Macro Considerations

The macro picture remains largely unchanged. Janet Yellen is expected to lead the Federal Reserve into a new phase by beginning to taper its long-term asset purchases early next year. The ECB is expect to move in the other direction, leaning against th… [...]

Guest Post: Zombies Make Dangerous Neighbors

Submitted by Doug French via Casey Research, On March 16, 2009, the Financial Accounting Standards Board (FASB), a private-sector organization that establishes financial accounting and reporting standards in the US, turned the stock market around and … [...]

Bob Shiller Warns "It’s Different Now, We Can’t Trust Momentum"

"I just don't see evidence that people believe we are launching into a great new era" of home price appreciation,"that's what we had in the early 2000s." Simply put, he chides Faber and Cramer, "people are not so excite… [...]

Consumer Confidence Misses (Again), Tumbles To Lowest In 7 Months

No matter what measure of confidence, sentiment, or animal spirits one uses, the consumer is not encouraged by the record-er and record-er highs in the US equity market. The Conference Board's consumer confidence data missed for the 2nd month in a … [...]

Baffle With BS Continues As House Prices Beat And Miss At Same Time; Detroit Home Prices Go Parabolic

It’s a full-on “Baffle with BS” onslaught this morning. On one hand, the Case-Shiller Top 20 Composite Index rose by 13.3% Y/Y, better than the 13.00% expected, and the highest annual price increase since 2006. Unfortunately, the ramp is coming to an e… [...]

Housing Permits Print At Highest Since June 2008 Entirely On Surge In Rental Units

Call it the last hurrah for Private Equity and hedge funds as they scramble to “telegraph” that there is still some interest in rental property conversions. Despite ever louder cries that the REO-to-Rent and the general surge into rental properties is … [...]

Futures Go Nowhere In Quiet Overnight Session

In fitting with the pre-holiday theme, and the moribund liquidity theme of the past few months and years, there was little of note in the overnight session with few event catalysts to guide futures beside the topping out EURJPY. Chinese stocks closed a… [...]

70% Of Brooklyn Home Sales Are To Hedge Funds, Investors And International Buyers

It has been over a year since we listed the three “pillars” of the latest dead cat bounce in the housing market. Recall: “the REO-to-Rental subsidized investment program, which led to an epic surge in demand for multi-family housing, i.e., rental, unit… [...]

Beware The ‘Head-Fake’ Taper As "Markets Have Now Discounted Their Own Dishonesty"

Submitted by James Howard Kunstler of Kunstler.com, The financial wires and pod-waves are all lit up these days like it was happy hour at the Lottery Winner’s Lounge.  It appears that the American economy – capital management division – has … [...]

Frontrunning: November 25

Washington turns bond market upside (FT) China Air-Zone Move Expands Field of Islands Spat With Japan (BBG); Japan rejects China claim on airspace over disputed islands (FT) ‘Great Satan’ meets ‘Axis of Evil’ and strikes a deal (Reuters) Iran Pact Fac… [...]