by Harley Schlanger, LaRouche PAC:
The stakes are very high in the fight to move from the Dec. 1 Trump-Xi summit and the resulting U.S.-China trade truce, and from the next (still unscheduled) Trump-Putin summit, directly into the first Four-Power discussions among the U.S., China, Russia and India towards a New Bretton Woods international fixed exchange-rate credit system—as designed by Lyndon LaRouche.
Now we see that alien elements in the U.S. Department of Justice are using provocative arrests and prosecutions, to try to shut down Washington-Beijing relations, just as they or others in the DOJ have been attacking Washington’s relations with Moscow for years, and are trying to cripple and eventually remove the elected U.S. President.
by Dave Kranzler, Investment Research Dynamics:
A subscriber from Canada emailed me last night about the Canadian housing market: “Toronto and Vancouver sales down 40% and 30% YoY respectively. Prices are still up in Vancouver but down 14% in Toronto. I don’t know how prices stay up if the volume continues to trend down. Canadians are even more levered than Americans I believe. This is going to get ugly before it’s all over.”
The only part I disagree is Canadians being more levered than Americans. The average first time buyer in the U.S. can buy a Fannie/Freddie guaranteed mortgage financed home with zero down as long as the credit score is north of 570. “Zero down?” you ask. Yes zero down. Now included in the down payment is any amount of concessions tossed in by the seller. Soft dollars. Fannie and Freddie are already asking for “bail out” money from the Government after posting big losses. Fannie posted a $6.5 billion loss in Q4. How is that possible if the housing market is healthy? It’s the sign that the average homebuyer is overleveraged.
by Pam Martens and Russ Martens, Wall St On Parade:
Futures on the Dow Jones Industrial Average are up early this morning by more than 200 points. But the 10-year U.S. Treasury has also had a big rally, which dropped its yield overnight to just below 2 percent. The 10-year Note yield below 2 percent suggests a serious slowdown in the U.S. economy. That’s not something corporate stocks should be cheering about. The continuing aberrations in the U.S. stock market suggest a malfunctioning stock market structure and the first place to look is Dark Pools, which are unregulated stock exchanges run by the same mega Wall Street banks that blew up the U.S. financial system in 2008 and received the largest taxpayer bailout in U.S. history.