prices were surging in an economy that was all but stagnant, the bank persisted in its loose monetary policy on the grounds it wasn’t affecting consumer prices.”
“Now I know it’s all too easy to blame the Bank of Canada, but still, it blew this call. Meanwhile its defence, that nobody saw an inflationary surge coming, rings rather hollow. Long before the Ukraine invasion the bank says triggered the price spiral, critics warned that trouble was brewing (I humbly place myself in those ranks, having published a piece in these pages four years ago).”
“Economic growth had been driven up by the ‘wealth effect’ of rising asset prices, particularly house prices. Investors who saw their wealth growing in leaps and bounds felt free to spend some of it, taking advantage of ultracheap credit to both buy more property and spend some of the gains. But with so much money going into housing, investment elsewhere in the economy fell, limiting productivity growth, and Canada now has one of the worst levels in the Group of Seven.”
“The Bank of Canada is now atoning for its past sins and has slammed the monetary brakes on hard. So far, this hasn’t caused a recession, which is the conventional way of crushing inflation. But it’s already knocked house prices down, and that alone has started taking steam out of the inflation rate. That’s to be expected: A recent study of the American economy found that the recent inflation surge was caused not by excessive fiscal stimulus, as economists like Larry Summers have been saying, but by the excessive monetary stimulus that inflated asset-values, putting the wealth effect on steroids. The same is likely true for Canada.”
“We’ll soon know if investors distorted the property market. By early last year, when interest rates were still in the basement, variable-rate mortgages accounted for a third of new issuance. If those were mostly employed homeowners, whose earnings are following inflation upward, they’ll probably be able to take the hit to rising rates by pulling in their horns. But if they were disproportionately investors looking to flip the properties or cashing in on its rising equity, they may be forced to liquidate some of their portfolio. The added supply could then drive house prices sharply downward.”
“We’re thus probably now at the moment of truth. Given the final surge of the housing bubble last year, a lot of those mortgages are coming up for renegotiation. If a disproportionate number of them were indeed investors looking to cash in, the rush to liquidate could come soon. But funnily enough, falling house prices will probably give the economy a breath of fresh air. In addition to the decline in inflation and the fact that homes will become affordable again, the economy will allocate capital more productively. Instead of chasing bubbles, investors will have to look for new opportunities. And with labour costs likely to keep rising, that will provide strong incentives to invest in the new technologies and processes that raise worker output.”
“That would be a big plus for the Canadian economy, which has long been a laggard in these respects. So while we may feel like we’re now sheltering from a storm, come the spring, we could be planting a new garden.”
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‘de-globalization, and a shift to domestic sourcing and production will all weigh on the Fed’s ability to bring down inflation, in Ackman’s view, in addition to production risks ‘that have made nearly every U.S. CEO rethink outsourced or distant supply chains. A lot more of that is going to come closer to home, and it is more expensive to do business here’
Where is the public discussion on this de-globalization that keeps being brought up? Because it seems that ship has sailed. China is doing whatever, we can’t know because it’s so backward and a communist prison state. But it looks like we ain’t going back to what was. How are we preparing?
The race to the bottom of globalism in reverse: more domestic production. More jobs, yes higher pay, more inflation. Can we assume the days of 3% mortgages are over? If that’s the case wages won’t catch up to shack prices for a very long time meaning crater. This is happening right now all over the world.
The REIC and other are desperate for their normal: back to the easy money days. There is a there is a third way. Live in the real world, embrace de-globalization, let shack prices and interest rates find water level. That’s certainly preferable to everybody carrying more leverage, year after year with no end in sight.
Realtors are liars.
Realtors are liars.
Realtors are liars.
🆁🅴🅰🅻🆃🅾🆁🆂 🅰🆁🅴 🅻🅸🅰🆁🆂
Where is the public discussion on this de-globalization that keeps being brought up?
Peter Zeihan has been talking about deglobalization for years, and he was just on Joe Rogan. So the discussion is gaining some traction.
(another sign that it’s getting attention: every single one of Zeihan’s video clips is swarmed with bot comments that he’s all “lies,” “nonsense,” and “must be CIA.”)
I must be one of the bots. 😉
Zeihan makes a good living giving speeches to various three letter gov agencies. He gives an outstanding presentation that sounds very convincing. However, far too much hand waving for my taste. He has been very wrong in many of his prognostications. Take what he is saying with large grains of salt.
transition to alternative energy – stupid
de-globalization – good
Bill Ackman is another one of those parasites whose investments depend on low interest rates. It is truly unfortunate that the journalist/interviewer did not ask how much Ackman and his firm had benefited from low interest rate ponzi regime.
“CEO rethink outsourced or distant supply chains. A lot more of that is going to come closer to home, and it is more expensive to do business here”
How about them CEO’s taking a pay cut for bad leadership and bad decisions? For starters the CEOs can cut the bloated useless director level positions and middle managers. You can thank the ivy league MBA programs for propagating the off-shoring phenomenon that infiltrated every company in the USA, searching for low-cost suppliers. The supply chain managers/ directors make a pretty penny, regardless of the quality of products, especially engineered materials and parts.
‘Now the Federal Reserve’s resolve to tighten monetary policy at the fastest pace in the modern era has left them blindsided, cooling the M&A boom that’s enriched a generation of bankers and buyout executives over the past decade’
These parasites never contributed squat to the economy. Just another off-shoring, globalist scheme to make money without working or producing. Good riddance.
Found this quote today in a financial newsletter:
“‘With this in mind, and with our conviction that monetary conditions will continue to get more restrictive, we believe the biggest unforced error an investor can make today is to make long-term investments in companies that have come to rely on the kindness of strangers for capital.’
“The kindness of strangers. Put differently, investments that work only so long as people keep believing, hoping, and envying. They don’t work because they are productive, or profitable, or proven—they work only as long as someone else keeps putting money into it. The period of time that the ‘Ponzi’-like dynamic being described here can work is extended in times of easy money and excessive monetary accommodation. When that punch bowl gets taken away, the inevitable fate of such malinvestment is accelerated.”
they work only as long as someone else keeps putting money into it
The very description of a “tech” startup. When I was a lad, startups began in garages or maybe in a small space in a humble business park, and on a shoestring. Now they start with hundreds of millions in funding and give the appearance of being stable, successful firms, that is until the fun money runs out. Then suddenly the emperor has no clothes.
‘When pricing a home, sellers need to flush out the memory of 2021 and early 2022 and shift their mindset to the more stable years of 2018 and 2019’
Chad gets it: take yer dreams of easy loot and flush em down the nearest loo!
‘‘As inflation comes down — and it’s going to come down, it’s already coming down — it’s going to get stuck,’ Roth said. ‘And it’s going to get stuck as a result of the real drop in labor participation and the impact that has on wages, it’s going to get stuck because of the lack of unlimited cheap supply of manufacturing from China, and it’s going to get stuck because energy prices are not going to back down to previous levels’
I’ve mentioned that when I was a kid, the adults on tee vee were talking about inflation all the time. Was it still around, oops it’s back! Down again, is it over? This is serious stuff: inflation has ruined empires.
Suddenly having a central bank that only carries a hammer looking fer a nail is not very comforting.
inflation has ruined empires
Inflation, and massive debt.
“I’ve mentioned that when I was a kid, the adults on tee vee were talking about inflation all the time.”
And the fledgling financial media. Back then, I recall Barrons and a few other legacy media outlets. The in the know was the Ruff Report. Anyone who followed it got scalped. Mostly on gold.
I had the pleasure of living for years in a high inflation economy. And it only got worse. The end result was a massive currency devaluation and a crash that sent even people who once were thought of as being upper middle class into severe austerity. I was fortunate to have left by the time the SHTF.
The thought of going through that again does not give me warm fuzzies. And given the uniparty’s track record I think that trillion dollar budget deficits are here to stay.
I’ve mentioned that when I was a kid, the adults on tee vee were talking about inflation all the time”
12% Cd’s.
Back in the 70s inflation the retailers would sell inventory at a certain price, and then discover their supplier has raised prices when reordering. Modern real-time databases should alleviate this issue.
Things had actual price tags glued on. Always be checking the stock at the back of the shelf.
‘As inflation comes down — and it’s going to come down, it’s already coming down — it’s going to get stuck,’ Roth said.
Inflation can’t and won’t come down unless the Fed starts shrinking the money supply in a meaningful way. There are no indications these Keynesian fraudsters are serious about combating inflation, which is far higher than our falsified CPI stats indicate.
unless the Fed starts shrinking the money supply
Perhaps the way out is in the hands of the Fed’s silent partners, the legions of reckless borrowers.
Lies on top of lies from the FDA & CDC.
https://www.dailymail.co.uk/health/article-11633619/U-S-says-Pfizers-bivalent-COVID-shot-linked-stroke-older-adults.html
Am I ever glad to have dodged that bullet. And for a while I was staring up the barrel of the mandate gun. I will never forget Brandon’s words: that he had lost his patience with people like me, and was going to do something about us,.
Don’t mess with the Feds or you’ll end up in the January 6th gulag.
Journalists, on the other hand, are private citizens. There may or may not be a “kill list” of journalists circulating on 4chan, specifically journalists who are pro lockdown pro mask and pro vaccine mandates.
Sure would be a shame if some lone wolf decided to do something about it. Sure would be a shame…
I know y’all don’t like John Campbell, but here is some data (per yesterday) for those lurkers who can hold off on the beeyotch-y character assassination just long enough to tolerate some actual data:
1. Dr. Paula Cannon, virologist, University of Southern California [paraphrase]: “It’s crazy infectious…All the things that have protected you for the past couple of years…I don’t think are going to protect you against this new crop of variants … Essentially, everyone in the country is at risk for infection now … even if they’re super careful…up to date on vaccines…or have caught it before”
2. Effectiveness of the bivalent booster against hospitalisation with BQ.1, at 2 or more weeks after receiving the booster
BQ,1 50.3%
BA.5 64.0%
3. % infected who report these symptoms (reported per ZOE in UK):
Blocked nose 57%
Sore throat, 57%
Runny nose, 53%
Headache, 52%
Cough no phlegm, 50%
Sneezing, 50%
Cough with phlegm, 44%
Hoarse voice, 40%
Muscle pains, 27%
Loss of smell, 22%
Fatigue, 22%
Altered sense smell, 21%
Dizzy, light headed, 19%
Swollen neck nodes, 19%
Earache, 15%
Shortness of breath, 16%
Chest pain / tightness, 14%
Wheezing, 12%
Chills / shivers, 12%
————–
So, if I read this correctly, we’re all going to get Omicron variants XBB/BQ1/IDGAF at this point, or get it again. Don’t bother with masks or distancing. Vaccine or prior infection doesn’t prevent getting infected or sick (but may lessen symptoms?). It seems to present as a cold or a flu. No data on how long these symptoms last.
I’m dealing with this by doubling my Vitamin D (now 4000 IU/day), eating Paleo (70g carb/d) in a 4-hour eating window, working out slow reps with weights, and going about my business. Have a nice day. 😎
I don’t think are going to protect you against this new crop of variants … or have caught it before
They’re new, right? How could you have caught it before?
Sorry, I don’t credit insight to someone who puts the title Doctor in front of their name outside of the teaching environment, when it’s an education PhD.
Per oxide, that fact is a “beeyotch-y character assassination.”
John Campbell never asserted that “I don’t think are going to protect you against this new crop of variants … or have caught it before.” That assertion was made by Dr. Paula Cannon, virologist, University of Southern California. An actual M.D.
This was clearly stated by everybody.
Stop being a dooshbag.
They’re new, right? How could you have caught it before?
Oh, just NOW we’re actually starting to distinguish between variants? If you acknowledge the difference between variants instead of just grouping things under general COVID, could you maybe also acknowledge that the original vaccine was effective for the Alpha variant?
I guess what Dr. Cannon meant was that if you were previously infected with any variant of COVID before, even an earlier variant of Omicron COVID, then you could still be infected with one of these later variants. The real question is whether anyone has ever been infected with the same variant twice. We simply don’t have data on that, as new variants crop up so frequently that there isn’t time to be infected again.
That assertion was made by Dr. Paula
I can actually read. My comment was perhaps too subtle.
could you maybe also acknowledge that
I don’t know. However, I am pretty good at identifying others that don’t know.
Been there, done that, didn’t get the shot. 😁
I’m dealing with this by doubling my Vitamin D (now 4000 IU/day), eating Paleo (70g carb/d) in a 4-hour eating window, working out slow reps with weights, and going about my business. Have a nice day. 😎
I read this twice, and you’ve said nothing about the most important step of all: hiding under yer bed.
I’m so sick of constantly being warned, at high pitch, to be afraid. The quest to fill 24/7/365 media content has taken the joy out of living for the viewer. Also, their expert advice invariably changes to the exact opposite in no time. At this point, I’d rather have the way I’m going to go be a surprise. Hit by a bus, maybe 💥
“If you resolve to give up smoking, drinking and loving, you don’t actually live longer; it just seems longer.”
“Men, it has been well said, think in herds; it will be seen that they go mad in herds, while they only recover their senses slowly, and one by one.” – Charles Mackay, 1841
I think this will be the year that a critical mass of people begin to recover their senses and realize they have been impoverished and are being killed off. Will they finally get mad?
Will they first realize that they have impoverished themselves with debt, speculation and living beyond their means? That is one thing they can fix without going mad.
Big Pharmacy to increase price of fake vaccine by 400%. Got to make up for less people taking the fake vaccine.
In Japan they can’t understand why their Covid cases are increasing, in spite of having up to 6 boosters given especially to the over 65 in that Country..
As far as any investigation by health authorities, good luck on them admitting they killed and injured millions.
Oh no, it can’t be the vaccine that was delivered to billions, with no questions . .
Safe and effective, you won’t get Covid ,was the biggest medical fraud in history.And, they are still mandating this junk, and they want to put the gene therapy disaster in more products .
Eat bugs, take poison injections, freeze and starve ,hacked and owning nothing.
Would Humanity of chosen the self serving agendas of the unelected One World Order ?
Humanity get no seat at the table because its all going to be forced by a One World Order small group of psychopaths , slave masters, murderers , fraudsters that corrupted just about everything, including governments.
Highly indebted households represented 32.1% of mortgage originations in Q3 2022, down 6.0 points from the previous quarter.
Sound lending!
The Great Dislocation! M2 Money Growth Crashes To 0% As M2 Velocity Near Lowest In History (21 Straight Months Of Negative Weekly Earnings Growth)
https://confoundedinterest.net/2023/01/14/the-great-dislocation-m2-money-growth-crashes-to-0-as-m2-velocity-near-lowest-in-history-21-straight-months-of-negative-weekly-earnings-growth/
When globalist propaganda outlets shift on cue from fawning adulation of Pedo Joe, to factually reporting on his ever-growing list of scandals, that’s a sure indication his globalist handlers are getting ready to bilge him for a more pliant or presentable stooge.
https://www.newsweek.com/joe-biden-faces-big-squeeze-all-sides-investigations-ramp-1773783
𝗗𝗲𝗻𝘃𝗲𝗿, 𝗖𝗢 𝗛𝗼𝘂𝘀𝗶𝗻𝗴 𝗣𝗿𝗶𝗰𝗲𝘀 𝗖𝗿𝗮𝘁𝗲𝗿 𝟮𝟰% 𝗬𝗢𝗬 𝗔𝘀 𝗘𝘅𝗰𝗲𝘀𝘀, 𝗘𝗺𝗽𝘁𝘆 𝗔𝗻𝗱 𝗗𝗲𝗳𝗮𝘂𝗹𝘁𝗲𝗱 𝗛𝗼𝘂𝘀𝗶𝗻𝗴 𝗜𝗻𝘃𝗲𝗻𝘁𝗼𝗿𝘆 𝗦𝗼𝗮𝗿𝘀
https://www.movoto.com/denver-co/market-trends/
𝘈𝘴 𝘰𝘯𝘦 𝘋𝘦𝘯𝘷𝘦𝘳 𝘣𝘳𝘰𝘬𝘦𝘳 𝘭𝘢𝘮𝘦𝘯𝘵𝘦𝘥, “𝘋𝘦𝘯𝘷𝘦𝘳 𝘪𝘴 𝘮𝘰𝘳𝘦 𝘭𝘪𝘬𝘦 𝘋𝘦𝘵𝘳𝘰𝘪𝘵 𝘵𝘩𝘢𝘯 𝘋𝘦𝘵𝘳𝘰𝘪𝘵 𝘦𝘷𝘦𝘳 𝘸𝘢𝘴.”
Globalists gonna globe.
https://www.dailymail.co.uk/news/article-11634567/Girl-17-weeps-recalls-seeing-naked-trans-woman-penis-womens-changing-room.html
Will the last high-end retailer to exit the People’s Republic of California please turn out the lights?
https://www.dailymail.co.uk/news/article-11633495/Slick-trio-thieves-snatch-40-000-ring-right-underneath-Santa-Clarita-store-owners-nose.html
‘We can’t sustain artificially inflated home prices when it comes to the most important thing to every family that lives here…their home,’ Brasington said.”
And what Realtor Babble were you tossing around 6 months ago you double talking sanctimonious bastard?
Austin, TX Housing Prices Crater 18% YOY On Surging Mortgage Defaults And Soaring Inventory
https://www.movoto.com/tx/78725/market-trends/
Used Tesla market is cratering.
https://twitter.com/GuyDealership/status/1614014340620865549?cxt=HHwWmsC-sbnfkOYsAAAA
Who knew that lending to the manifestly non-creditworthy could ever end badly?
https://dnyuz.com/2023/01/13/tough-road-ahead-for-u-s-fintech-lenders-as-default-risk-rises/
An employee at Row, one of New York City’s best-known hotels, became a whistleblower Wednesday after he released video and photos of illegal immigrants trashing the hotel and leaving fresh food out to rot.
“It’s a disgrace,” Row NYC employee Felipe Rodriguez said on “The Ingraham Angle.”
https://www.foxnews.com/media/migrants-drinking-all-day-having-sex-in-stairs-taxpayer-funded-new-york-hotels-whistleblower
Felipe Rodriguez
Wow. God for him.
A reader sent these in:
CarDealershipGuy
This Tesla has been discounted by $16,095 within the last 110 days 🤯 [Thread]
https://twitter.com/GuyDealership/status/1613334200836317185
CarDealershipGuy
Carvana has 758 used Teslas in stock. Prices of new Teslas just got massively reduced by as much as 20%. When it rains it pours… 🥴
https://twitter.com/GuyDealership/status/1613888113583001601
CarDealershipGuy
Today’s auction was absolutely WILD. Used Teslas got bids $1,000s below YESTERDAYS market value. Many of them still didn’t sell.
https://twitter.com/GuyDealership/status/1614014340620865549
-Month Treasury Bill Yield, January…
2023: 4.57%
2022: 0.04%
2021: 0.09%
2020: 1.52%
2019: 2.41%
2018: 1.31%
2017: 0.52%
2016: 0.22%
2015: 0.02%
2014: 0.01%
2013: 0.04%
2012: 0.02%
2011: 0.15%
2010: 0.02%
2009: 0.04%
2008: 3.23%
2007: 4.98%
2006: 4.16%
2005: 2.01%
2004: 0.88%
https://twitter.com/charliebilello/status/1613913549671403520
In the middle of the noise, don’t lose sight of the following: liquidity tightening is still ongoing in US/EZ, funding got a whole lot more expensive, business cycle is old and tired and earnings estimates are way too high.
https://twitter.com/INArteCarloDoss/status/1613873671915065346
CNBC calling for new bull market, last time they did this, $SPX proceeded to drop 900 points within 3 months
https://twitter.com/eliant_capital/status/1613954089980760074
Bank of America just posted a $1.1 billion provision for credit losses. JP Morgan’s was $2.3 billion. This is a very bad sign for the economy in 2023. Let’s dive in 🧵
https://twitter.com/GRDecter/status/1613968721856299009
Gasoline quietly up 18% in a month
https://twitter.com/eliant_capital/status/1614020803837956102
One of my smartest, macro, hedge fund, managers told me today that the bank of Japan is going to be the big story this week.
https://twitter.com/TommyThornton/status/1614074215077912579
Danielle DiMartino Booth
Aside from @GoldmanSachs Blood in the Street continues to resemble a Medieval leeching. @BNYMellon planning to lay off about 1,500 staff this year as the US lender says costs will be a top priority for 2023.
https://twitter.com/DiMartinoBooth/status/1613943068935294995
Is there any way out of this mess for Japan? They can’t let rates increase, there is too much debt. Nobody else will buy the debt, so the Bank of Japan has to keep printing to buy it all keeping rates low. How does this end ? 🧐
Quote Tweet
BOJ BLOWS $150 BILLION IN FAILED BOND BUYING OPERATIONS IN THE PAST 3 WEEKS
https://twitter.com/WallStreetSilv/status/1613801132811292672
They’re changing the way inflation is calculated again to make things look like they’re “not that bad” 🚨 During 2024 (election year) none of the consumption data from 2022 will be included. 🤣
https://twitter.com/WallStreetSilv/status/1613823303579303936
End The Fed …
https://twitter.com/WallStreetSilv/status/1613883690899177474
Fake debt limit drama in Washington DC. 🤮
1) Congress will always raise the debt limit
2) The US Treasury will always sell more debt.
3) The Fed will always be there to print the money to fund their deficits.
None of us own enough #gold or #silver.
https://twitter.com/WallStreetSilv/status/1613962282828025858
This is crazy. Half of young women don’t have children. The cost of living in this country is a big reason for this. You can thank the Fed and zero rates.
https://twitter.com/StealthQE4/status/1613685942744645633
Unions Press University to Unwind $4 Billion Blackstone Deal
Unions representing 110,000 University of California workers demanded that the system divest holdings from $Bx including a recent $4B investment with its massive real estate trust
https://twitter.com/danjmcnamara/status/1613987370113634311
Lance Lambert
Freddie Mac’s chief economist says: “This is not a repeat of the national GFC” “the [housing] markets that went up the most beyond fundamentals will decline a fair amount” Khater also says: “There is too much pessimism on the economy and housing”
https://twitter.com/NewsLambert/status/1613988158542336001
Another crypto giant, http://Crypto.com, will be reducing 20% of its global workforce. There will be more cuts to come. And, in an industry based on smoke and mirrors, there will be bankruptcies, too.
https://twitter.com/steve_hanke/status/1614009516835708931
Palm Springs, California 🌞
https://twitter.com/ClownWorld_/status/1612889452883644416
IDK, could have something to do with this: (Short term Vacation rentals in blue)
https://twitter.com/texasrunnerDFW/status/1613967964415328265
Well this is going well
https://twitter.com/GRomePow/status/1614021142968426496
$TSLA Greenwich CT store closed. There is no demand issue. Ok sure.
https://twitter.com/TommyThornton/status/1614016318130343959
Dunno who needs to hear this (lol jk) but new bull mkts typically don’t start with retail panic buying the detritus of the prior bubble
https://twitter.com/BomsteinRick/status/1613952449965953043
This chart on the Canadian housing market is insane. Its bad enough that a Canadian needs to to have a ~$160k household income to afford to buy the median home. But the real kicker is that they will be consuming a huge 39% of their gross income to do so.
https://twitter.com/AvidCommentator/status/1614093868865323009
Phoenix rents down 10% from peak. Falling off a cliff
https://twitter.com/GRomePow/status/1613884629123239937
CarDealershipGuy
Teslas becoming the hot potato of 2023 was not on my bingo card 🤯 Prices of new Teslas just got abruptly reduced across the board. Dealers with lots of Teslas in inventory are about to get absolutely wrecked.
https://twitter.com/GuyDealership/status/1613869623429963777
*WELLS FARGO PROFIT FALLS 50% ON HIGHER RESERVES, COSTS
https://twitter.com/Investingcom/status/1613882542091812868
BlackRock’s Larry Fink warns of ‘substantial’ impact from markets on earnings. $BLK World’s largest asset manager posts 15% decline in fourth-quarter revenue. us vs them
https://twitter.com/dana_marlane/status/1613889025248563201
It’s hard to make money when interest rates aren’t zero
BlackRock Profit Falls 23%
https://twitter.com/texasrunnerDFW/status/1613892305844404224
Nancy Pelosi & husband have disclosed millions in trades. They sold:
– 30,000 $GOOGL shares
– 1000 $NFLX shares, loss -$66,385
– 5000 $PYPL shares, loss -$424,313
– 5000 $TSLA shares, loss -$511,197
– 130 $CRM calls, loss -$733,691
– 10000 $DIS shares, loss -$114,138
https://twitter.com/unusual_whales/status/1613904887603163137
People wondering why crypto market isn’t down on the SEC onslaught. It’s because the crypto market isn’t a ‘market’ at all. It’s a network of used car salesmen.
https://twitter.com/EpsilonTheory/status/1613902459222507521
1 house sold today. 9 sold this week. 735 for sale. #VanRE
https://twitter.com/juliamarblefaun/status/1613759165842980865
BANK OF AMERICA CFO: I SEE CONSUMER CREDIT-CARD DELINQUENCIES DRIFTING HIGHER.
https://twitter.com/financialjuice/status/1613921414272221185
Dear Tesla owners, take a walk to garage and peak at your vehicle. It dropped $20K in value last night. You’ve been Musked™️
https://twitter.com/DobackHuffInc/status/1613909199959822336
Greg Abbott
Texas has a historic budget surplus. That money belongs to taxpayers. This session, we will deliver the largest property tax cut in Texas history.
https://twitter.com/GregAbbott_TX/status/1613690815653494792
Fed economists: Home price gains over the last 2 years could have produced a wealth effect for homeowners that drove one third of the increase in the CPI (non-shelter prices)
https://twitter.com/NickTimiraos/status/1613137485856374785
Fed economists should have said: Holy F*CK! We created a giant housing bubble which is certain to crash!
https://twitter.com/Pricetheory101/status/1613166722558857217
lol so the fed thinks normal people saw the prices increases and either sold or just took out loans for fun? How are they so disconnected from reality? Those prices went up because they were buying MBS mortgages in insane amounts. Tell them to look at the their own book.
https://twitter.com/PaulRiz504/status/1613169403016642561
Remember – Fed is watching services ex housing, which is basically wage gains. When the labor market stays strong, wages continue to rise. That keeps rates higher for longer.
https://twitter.com/FedGuy12/status/1613543867583975425
‘The Fed has never completed its hiking cycle while the real fed funds rate was negative.’
https://twitter.com/jessefelder/status/1613224637131030528
“They’ve never really seen an environment where money hasn’t essentially been free. We’ve seen this pandemic, which has inflated this bubble, which has driven this incredible amount of activity, and they’ve kind of thought, ‘Well, that’s normal.’”
https://twitter.com/jessefelder/status/1613565303325331456
‘Many of the factors that once helped central banks have gone into reverse, and investors are ignoring them. Markets are not prepared for the higher rates required if inflationary pressures prove persistent.’
https://twitter.com/jessefelder/status/1613595713551859713
More 🤯🤯🤯from New Zealand housing reporting. New Zealand’s market isn’t as “bad” because data transparency is so bad. (related, what’s the best source for transaction prices in NZ?)
https://twitter.com/ALROnHousing/status/1612898746538545152
“Fed economists: Home price gains over the last 2 years could have produced a wealth effect for homeowners that drove one third of the increase in the CPI (non-shelter prices)”
Whatever happened to the old yarn that asset price appreciation was wealth effects (good) not inflation (bad)?
Fake debt limit drama in Washington DC. 🤮
FYI, Janet Yellen has implemented the usual “extraordinary measures.” These measures will decrease the typical burn rate for gov money, which will extend US gov operations until June, giving Congress time to fight it out.
As an aside, one of those measures for Treasury to suspend the company match to FedGov Thrift Savings Plan (basically a 401K for FedGovs). Treasury matches up to 5% salary for those who contribute to TSP, and suspending the match saves some money. it’s not a big deal for FedGovs, because like everything else, all the matching funds are retroactively re-instated in full when the debt ceiling is raised.
“despite strong nationwide demand for apartments in nearly four years since the acquisition, the portfolio had an occupancy of just 76% in the year leading up to March 2022, per Trepp.”
I’m not sure how that’s even possible, unless they bought a bunch of horrible units that need major renovations to be habitable.
welcome to the ghetto.
The CDC will now investigate the link between CONvid-19 vaccines and strokes 💉💉💉
https://www.bitchute.com/video/e4mgjfJq1Rl0/
23 seconds.
They’ll turn over every stone, rest assured.
100% safe and effective.
something something barn door, horse, open.
a little late.
Hailey Bieber had a stroke at 25. Justin Bieber’s face was paralyzed and he had to stop his tour at 28. Nah, couldn’t be the jab. I actually find it funny that the Hollyweirdos will virtue-signal and shill for big pharma to their own detriment and even death. Talk about a cult…
“The most sophisticated players, paid to know when the music stops, were doling out risky corporate loans at what now looks like ludicrously generous terms as recently as last April — effectively betting that the easy-money days would live on even as inflation raged. Now the Federal Reserve’s resolve to tighten monetary policy at the fastest pace in the modern era has left them blindsided”
I was repeatedly told that the people at BlackRock and Goldman Sachs and the other major investment banks are the smartest people on the planet. Now you’re telling me they’re just greedy morons who need cheap money to make money!? My whole worldview has been shattered…
Phoenix tops list of sellers making the most concessions to buyers, according to report
FOX 10 Phoenix
Jan 13, 2023 PHOENIX
A ‘concession’ is when a seller makes a contribution that lowers the buyers’ overall cost of buying a home, and according to a new report by Redfin, Phoenix tops the list of cities where home sellers are making such concessions.
https://www.youtube.com/watch?v=xbe3iojoIHI
1 minute.
How often does Kathie Wood play the Great Depression card in her efforts to badger the Fed into pivoting?
MoneyWise
‘The set-up will be more like 1929’: Cathie Wood has warned of another ‘Great Depression’ if the Fed doesn’t pivot — here are 3 investment sectors for safe haven
Jing Pan
Fri, January 13, 2023 at 3:00 AM PST·4 min read
The U.S. Federal Reserve has been raising interest rates aggressively in an effort to bring inflation under control, and most signs point to more hikes this year.
According to Ark Invest’s Cathie Wood, this could have serious consequences. In a series of tweets in November, Wood compared the current situation to events that led up to the Great Depression.
…
https://www.yahoo.com/now/set-more-1929-cathie-wood-183000307.html
Why would somebody with such a pathetic, pitiful performance even be given a mic much less tv airtime? The woman is a fraud.
The first 10 months of 1929 were great!
The wall of lies is starting to crumble under the sheer weight of the evidence.
https://www.bloomberg.com/news/articles/2023-01-13/pfizer-bivalent-vaccine-linked-to-stroke-in-preliminary-data?sref=ibr3A0ff
Boosting themselves into an early grave ☠️
Where’s the FBI raid? Why aren’t they snooping through Jill’s panty drawer, like they were Melania’s?
More classified documents found at Biden’s home by lawyers
Best guess: Melania wears La Perla while Jill wears Frederick’s of Hollywood.
Frederick’s
Is that still as trashy as it was 50 years ago?
Per Wikipedia:
In 2015, the company closed its stores and again filed for Chapter 11 bankruptcy.[13][14] Its brand and online operations were acquired by Authentic Brands Group. The company announced it would be online only, with possible future plans to create products for sale in department stores and other retail outlets.[15]
In 2018, the company’s online operations were acquired by the Naked Brand Group Inc.[16][17]
still as trashy
Given Joe’s preferences, she hasn’t needed much new for decades.
What lingerie line does Hillary wear to excite Slick?
Lets clean the conversation up with this bit of awesomeness.
https://pbs.twimg.com/media/FmTwpgOWYAAxTOD?format=jpg&name=medium
Slick hasn’t slept with Hillary in decades, if ever. Chelsea certainly isn’t his.
“Chelsea certainly isn’t his.”
She has an Eleanor Roosevelt toothy grin.
Webb Hubbell.
Webb Hubbell.
It is painfully obvious that Hubbell is her father.
https://files.catbox.moe/zn7nj4.jpg
It seems like Wall Street’s retail investors believe that Happy Days are Here Again, while Megabank, Inc is battening down the hatches for an incoming storm.
Any thoughts on which group is right?
Stock Market Today
Market Rally Breaks Through Resistance, 5 Stocks In Buy Areas; Tesla’s Painful Transition
ED CARSON 11:30 AM ET 01/14/2023
The stock market rally picked up steam in the past week, with strong gains, clearing key levels. The S&P 500 briefly faced resistance at the 200-day line, but moved above that key level on Friday. A large number of leading stocks flashed buy points.
Dow Jones futures will open Sunday evening, along with S&P 500 futures and Nasdaq futures. Over the weekend, Bitcoin continued its recent rapid ascent.
…
https://www.investors.com/market-trend/stock-market-today/market-rally-breaks-through-resistance-5-stocks-in-buy-areas-teslas-painful-transition/
Yahoo Finance
Big banks set aside $4 billion for a recession. Investors are more optimistic: Morning Brief
Myles Udland
January 14, 2023, 3:12 am
Big banks including JPMorgan, Wells Fargo, Citigroup, and Bank of America all reported quarterly results on Friday.
These firms collectively sent a clear message to investors — we are preparing for a downturn.
As a group, these banks set aside more than $4 billion in loan-loss provisions, or money they expect won’t be paid back by borrowers.
JPMorgan (JPM) set aside $1.85 billion in provisions for credit losses, saying these reserves were built as the firm’s outlook is “now reflecting a mild recession in the central case.”
Bank of America (BAC), for its part, set aside $1.1 billion for credit losses in the fourth quarter, Wells Fargo (WFC) $936 million, and Citigroup (C) another $640 million.
Initially, investors saw these reserve builds as a negative sign for banks and the economy more broadly. Futures were lower early Friday, as were shares of each bank.
By the time the closing bell rang on Friday, however, shares of each company were higher along with the broader market.
…
https://news.yahoo.com/big-banks-earnings-recession-investors-stocks-111246226.html
The Financial Times
Credit Suisse Group AG
Credit Suisse set to cut 10% of European investment bankers
Swiss lender steps up wave of job cuts as it prepares to announce second consecutive annual loss
A clock is seen near the logo of Credit Suisse at the Paradeplatz square in Zurich, Switzerland
Credit Suisse has already laid off hundreds of staff in London and Zurich
Owen Walker, European Banking Correspondent 7 hours ago
Credit Suisse is gearing up to cut more than 10 per cent of European investment bankers this year, having already let hundreds of staff go in London and Zurich last month, according to people with knowledge of the moves.
The crisis-plagued Swiss lender announced in October that it planned to cut as many as 9,000 roles globally over the next three years from its 52,000 workforce. But those plans have stepped up in recent weeks as the bank prepares to announce its second consecutive annual loss next month.
Analysts are expecting a wave of heavy job cuts across investment banks globally, following on the heels of Goldman Sachs, which kick-started a plan to fire more than 3,000 staff this week.
…
Let’s just face it: Ursines are smarter than ungulates. The only advantage the latter have is their propensity to run in herds, which backfires when they collectively stampede over the edge of the nearest cliff.
Investor
David Rosenberg: Yet another bear market rally, but don’t get sucked in by the hype just yet
If this year’s rally stalls out, as it did so many times in last year’s bear market, you’ll be happy you didn’t follow the herd
David Rosenberg
Published Jan 13, 2023 • 5 minute read
A trader on the floor of the New York Stock Exchange.
Photo by TIMOTHY A. CLARY/AFP via Getty Images files
With the 10-year T-note yield sliding this week to 3.44 per cent, and now down nearly 100 basis points from the peak, Mr. Bond has been neither shaken nor stirred from the latest string of hawkish United States Federal Reserve rhetoric as he thinks “just bring on the recession.”
And with lower market rates and a weakening U.S. dollar tone, gold continues to perform marvellously, with the price breaching US$1,900 per ounce on Jan. 12 and on track for the fourth weekly advance in a row. The bond-bullion barbell is up six per cent for the year and 13 per cent since the end of October. Not too shabby.
In the equity market, silly season is back with prices rising sharply even as earnings and earnings estimates decline. Anyone notice how U.S. homebuilder KB Home missed both its earnings and revenue targets? The forward P/E multiple has widened to 17.3x from 16.7x at the start of the year, which is a 5.7-per-cent yield and simply not enough to justify it over the level of risk-free rates, let alone what you can garner in the corporate bond market.
A proper accounting of earnings, using an overlay from reported profits and the broad data from the National Accounts profit numbers, shows the forward P/E multiple is north of 20x, which means you can actually do just about as well in T-bills now on a yield basis than equities without even accounting for the capital and volatility risk in the latter.
We saw no fewer than eight bear-market rallies in 2022 that caused the same sort of excitement we have on our hands right now and yet the overall market was still down almost 20 per cent for the year and the cyclical sectors were down more like 30 per cent (and banks were off 24 per cent).
Such a pullback in economic-sensitive stocks amidst a Fed tightening that inverted the yield curve this much for this long has generated a recession a year later fully 100 per cent of the time in the past. Why fight those odds? And why on earth fight the Fed? Weren’t we told to not fight the Fed in the 2020-2021 doubling of the stock market by all the bulls, who somehow have turned silent on this strategy in recent months? I wonder why.
…
https://financialpost.com/investing/david-rosenberg-bear-market-rally-hype
“And why on earth fight the Fed?”
He’s spot on. Don’t fight the Fed!
“Hedge fund manager Bill Ackman is among other Wall Street voices who have questioned the credibility of the Fed’s 2% inflation target in recent months. In December, Ackman tweeted the target was unattainable without a ‘deep, job-destroying recession.’ And during a call with investors the prior month, he said it was the firm’s view the central bank would not reach that goal.”
These guys are setting up the bovine herd for a punishing capitulation when the Fed ultimately sticks to its 2% target instead of following the 1970s’ meandering path to double-digit inflation.
meandering path to double-digit inflation
We already have double digit CPI growth, if measured by the standard of the 70s, so mocking the 70s is rather ironic.
All the more reason to discount suggestions that the Fed will abandon its inflation target before achieving it…
the Fed will abandon its inflation target
It already performed the inflation. The Fed doesn’t set the price of eggs, it controls the amount of currency. Can the Fed prevent the collapse of the debt pyramid?
“The easy days aren’t coming back anytime soon for the fee-rich business of leveraged lending as a much-anticipated recession looms. Cue oncoming cuts to bonuses and jobs across the investment-banking industry. ‘The dislocation is more pronounced and longer lasting than anything since the Great Financial Crisis,’ said Richard Zogheb, global head of debt capital markets at Citigroup Inc. ‘Investors have no appetite for cyclical businesses.’”
This S has yet to HTF. And you can bet your bottom Bitcoin that the bovine brigade will be broadly blindsided when it does. ‘Nobody could have seen it coming!’
How much was the recent stock market rally driven by dollar weakness, fueled by hopes for a Fed pivot on interest rates?
Markets
The dollar’s worst tumble in 12 years could be just the beginning — and the Fed ending rate hikes will fuel ‘ongoing weakness’, a UBS strategist says
George Glover
Jan 13, 2023, 5:45 AM
The dollar could be set for more pain after suffering its worst quarter in 12 years, UBS strategist Dominic Schnider said Friday. SimpleImages
– The dollar’s recent slump will extend through 2023, according to UBS Global Wealth Management’s Dominic Schnider.
– “Ongoing dollar weakness – that’s the main narrative,” he said Friday.
– The greenback started 2023 on a weak footing, after the biggest quarterly loss since 2010 in the three months through December.
…
https://sports.yahoo.com/dollars-worst-tumble-12-years-104534526.html
𝗟𝗶𝘃𝗲𝗿𝗺𝗼𝗿𝗲, 𝗖𝗢 𝗛𝗼𝘂𝘀𝗶𝗻𝗴 𝗣𝗿𝗶𝗰𝗲𝘀 𝗖𝗿𝗮𝘁𝗲𝗿 𝟮𝟵% 𝗬𝗢𝗬 𝗔𝘀 𝗖𝗼𝗹𝗼𝗿𝗮𝗱𝗼 𝗠𝗼𝗿𝘁𝗴𝗮𝗴𝗲 𝗔𝗻𝗱 𝗔𝗽𝗽𝗿𝗮𝗶𝘀𝗮𝗹 𝗙𝗿𝗮𝘂𝗱 𝗦𝗼𝗮𝗿𝘀
https://www.movoto.com/livermore-co/market-trends/
𝘈𝘴 𝘰𝘯𝘦 𝘭𝘦𝘯𝘥𝘦𝘳 𝘦𝘹𝘱𝘭𝘢𝘪𝘯𝘦𝘥 𝘢𝘯𝘰𝘯𝘺𝘮𝘰𝘶𝘴𝘭𝘺, “𝘈𝘱𝘱𝘳𝘢𝘪𝘴𝘢𝘭 𝘧𝘳𝘢𝘶𝘥 𝘪𝘴 𝘩𝘰𝘸 𝘸𝘦 𝘥𝘰 𝘪𝘵 𝘩𝘦𝘳𝘦 𝘪𝘯 𝘊𝘰𝘭𝘰𝘳𝘢𝘥𝘰.”
“The most sophisticated players, paid to know when the music stops, were doling out risky corporate loans at what now looks like ludicrously generous terms as recently as last April — effectively betting that the easy-money days would live on even as inflation raged. Now the Federal Reserve’s resolve to tighten monetary policy at the fastest pace in the modern era has left them blindsided, cooling the M&A boom that’s enriched a generation of bankers and buyout executives over the past decade.”
“Sophistication” doesn’t mean stopping when the music stops. It means lining your pockets to the last second and then having your PR mouthpieces claim “no one could have seen this coming” as you run to Uncle Sugar for the inevitable taxpayer bailout.
Yep, the profits are privatized, and losses socialized.
Realtahz such low lifes …….. A Chicago bookstore owner says a customer returned $800 worth of books after using them to stage a home for the holidays: ‘That one sale was a third of our rent’
https://www.yahoo.com/news/chicago-bookstore-owner-says-customer-182952810.html
A Chicago bookstore owner
Sounds more like he was a book lender.
Marvin Gaye — Trouble Man:
https://www.youtube.com/watch?v=6kduvcqx-BU
Wilson Pickett — Hey Jude (w/ Duane Allman):
https://www.youtube.com/watch?v=0y8Q2PATVyI
Cheryl Lynn – Got To Be Real (Audio):
https://www.youtube.com/watch?v=fI569nw0YUQ
Parliament — Placebo Syndrome:
https://www.youtube.com/watch?v=5claGC3825A
Don’t do it, any of it, because it probably has fentanyl in it.
Sugar Hill Gang — White Lines (Don’t Don’t Do It) Original Long Version – Grandmaster Flash & Melle Mel:
https://www.youtube.com/watch?v=7bCdrDhUjPo
Brock Purdy
Re: As inflation comes down — and it’s going to come down
This is like an obese man saying “Thank God I am not getting any fatter”. What is really needed is a bone-crunching deflation bringing prices substantially down otherwise this is meaningless.
Not likely to happen in a fiat (fake) currency based economy with a bunch of morons in charge . . .