Sheltered banks do not trust broke American public: Too big to fail securely in place while business inventories surge to record levels.
Tracking consumer spending we find that industries subsidized by easy debt are growing at dramatic levels. These include student debt and auto loans since most Americans simply do not have enough saved up. Many have nothing to their name. The student debt market has grown dramatically this year again largely due to the reality that […]
Depreciating cars and expensive diplomas fueled by easy debt: 95 percent of consumer debt growth in past 12 months from cars and student loans.
New data from the Federal Reserve continues to highlight a reemergence of debt based consumer spending. Americans are largely buying stuff they can’t afford with money they don’t have. The Fed’s consumer credit report highlights a troubling trend. Over the last 12 months 95 percent of all consumer debt growth has come from people buying […]
The average American is broke and buying things they cannot afford with debt again. Debt based consumer financing again filling the gap of a shrinking middle class.
At a family Thanksgiving get together we typically have a usual crowd showing up to celebrate the year that has passed. For many, this is the only time we see each other. A familiar face was not there. We asked what happened and apparently he had to work on Thanksgiving Day because stores are now […]
The new American retirement nightmare: Many Americans find they are completely unprepared for retirement.
Starting in late 2010, we reached a threshold where baby boomers were reaching the age of 65 at a rate of 10,000 per day. This will last into 2030. What was once thought of as a retirement age is no longer the case. The body has not evolved to adapt to financial circumstances but people […]
The booming non-labor force in the United States: Those not in the labor force surged by nearly 1,000,000. A large portion of added jobs were in low wage sectors.
Any job is a good job for the headlines. While one part of the BLS survey showed that US payrolls increased by 200,000 last month, another survey finds that nearly 1,000,000 Americans dropped out of the labor force. That is right, a stunning 932,000 Americans simply dropped out of the labor force last month bringing […]
US households cannot avoid soft default consequences of deleveraging: While US households continue to unwind debt total public debt soars out of control.
The US is walking in a financial minefield. The recent government shutdown simply highlighted the mega dysfunction in our Congress run by millionaires. The government is in a deep capture by large financial interests. The IMF now has an indicator looking at household debt measured against GDP. Since the recession, US households have undergone a […]
What is the Federal Reserve’s end goal? Follow the money and you will find no intention of tapering, out of control public debt, and financial steroids for stocks. Fed balance sheet up $55 billion in one week.
The Federal Reserve is known for producing convoluted and purposely hard to decipher messages. The media is driven by what the Federal Reserve says but fails to analyze what is truly happening. The Fed is driving in a car with no brakes. This is clear given that the Fed balance sheet increased by $55 billion […]