A Rot At The Heart Of American Democracy
Some housing bubble news from Wall Street and Washington. David I. Kranzler, “The yield on the 10-yr Treasury has blown out 109 basis points since July 3rd – 70 basis points since October 30th. 30yr fixed rate mortgage rates for 20% down payment buyers with a credit score of at least 720 are up 90 basis points since October 1st. Interestingly, the Dow Jones Home Construction has diverged from the S&P 500. While the DJUSHB index is up since election night, it has been lagging the S&P 500 since the beginning of the year. The DJUSHB has been in a downtrend since late August, almost as if stock investors were anticipating the big spike in interest rates that started about 6 weeks later. Through December 2nd, mortgage application volume – both refinance and purchase – has been negative to highly negative in 9 of the last 12 weeks.”
“Mortgage delinquency rates are quickly rising: Black Knight Financial Services, which provides data and analytics to the mortgage industry, released its Mortgage Monitor report for October. It reported that the 30+ day delinquency rate had risen ‘unexpectedly’ by nearly 2%. The overall national delinquency rate is now up to 4.35%. It also reported a quarterly decline in purchase mortgage lending. The highest degree of slowing is among borrowers with 740+ credit scores. The 740+ segment has accounted for 2/3’s of all of the purchase volume.”
“Even more interesting, it was reported by RealtyTrac last week that home foreclosures in the U.S. increased 27% in October from September. It was the largest month to month percentage increase in foreclosures since August 2007. Foreclosures in Colorado soared 64%, which partially explains the rising inventory I’m seeing (with my own eyes). Foreclosure starts were up 25% from September, the biggest monthly increase since December 2008.”
“Finally, again just like the mid-2000’s housing bubble, NYC is showing definitive signs that its housing market is crumbling very quickly. Landlord rent concessions soared 24% in October, more than double the 10.4% concession rate in October 2015. Typical concessions include one free month or payment of broker fees at lease signing. Days to lease an apartment on average increased 15% over 2015 in October to 46 days. And inventory listings are up 23% year over year. Note: in the big housing bubble, NYC was one of the first markets to pop.”
From Quartz. “The left-leaning Center for American Progress compared real estate data with election results, finding that counties that voted Republican tended to have higher median rates of negative equity—homeowners paying off loans that are worth more than the market value of their house, a warning sign for potential foreclosure. Counties that had voted for the Democratic candidate in 2012 and switched parties in 2016 had even higher rates of negative equity.”
“Areas where mortgage markets yet to recover from the financial crisis and economic weakness are particularly found in rural areas, in states like Michigan and Wisconsin that Democratic political strategists had counted on as reliable electoral college votes. Instead, Trump would end up with surprising victories thanks to turnout in rural districts.”
“Sarah Edelman, the director of housing policy at the Center for American Progress, cautions that the connection between underwater mortgages and Trump votes are ‘correlation, not causation,’ but highlights ‘an important factor in the lives of Americans that has gotten very little attention.’”
“Many people date the start of the ‘Tea Party,’ in many ways a predecessor to Trump’s base, to a televised rant by CNBC personality Rick Santelli in February 2009. Less well remembered is what Santelli was so upset about: An Obama administration plan to convince banks to renegotiate mortgages with customers who owe more than the their house is worth, rather than foreclose on them.”
“The economic recovery helped many Americans get past the foreclosure crisis. But the recovery was not well-shared, as Edelman and her team documented last year. Their observations of counties with high numbers of underwater homeowners became the basis of their new electoral analysis. ‘While most of our housing market has recovered, there are pockets of the country have not,’ Edelman says. ‘One of the mistakes we make regularly in DC is pretending that the foreclosure crisis or the housing crisis is over everywhere, and it’s clearly not.’”
The Atlantic. “‘In My President Was Black’, Ta-Nehisi Coates ably documents the material and representational advances of the past eight years. But any rendering of Barack Obama’s legacy is incomplete without including his failure to arrest the foreclosure crisis, or to hold anyone accountable for the widespread damage it inflicted. In fact, reading Coates’ hymn to the Obama era, I couldn’t stop thinking about a different Chicago resident I met this year.”
“I was in St. Louis, giving a talk for a book I wrote about the foreclosure crisis. The skies erupted minutes before the event, and few battled the rainstorm to join the audience. But when I opened it up for questions, Andy Williams Jr., dreadlocks scraping his shoulders, stood up and said, ‘David, you are a hard man to find.’ Williams drove five hours that day, from Chicago to St. Louis, to tell me about his 11-year foreclosure ordeal, initiated, he claimed, after his loan servicer misapplied his payments, charged illegal fees, and fraudulently placed him into homeowner’s insurance when he already had it.”
“A paralegal, Andy started collecting stories of the servicer’s tactics, compiling them into an as-yet-unpublished 200-page book. He not only fought his own case—it’s still in federal court—but he helped grow six law firms in the Chicago area, to protect others at risk of dispossession. It’s an uphill battle. ‘I just don’t think a borrower will ever have a real chance of justice or leveling the playing field,’ Andy told me last week.”
“Should Andy exhaust his appeals, he’d join over 9.3 million American families who have lost their properties since the housing bubble collapsed, either to foreclosure or an associated transaction. Given the average household size in the United States, that likely represents more than 20 million people, forced to uproot their lives and find shelter.”
“This had a particularly gruesome effect on people of color, who stored more of their wealth in home equity and were targeted for subprime loans. Coates points out that white households now hold seven times as much wealth as black households; he doesn’t mention how that statistic grew worse under President Obama, mostly because of foreclosures.”
“If Obama ever reads this critique, I suspect he’d mutter under his breath, as he disclosed to Coates he does habitually when confronted with activist demands. ‘Where I got frustrated at times was the belief that the president can do anything if he just decides he wants to do it,’ Obama grumbles. Nothing is sadder than a man who disclaims his power to preserve his reputation. The presidency is subject to countless veto points and constraints, but the foreclosure disaster was unique; Congress had already given the incoming president the authority to act.”
“Obama the candidate ran on allowing bankruptcy judges to cut balances on primary mortgages; Obama’s administration actively whipped against the policy. Obama’s transition team earmarked up to $100 billion in funds appropriated through Bush’s bank bailout to mitigate foreclosures; eight years later only around $21 billion has been spent. Obama the president promised 4 million mortgage modifications; to date less than a million have been successfully achieved.”
“No Republican sign-off was necessary for Obama’s Home Affordable Modification Program (HAMP). The Treasury Department alone decided to run it through mortgage companies that had financial incentives to foreclose rather than modify loans. Treasury never saw the program as a relief vehicle, but a way to ‘foam the runway’ for the banks, allowing them to absorb inevitable foreclosures more slowly. Homeowners were the foam being crushed by a jumbo jet in that scenario, squeezed for as many payments as possible before ultimately losing their homes.”
“Worst of all, most of these foreclosures were executed fraudulently. When this came to light in fall 2010, the leading mortgage companies stopped foreclosing because they could no longer do so legally. But Obama’s Justice Department did not use this newfound leverage to obtain equitable solutions for struggling families. It didn’t prosecute those responsible for fraud. It reached a series of bank settlements that provided little meaningful relief. Fraudulent documents still get used in foreclosures today. And of course, no high-ranking executive saw the inside of a jail cell.”
“This past year has made clear that America’s social fabric is fragile. When you let private companies distort a government program into a foreclosure-creating machine, when you allow the largest consumer fraud in American history to occur without sanction, you tear at that social fabric. You create a rot at the heart of American democracy. You teach the public the rules don’t apply to the wealthy and powerful. And people respond with cynicism and rage.”
“Coates squarely blames racism for the rise of Trump. But the destruction of faith in institutions also plowed that pathway. Obama sapped that faith when he could have restored it. And now his party, the one that believes government can act to protect its citizens, is at its lowest ebb in 90 years.”
These are all worth reading in full.
I did, and they are indeed. Yet the usual voices will chorus in unison that nobody could’ve seen the next housing bubble implosion coming.
http://www.bkfs.com/Data/DataReports/BKFS_MM_Oct2016_Report.pdf
Source Document.
The “nearly 2%” rise was from 4.27% to 4.35% (not a 2 point rise, but a 2% rise). And the author forgot the word “slightly” before “unexpected”.
Here is the actual text:
October experienced a slightly unexpected, nearly two percent rise in 30+ day delinquencies, pushing the national delinquency rate to 4.35 percent
I pulled the 4.27% number from their prior report.
But in the author’s attempt at hyperbole, they neglected the following:
“While most of the country saw minimal increases or even declines in delinquencies, those areas of the country impacted by Hurricane Matthew saw significant increases in delinquency rates in October”
“The hardest hit areas were along the coast, and correspondingly higher increases in delinquencies were observed in these areas as well”
And more good stuff from late in the report:
“As the chart on the left makes clear, delinquencies within 2012-2016 vintage mortgages are extremely low; fewer than two percent of mortgages originated during that time frame with at least two years
of seasoning are behind on mortgage payments ”
“This is 50 percent lower than a similar comparison of loans originated from 2009-2011 and 60 percent below those originated from 2001-2004 prior to the loosening of credit leading into the housing crisis”
“Early stage delinquencies continue to drop well below historic norms; the 30-day delinquency rate in October was nearly 20 percent below long-term averages for the month”
I haven’t looked through the rest of the author’s claims about other reports, but his interpretation of the Mortgage Monitor delinquency data as being supportive of his statement that “mortgage delinquency rates are quickly rising” indicates either severe bias, or severe stupidity.
I suspect bias.
With foreclosure moratorium like obstacles in the way in all 50 states, it’s no surprise that foreclosures appear low.
The metric in question is delinquencies, not foreclosures.
When foreclosures aren’t executed delinquencies are meaningless.
If foreclosures weren’t occurring, delinquencies should be piling up…they are not.
If foreclosures were occurring delinquencies would be piling up.
Another paragraph from the Atlantic piece:
‘Coates cites the Shirley Sherrod fiasco as a “rare act of cowardice” for Obama. But Rick Santelli’s rant about “the losers’ mortgages,” which Coates also highlights, paralyzed the White House from aiding anyone other than “responsible borrowers,” an echo of Obama’s constant haranguing of irresponsible black fathers. The president never sliced up “responsible” and “irresponsible” banks in this fashion; instead, Wall Street’s balance sheets were privileged ahead of homeowners’. This decision didn’t just abandon millions in a time of need, it stunted the recovery, squandering Obama’s political capital rather than conserving it.’
Wow
Obama led through polls. If something was unpopular, he didn’t do it. He blew up a major budget deal with Boehner over a concern over perception (read “Price of Politics).
Good leadership is doing what is right and then telling/convincing people why what you did was necessary and right.
Good leadership is not being led around by polling numbers (which, as HRC found out, are rarely right anyway, and skewed by how questions are asked).
Black racists blaming racism that banks that “redlined” them
Black racists blaming racism that banks foreclosures on them when they don’t make the payments
Black racists blaming racism when Obama doesn’t give them billions in free sh*t
Black racists blaming racism for Trump being elected
Anyone see a pattern?
Yes. Those evil racists are everywhere. And we have 61 million fascist cultists who voted for Trump, ‘cuz Sweet William says so.
I like to think that people voted for Trump despite who is, not because of it.
Hmmm….
As First Lady, Hillary called young black men “super-predators” indicating that she thought all young black males were violent criminals. She also said, “We have to bring them to heel,” like young blacks are the same as dogs…
http://downtrend.com/71superb/top-ten-examples-of-hillary-clintons-racism-the-media–to-ignore
In fairness to Hillary, she was referring to a relatively small subset of young black males who carry out a disporportionate number of violent crimes, mainly against other black males.
Most of us don’t care about race much. We want to be free from the corrupt elite gang that deflects most of our troubles away from themselves.
Agree. There’s basically two categories of people: those who are decent, and those who aren’t. I don’t care to associate with the latter or be subject to their scumbaggery.
“I like to think that people voted for Trump despite who is, not because of it.”
Don’t think, comrade. I totally voted for Trump for who he is, warts and all. Ray was absolutely right, Russians are NOT our friends. Except maybe for the Obolensky crowd.
Isn’t that funny? I happen to be looking at a Christmas card Serge sent my mother in 1951. Back then it was a different kind of New York and a different kind of Russian.
“I totally voted for Trump for who he is, warts and all.”
I’m sorry for you. I hope most of those who voted for him did not like his warts.
“Back then it was a different kind of New York and a different kind of Russian.”
Back then it was different everything. The world has changed.
“I’m sorry for you. I hope most of those who voted for him did not like his warts.”
Ya gotta take the good with the bad. If you don’t understand that, then I’m the one who is sorry for you.
Besides, we’ve had a “perfect”, “moral” president for the last eight years.
Thanks for carrying the torch against the Trump supporter mutual admiration society. It gets exhausting to hold a mirror up to people whose eyes are perpetually glued shut, expecting them to somehow see themselves.
Aw, puss-puss-puss, so sadly noble, such a burden you bear.
‘to people whose eyes are perpetually glued shut’
The Clinton’s are directly responsible for the deaths of over a million innocent civilians. Right now there are people dying in Iraq, Libya and Syria because of deliberate actions she took. And she pledged to continue if elected. And you think you have some moral high ground?
“And you think you have some moral high ground?”
Gee, Ben, not to be rude or anything, but isn’t that obvious by now?
I like to think that people voted for Trump despite who is, not because of it.
If you review the vote percentages, it only *looks* like people came out in droves to hold their nose and vote for Trump in droves. But that’s not really what happened. Look at the raw votes. Trump basically got the Romney vote, a few new votes, and a few flips.
What really flipped this election was were all those Democrats who stayed home and sat on their patooties for Hillary because of what *she* is.
One of you that throws around this description should post the definition of fascist.
You obviously have no idea of the definition.
You’re parrots who say bad words for a cracker.
Go ahead
Look in up on Wikipedia and post the marking points of fascism.
I dare you.
Anyone see a pattern?
Yeah, you’re making up nonsense, as usual.
I knew you’d be quiet about the content of the writing above. No responsibility, no shame. And you blame others for the destruction of your party. Big surprise.
No, I didn’t blame anyone.
So who and what is to blame?
Who’s to blame for Hillary’s loss? Ultimately, she and her campaign have to take the blame. There was something today about they assumed that they had Michigan in the bag and didn’t devote enough resources, time, etc. to winning that state.
http://www.politico.com/story/2016/12/michigan-hillary-clinton-trump-232547
You know Meltdown….. You just like the Crater Administrator’s attention.
Lonely at home? That MT Skull need company?
What are going on about? I was asked a question and I answered it.
“There was something today about they assumed that they had Michigan in the bag and didn’t devote enough resources,”
If the government’s unemployment numbers were real Hillary would have won Michigan by 20 points.
Obama’s failed policies lost the election for Hillary.
That makes no sense, phony. He won Michigan in 2012.
Raycis….
http://knuckledraggin.com/2016/12/racists-3/
Black racists blaming racism that banks that “redlined” them
Black racists blaming racism that banks foreclosures on them when they don’t make the payments
Black racists blaming racism when Obama doesn’t give them billions in free sh*t
Black racists blaming racism for Trump being elected
There’s nothing in the Atlantic article that shows that Andy Williams Jr. is a racist or that he blames racism for his foreclosure problem. It’s interesting that people like you like to claim that false accusations of racism are a big problem in America.
CROW IS ON SALE FOLKS!
I don’t know if it’s on sale, but it’s definitely on the menu for quite a few smug FBs…you know who you are.
I added to short positions today .
Remember, the second mouse gets the cheese.
AUDJPY has been tracking our Ponzi markets almost exactly. Not sure it’s signaling a major downturn yet.
http://www.marketwatch.com/investing/Currency/AUDJPY?countrycode=US
The Keynesian lunatics at the central banks aren’t done printing yet. The BoJ is hitting Ctrl-P, and Yellen the Felon will seize upon any correction as a pretext to announce QE4.
http://www.businessinsider.com/rising-global-yields-to-cause-bank-of-japan-to-turn-on-printing-press-2016-12
Methinks China’s Ponzi markets and asset bubbles will implode before ours.
http://www.marketwatch.com/investing/index/shcomp?countrycode=cn&mod=MW_story_quote
“I added to short positions today .”
In other words; What I said yesterday was total BS. What I am saying today is total Truth. Tomorrow what I am saying today will have been total BS.
Poet took in the shorts.
Yesterday I got a 1 Yuan coin in some change. It looks almost exactly like a quarter but is a little wider, a little thinner, and worth about fourteen and a half cents and falling.
“Mortgage delinquency rates are quickly rising: Black Knight Financial Services, which provides data and analytics to the mortgage industry, released its Mortgage Monitor report for October. It reported that the 30+ day delinquency rate had risen ‘unexpectedly’ by nearly 2%.
I’ve got this odd sense of deja voux, like we’ve been here before.
Yes. Lots of “hey this looks like 2007-08″.
You’ll see my post above, the quote from the MM was “slightly unexpectedly”, from 4.27% to 4.35%, and they pinned the rise in short term delinquency to areas hit by Hurricane Matthew.
Nothing-burger.
Rising foreclosure rates? Inconceivable!
https://www.youtube.com/watch?v=Nx52qvVD7YQ
“just like the mid-2000’s housing bubble, NYC is showing definitive signs that its housing market is crumbling very quickly” “Note: in the big housing bubble, NYC was one of the first markets to pop.”
What he’s smoking?
By mid-2000’s, NYC didn’t show any “crumbling”. It was still in full frenzy, until 2007.
And its market never “popped”, unfortunately. Prices were very sticky, and didn’t fall as much as they should have.
a fool and his money are soon parted!
Give it time. Don’t be a DebtDonkey.
Wanted: Investors to convert Pyongyang’s “Temple of Doom” hotel into condos.
http://www.mirror.co.uk/news/world-news/north-koreas-eerie-105-storey-9457461
Oh dear. The bond vigilantes are not letting up. Yellen the Felon might actually have to hike higher and faster than the Fed ever anticipated.
http://www.marketwatch.com/investing/Bond/TMUBMUSD10Y?countrycode=BX
Funny how in the last 8 years this happens weeks before Trump is inaugurated…
Yeah, those bond vigilantes know that Trump is a genius and will be able to handle this challenge.
The bond vigilantes were overdue to show up regardless of who won the election.
The Fed’s engineered boom-bust cycles have been occurring roughly once every eight years. There is no more efficient means of transferring the wealth and assets of the 99% to the Fed’s .1% cohorts in the financial sector.
Yes - remember The Federal Reserve Act of 1913? Remember what they promised? That the presence of the Fed would prevent or at least mitigate the boom-bust cycles. We all know how that worked out. From the roaring 20s right into the great depression.
I must again recommend reading congressman Charles A. Lindbergh’s writings on the Fed from a century ago (much of it available online for free). He wouldn’t have believed how long the vehicle has rolled, while we are still yet waiting for the wheels to come off.
Virtually everything he predicted has come true - he stated that the 1% would manipulate markets to their gain, knowing what the outcome would be.
It would be ironic if the Fed reducing its ministrations turns out to be measurably good for the economy. As I stated in another thread, their policies have been at best had a lukewarm effect, at worst, paradoxical one.
End the Fed.
http://endthefed.org
The NAR will attribute any slowdown in home sales in December to “unseasonably cold weather.” It is written….
https://www.wunderground.com/news/back-to-back-arctic-cold-blasts-midwest-east-december-2016
Clinton Refuses To Take The Blame
The Young Turks
https://www.youtube.com/watch?v=a_VqlWn5S3s
But she didn’t have a penis….
I think.
No, but she would’ve sure schlonged America if given the chance.
Multiple wambulances were dispatched to Pepsi after Trump’s win.
http://finance.yahoo.com/news/pepsi-ceo-indra-nooyi-my-employees-were-all-crying-after-trump-won-155919576.html
Tears of joy?
Or fits or rage.
North Koreans weeping hysterically (or trying to) over the death of Kim Jung-Il.
https://www.youtube.com/watch?v=pSWN6Qj98Iw
“They were all in mourning. My employees were all crying. The question that they are asking, especially those who are not white — ‘Are we safe?’ Women are asking, ‘Are we safe?’ LGBT people are asking, ‘Are we safe?’ I never thought I would have to answer those questions.”
Disclaimer
I didn’t know Pepsi had an army of special snowflakes for employees.
Michael Rivero (What Really Happened) was talking about some school kids in a news article with these problems that said they were afraid to go to school because Donald Trump had been elected President.
The news article obviously blamed Trump, Michael Rivero correctly said don’t blame Donald Trump, blame the MSM, the teachers and the parents who allowed the kids to be propagandized about this BS actually happening.
Maybe they should have asked if their JOBS were safe.
It’s all Huma’s fault. Hillary was such an attractive candidate to the masses before Carlos Danger sexted a 15-year-old girl.
http://www.zerohedge.com/news/2016-12-14/clintons-closest-advisors-blast-huma-derailing-campaign
Yeah, the defeat had nothing to do with the Screecher and her contempt for middle America.
Vanity Fair is onto us, Trump supporters…a vote for Trump was all about a subliminal desire for submissive Russian babes. We are so busted….
http://www.breitbart.com/big-journalism/2016/12/14/vanity-fair-angry-white-men-voted-trump-putin-crush/
After eight years of the Wookie in heels…
racis
Obama’s failed policies lost the election for Hillary.
Yet Obama would have beaten Trump. It’s hard to get Ds to take a hard honest look at what’s wrong with Hillary…because they aren’t bothered by those things. So it must be sexism…even though there are a bunch of women who could have beaten Trump too.
Embrace your serfdom, Greeks. Your insolvency, too. This is always the end-game when feckless voters fall for promises of something for nothing.
https://www.theguardian.com/world/2016/dec/14/greece-on-collision-course-with-lenders-as-esm-freezes-debt-relief
Brussels must really want more nations to quit the EU.
As usual, Old Yellen purports to see no bubbles.
http://www.zerohedge.com/news/2016-12-14/janet-yellen-concerned-about-bubble-stock-prices-her-answer
Hey, Boyz n’ girlz, I normally don’t post Alex Jones’ stuff and Larry Nichols always seems to me like he’s dining out on his history with the Clintons, but this was fascinating about the Clintons turning electors. He says he was told about it by one of Sessions’ people. So, a little heads up here, it’s something to watch out for.
https://www.youtube.com/watch?v=e8SKVC6VxNU
Even more interesting, he turns the whole Putin-Trump bromance thing on its head. He says Putin would rather have Hillary in the WH. And that the Clintons always accuse others of that which they are doing.
Yep. Who has the relationship with Russia? The Podestas. Who arranged for the sale of 20% of our uranium to Russia? Hillary.
Who’s zooming who?
AC/DC - Who Made Who
https://www.youtube.com/watch?v=PiZHNw1MtzI
Falls Church County, VA Housing Prices Crater 7% YoY
http://www.zillow.com/falls-church-city-county-va/home-values/
WHY R YOU CONSISTENTLY ON THE WRONG SIDE OF THE TRADE?
You’re screeching again. Better check the blinker fluid Poet.
Why would “investors” buy US Treasuries for yields that mean you’re getting robbed by the stealth tax of inflation?
http://wolfstreet.com/2016/12/14/yellen-speaks-yields-spike-mortgage-rates-jump-oil-plunges-but-why/
Unfortunately, the article doesn’t give any more detail on this. I’m not sure we’ve ever seen here any stories of FB’s who didn’t deserve it. Could be the first.
And the whole thing about the fraudulent execution of foreclosures is that, regardless of whether or not the companies had the documents they should have, the borrowers weren’t paying.
The author of the Atlantic article considers the foreclosing of these loans to be “the largest consumer fraud in American history to occur”, but I can’t say I agree. He, and the fb’s, still refuse to see that they never should have bought these houses in the first place, couldn’t afford them, never were going to be able to hang onto them. They completely miss the whole credit bubble that was the origin of the fraud. And of course they all thought they were going to be rich. They’re only crying now because the gamble went wrong. We all know this here, but it’s amazing after all these years that the same stuff gets repeated.
They complain that the banks and their executives got off scot-free, but that’s only because they’re wishing they themselves had been able to escape the consequences of their actions. It’s not a moral position they’re taking.
A pathological refusal to accept personal responsibility for their own greed and financial mistakes seems to be a hallmark of FBs. It’s always someone else’s fault.
“It’s always someone else’s fault.”
They have a lot in common with Hillary, no?
Exactly. And the desire to win at any cost and pretending to take the moral high ground while acting in pure self interest and attempting to screw others.
Karen, I agree. This is one guy actually who may have been defrauded. It’s a different case from those FB’s who thought they were entitled to a refinance, and cried about losing “their” home when they didn’t get the refi.
And I didn’t know this: “Obama the candidate ran on allowing bankruptcy judges to cut balances on primary mortgages.” I’ve always like this idea. Sure, you can keep your house, but you have to beg for it. Except I would have preferred the 7-year BK instead of the 3-year BK.
Hey Donk.
Did your PM holdings get schlonged?
Gold tumbles to 10-month low as post-Fed selloff continues
Published: Dec 15, 2016 3:36 a.m. ET
Silver also under pressure on prospect of rising dollar
Fed meeting takes a toll on gold
By Barbara Kollmeyer
Markets reporter
Gold prices fell to levels not seen since February on Thursday as investors reacted to the first U.S. interest-rate hike in a year and to the prospect of a more-aggressive U.S. Federal Reserve.
Gold for February delivery GCG7, -2.05% dropped $22.80, or 2%, to $1,141 an ounce. The metal began selling off in electronic trading late Wednesday, moving down to $1,156.20 an ounce. It finished the regular session at $1,163.70 an ounce, a 0.4% gain. Gold is now trading at levels last seen in early February 2016.
…
“last seen in early February 2016.” Right before it started rising all the way through July to $1350/oz, in spite of rate hike rumors and the actual .25 bps hike in Dec 2015.
Doing God’s work.
https://www.msn.com/en-us/news/politics/north-carolina-gop-moves-to-curb-power-of-new-democratic-governor/ar-AAlA6YY
“Republicans also proposed to substantially cut the number of state employees who serve at the governor’s pleasure, giving Civil Service protections to hundreds of managers in state agencies who have executed the priorities of Gov. Pat McCrory, a Republican.”
Oh yeah, and North Carolina is a “right to work” state.
http://www.nrtw.org/right-to-work-states/
But…but…they’re not building any more land in Hong Kong.
https://www.bloomberg.com/news/articles/2016-12-15/hong-kong-property-shares-look-shaky-as-mortgage-costs-increase
The massive debt and credit bubble created by lunatic Keynesian central bankers is looking for its pin.
http://www.cnbc.com/2016/12/14/higher-interest-rates-in-the-us-next-year-could-make-problems-for-china.html
DOES CHINA HAVE TO BUY MORE TREASURIES IF THE DOLLAR GOES UP IF THEY WANT TO KEEP PRODUCTS CHEAP HERE? mAYBE THATS WHY THEY ARE PISSED AT DJT?
China is dumping its US Treasuries. What happens when no one wants to buy US debt that is going to be printed away by the Fed?
https://www.theburningplatform.com/2016/12/15/the-real-reason-china-is-dumping-u-s-treasuries/
the way to boost demand is to to keep prices going up!
How else can they cover $1Tr in capital outflows?
China is going to be a land of hundreds of millions of FBs and insolvent lenders. Heckova job, central bankers!
https://www.bloomberg.com/news/articles/2016-12-14/shadow-banking-in-china-appears-to-have-made-a-roaring-comeback
The Chinese Yuan is in a freefall against the dollar. Better get those embezzled billions out of the PRC and into Seattle housing before the bottom drops out, Chinese “investors.”
http://www.marketwatch.com/investing/currency/usdcny?mod=MW_story_quote
PLEASE DONT LOWBALL ME BRO!
Heckova job, Yellen.
http://www.marketwatch.com/story/higher-rent-gas-boost-inflation-cpi-shows-2016-12-15?link=MW_latest_news
“Even more interesting, it was reported by RealtyTrac last week that home foreclosures in the U.S. increased 27% in October from September. It was the largest month to month percentage increase in foreclosures since August 2007. Foreclosures in Colorado soared 64%, which partially explains the rising inventory I’m seeing (with my own eyes). Foreclosure starts were up 25% from September, the biggest monthly increase since December 2008.”
Those who fail to learn from history are doomed to repeat it.
Can u guess what CROW TASTES LIKE?
No way all my realtor friends posting on social media and emails are saying NOW IS THE TIME TO BUY, HURRY HURRY, DONT MISS OUT ON APPRECIATION!!! Hahaaa
All this plus a continuation of Obama’s policies and the polls said what?
https://www.youtube.com/watch?v=jJv6rTqOWRQ
Celebrities?
Celebrities Unite to Ask Electors to Vote Against Trump on December 19th
by The_Real_Fly
Dec 15, 2016 12:18 AM
And here is their video, a plea for help from the electors — practically begging them to ignore the will of the people and to vote against Trump on 12/19, saying they’d make history doing so and would be considered heroes for ‘voting their conscience’, somehow suggesting that the electors don’t really want to vote for Trump — but only do so because he won the god damned elections.
This video shall forever immortalize the emotional collapse of the left — bedraggled snowflakes, crestfallen, deep in a stupor of their own making.
http://www.zerohedge.com/news/2016-12-15/celebrities-unite-ask-electors-vote-against-trump-december-19th
It is rather ironic watching Charlie Sheen calling someone else “unstable”.
Besides Sheen, BJ Honycut and Hot Lips (ouch) I don’t know who the others are.
“…Hot Lips (ouch)…”
Who is that?
Yah, that’s not Charlie Sheen in the video, it’s his dad. A dedicated leftist who has never met a government program he didn’t like or think we needed more of.
Because Hollywood actors know better than everyone. Gimme a break.
Someone asked about cheering for a civil war, nah.
But cheering and laughing as the curtain is pulled back and these Loons expose themselves for who they really are, now that’s a different story.
Foul Mouthed Journalist Uses Fake News Story to Attack Ivanka Trump and President-elect…
Posted on December 15, 2016 by sundance
U.S. Media outlets wonder why the average American is indifferent to their pearl-clutching anxiety over lost credibility. With that in mind, perhaps this example is apropos on many levels. There’s a few layers to this story.
The “reporter/journalist” is Julia Ioffe. A now fired writer for Politico, a frequent CNN guest and contributor, and a journalist recently hired by the Atlantic.
https://theconservativetreehouse.com/2016/12/15/foul-mouthed-journalist-uses-fake-news-story-to-attack-ivanka-trump-and-president-elect/
Celebrities United to Ask the Electoral College to Vote Against Trump
Manu Teran9 hours ago
Who the actually f#ck are these people?
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https://www.youtube.com/watch?v=dli3qH0jPHs
The electoral voters speak, and they’re not out for a revolt
http://finance.yahoo.com/news/electoral-voters-speak-theyre-not-revolt-084526071–election.html
A comment:
‘why would any rational person cede the votes of 49 states to a single state? without the electoral college that is just what would have happened in 2016. hilly won california by 4 million votes. her total popular vote win was 2.8 million votes. that means that Trump won 49 of the 50 states by 1.2 million votes. do we really want california electing our presidents from now on?’
I remember learning about the electoral college. It functioned exactly as it was designed, to give less populated areas a voice.
And note not one word about Project Veritas, bussing illegals from state to state to vote, having goons start violence at rallies and all sorts of similar crimes, directly paid for by Clinton’s campaign.
Thanks for posting this, Ben. Makes me feel a little calmer. I was all in a hot swivet over the Larry Nichols video. He sure likes to get people all stirred up over the Clintons.
Yes, precisely Ben. This is the one sticking point I have with this mainstream media Russian hysteria. They aren’t mad over voter fraud or electoral system hacking, but bad press from the emails and Project Veritas. and the latter was simply a white dude who went undercover and caught them saying stuff on camera. When people cry that Hillary won by 2 million votes, so what? NYC population is over 8 million. 25% of NYC counts as the “majority” for America? Nope. Exactly as you say, the electoral college worked EXACTLY as designed.
Now these electors want briefings, well do they have the requisite clearance? Because if the intelligence info isn’t classified or secret, well all of America should get a gander as well, so we can either agree or see through the baloney and deceit.
That’s a real scandal there - foul mouthed journalists.
May God bless President Donald Trump. May God bless America.
Amen
Here is a comment NYchk posted yesterday that I found interesting:
“Americans are both very arrogant and very ignorant when it comes to Russia.”
NOT some Americans. NOT many Americans. Just…Americans. As if she knew all Americans.
I know very little about Russia. I’ve never been there, for one thing. I do have a liking for Russian art, though. From the lacquer boxes to the Faberge eggs to the paintings to the dance, etc. And no Christmas would be complete without Tchaikovsky’s Nutcracker Suite (even though it is said it was his own least favorite work).
Having said that, I do feel that many recent immigrants (please note the qualifying language), legal, illegal and quasi legal, are both very arrogant and very ignorant when it comes to “Americans”. So eager are they to lecture us, to let us know how much smarter and perceptive they are, as NYchk has done, I wonder why they are here and no longer resident in the paradises from which they came. Surely such superior beings could have effected change in their own countries? Surely they could have imparted their wisdom to their own countrymen? Or maybe it’s just easier to get a leg over here.
Palmetto, I apologize. What I meant, and what I should have written was:
“those Americans who either like “the strong man Putin” (like some conservatives) or who discount Russia’s threat as a “weak regional power” (similar to Obama et al)”.
Please note I didn’t lecture you about the US. However, I know more about Russia than you do, don’t you agree?
One other thing. I’m American. I just came here from elsewhere. So did your ancestors, right?
“One other thing. I’m American.”
Hip-hip hooray. So are thousands of anchor babies from Asia and south of the border. And Obama says if you vote in American elections, you’re American! Hope you didn’t have to go through all that citizenship crap, you could have just voted or come in as a refugee.
“I just came here from elsewhere. So did your ancestors, right?”
What’s your point? Nation of immigrants and all that? Over it.
You’re more similar to an anchor baby than I am.
You were born into it.
“What’s your point?”
My point is that I’m American. By choice. And I deeply value American democracy and freedom, and I don’t want it to become another “Russia” or any other autocratic cesspool.
Your man Trump admires Putin. It boggles my mind, how can anyone admire a murderous ruler who turned his country into a corrupt dictatorship.
Why admire Putin? Here’s a reason: because he didn’t go on a worldwide apology tour, like our current president did.
If you put Putin and Obama into a room together a la the horror movie ‘Saw’, who would come out alive?
And please explain how Putin turned his country into anything? It’s been that way for a century - oh wait - you’re not one of those people who believes that communism actually works, are you?
A national leader should not be ashamed of his own country. In that department alone, Trump is a 1000% improvement over Obama.
“please explain how Putin turned his country into anything? It’s been that way for a century”
Exactly, it was that way for a century - but there was a chance to do away with the murderous regime of KGB monsters, and turn Russia democratic.
Putin did away with that chance by murdering and jailing his opponents and killing scores of innocent bystanders and civilians during his grab of power; by gagging and squashing the free media, and turning the media (and Russian language internet) into a Gebbels-like propaganda machine; by using both the FSB and the mafia-organized strikeforces as his private army; by stealing all of Russia’s vast resources to divide among his organized crime “family”; by trampling the constitution and amassing the absolute power.
“A national leader should not be ashamed of his own country. In that department alone, Trump is a 1000% improvement over Obama.”
A national leader should not be a traitor conspiring with a criminal foreign power, even if that said foreign power rigged the elections to his benefit.
Oh, so now it’s a conspiracy, is it? Trump and his best buddy Putin conspired to rig the election?
Oh that’s rich. You should get that right over to Alex Jones at Infowars!
Meanwhile, don’t google-image Podesta’s art collection showing underwear-clad children - move along, nothing to see there . . .
“However, I know more about Russia than you do, don’t you agree?”
What did I just say above?
“I know very little about Russia. I’ve never been there, for one thing. I do have a liking for Russian art, though. From the lacquer boxes to the Faberge eggs to the paintings to the dance, etc. And no Christmas would be complete without Tchaikovsky’s Nutcracker Suite (even though it is said it was his own least favorite work).”
“So eager are they to lecture us, to let us know how much smarter and perceptive they are”
Sounds like Californians in Portland. “There’s no good sushi here. Why, back in we had the best sushi.” “There’s no good Mexican food here. None of it is ‘authentic.’” Etc, etc.
Oh Goodness, all my Cali friends lecturing me when they found out I voted for Trump. They couldn’t believe it. They thought I voted against their civil liberties and destroyed their world.
I got yelled at in CA for simply not voting for HRC.
Yeah, got unfriended and blocked on FB for not supporting her…and giving an honest answer to “what could she have done to get more votes”?
“There’s no good Mexican food here. None of it is ‘authentic.’”
I love telling Californians that their Mexican food isn’t authentic.
It took a long time but I found a decent Colorado-ish hole in the wall street taco place in Milpitas. There are no “Californians” (SNL) in it whenever I’m there.
“I know very little about Russia.”
“Maps They Didn’t Teach You In School”
http://www.boredpanda.com/maps-they-didnt-teach-you-in-school/
Gee, the Arabs aren’t going to be happy about this. I just hope they don’t grace us with another 9/11 because Washington didn’t git ‘er done for them. Well, look at it this way, they got regime change in Libya and Iraq.
“Meanwhile, having taken over Aleppo, the Syrian proxy war is now in its final stages, with the Assad government, thanks to Russian backing, now assured a victory, especially since Trump has repeatedly stated that he is looking forward to de-escalating the middle east conflict, and no longer is looking to “change heads of state”, a development which will infuriate Qatar, whose gas pipeline to Europe appears doomed to never be constructed.”
http://www.zerohedge.com/news/2016-12-15/you-havent-succeeded-once-state-department-slammed-ap-reporter-over-failure-syria
Politics
The oil and gas industry is quickly amassing power in Trump’s Washington
By Juliet Eilperin, Steven Mufson and Philip Rucker December 14 at 7:49 PM
After eight years of being banished and sometimes vilified by the Obama administration, the fossil fuel industry is enjoying a remarkable resurgence as its executives and lobbyists shape President-elect Donald Trump’s policy agenda and staff his administration.
The oil, gas and coal industries are amassing power throughout Washington — from Foggy Bottom, where ExxonMobil chief executive Rex Tillerson is Trump’s nominee to be secretary of state, to domestic regulatory agencies including the departments of Energy and Interior as well as the Environmental Protection Agency.
“It feels like the grizzly bear in ‘The Revenant’ has been suddenly pulled off our chest,” said Luke Popovich, a spokesman for the National Mining Association.
https://www.washingtonpost.com/politics/the-oil-and-gas-industry-is-quickly-amassing-power-in-trumps-washington/2016/12/14/0d4b26e2-c21c-11e6-9578-0054287507db_story.html?utm_term=.4b27322e9443
The oil and gas industry is quickly amassing power in Trump’s Washington
thank gawd..
silver bells !
anyone buying?
if so, is there a silver miner that’s got cash, low debt etc ????????????
I just told my wife to put every spare penny we have into silver this morning.
Why?
Sub-Prime was total devastation of the housing market. 10 years and counting, still many not seeing the light and never going to get from under their homes values. Doesn’t matter who was elected, the cancer of the collapse and fraud has sellers thinking, maybe we need to walk away. Foreclosure in places like Denver and Pacific coastal areas are back and going to get worse.
Sorry for the bad Xmas news, but it is what it is?
2008 was just the beta crata. Buckle up cowboy because you’re in for the ride of your life.
Although i’m (more or less) libertarian, I did vote for Obama both times given the choices i had then (and lay into me if you like but i still have a lot of respect for him in certain regards), however this article deftly illustrates his main weakness (which i was suspect of going in); that post-2008 he’d fold to financiers and engage in a massive financial moral hazard due to not having knowledge of, or being prepared to act directly upon, the systemic faults seeded during previous admin’s (including Clinton’s).
The thing that disturbs me is that, if not presciently, he ultimately had to have knowledge of causal factors and must have at one point, an opportunity to go after some key players (Mozillo?), or at least publicly out suspect mortgage houses/banks/investments firms (Blackstone?) with roles that created the rot that was (is) present in the system. This is what led me to THBB, of course.
It seems these players are now a permanent part of the ecosystem, and probably here to stay given Trump has appointed Mnuchin and has his own royal family with their soon-to-be inherited real estate empire (even if it is just branding), so I wouldn’t plan on him setting things straight.. at least not intentionally.
I’m not sure which former candidate (outside of a Ron Paul, perhaps) who would’ve actually tried to let free market forces perform an absolute reset here.. de-rigging the casino. This was leadership’s missed opportunity of our time, imo.
All that said, their are winners and losers. I’ve a friend who’s selling a tiny bungalow he purchased in 2005 for $400k (he lived there during years we worked at a Visual Effects company together.. it was a tiny 1BR/1BA which has no garage, no parking, and 6ft ceilings in some rooms) at list for $1.5M.
He really had no idea his house would go ballistic like this, but in this Casino, he’s a winner.. and he’s going to be out of the game in a couple weeks. Happy for him, personally.. but wtf is my real feeling on the matter.
But yes.. thx. A Great article.
Remember….. Nothing accelerates the economy and create jobs and raises the standard of living like falling prices to dramatically lower and more affordable levels. Nothing.