by Mish Shedlock The Fed’s massive QE program has failed to stimulate bank lending. Let’s discuss the evidence and more importantly why it’s happening. Bank Lending Since the Pandemic What’s Going On? That’s a good question and poor answers are easy …
If the banks have restructured such that debt risk has been placed in the hands of (debt) holders rather then the banks why are the banks involved at all? This is almost identical to the attitude that yielded the 2007 …
by confoundedinterest This week, Turkey further roiled markets by preventing foreign banks from accessing the liras they need to close out their swap positions. That’s made it almost impossible for bankers to short the lira or exit carry trades, and forced the overnight lira …
Wolf Richter wolfstreet.com, www.amazon.com/author/wolfrichter But deposit-taking banks have pulled back. Lovingly known as “shadow banks,” nonbanks have come to dominate the mortgage market. And they originate the riskiest mortgages. The government — mostly the Federal Housing Administration (FHA) — is …
by WARREN MOSLER Chinese state company defaults offshore, first time in 20 years (FT) A Chinese state-owned enterprise from the country’s remote north-west has failed to repay a US dollar bond in Hong Kong, the first offshore default in 20 years and the …
Wolf Richter wolfstreet.com, www.amazon.com/author/wolfrichter What banks & housing markets in Sydney and Melbourne are facing in 2019. As investors are fleeing Australia’s housing bust, sales of new houses have plunged to record lows, and home prices in the Sydney and Melbourne metros have …
via MarketWatch: How low can they go? With earnings from three of the four biggest banks in, one metric stands in sharp relief. Mortgage lending just keeps plunging. In the fourth quarter, mortgage originations at Citi C, +0.31% were down 23% compared …
by nealosis I was reviewing all the defaults and charged-off loans in my Lending Club portfolio earlier today and it just makes my blood boil. For Example consider this borrower, who stole $40K and faces zero consequences https://imgur.com/a/a02FQ9f …
by WARREN MOSLER Corporate Profit Crunch Looms as Stocks Slide (WSJ) In December, analysts cut their earnings forecasts for 2019 on more than half the companies in the S&P 500, according to FactSet, the first time that had happened in …
via CNBC: It’s only been five years since Americans hit a grand total of $3 trillion in consumer debt and yet, by the end of 2018, that figure is expected to jump by another trillion. In the first nine months …
This is how they manipulate words into believing in something that is not..We have been conned by the money manipulators There are lies everywhere! 5:30 h/t Tui-Yeah
via confoundedinterest: Hong Kong, with a stressed housing market with staggeringly high prices, just saw a surge in interest rates. (Bloomberg) — The Hong Kong dollar’s surge reverberated across the city’s money market on Monday, with interbank rates climbing by the most …
Wolf Richter wolfstreet.com, www.amazon.com/author/wolfrichter First sign: auto sales suddenly plunged. The Chinese government legalized peer-to-peer lending platforms in 2015. P2P sites attract money from individual investors – mostly savers – by offering them extraordinarily high yields. They lend this money …
#China's peer-to-peer lending industry, the world’s largest, is shrinking, BBG reports. Savers have been rushing to pull money amid a govt crackdown that's seen some platforms halted & put under police investigation. Outstanding loans dropped 26% in July to 956bn …
https://www.reuters.com/article/us-china-lenders-p2p-insight/beijing-struggles-to-defuse-anger-over-chinas-p2p-lending-crisis-idUSKBN1KX077 For Wang, the Beijing investor, the pain is acute. He and his family had invested 7 million yuan – their life savings, with which they had planned to use to buy a home at the end of the year …
Credit card rates are now higher than they were at the peak of the last cycle: pic.twitter.com/54RBTFJHGh — Jesse Felder (@jessefelder) August 7, 2018 I wonder what this graph would look like if personal loans and line of credit were …
Image: Pixabay.com Peer to peer lending is getting more popular these days. This is where you don’t have to borrow money from a huge bank or lending firm. Instead, you can get money directly from another person with the help …
by ForwardInstance Has someone done good research around P2P/Consumer lending companies in China. I have done some preliminary research and below are my observations – Observations – P2P lending market is expected to grow at a CAGR of 35% to around …
https://twitter.com/OccupyWisdom/status/1012787358457122824 That’s when they pay out more on deposits than they make on loans..so they stop lending. 📈 markets need liquidity 📉 #Fed hiking & destroying liquidity 📈#LIBOR up & 400T of loans & derivatives effected 📉yield curve inverting 📈 …
via forbes: According to a poll conducted by City AM on behalf of the “sovereign money” advocates Positive Money, 84% of British lawmakers don’t know that banks create money when they lend. This is despite the fact that in 2014, the Bank of …
by WARREN MOSLER Just a reminder (from 2015) as to why claims are this low: This is not population adjusted: We haven’t yet to recover from the last recession, in my opinion due to an ongoing lack of demand: Highlights …
by Martin Armstrong QUESTION: Socrates did an amazing job. It called the high in BitCoin right to the day. That makes me wonder. After thinking quietly about the claim that cryptocurrencies will replace everything as a new world monetary system …
By Rodney Johnson Bonds are an interesting financial animal. With stocks, investors become part owners of a company, albeit usually at a very, very small level. We benefit as the company earns more revenue and profit, hopefully sending some of the …
This model has been getting kicked around for the past year or so, but in various forms. About 6 months ago, the Congress was looking to allow pay day lenders the ability to skirt customer protection laws in states by …
by WARREN MOSLER Eine neue wissenschaftliche Wahrheit pflegt sich nicht in der Weise durchzusetzen, daß ihre Gegner überzeugt werden und sich als belehrt erklären, sondern vielmehr dadurch, daß ihre Gegner allmählich aussterben und daß die heranwachsende Generation von vornherein mit der …
“Bank of America Corp. plans to stop lending to companies that make assault-style guns used for non-military purposes. “It’s our intention not to finance these military-style firearms for civilian use,” Anne Finucane, a vice chairman at Bank of America, said …
by WARREN MOSLER Deteriorating rapidly now? Not good: This is, fundamentally, seriously strong euro stuff: No improvement here as, most recently, growth has gone to 0:
The banking system is a disaster. It’s all coming down when the central bankers decide to pull the plug. Do you think the Fed and other central banks are responsible for stock market fluctuations? Interbank lending got crushed. But don’t …
by Anthony B Sanders Real GDP growth is above 3%, unemployment rate is near 4%, and other economic indicators are flashing green. Yet, I have an unpeaceful, uneasy feeling. Chapter 11 (bankruptcy) filings are rising and are back to Great Recession …