A New Disturbance in the Force

I recently rewatched The Big Short and some of the data suggests it is building again for a repeat. The delinquency in car loans is the next potential domino, with lenders giving such long terms and people underwater on their loans, it may only be a matter of time.

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I think many are wrapping themselves in the blanket of overall inflation. The inflation that matters to people who live paycheck to paycheck (which is 70% of Americans) is gasoline, rent, grocery prices and interest rates. Those are the big 4.

There are some in Washington that are bewildered why there is a very pizzed off populace when unemployment is low…well everyone knows how much of their paycheck is leftover.

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For you 51; have a read and give me your thoughts on this guys ideas and data he is looking at .

I have heard about the demise of banking for the last 40 years. Banks have been around since the caravans have crossed the deserts. The delivery mechanisms change but banking will always be there.

The numbers of banks will continue to shrink. I don’t know if that is a good thing.

In terms of relevance, banks create money. They will alway be uberly relevant. Most people think the government creates money. The treasury creates currency but banks create money. So there will always be a bank and banking system.

The real risk in the banking system is that bankers don’t understand the products they create. They are amazing at creating something and coming up with cool buzzwords that no one challenges them on, but they (and the regulators) have no idea what they created. The systemic risks tgat were there in 2007 are still there.

He references commercial real estate as a risk…I don’t know about that.

Why do people use that specific bank as any evidence of anything.

It’s simple, that bank used private money to invest in bad investments

People aren’t really pissed of though as much as they’re reflecting a media narrative that is diverging farther and farther away from reality. Especially when we see in poll after lol how ppl rate their personal financial outlook as good or better but then rate the national outlook as bad or worse.

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Just wanted to capture this moment of the Dow
closing above 40,000. Wow ! I can remember
bring shocked when it crossed 10,000 and thought it was overvalued, lol.

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Impressive. So is this

Yes. Money has to go somewhere.

It’s the big 7 driving the market, all most all of them are involved in AI in some shape or form.