rates

Due to record-high levels of debt accumulation across sectors, rising interest rates, and inflation, the current economic situation is under threat of becoming unsustainable.

Record-High Household Debt: The fact that household debt in the U.S. has reached $17.1 trillion is alarming. High levels of household debt can strain individuals and families, making it difficult for them to manage their finances and save for the future. Mortgage Debt: The record $12.0 trillion in mortgage debt indicates a growing burden on …

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Bits And Pieces: US Real Median Income Falls By -2.3%, Worst Decline Since 2010, Core Inflation (CPI) At 13% YoY (Fed Likely To Raise Rates)

by confoundedinterest17 Here are some bits and pieces about the US economy and interest rates. The Federal Reserve, the most powerful Socialist machine on the planet, is considering rate their target rate after some bad economic news. First, real median household income (released yesterday for 2022) showed a decline of -2.3%. That is the worst …

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Danger Jay Powell! US Median Home Prices Crashed -7.4% In Q2, Worst Decline Since Recessions Of 1970 And 2008 (Higher Mortgage Rates + Tighter Mortgage Credit Box = Heartaches On Heartaches!)

by confoundedinterest17 Danger Will Robinson! Danger! Median sales price of homes in the US sank by -7.4% in Q2 2023. This is particulary dangerous since it was the worst correction in home prices since two rather nasty recessions of 1970 and 2008 (The Great Recession and financial crisis). This correction occured as M2 Money growth (green …

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US Beginning Credit Super Cycle (Bidenomics = Inflation, Rising Debt, Rising Delinquencies) Mortgage Rates UP 158% Under Bidenomics

by confoundedinterest17 Thanks to Bidenomics, code for massive Federal spending on green energy initiatives and payoffs fo large donors, we have agonizing inflation and consumers are borrowing more and more to cope with inflation. And with the increased use of debt comes …. drumroll … delinquenices! Let’s start with mortgage loans, the overall delinquency rate …

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Biden’s ShamWow Economy! Real Home Price To Real Median Earnings Not As Bad As 2006’s Housing Bubble (Home Prices UP 32% Under Biden While Mortgage Rates UP 155%)

by confoundedinterest17 You know Bidenomics isn’t working at all when the best I can say about it is … the current housing bubble isn’t as bad as the house price bubble of 2006. We are truly in Biden’s ShamWow economy! Yes, if I look at real home prices less real median earnings we can see that …

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Rising Unemployment: A False Hope for Lower Interest Rates?

by bitkogan The uptick in unemployment to 3.8% fits nicely into this week’s trend of “bad news is good news.” While the rise is largely due to a revised participation rate, the key takeaway is that it represents yet another piece of negative news. The market has been eagerly anticipating such developments, hoping they might …

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Young People DYING At Alarming Rates

Young Americans are dying at alarming rates, reversing years of progress. This has nothing to do with Covid, so what factors are pushing up death rates for children and teens in the U.S. and why is no one talking about it?

‘Higher rates are having an INVERSE effect on price’

Ideally, mortgage rates need to come down to a sweet spot. This would involve a level where existing home sales jump, but demand doesn't heat up too much. We believe that ~5% mortgage rates are that sweet spot. Follow us @KobeissiLetter for real time analysis as this develops. — The Kobeissi Letter (@KobeissiLetter) August 31, …

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Bidenomics at work: USDA says food prices will continue to increase at “above historical-average rates”, at 6% in 2023

by EuphoricTrilby Bidenomics: Create 15% food inflation with reckless Covid policy and mandates, then take credit for when inflation “falls” to 6%. https://www.ers.usda.gov/data-products/food-price-outlook/summary-findings/ Americans work three jobs in a single household to put food on the table. Americans on Maui are still digging their dead children from the rubble. And the most most corrupt administration …

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‘Climate change will keep interest rates high’…

Climate change will affect the way the Reserve Bank sets interest rates and the stability of the entire financial system, with incoming bank governor Michele Bullock warning it will affect property values, the way we work and the location of our communities. Bullock, speaking at the Australian National University in Canberra on Tuesday evening, said …

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Macy’s reports uptick in credit card delinquencies – as America’s household debts swell to $1 TRILLION thanks to rampant inflation and higher interest rates

Macy’s executives have warned of a spike in customers failing to make credit card payments thanks to unprecedented pressures on household finances. The department store has seen its credit card revenue plunge by 36 percent this year due to the rise in delinquencies. Bosses said they had expected to see a rise in delinquencies post-pandemic …

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Truckers Are Accepting Rates 15 to 25 Percent Below Their Costs

via Mike Shedlock: A friend of mine in the shipping business has comments on a trucking article he sent. Let’s tune in. Truck image courtesy of Produce News Truck Rates Abysmal, But Some lanes Active Produce News reports Truck Rates Abysmal, But Some lanes Active Two transportation brokers report that truck rates are extremely low without …

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Bidenomics Mortgage Market! Mortgage Rates Now 7.2%, UP 159% Under Maui Joe! (10Y-2Y Yield Curve Collapsed From +100 BPS To -63 BPS)

by confoundedinterest17 Maui Joe Biden received a lot of help from his friends at The Federal Reserve! Thanks to the crippling effects of Bidenomics (Fed easing then tightening to combat inflation caused by insane green spending and a war in Ukraine), US mortgage rates (conforming 30-year) has increased 159%. On the yield curve side, the …

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‘Market not happy as exploding money market yields pressure banks to raise deposit rates or face mass exodus.’

Speaking of under-funded banks, Schwab just announced they are cutting jobs AND raising debt. https://t.co/Bd8grqcl0J Market not happy as exploding money market yields pressure banks to raise deposit rates or face mass exodus. pic.twitter.com/ugidUJHuIW — Mac10 (@SuburbanDrone) August 22, 2023 Financial stocks are dropping, moar BTFP liquidity is needed — Alessio (@AlessioTMAD) August 22, 2023

Personal Savings GONE… Americans’ credit card debt breaks record of $1 trillion as interest rates climb

Economy and stock market is about to melt down. People have no savings left and cannot keep their heads above the rising tide of inflation. https://twitter.com/_/status/1692500764524986609 SAN FRANCISCO (KGO) — This week, for the first time, American credit card debt surpassed $1 trillion. Getting into credit card debt at any time is not good, but …

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Baffled! Cancer rates in people younger than 50 are rising, new study finds. Doctors don’t yet know why.

Rates of colorectal cancer have been increasing in young people over the past few years — and have gotten a lot of attention in the process. But disturbing new research finds that rising cancer rates in young people aren’t limited to colorectal cancer. The study findings, which were published in JAMA Network Open, “build on data that’s …

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Minutes of the Federal Open Market Committee, July 25-26, 2023: “Various participants commented on risks that could affect some banks, including unrealized losses on assets resulting from rising interest rates, significant reliance on uninsured deposits, and increased funding costs.”

by Dismal-Jellyfish Source: https://www.federalreserve.gov/monetarypolicy/fomcminutes20230726.htm Developments in Financial Markets and Open Market Operations: The manager turned first to a review of developments in financial markets over the intermeeting period. Market participants interpreted data releases as generally demonstrating economic resilience and a further easing of inflation pressures. The market-implied peak for the federal funds rate rose in response …

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Bidenomics? US Housing Starts UP 6% YoY, But Building Permits Stagnate In July As Mortgage Rates Topped 7% (MBA Purchase Demand Down -26% YoY, Down -2% WoW)

by confoundedinterest17 “Ice Cream Joe” Biden is at Lake Tahoe for a week, probably to avoid being asked questions about his tin-ear respoonse to the tragic Maui fires that have killed 106 people so far. Instead, Joe is inappropriately chuckling (showing he doesn’t care!) and taking photo ops of him eating ice cream. The Biden …

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FED’s Kashkar warns against 1970s scenario with stopped raising rates too soon

FED'S KASHKARI: WE NEED TO AVOID A 1970S-TYPE SCENARIO WHERE THE FED STOPPED RAISING RATES TOO SOON. Correct even if that means burning down the ponzi scheme — Darth Powell (@VladTheInflator) August 15, 2023 Jerome Powell trying to save the economy pic.twitter.com/EEWVkD2MqJ — Not Jerome Powell (@alifarhat79) August 15, 2023 BREAKING: Canada's inflation jumps to …

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Something is about to break: Real yields break things up here, at 185bps, the highest since Lehman. Bond markets anticipate spiraling debt interest expense due to increased rates.

Real yields break things up here, at 185bps, the highest since Lehman. pic.twitter.com/7od1pAtJLB — Lawrence McDonald (@Convertbond) August 15, 2023 Yes for sure. Bond markets understand that, on top of the continued large deficit spending, interest expense on the debt is going to start spiraling as rates increase. This expense will be nearly impossible to …

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Goldman Sachs expects core inflation to fall enough for the Federal Reserve to start cutting rates in Q2 2024… This is a joke right?

by AdMaleficent2789 Goldman Sachs expects core inflation to fall enough for the Federal Reserve to start cutting rates in Q2 2024, but economists leave the door open for a higher-for-longer scenario. By Q2, “we expect core PCE inflation to have fallen below 3% on a year-on-year basis and below 2.5% on a monthly annualized basis, and …

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SURPRISE! China Central Bank unexpectedly cuts rates amid economic issues…. August 2015: Yuan devaluation worsens as Chinese government struggles to stimulate economy

pic.twitter.com/uX9VoRGdXK — Genevieve Roch-Decter, CFA (@GRDecter) August 15, 2023 Does anyone remember August 2015 – Yuan deval? Well, it's about to be a lot worse this time as the Chinese government can't stimulate the economy and support the currency at the same time. So why not just let the currency do the heavy lifting? pic.twitter.com/fAcHUIQMhH …

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Eurostat Reveals the Most Vaccinated Countries Are STILL Seeing High Rates of Excess Mortality

More vaccinated countries: • Finland – 12.4% more deaths than expected. • Ireland – 12.16% more deaths than expected. • Austria – 13.175% more deaths than expected. Less vaccinated countries: • Romania – 12% fewer deaths than expected. • Bulgaria – 8.74% fewer deaths than expected. • Hungary – 2% fewer deaths than expected. https://ourworldindata.org/grapher/excess-mortality-p-scores-average-baseline?country=~USA …

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Fed raises interest rates, bails out banks, ultra-rich, deepening middle class’s borrowing needs to combat inflation.

The longer the Fed keeps raising interest rates while using their balance sheet to bail out banks and the ultra wealthy, the more deeply buried the middle class becomes trying to borrow their way through inflation. Personal interest payments: pic.twitter.com/UdeKfTTszD — Mac10 (@SuburbanDrone) August 10, 2023 US Core CPI is still at a staggering 4.7% …

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