Hedgeye, Released on 9/26/19 (Recorded on 9/17/19) *This interview was recorded on 9/17/19 The verdict is in—the Fed wasn’t dovish enough. As you know, the Fed cut rates 25 basis points yesterday. But the future path for rates is murky at best. There’s more than a fair amount of dissent on the FOMC. Take a … Read more
Authored by Simon Black via SovereignMan.com, An 89 year old man named Robert Allen was feeling depressed after Christmas. He went to the emergency room, and told the doctor that he had thoughts of hurting himself. Using his powers under the Baker Act, the doctor sent Robert to a mental health facility called North Tampa … Read more
by AC This repo overnight loan system by the Federal reserve to prop up banks is slated to be on going for a month! One night the requests were $190 billion. As the economy slides downward this liquidity problem is only going to get worse. This is what preceded the 2008 “Great Recession.” The Fed … Read more
“Circle the Wagons, Here it COMES!!!” h/t TNO
by Oof_too_Humid Medical establishment & government are working zealously to appropriate parental rights and to impose nonessential medical procedures. Illinois DCFS had a policy that if parents refused Vitamin K shots for their newborns, the child would be taken immediately & returned only after investigation. Here’s the kicker: the policy had already been rescinded but they … Read more
by Martin Armstrong QUESTION: What do you say about the difference between corporate socialism and democratic socialism. Thank you. Its all the buzz among those supporting Senator Elizabeth Warren. LP ANSWER: This is a very clever way of excusing the core issue. The Democrats preach raising taxes and then sell loopholes to the big corporations. The bankers … Read more
The Senate passed a spending package Thursday, put together by Democratic leadership in the House in order to avoid a government shutdown at the end of September. The Senate passed the package with 82 votes, with 15 Republicans voting no. The spending package, introduced by House Appropriations Committee Chairwoman Nita M. Lowey, is a continuing … Read more
Authored by Nick Cunningham via OilPrice.com, A wave of oil and gas wells abandoned by bankrupted drillers could cost the U.S. government hundreds of millions of dollars. A new report from the U.S. Government Accountability Office (GAO) studied oil and gas wells drilled on federal lands, and found that the public could get stuck with a significant … Read more
by Mac Slavo of SHTFplan The massive wave of store closures and layoffs in the retail sector has gotten so bad this year, it’s been dubbed the “retail apocalypse.” But not only is it causing problems in the economy, Goldman Sachs thinks it is still likely to get much worse. “Our REITs team does not expect a near-term … Read more
By: R. Christopher Whalen New York | Last week’s volatility in the market for fed funds gave a lot of equity managers an opportunity to brush up on their understanding of the workings of the short-term money markets. The Fed of New York was forced to offer cash to the Street in the form … Read more
via NYT: This was supposed to be the year when America’s biggest start-ups would finally make their triumphant debut on the stock market. Billionaire Silicon Valley investors, sneaker-clad founders and button-down bankers all expected enormous stock sales to turn companies like Uber, Lyft and WeWork into a new generation of corporate giants. It hasn’t quite turned out … Read more
by The_In-Betweener With certain issues there is an automatic suppression of taboo subject matter, dissenting ideas and of critical thinking individuals. The systematically disappeared. https://www.sentinel-standard.com/opinion/20190926/letter-be-silent-or-prepare-for-consequences There is a silencing that pervades U.S. politics and its mainstream echoing media chamber. With certain issues there is an automatic suppression of taboo subject matter, dissenting ideas and of critical … Read more
By Robert Ross An entire class of high-yield stocks just got a big boost. Fed Chairman Jerome Powell announced last Wednesday that the central bank will cut interest rates by 0.25%. But we expected this. Investors had already priced in a 100% probability that the Fed would cut rates, according to global brokerage CME Group. This … Read more
Debt can be a real thorn in your side — especially high-interest unsecured debt, like credit card balances and medical expenses. When compound interest keeps driving up how much you owe, sometimes it feels like you’ll never be able to escape your debts. So, you start considering more drastic options. You might even … Read more
Wolf Richter wolfstreet.com, http://www.amazon.com/author/wolfrichter House cleaners come in, halt all new leases, dump side businesses, sell corporate jet, lay off thousands, purge “Adam’s posse” – in just two days. WeWork is fighting for survival. It’s burning through so much cash that it needs billions of dollars pronto. The collapsed IPO dream has cut off the money pipeline … Read more
Wolf Richter wolfstreet.com, http://www.amazon.com/author/wolfrichter On the surface, Miami’s condo market is in trouble. But beneath the surface, “the whole system is jammed up.” Signs have been piling up that the Miami condo market, where luxury towers are still sprouting like mushrooms, is getting into serious trouble. This has not yet made its way into the … Read more
by laik72 I just read a great article about how things got so bad at WeWork prior to the IPO, it was beyond Neumann paying himself ridiculous amounts of money or Son Masayoshi making a valuation mistake… it was about deliberate valuation manipulations in order to eventually get public investors to bail them out with an ultimate … Read more
FRANKFURT, Germany (AP) — A member of the European Central Bank’s leadership has resigned after publicly questioning the need for the bank’s stimulus efforts, opening an unexpected vacancy on the institutions’ top executive body amid public criticism of its policies by some of its own officials. Sabine Lautenschlaeger’s resignation comes amid criticism in her native … Read more
via mises: The idea of a “third way” in economic policy has fascinated politicians, scholars, artists, and the voters around the world. Surfing this wave, the welfare state has spread quickly in recent decades. Some even say that Nordic countries are the definitive evidence that it is possible to deliver a prosperous and egalitarian society through … Read more
Repo Meltdown Shows Budget Deficit Has Limits (Bloomberg Opinion) — The repo market madness lives on for a ninth day. The Federal Reserve Bank of New York announced Wednesday that it would increase the size of its next overnight system repurchase agreement operation to a $100 billion maximum, from $75 billion previously, and also raise the … Read more