Hedge Funds continue adding to their short U.S. Treasuries futures position which has now reached the largest short position in history pic.twitter.com/5VtUeUb7JQ
— Barchart (@Barchart) October 11, 2023
I believe Bank of America is insolvent with a 6% Fed funds rate, leverage explodes. If your core capital is impaired, any losses on tertiary assets (credit cards, commercial real estate, asset backed securities) are exponential painful. t.co/Xd76VATiOr
— Lawrence McDonald (@Convertbond) October 10, 2023
The monthly cost of a new mortgage is now 42% of U.S. median household income, 10% higher than on the eve of the 2008 housing crash, per UBS. pic.twitter.com/awtWnsDaup
— unusual_whales (@unusual_whales) October 11, 2023
More than $25 Trillion of U.S. Debt is no longer AAA rated which means for the first time in history, global government junk debt exceeds that which is top rated pic.twitter.com/eAlKCo4rRD
— Barchart (@Barchart) October 11, 2023
Junk debt down. $HYG
Treasuries up. $IEF
Phase 2.
I will not relent.
The credit event started two weeks ago in Treasuries.
It ends with Junk debt collapsing.
You're fucked.
— Michael A. Gayed, CFA (@leadlagreport) October 11, 2023
Housing Set to Plummet for the First Time in Over a Decade
House prices are set to plummet for the first time in a decade, claims a former Oppenheimer analyst who was dubbed the ‘Oracle of Wall Street.’ Meredith Whitney, known for her Wall Street predictions, anticipates a decline in U.S. house prices for the first time in a decade. The ageing Baby Boomer population downsizing and current high mortgage rates contribute to this trend. Recent data shows an uptick in reduced home listing prices, hinting at a market shift.
These developments could lead to increased financial instability, potential banking crises, higher borrowing costs for Americans, and greater economic uncertainty.