Handing A Drowning Man A Glass Of Water
A report from Bloomberg on the UK. “London house prices fell for a fifth month in August, the worst streak for the U.K. capital since the depths of the recession seven years ago. The decline is being led by higher-priced boroughs in central London, according to LSL Property Services. That analysis is echoed in forecasts by Savills Plc, which said last month that luxury homes in the city will slump 9 percent this year, the most since 2008. Property website operator Rightmove has also highlighted a divergence in London’s market, with the most expensive district — Kensington and Chelsea — seeing asking prices down almost 12 percent in the past year. That’s partly due to the recent introduction of tax surcharge on buyers of such properties.”
“‘We’re seeing a two-speed market become firmly established as cheaper parts of the capital and the regions record big price increases driven by demand for affordable homes, while prime London property stalls,’ said Adrian Gill, director of Your Move and Reeds Rains estate agents.”
CBC News in Canada. “Condo purchasers in central Edmonton who feel stuck after building construction delays are calling for legislation to hold developers accountable. ‘I think there should be some sort of legislation moving forward,’ said 25-year-old Brennan Belliveau, who in late 2014 put a $60,000 down payment on a unit in a downtown highrise that has not yet been built. ‘There should be some sort of opt-out date where if the project isn’t done by that date, then you should have the ability to opt out of that contract. It needs to be a fair agreement.’”
“Nearly two years after putting down his money, he’s frustrated. Construction hasn’t started and all that exists is a sales building and an old parking lot. ‘I’ve tried to be as optimistic as possible and hopeful that things will go through, but I think I’m going to have a little bit of regret later on.’”
The Chinchilla News in Australia. “For the first time this year Gladstone’s property market is showing signs that it’s getting its mojo back. Although property valuation experts Herron Todd White still say the market is yet to hit the bottom, in a big change, the volume of house sales increased. Although Herron Todd White found that first home buyers were getting into the game, which was helping to boost sales, Real Estate Institute Queensland CEO Antonia Mercorella said the first home owner’s grant was failing to help regional Queensland.”
“The state government recently increased the grant from $15,000 to $20,000 but it is only available for new homes. ‘These (regional) markets have a surplus of housing, established homes, and there is no need to build more housing - but to qualify for the Government’s grant home owners are forced to build,’ Ms Mercorella said. ‘In regional Queensland, it’s like handing a drowning man a glass of water.’”
From China Daily. “Despite growing concern about a potential bubble ballooning in the real estate sector, an increasing number of investors are jumping on the housing bandwagon because they don’t have many alternatives to maintain or increase the value of their assets, industry observers said. For instance, the interest rate on one-year deposits is 1.75 percent. The Shanghai Composite Index, after a slump last year, has been moving around 3,000 points with trading remaining muted last month.”
“Zhang Di and his wife, a young couple living in Tianjin, recently used idle funds to invest in the housing market because their family business in the chemical industry was treading on thin ice. ‘My father has been talking about closing the factory, after a lifetime of efforts. What can I do? Investing in property seems to be the only way out,’ Zhang said on phone.”
‘I’ve tried to be as optimistic as possible and hopeful that things will go through, but I think I’m going to have a little bit of regret later on.’
And there is no doubt that the DP was borrowed or encumbered in some way.
Gullible fools with other people’s money results in hefty losses. Why attempt to “beat inflation” when the globe has been deflating for decades?
Lesson: Keep your money in your wallet and most of all, never borrow.
“Zhang Di and his wife, a young couple living in Tianjin, recently used idle funds to invest in the housing market because their family business in the chemical industry was treading on thin ice. ‘My father has been talking about closing the factory, after a lifetime of efforts. What can I do? Investing in property seems to be the only way out,’ Zhang said on phone.”
So the family business is in trouble and they respond by “investing” in a real estate bubble? Insolvent Zhang and his wife are likely to be in the front ranks of the future Red Guards waving Mao’s Little Red Book and screaming, “Kill the capitalist roaders!”
since real production of goods and services has taken a nosedive, we have to inflate stock and home prices to keep the system afloat.
‘Euro ‘house of cards‘ to collapse, warns ECB prophet’
‘The central bank already holds over €1 trillion of bonds bought at “artificially low” or negative yields, implying huge paper losses once interest rates rise again. “An exit from QE policy is more and more difficult, as the consequences potentially could be disastrous,” he said.’
“The decline in the quality of eligible collateral is a grave problem. The ECB is now buying corporate bonds that are close to junk, and the haircuts can barely deal with a one-notch credit downgrade. The reputational risk of such actions by a central bank would have been unthinkable in the past,” he said.’
‘Jacques Delors, the euro’s ‘political’ founding father, issued his own candid post-mortem last month on the failings of EMU but disagrees starkly with Prof Issing about nature of the problem. His foundation calls for a supranational economic government with debt pooling and an EU treasury, as well as expansionary policies to break out of the “vicious circle” and prevent a second Lost Decade.’
“It is essential and urgent: at some point in the future, Europe will be hit by a new economic crisis. We do not know whether this will be in six weeks, six months or six years. But in its current set-up the euro is unlikely to survive that coming crisis,” said the Delors report.’
‘Europe will be hit by a new economic crisis. We do not know whether this will be in six weeks, six months or six years’
As I noted a few weeks ago when the mini-crash happened in the Japanese bond market; we could see a blow up at any time. I can remember when such thing was highly unlikely. Loans were collateralized. House prices, for instance didn’t go up or down too much.
The first guys says in the article, “the moral hazard is overwhelming.”
this is exactly why yellen wont raise rates but talks about it. Rising rates would destroy their portfolio. Its gonna be this way for a long time. always excuses and talk.
You cracked the code, AZ.
‘Rising rates would…’
I’m more interested in what low rates have done. The news about the SF condos this morning was huge IMO.
It’s sagging and about to collapse of its own weight, rate hike or none, much like Chinese stocks did last year.
MarketWatch
Dow futures edge lower as stocks seen ‘struggling to sustain themselves’
By Victor Reklaitis
Published: Oct 17, 2016 7:32 a.m. ET
In focus today: Fed’s Fischer, Netflix, Bank of America, Hasbro
…
They’ve eaten the roast beef, the mashed potatoes and the candied yams but refuse to touch the broccoli on their plates. They’ve tried to feed to the dog under the table but the dog, following its instincts, won’t have any.
The quandary they are in is the same as any other 4 year-old at the dinner table: how do I get out of this and still get a slice of pie?
Nice analogy! If the Fed is buying MBS from the GSEs, who is the dog in your story?
From July 2013 - July 2014, the Fed increased their holdings of MBS from $1.247 Trillion to $1.674 Trillion, and increase of $427 Billion.
From July 2014 - July 2015, the Fed increased their holdings of MBS from $1.674 Trillion to $1.735 Trillion, an increase of approximately $60 Billion.
From July 2015 - July 2016, the Fed increase their holdings of MBS from $1.735 Trillion to $1.741 Trillion, and increase of $6 Billion.
1. Why is the Fed still buying MBS, albeit at a low level relative to prior years. I thought it should be declining by now…;
2. There was $1.647 Trillion of MBS issued from August 2015 to August 2016. If the Fed only purchased $6 Billion, who purchased the rest?
Oh, geez, I really hate to post something like this so early on a new thread, so if Ben doesn’t let it through, I understand.
But I thought perhaps a little bit of perspective on the media would be in order. I, like many others, have forgotten that this media collusion with a political figure is really nothing new. After all, didn’t the media, led by the New York Times, collaborate with the Bush regime on the phony Iraq war? The pages of the NYT ought to be dyed red, for the blood that was shed and that continues to be shed in the Middle East.
None other than Ann Coulter points out the incredible lockstep media cover-up of JFK’s actual proclivities. She does not candy-coat it:
“The same media that are pretending to consider the use of a bad word equivalent to rape don’t give a fig about real rape, real sexual assault, real whoring, even real homicide, depending on who did it.
JFK was an STD-infected drug addict who cavorted with whores at the White House, but the media ferociously hid all this from the public, publishing fairy-tale versions of his presidency as “Camelot.”
http://www.anncoulter.com/
Indeed, how many decades after Kennedy was long gone did it take for all the stories of his sex life and personal habits to leak out? Yep, the media silence was deafening. For years.
I guess it seems different and more ferocious and over the top now, but it’s nothing new. I just wonder why they choose to go after some more than others, or protect some more than others.
2016 has been the most eye opening year of my life in terms of who the media is and what they do. And as mentioned in today’s earlier thread, do not give your money to them.
Not a penny, specifically to cable TeeVee “content” providers and print news and mags. These f*ers consider you deplorable and irredeemable. Why would you voluntarily give money to those who script the narrative to destroy you?
Side comment: dad of friends I grew up with was a tool and die maker at GM in Lordstown, OH wouldn’t let anyone with a Japanese or German car park in his driveway. He had a bumper sticker on the back of his Chevy Caprice wood panel siding station wagon that his wife drove that said “Toyota: the same nice folks who gave you Pearl Harbor”
Globalists gonna globe.
Until they don’t, after we slit their throats
Side comment: dad of friends I grew up with was a tool and die maker at GM in Lordstown, OH wouldn’t let anyone with a Japanese or German car park in his driveway.
Union featherbedding destroyed the American car companies.
That’s another narrative, but his older son (my college roommate) was the first in his family to graduate from college, paid for by a one income earner household.
Those days are OVER.
I just found your future wife, goon. I’m serious. If you don’t buy one of these glass Pepes from her Etsy shop, yer a dawg. Get over there now! I think half the guys on the Donald subreddit just fell in love, lol.
https://www.reddit.com/r/The_Donald/comments/57ua2t/im_a_syrian_glass_artist_heres_a_little_pepe_i/
“Those days are OVER.”
Not so fast.
We moved away from metro-America in 1998 because it didn’t “pencil-out.” We are living on one income, have one in college and another one ready soon. My civil engineering income has been dead-flat, adjusted for inflation, thanks to the bail-out of the investment bankers, yet our 3/2 house is paid-off and we’re driving used cars that were bought with cash.
The financialization of the country is on its last gasp, IMHO.
I have really learned a lot this year myself. Some days it has been more than I can take.
As I’ve said before, that only thing that could maybe preserve the planet would be an EMP attack. I wouldn’t survive it, that’s for sure, but in some ways it might be like a sort of time-out for humanity. Having the juice shut off would be preferable to all out nuclear war.
Rumor is Assange may have been assassinated - wonder if Hiliary ordered the droning/poisoning/whatever herself. Keys have been deployed per wikileaks:
https://mobile.twitter.com/0hour1__
If true, this could be a major game changer - because it would mean Obama ok’d it.
According to that one guy, 0Hour1. I think his imagination ran wild when he saw those codes. Same thing happened when Snowden released a string of code, everyone got all uptight. Really, the idea of Pam Anderson being the assassin is a bit much. Her life wouldn’t be worth a plug nickel.
Lol, now would be a good time to listen to a little Buffalo Springfield:
https://www.youtube.com/watch?v=gp5JCrSXkJY
There’s something happening here
what it is ain’t exactly clear
there’s a man with a gun over there
telling me i got to beware
i think it’s time we stop, children,
what’s that sound everybody look what’s going down
There’s battle lines being drawn
nobody’s right if everybody’s wrong
young people speaking their minds
getting so much resistance from behind
i think it’s time we stop, hey,
what’s that soundevery body look what’s going down
What a field-day for the heat
a thousand people in the street
singing songs and carrying signs
mostly say, hooray for our side
it’s time we stop, hey, what’s that sound
everybody look what’s going down
Paranoia strikes deep
into your life it will creepit
starts when you’re always afraid
you step out of line, the man come and take you awaywe
better stop, hey, what’s that soundeverybody
look what’s going downstop, hey, what’s that
soundeverybody look what’s going downstop, now,
what’s that soundeverybody look what’s going downstop,
children, what’s that soundeverybody look what’s going down
One classic deserves another.
https://www.youtube.com/user/ladyjane99999
I don’t care about any of that who-hang. I was thinking the other day, when I grew up my little town had a bunch of factories with good paying jobs. Not small factories either. Pittsburgh Plate Glass was one. They are all gone now. Now China is 100% of global growth and we’ve got everything riding on geniuses like Zhang in the post above. I’d bet this guy is one or two generations removed from planting rice for ten cents a day.
Ben Jones there used to be some things called honesty and dignity in work.
Real work, not shuffling paper around and pretending to look busy.
I am changing careers, moving in a new direction, in an industry specifically related to the topic of this blog. And I report to the crew boss at 6:30 tomorrow. Without getting too specific, let’s just say it’s a new building that hundreds of thousands of drivers on 25 going through downtown Denver will see every day. And when it’s done, I’d like to feel a little pride in my work.
Can’t say that about my years as a government contactor parasite…
Good luck, Goon. Hope it works out and is fulfilling.
Kewl
Keep your yert
“this guy is one or two generations removed from planting rice for ten cents a day.”
Maybe on both ends.
+1 I was just thinking the same thing.
The die is cast. Will the thinking, intelligent 5% be enough to recapture this country from the Oligopoly? Probably not. But we are not going to go quietly into that Long Goodnight they have planned for us.
Intelligence is not the key. Knowledge is.
I’m confused - I thought the mission was accomplished.
http://edition.cnn.com/2016/10/16/middleeast/mosul-isis-operation-begins-iraq/
“Despite growing concern about a potential bubble ballooning in the real estate sector, an increasing number of investors are jumping on the housing bandwagon because they don’t have many alternatives to maintain or increase the value of their assets, industry observers said.”
Do they mean a bubble on top of a bubble, like a double bubble?
Like a cyst on top of a cankle, if you will.
A blister on the hemorrhoid.
Which globalist-bankster house of cards is going to collapse first?
http://www.telegraph.co.uk/business/2016/10/16/euro-house-of-cards-to-collapse-warns-ecb-prophet/
Scheeit, I sure wish one of them would just implode already.
When one goes, the rest will fall like dominoes. And even the dullest of the sheeple will finally understand how fraudulent the whole system was all along.
Forty percent of Britons are living in “substandard” housing thanks to the “former” Goldmanites running the BoE and their perpetuation of a massive housing bubble.
http://www.independent.co.uk/news/uk/home-news/shelter-living-home-standard-squalid-uk-figures-show-four-in-10-britons-living-in-substandard-a7364671.html
The article is a little bit over the top. Have you ever cut back on food expense or turned the heat down to make your budget work? Is your lease going to run out soon?
Substandard!
Paul Craig Roberts’ scathing Article
http://ronpaulinstitute.org/archives/featured-articles/2016/october/16/the-real-humanitarian-crisis-is-not-aleppo/
I tell every Hillary voter I know that they need to enlist their daughters for front line combat operations in the Middle East. Put your blood and family where your mouth is you armchair warmonger cucks.
Cuz it ain’t Chelsea who will die to secure the realm, LOLZ.
CNN thanks Triggly-Prof and Sweet William for their compliance and docility. You are the model of what ‘Muricans should be.
https://theconservativetreehouse.com/2016/10/16/wikileaks-releases-batch-9-cnn-dares-the-sons-of-liberty-to-read-them/
I comply?
That is bull shit. You are an a$$
That’s a good boy. Here, take your dog treat.
But you still haven’t answered the question on what is the payoff for Trump throwing the election to the Clintons. And I mean a payoff that makes all the crap he’s been through worthwhile. What could it possibly be? Half the country as a kingdom? I don’t know if that would even be enough.
You haven’t answered the question of why Trump is throwing the election to the Clintons if there is no payoff to him. What kind of a deal did he craft behind closed doors?
What’s the payoff, Prof? What could the Clintons give him? You don’t have an answer.
What could the Clintons give him?
They promised they will be in Trump’s next wedding.
What I wants ta know about is this secret “deal” that Trump allegedly has with the Clintons to throw the election. How could they possibly compensate him for what he’s been through? What could possibly be worth all the crap he’s been through? The threats, the lawsuits, the vilification, the lost revenue, the assassination attempt, etc.
I want to hear it from the geniuses who’ve floated this theory. What’s the payoff for him that makes all of the above (and more) worthwhile?
Of all the cockamamie, tin foil conspiracy theories I ever hear, that one takes the cake.
Burt_Nolan
5 hours ago
Trump never wanted to be president, his campaign is and always was a stunt and if he wins he’ll be in the position of having follow through on impossible campaign promises. Now that the end is near, he’s deliberately throwing the election but doing so in a manner that will allow him to claim the election was stolen from him and then he will found a new conservative media business where he can continue to exploit his base.
I say this because there’s no other explanation for his recent behavior that makes any kind of sense.
…
Excuse me. The question IS, what could they possibly offer Trump for everything that he’s been through? What’s the payoff? A “new conservative media outlet”? That’s not much of a payoff. They really don’t make money, that I know of. He could have just cut to the chase and done that without running and going through all this agony.
Neither you nor SH can answer this with a credible answer.
“I say this because there’s no other explanation…”
In other words; it is total BS and I just made it up.
I *don’t* believe that Trump made some agreement to throw the election. In fact, I believe it’s the other way. Even if Trump *had* made a deal with Clinton or the media to throw the election, he would renege on it now. Even if Trump did start his campaign as a lark, once he started doing well, he got the taste of power. Now, his ego doesn’t want to let it go.
All of Trump’s behavior points to emotional fear, not a calculated exercise. If anything, Trump reminds me of a sorority girl who knows that she’s about to get dumped by her handsome upperclassman boyfriend. She knows that she’s about to lose all that popularity and attention that goes with it, and her ego is scared stiff. Lashing out is a form of foaming the runway, for both the girl and for Trump.
That’s some pretty far out stuff Donk. Psychology, to finance to construction….. Donk has it covered.
When the truth is not on your side, use distraction.
FINANCIAL TIMES
Donald Trump
Trump son-in-law makes approach on post-election TV start-up
Jared Kushner has contacted Aryeh Bourkoff, head of boutique firm known for media deals
Donald Trump, left, with his daughter Ivanka and her husband Jared Kushner © AP
13 hours ago
by: Matthew Garrahan and James Fontanella-Khan in New York
Donald Trump’s son-in-law Jared Kushner has informally approached one of the media industry’s top dealmakers about the prospect of setting up a Trump television network after the presidential election in November.
Mr Kushner — an increasingly influential figure in the billionaire’s presidential campaign — contacted Aryeh Bourkoff, the founder and chief executive of LionTree, a boutique investment bank, within the past couple of months, according to three people with knowledge of the matter.
…
Most likely he’s just curious about whether he can care about money.
New York Times real journalists report the obvious, years after the fact:
http://www.nytimes.com/2016/10/17/business/international/china-home-price-bubble.html
German industrialists are belatedly realizing that Merkel and her craven subservience to the globalists are leading Germany down the road to ruin.
http://wolfstreet.com/2016/10/17/german-ceos-call-for-revival-of-germany-inc-deutschland-ag-protective-wall-against-us-china/
Don’t believe Establishment pollsters trying to convince the proles the election outcome is a foregone conclusion.
http://www.investors.com/politics/trump-brexit-surprise-win-over-clinton/
The end of globalist-neocon delusions will coincide with the arrival of the Greater Depression. Now is not the time to go deeply into debt for insanely overpriced houses.
http://www.zerohedge.com/news/2016-10-16/doug-casey-warns-greater-depression-going-be-worse-even-i-thought-it-would-be
“It lays out—in clear and well-written English—the “elite” rationale for negative interest rates, and the abolition of cash.”
Good thing that starting a fire is still cheap.
Meanwhile, Greece remains un-fixed, despite multiple bailouts and promises of “reform.” Hey Greeks, how’d that vote for socialism and the crony capitalist status quo work out for ya?
https://www.theguardian.com/world/2016/oct/16/eu-and-imf-auditors-to-visit-athens-as-greeces-agony-continues
Freedom of Speech is among America’s most precious institutions. Try not to vote people into office who would gladly rescind it.
You must mean the lady who asked why we couldn’t just assinate Assange to shut him up.
Psychopath in Chief is already rescinding it.
What Trump said now? LOL
WW3 is now underway. Trying to sort out what happened to Julian Assange, but even more, RT’s bank accounts have been blocked in the UK:
http://www.zerohedge.com/news/2016-10-17/rts-bank-accounts-blocked-uk
Sounds like the banking clan has had enough with those uppity Russians and anyone who would dare to leak damaging information about the cabal’s anointed candidates.
Apologies to mcbain. You were right.
https://aeon.co/essays/what-chinese-corner-cutting-reveals-about-modernity
Chabuduo! Close enough …
Your balcony fell off? Chabuduo. Vaccines are overheated? Chabuduo. How China became the land of disastrous corner-cutting
Even better. Moar jobs.
Create shoddy buildings - work
Fix or Demolish or build new - moar work
Forget ISIS (which is America-sponsored and America-equipped anyway). America is the real threat to the world.
http://theantimedia.org/oliver-stone-forget-isis-america-is-the-real-threat-to-the-world/
“American exceptionalism has to be driven out of our curriculums. We’re not under threat. We are the threat.” - Oliver Stone
We can vote to change that, no?
Oops.
“We can vote to change that, no?”
No. We voting won’t change it.
looks like CAT is still having a problem selling overpriced heavy equipment. 45 months of lower global sales.
And they call this a recovery? BS
James O’Keefe at Project Veritas releases the first of his undercover videos on the DNC and related groups deliberately inciting violence at Trump rallies. Remember the Chicago rally? And others? All deliberate, planned and PAID FOR. And not just Trump, they also incited at a Scott Walker rally. This is some really foul schitt. Third world thuggery.
16 minutes.
https://www.youtube.com/watch?v=5IuJGHuIkzY