80% Of All New Home Buyers In Irvine Are Chinese | Zero Hedge:
"And here was the stunner in question: "We are seeing more globalization as Southern California has become a destination for international buyers," said Mark Hughes, chief operating officer with First Team Real Estate, covering the Southern California market. "Eighty percent of new construction in Irvine last year was sold to Chinese buyers. International buyers are driving home prices up and sometimes out of reach for many local residents."
You read that right, a whopping 80% of all new housing in Irvine was bought by Chinese."
'via Blog this'
Quotes, thoughts, opinions and timeline stamps for the "right edge" of the sheet of paper that is time... we never know what is on the other side of the right edge after all...
Wednesday, September 30, 2015
Liquidation Warning; Bottleneck Spotted - REIT | Zero Hedge
Liquidation Warning; Bottleneck Spotted | Zero Hedge: "The behavior of mortgage REIT’s lately embody a great deal of confusion about what they actually are and what that really represents. The first aspect to understand is that they are not participants in actual real estate, rather more closely aligned as a specialty financial firm akin to a non-registered bank. They make money as banks do (or supposedly they do in the textbook version) pocketing the spread between borrowing short (and ultra-short) and investing long (in mostly MBS)."
'via Blog this'
'via Blog this'
Tuesday, September 29, 2015
Breaking the tragedy of the horizon – climate change and financial stability - speech by Mark Carney | Bank of England
Breaking the tragedy of the horizon – climate change and financial stability - speech by Mark Carney | Bank of England:
"Since the 1980s the number of registered weather-related loss events has tripled; and
Inflation-adjusted insurance losses from these events have increased from an annual average of around $10bn in the 1980s to around $50bn over the past decade. 7
The challenges currently posed by climate change pale in significance compared with what might come. The far-sighted amongst you are anticipating broader global impacts on property, migration and political stability, as well as food and water security. 8
So why isn’t more being done to address it?
A classic problem in environmental economics is the tragedy of the commons. The solution to it lies in property rights and supply management.
Climate change is the Tragedy of the Horizon.
We don’t need an army of actuaries to tell us that the catastrophic impacts of climate change will be felt beyond the traditional horizons of most actors – imposing a cost on future generations that the current generation has no direct incentive to fix.
That means beyond:
the business cycle; 9
the political cycle; and
the horizon of technocratic authorities, like central banks, who are bound by their mandates."
'via Blog this'
"Since the 1980s the number of registered weather-related loss events has tripled; and
Inflation-adjusted insurance losses from these events have increased from an annual average of around $10bn in the 1980s to around $50bn over the past decade. 7
The challenges currently posed by climate change pale in significance compared with what might come. The far-sighted amongst you are anticipating broader global impacts on property, migration and political stability, as well as food and water security. 8
So why isn’t more being done to address it?
A classic problem in environmental economics is the tragedy of the commons. The solution to it lies in property rights and supply management.
Climate change is the Tragedy of the Horizon.
We don’t need an army of actuaries to tell us that the catastrophic impacts of climate change will be felt beyond the traditional horizons of most actors – imposing a cost on future generations that the current generation has no direct incentive to fix.
That means beyond:
the business cycle; 9
the political cycle; and
the horizon of technocratic authorities, like central banks, who are bound by their mandates."
'via Blog this'
As Banks Retreat, Private Equity Rushes to Buy Troubled Home Mortgages
As Banks Retreat, Private Equity Rushes to Buy Troubled Home Mortgages:
"Within a month, the three-bedroom house that the Hubbards had lived in for two decades was auctioned off to another affiliate of Lone Star with the right to resell it later. The foreclosure was rescinded only after the couple went to court."
'via Blog this'
"Within a month, the three-bedroom house that the Hubbards had lived in for two decades was auctioned off to another affiliate of Lone Star with the right to resell it later. The foreclosure was rescinded only after the couple went to court."
'via Blog this'
Friday, September 25, 2015
Speaker John Boehner will resign from Congress
Speaker John Boehner will resign from Congress:
"The news came a day after the Ohio Republican shed tears while sitting behind Pope Francis as the pontiff addressed a joint meeting of Congress."
'via Blog this'
"The news came a day after the Ohio Republican shed tears while sitting behind Pope Francis as the pontiff addressed a joint meeting of Congress."
'via Blog this'
Wednesday, September 23, 2015
Not surprisingly, following the biggest plunge in biotech stocks in 2015 - many have speculated that the real goal of Shkreli's actions was to profit by shorting the biotech sector ahead of the selling which his action would have unleashed
Brilliant !
Mercenary but if that's what he did it was executed perfectly. Throw a bunch of popcorn into the air, get the minions steamed up, get the political vote chasing talking heads to claim they'll crusade, now you have everyone's attention....
Short the shit out of it quietly and walk away whistling !!
Same move that Goldman pulled when they bought all the empty warehouses in Michigan- hoarded Aluminum and created their own market by playing the rules on receiving and releasing aluminum in the commodity market
Mercenary but if that's what he did it was executed perfectly. Throw a bunch of popcorn into the air, get the minions steamed up, get the political vote chasing talking heads to claim they'll crusade, now you have everyone's attention....
Short the shit out of it quietly and walk away whistling !!
Same move that Goldman pulled when they bought all the empty warehouses in Michigan- hoarded Aluminum and created their own market by playing the rules on receiving and releasing aluminum in the commodity market
Following Public Fury, Jim Cramer-Trained CEO Who Raised Price Of Drug By 5000%, Agrees To Lower The Price | Zero Hedge
Following Public Fury, Jim Cramer-Trained CEO Who Raised Price Of Drug By 5000%, Agrees To Lower The Price | Zero Hedge:
"Not surprisingly, following the biggest plunge in biotech stocks in 2015 - many have speculated that the real goal of Shkreli's actions was to profit by shorting the biotech sector ahead of the selling which his action would have unleashed "
'via Blog this'
"Not surprisingly, following the biggest plunge in biotech stocks in 2015 - many have speculated that the real goal of Shkreli's actions was to profit by shorting the biotech sector ahead of the selling which his action would have unleashed "
'via Blog this'
Monday, September 21, 2015
Chase Mortgage CEO red flags FHA loans
Chase Mortgage CEO red flags FHA loans: "FHA requirements are down to a 520 FICO (credit score) and you only have to put 3.5 percent down; that's subprime lending, and we're not in the subprime lending business," said Kevin Watters, CEO of Chase Mortgage Banking."
'via Blog this'
'via Blog this'
Bullard Slams "Unsavory" Jim Cramer's "Permanent Cheerleading," Admits "Fed Can't Support Stocks Forever" | Zero Hedge
Bullard Slams "Unsavory" Jim Cramer's "Permanent Cheerleading," Admits "Fed Can't Support Stocks Forever" | Zero Hedge: "When The Fed's own cheerleader-in-chief (see October 2014) slams you for cheerleading, you know it's gone too far. In a stunning 30 second clip on CNBC this morning, St.Louis Fed head Jim Bullard sent a message to "your friend Cramer", saying "The Fed cannot permanently raise stock prices," adding, rather astonishingly to the anchors, "to have [Cramer] cheerleading for lower rates 24 hours a day is unsavory.""
'via Blog this'
'via Blog this'
Drug Goes From $13.50 a Tablet to $750, Overnight
Drug Goes From $13.50 a Tablet to $750, Overnight:
The drug, called Daraprim, was acquired in August by Turing Pharmaceuticals, a start-up run by a former hedge fund manager. Turing immediately raised the price to $750 a tablet from $13.50, bringing the annual cost of treatment for some patients to hundreds of thousands of dollars.
"Doxycycline, an antibiotic, went from $20 a bottle in October 2013 to $1,849 by April 2014, according to the two lawmakers."
Cycloserine, a drug used to treat dangerous multidrug-resistant tuberculosis, was just increased in price to $10,800 for 30 pills from $500 after its acquisition by Rodelis Therapeutics.
'via Blog this'
The drug, called Daraprim, was acquired in August by Turing Pharmaceuticals, a start-up run by a former hedge fund manager. Turing immediately raised the price to $750 a tablet from $13.50, bringing the annual cost of treatment for some patients to hundreds of thousands of dollars.
"Doxycycline, an antibiotic, went from $20 a bottle in October 2013 to $1,849 by April 2014, according to the two lawmakers."
Cycloserine, a drug used to treat dangerous multidrug-resistant tuberculosis, was just increased in price to $10,800 for 30 pills from $500 after its acquisition by Rodelis Therapeutics.
'via Blog this'
Thursday, September 10, 2015
US weekly jobless claims total 275,000 vs 275,000 estimate - Yes We Have No Bananas - Again - Conflict in their own article
US weekly jobless claims total 275,000 vs 275,000 estimate:
"The economy added 173,000 jobs in August, the fewest in five months. Economists, however, dismissed the step-down from July's gain of 245,000 jobs as a technical distortion. A report on Wednesday showed job openings surged to a record high in July, suggesting solid labor demand in the near term.
Thursday's claims report showed the number of people still receiving benefits after an initial week of aid rose 1,000 to 2.26 million in the week ended Aug. 29."
'via Blog this'
"The economy added 173,000 jobs in August, the fewest in five months. Economists, however, dismissed the step-down from July's gain of 245,000 jobs as a technical distortion. A report on Wednesday showed job openings surged to a record high in July, suggesting solid labor demand in the near term.
Thursday's claims report showed the number of people still receiving benefits after an initial week of aid rose 1,000 to 2.26 million in the week ended Aug. 29."
'via Blog this'
Tuesday, September 8, 2015
US stock buybacks are killing economic growth
US stock buybacks are killing economic growth:
"How they work is simple: Companies repurchase their own stock, inflating paper profits without producing anything of tangible value—such as investing in R&D, wages or plants and equipment. Since 2004 more than $6.9 trillion went into them, according to data compiled by Mustafa Erdem Sakinç of The Academic-Industry Research Network.
According to Goldman Sachs, stock buybacks will surge by 18 percent in 2015, exceeding $600 billion and accounting for nearly 30 percent of total cash spending.
Read MoreShare buybacks: Boon or boondoggle for investors?
A further deep dive into the trend reveals some startling facts. Excluding recession years 2001 and 2008, dividends and stock buybacks have represented on average 85 percent of corporate earnings since 1998, according to analysts at S&P. And stock repurchases worth almost $2 trillion have helped buoy the bull market since March 2009, according to FactSet data compiled for CNBC."
'via Blog this'
"How they work is simple: Companies repurchase their own stock, inflating paper profits without producing anything of tangible value—such as investing in R&D, wages or plants and equipment. Since 2004 more than $6.9 trillion went into them, according to data compiled by Mustafa Erdem Sakinç of The Academic-Industry Research Network.
According to Goldman Sachs, stock buybacks will surge by 18 percent in 2015, exceeding $600 billion and accounting for nearly 30 percent of total cash spending.
Read MoreShare buybacks: Boon or boondoggle for investors?
A further deep dive into the trend reveals some startling facts. Excluding recession years 2001 and 2008, dividends and stock buybacks have represented on average 85 percent of corporate earnings since 1998, according to analysts at S&P. And stock repurchases worth almost $2 trillion have helped buoy the bull market since March 2009, according to FactSet data compiled for CNBC."
'via Blog this'
Friday, September 4, 2015
Can A Nation $18 Trillion In Debt Afford Higher Interest Rates & Will This Change Our Retirements? by Daniel Amerman
Can A Nation $18 Trillion In Debt Afford Higher Interest Rates & Will This Change Our Retirements? by Daniel Amerman: "Given its sheer size, if the interest rate on that debt were to rise by even 1%, the annual federal deficit rises by $180 billion. A 2% increase in interest rate levels would up the federal deficit by $360 billion, and if rates were 5% higher, the annual federal deficit rises by $900 billion."
'via Blog this'
'via Blog this'
Dollar implications and why it is countering the expected reaction to the unemployment report
"Was there a payroll report from US, which missed expectations by large? Yes, but where is the volatility then. Where is the weak Dollar?
Looking at the market, it is really difficult to say there has been a payroll report which missed estimate by as much as 50,000. In fact one would rather say, if there has been a payroll, it is slightly better than expected.
Actual Facts -
August headline Payroll came at 173,000 missing expectation of 220,000.
Average hourly earnings rose by 2.2%, rising as much as 0.3% from July.
Unemployment rate dropped to 5.1% from 5.3% in July, better than 5.2% expected.
Last two months' payroll has been revised up by +44,000, with last month's payroll revised to 245,000 from 215,000.
Manufacturing payroll down by -17,000.
Why Dollar is relatively strong in spite of headline miss?
A larger drop in unemployment rate to 5.1% and large upward revise (+44,000) is providing support, but there could be much larger undercurrent behind Dollar's move.
In a world, plagued by low growth and uncertainty regarding slowdown in China, Dollar seems a much better, moreover safer bet than any other."
'via Blog this'
Looking at the market, it is really difficult to say there has been a payroll report which missed estimate by as much as 50,000. In fact one would rather say, if there has been a payroll, it is slightly better than expected.
Actual Facts -
August headline Payroll came at 173,000 missing expectation of 220,000.
Average hourly earnings rose by 2.2%, rising as much as 0.3% from July.
Unemployment rate dropped to 5.1% from 5.3% in July, better than 5.2% expected.
Last two months' payroll has been revised up by +44,000, with last month's payroll revised to 245,000 from 215,000.
Manufacturing payroll down by -17,000.
Why Dollar is relatively strong in spite of headline miss?
A larger drop in unemployment rate to 5.1% and large upward revise (+44,000) is providing support, but there could be much larger undercurrent behind Dollar's move.
In a world, plagued by low growth and uncertainty regarding slowdown in China, Dollar seems a much better, moreover safer bet than any other."
'via Blog this'
Tuesday, September 1, 2015
Do Buffett and Icahn buys signal commodity bottom?
Do Buffett and Icahn buys signal commodity bottom?: "However, it is worth debating whether Buffett's 11 percent stake in oil refiner Phillips 66 disclosed Friday, Carl Icahn's purchase of an 8.5 percent stake in mining giant Freeport-McMoRan disclosed Thursday and 8 percent stake in natural gas company Cheniere Energy on Monday will mark a bottom in commodity prices."
'via Blog this'
'via Blog this'
Market bottom’s in place: Strategist - Let's see if Belski is right !
Market bottom’s in place: Strategist: "In fact, he's keeping his year-end target for the S&P 500 at 2,250.
Drama and fear are what caused the dramatic decline, according to Belski."
'via Blog this'
Drama and fear are what caused the dramatic decline, according to Belski."
'via Blog this'
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