Investing

Global Debt Outlook

The fourth quarter of 2019 marked another quarter of weak global growth, led by manufacturing as trade in automobiles and electronics posted more disappointing results. Policymakers responded by easing monetary policy in almost every major global economy, in moves that were largely anticipated. The US Federal Reserve (Fed) delivered the last of its three rate […]

Stock

MBA: “Mortgage Delinquencies Decrease in Fourth Quarter of 2019”

From the MBA: Mortgage Delinquencies Decrease in Fourth Quarter of 2019 The delinquency rate for mortgage loans on one-to-four unit residential properties decreased to a seasonally adjusted rate of 3.77 percent of all loans outstanding at the end of the fourth quarter of 2019, according to the Mortgage Bankers Association’s (MBA) National Delinquency Survey. The […]

Stock

The economics of social unrest

Protest movements—most prominently in Latin America, the Middle East and Asia—have become a feature of the geopolitical landscape. Each protest is distinct, with different proximal causes, but there appear to be underlying patterns. Concentrated wealth and income inequality are a key theme. Median incomes have stagnated around the world in recent decades, while the share […]

Stock

NY Fed Q4 Report: “Household Debt Tops $14 Trillion as Mortgage Originations Reach Highest Volume since 2005”

From the NY Fed: Household Debt Tops $14 Trillion as Mortgage Originations Reach Highest Volume since 2005 The Federal Reserve Bank of New York’s Center for Microeconomic Data today issued its Quarterly Report on Household Debt and Credit, which shows that total household debt increased by $193 billion (1.4%) to $14.15 trillion in the fourth […]

Stock

Small Business Optimism Increased in January

Most of this survey is noise, but there is some information, especially on the labor market and the “Single Most Important Problem”. From the National Federation of Independent Business (NFIB): January 2020 Report The small business Optimism Index started the New Year … rising 1.6 points to 104.3 in the month of January…New job creation […]

Tax

Stock markets will downturn if this continues

The FT has reported this morning that: Sales of active equity funds sold in the UK dropped by more than 90 per cent last month after the coronavirus outbreak in China led to a sharp deterioration in investor confidence. Actively managed equity funds registered inflows of just £78m in January, down 93 per cent on […]

Tax

Laying bare Johnson’s priorities

Sometimes what is in front of your nose tells you all you need to know about an issue. This is true this morning in an email from the Financial Times, which has this juxtaposition within it: What the Tories want is the greatest opportunity for the City of London. Everyone else can bear the cost […]

Investing

Greetings from fire-affected Cudgewa

I raised my hand to volunteer as a financial counsellor in fire-affected regions … and promptly had it slapped down. “Are you mad?”, she said. I was standing in front of the woman who was in charge of deploying financial counsellors to disaster zones. Her beef? “You’re a bushfire survivor yourself. What happens if all […]