Posts Tagged ‘government’s program’

No Money Down Mortgages Continue

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No Money Down Mortgages Continue

Courtesy of Eric Falkenstein at Falkenblog 

It seems many people are taking advantage of two major programs at the low end of the housing bubble: the FHA is aggressively promoting lending with only 3.5% down, and the $8k tax credit for buying a house less than $200k. A good realtor can apply the tax credit to last years taxes, making sure that the buyer actually gets the money right away, and the HUD is actually OK with using the $8k to make buying a home a no-money-down proposition. Remember horror stories of sellers who would pay the slim downpayment, and leave the stupid investors with losses? Well, today that game is over, except for the government, which proves that stupidity in the private sector actually loses people money, causing them to change their ways. For the government, it’s just more incentive to double down.

A person who can’t afford a down payment should not be in a home. One needs capital to pay for routine maintenance, and most importantly, if something major happens, like if a heater breaks. A renter is someone who does not have the wherewithall to handle these large, unanticipated expenses. It is better for everyone if these people are renters, because otherwise a bad break leaves the property in poor shape, leading to a ‘broken windows’ problem.

No private bank would lend in such a manner, but FHA wants to take the risk, because unlike the greedy bank, it sees the ‘bigger picture’, presumably.

The government’s program reminds me of the technique children independently discover to make it look like they’ve eaten up hated peas or carrots: spread them around the plate. Thus, the recent economic debacle is primarily centered on housing, especially lower-end housing financed by overeager lenders. The unavoidable endgame to this problem is fewer houses, and lower prices for those houses; demand was artificially high. But, we wouldn’t want people to adjust, because every good Keynesian knows that all misallocations of resources in a complex economy can be solved via top down injections of fiat money, or "G"--they have the multipliers to prove it!

To the government every hangover needs a little more hair of the dog. A friend of mine says his rental real…
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Airbnb: The Disaster Artist...And 8 to 80 Portfolio Ready at IPO

 

Image by InstagramFOTOGRAFIN from Pixabay

 

Airbnb: The Disaster Artist…And 8 to 80 Portfolio Ready at IPO

Courtesy of Howard Lindzon

There are times when I struggle to write anything and there are times like right now, where I could write all day. ...



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Biotech/COVID-19

Rapid COVID-19 tests can be useful - but there are far too few to put a dent in the pandemic

 

Rapid COVID-19 tests can be useful – but there are far too few to put a dent in the pandemic

Rapid tests for COVID-19 are easy to administer and give fast results. AP Photo/Julio Cortez, File

Courtesy of Bonnie LaFleur, University of Arizona and Katherine Ellingson, University of Ari...



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ValueWalk

Have Technology Stocks Peaked? Texas Instruments At A Tipping-Point

By Pierre Raymond. Originally published at ValueWalk.

The Broad Market Index was up 2.27% last week and 55% of stocks out-performed the index.

Q3 2020 hedge fund letters, conferences and more

Another light week for SEC filings as we wait for the December 8th deadline for companies to report fiscal quarters ending in October. These are mostly retailers and their appearance this week will mark the end of update for the third quarter.

Average sales growth is low and still falling. The proportion of companies recording a sales growth increase was 32%; up from 25% last quarter. This might mark the low point in...



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Zero Hedge

Thanksgiving Weekend Marks Busiest Air Travel Days Since March

Courtesy of ZeroHedge

Sunday on Thanksgiving weekend was the busiest air travel day since March, marking what finally appears to be the first step back toward normalcy for the travel industry.

On Sunday, 1,176,091 people were screened at U.S. airports, according to the Transportation Security Administration. It is yet another record for travelers at the airport since the pandemic hit, indicating that most people appear to be ready to get back to normal life. 

This number beat out the day before Thanksgiving, where 1,070,967 people crossed TSA checkpoints. It marked the fourth time in the past week and a half where air travel numbers were over 1 million, according to ...



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Digital Currencies

Five Reasons Why Bitcoin is Going Up

 

Five Reasons Why Bitcoin is Going Up

Courtesy of 

Call it the “Respectability Rally”…

A few reasons for Bitcoin’s return to the record highs. It’s about $18,500 as of this writing, matching the previous highs from 2017’s original explosion.

Reason one: It’s going up because it’s going up. Don’t scoff, this is the reason most things in the markets happen and then the explanations are called for afterwards. I’m in financial television, I have literally watched this process occur in real-time. The more something moves in a given direction, the more peop...



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Kimble Charting Solutions

Will Silver Price Reversal Bring Another Historic Decline?

Courtesy of Chris Kimble

Precious metals caught lightning in a bottle for the first 7 months of the year, with Gold notching new all-time highs and Silver making to multi-year highs in August. But both have reversed lower since peaking in August and investors should pay attention.

It might be nothing… or it might be something! Especially for Silver, which didn’t follow Gold’s lead in making all-time highs.

Today’s chart is a long-term “monthly” chart of Silver. As you can see, it was hi-yo Silver for the first 7 months ...



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Politics

Mythmakers: The Men Who Created Donald J. Trump

 

Mythmakers: The Men Who Created Donald J. Trump

Mark Burnett, Jeff Zucker, and the Trustwashing of a Fake President

Courtesy of Greg Olear, Prevail, author of Dirty Rubles: An Introduction to Trump/Russia 

...

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Chart School

RTT browsing latest..

Courtesy of Read the Ticker

Please review a collection of WWW browsing results. The information here is delayed by a few months, members get the most recent content.



Date Found: Friday, 12 June 2020, 08:06:43 PM

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Comment: Interesting (2)



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Comment: Recession Forecasts Time Frame



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Mapping The Market

COVID-19 Forces More Than Half of Asset Management Firms to Accelerate Adoption of Digital Marketing Technology

By Jacob Wolinsky. Originally published at ValueWalk.

There is no doubt that the use of technology to support client engagement initiatives brings both opportunities and threats but this has been brought into sharp focus this year with the COVID-19 pandemic.

The crisis has brought to the fore the need for firms to enable flexibility in client engagement – the expectation that providers will communicate to clients on their terms, at their speed and frequency and on their preferred channels, is now a given. This is even more critical when clients are experiencing unparalleled anxiety from both market conditions and their own personal circumstances.

...

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The Technical Traders

Adaptive Fibonacci Price Modeling System Suggests Market Peak May Be Near

Courtesy of Technical Traders

Our Adaptive Fibonacci Price Modeling system is suggesting a moderate price peak may be already setting up in the NASDAQ while the Dow Jones, S&P500, and Transportation Index continue to rally beyond the projected Fibonacci Price Expansion Levels.  This indicates that capital may be shifting away from the already lofty Technology sector and into Basic Materials, Financials, Energy, Consumer Staples, Utilities, as well as other sectors.

This type of a structural market shift indicates a move away from speculation and towards Blue Chip returns. It suggests traders and investors are expecting the US consumer to come back strong (or at least hold up the market at...



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Lee's Free Thinking

Texas, Florida, Arizona, Georgia - The Branch COVIDIANS Are Still Burning Down the House

 

Texas, Florida, Arizona, Georgia – The Branch COVIDIANS Are Still Burning Down the House

Courtesy of Lee Adler, WallStreetExaminer 

The numbers of new cases in some of the hardest hit COVID19 states have started to plateau, or even decline, over the past few days. A few pundits have noted it and concluded that it was a hopeful sign. 

Is it real or is something else going on? Like a restriction in the numbers of tests, or simply the inability to test enough, or are some people simply giving up on getting tested? Because as we all know from our dear leader, the less testing, the less...



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Insider Scoop

Economic Data Scheduled For Friday

Courtesy of Benzinga

  • Data on nonfarm payrolls and unemployment rate for March will be released at 8:30 a.m. ET.
  • US Services Purchasing Managers' Index for March is scheduled for release at 9:45 a.m. ET.
  • The ISM's non-manufacturing index for March will be released at 10:00 a.m. ET.
  • The Baker Hughes North American rig count report for the latest week is scheduled for release at 1:00 p.m. ET.
...

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Promotions

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Phil will discuss positions, COVID-19, market volatility -- the selloff -- and more! 

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Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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