Posts Tagged ‘home buyers’

DID WALL STREET SHAFT MAIN STREET?

DID WALL STREET SHAFT MAIN STREET?

Courtesy of The Pragmatic Capitalist 

foreclosures

I am so torn on the foreclosure debate.  On one side, you have homeowners who made bad bets and are now getting kicked out of their homes and onto the streets – that’s a horrible thing no matter how you cut it.  On the other side you have the big banks who also made bad bets, but arguably made these bets in good faith.  They were essentially building models based on the fact that US housing prices never go down – totally irrational in retrospect of course, but at the time this did not seem so crazy to most people (aside from yours truly who advised his parents not to purchase several houses in 2006 and was ignored).

The homeowners obviously made a bad bet, but I find it hard to believe that the banks were intentionally trying to fleece the American public.  After all, if they had known that 2008 would occur they never would have sold all that bad paper to one another.  It was more a case of greed run amok.  The fees and income generated from this business were too easy, too consistent and too abundant for any greed loving banker to ignore.  Likewise, the homeowner wanted to profit from rising home prices and did little due diligence on the most important purchase of their life.  The banks were equally ignorant in that they clearly did not do their due diligence either (some of the banks hedged their exposure which seems like a prudent thing to do after the fact.  Whether that was legal or not is not for me to decide….)

At the end of the day it seems like a lot of people made bad bets and now they all want a government handout. And the government appears to be willing to give it to them.  In other words, it’s more capitalism without losers.  And now that the bankers got their bailout Main Street feels entitled to one as well (and rightfully so).  I know it’s probably a harsh thing to say, but when you make a bad bet you have to face the consequences of that bad bet.  One of the reasons I believe the US economy is such a mess right now is because we’ve attempted to create a marketplace where no one ever loses.  It’s a ponzi approach…
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THE ONLY NEWS THAT MATTERED TODAY

THE ONLY NEWS THAT MATTERED TODAY

Courtesy of The Pragmatic Capitalist 

Iconic Houses

There were only two stories worth paying attention to this afternoon.  The first was the increase in inventory in the existing homes sales report. A positive read on actual sales was largely expected for this month as the home buyers tax credit ended in April, but the continuing rise in inventories is further concern that the shadow inventory will continue to come on the market in the coming months.  We have detailed the outlook for housing and continue to believe the pressures are mounting in real estate. Today’s surge in inventories is worrisome to say the least. Home sellers are clearly trying to sell into the brief strength we’ve seen in housing.  The massive supply on the market is not a good sign for what is likely to be lower and lower demand as the year wears on.

The other story of note is the CajaSur Takeover in Spain.  The Spanish central bank initiated the takeover this weekend. The move rippled thru the credit markets as investors begin to see real signs that the sovereign debt crisis is impacting the banking sector. The Ted Spread jumped to 36.96 on the news and banking stocks were down 2.85% on the day.


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The Next Trillion Dollar Stocks: What Are Your Thoughts?

 

The Next Trillion Dollar Stocks: What Are Your Thoughts?

Courtesy of 

In this edition of What Are Your Thoughts, Michael Batnick and Josh Brown discuss:

* Gold vs Bitcoin, let the trolling begin!
* Google joins the Trillion Dollar Club, who’s next?
* Can Bill Simmons sell The Ringer podcast network for $200 million?
* Actively managed US stock mutual funds had a great year in 2019, but most still couldn’t catch the S&P 500. So what?
* Will direct indexing disrupt the ETF business?
* Warren Buffett’s preferred metric to gauge how exp...



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Zero Hedge

CVS, Walgreens Shares Slide As Amazon Files International Trademarks For Pharmacy Business

Courtesy of ZeroHedge

Amazon has just taken another step in its assault of the pharmacy industry. Since the company acquired PillPack, a disruptive online pharmacy, back in 2018, pharmacy mainstays like CVS and Walgreens Boots Alliance have been rattled by the e-commerce and cloud-computing giant's move into their territory. Their shares dipped on Tuesday as CNBC reported that Amazon had just filed trademarks for its 'Amazon Pharmacy' brand in several foreign markets, including Australia, Canada and the UK.

Amazon unveiled its plans to rebrand PillPack as 'Amazon Pharmacy' late last year, signaling to the market that it intended to pursue its pharmacy aims despite a high bar set by regulators in the US.

The problem with selling pharmaceutic...



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Kimble Charting Solutions

Hang Seng Index Double Topping At 2007 Highs?

Courtesy of Chris Kimble

Could the Hang Seng Index be “Double Topping” at its 2007 highs? Possible, yet not proven!

The Hang Seng Index attempted to break above its 2007 highs at (1), only to see a key reversal pattern take place the following month.

After the reversal pattern, the index has created a series of lower highs, just below falling resistance.

So far this month, the index is attempting to break above falling resistance, where it could be created a bearish reversal monthly pattern at (2).

What would it take to prove that a double top was i...



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Insider Scoop

Earnings Scheduled For January 21, 2020

Courtesy of Benzinga

Companies Reporting Before The Bell
  • Halliburton Company (NYSE: HAL) is projected to report quarterly earnings at $0.29 per share on revenue of $5.11 billion.
  • TAL Education Group (NYSE: TAL) is estimated to report quarterly earnings at $0.09 per share on revenue of $839.96 million.
  • Signature Bank (NASDAQ: ...


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The Technical Traders

Using the copy-paste formula in the Forex market

Courtesy of Technical Traders

In Forex there are many techniques available to boost up the profit factors. However, as there are millions of people trying to make a profit it is not easy to get the right tricks. There are many brokers offering high leverage trading account to the interested traders. They also provide useful insight into the market so that the traders can make a decent profit. In fact, some brokers often sell signals to their clients so that they can start earning money in the early stage of their careers.

At present, this method has earned a huge following as many investors don’t like to spend time staring at the chart. In this article, we are going to try to bust the myth about this infamous technique...



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Members' Corner

The War on All Fact People

 

David Brin shares an excerpt from his new book on the relentless war against democracy and how we can fight back. You can also read the first, second and final chapters of Polemical Judo at David's blog Contrary Brin.

The War on All Fact People 

Excerpted from David Brin's new book, the beginning of chapter 5, Polemical Judo: Memes...



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Chart School

SP500 Kitchin Cycle Review

Courtesy of Read the Ticker

The biggest known news date in the next 18 months is the US Election. The biggest unknown news date is when the US believes it is in a economic recession.

The Kitchin Cycle is still working.

We must conclude the major 900 period low is now in, and we are now in a up swing, which may top out ate 2020 or late 2021. Any future top out may only generate a 10% to 20% correction, of course this can be deemed very mild. This is expected, but the expected does always play out. 

Rolling the dice to get '7' does not always work. Post US elections seasonal's aligned with a poor start of the decade seasonal trends, add on high global recession risk, add on a stock market slump tends to occur in the years ending 9,1,2,3,4 (like 1973, 1...



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Lee's Free Thinking

Why Blaming the Repo Market is Like Blaming the Australian Bush Fires

 

Why Blaming the Repo Market is Like Blaming the Australian Bush Fires

Courtesy of  

The repo market problem isn’t the problem. It’s a sideshow, a diversion, and a joke. It’s a symptom of the problem.

Today, I got a note from Liquidity Trader subscriber David, a professional investor, and it got me to thinking. Here’s what David wrote:

Lee,

The ‘experts’ I hear from keep saying that once 300B more in reserves have ...



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Digital Currencies

Cryptos Have Surged Since Soleimani Death, Bitcoin Tops $8,000

Courtesy of ZeroHedge View original post here.

Bitcoin is up over 15% since the assassination of Iran General Soleimani...

Source: Bloomberg

...topping $8,000 for the first time since before Thanksgiving...

Source: Bloomberg

Testing its key 100-day moving-average for the first time since October...

...



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Biotech

Why telling people with diabetes to use Walmart insulin can be dangerous advice

Reminder: We are available to chat with Members, comments are found below each post.

 

Why telling people with diabetes to use Walmart insulin can be dangerous advice

A vial of insulin. Prices for the drug, crucial for those with diabetes, have soared in recent years. Oleksandr Nagaiets/Shutterstock.com

Courtesy of Jeffrey Bennett, Vanderbilt University

About 7.4 million people ...



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Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

...

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Promotions

Free eBook - "My Top Strategies for 2017"

 

 

Here's a free ebook for you to check out! 

Phil has a chapter in a newly-released eBook that we think you’ll enjoy.

In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

This chapter isn’t about risk or leverage. Phil present a few smart, practical ideas you can use as a hedge against inflation as well as hedging strategies designed to assist you in staying ahead of the markets.

Some other great content in this free eBook includes:

 

·       How 2017 Will Affect Oil, the US Dollar and the European Union

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About Phil:

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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