Duke Energy (DUK) CEO Jim Rogers says he intends to retire by the end of 2013, consistent with the expiration of his contract. A special board committee will oversee the recommendation of a successor, as stipulated in DUK's just-announced settlement with North Carolina regulators regarding the management succession following the merger with Progress Energy. [View news story]
I don't disagree. The market seems to act irrationally. Whether that is caused by govt and/or big mony manipulation or by big money trading on insider information, I can't tell..
Duke Energy (DUK) CEO Jim Rogers says he intends to retire by the end of 2013, consistent with the expiration of his contract. A special board committee will oversee the recommendation of a successor, as stipulated in DUK's just-announced settlement with North Carolina regulators regarding the management succession following the merger with Progress Energy. [View news story]
Goldman Sachs details its 1575 price target on the S&P 500 in 2013: Expecting better growth than most, the firm likes cyclical over defensive sectors, and tech over staples, telecom, and health care. A "grand bargain" in D.C. along the lines of Simpson-Bowles "would spark a PE multiple expansion and a higher target." [View news story]
If the "grand bargain" doesn't include cuts in payroll and benefits for govt employees, we will find out if we have citizens or subjects. The middle class working in the private sector gets no pension plans, with very few exceptions. Get very few benefits and very few holidays and get paid less for comparable work under more demanding conditions (with the exception of local law enforcement officers who are vastly underpaid and undervalued).
3 Key Metrics That Show Why We Can't Avoid Recession [View article]
The only real constraint on govt spending is the potential unwillingness or inability of the population being taxed to pay increased taxes. As long as the perception is that the well is not empty, govt can borrow.
The Fiscal Cliff Is The Best Fiscal Medicine [View article]
Yes there are a number of things that were not envisioned. However, most of those you listed have nothing to do with the issue. I question whether we have, in any way attributable to the income tax, created "a tremendous growth in our standard of living" when we have progressed from a nation in which the middle class could support large families with only one working parent to a nation in which both parents work, struggle to be able to afford to support their smaller families and end up with tax liabilities approximating the income of one of the spouses? Does anyone have the leisure time our forefathers had? Where is this "standard of living"? I don't think 4 vehicles and 5 televisions evidence a higher standard of living. Perhaps is evidences a greater velocity of money, but does that really speak to the issue of quality of life?
The Fiscal Cliff Is The Best Fiscal Medicine [View article]
In 1913, the nation did not foresee the cultural changes that would follow. When the income tax was authorized, they did not expect it to result in a govt addicted to spending irresponsibly. We need to either revoke the 16th amendment or amend it to restrict taxation or we will not be able to solve the problem. The federal debt is now more than 5,000 times what it was after 122 years without a federal income tax. The income tax makes irresponsible federal spending possible, rather than pays for it. It was an experiment which we must now admit has not worked.
And since they were selling the loans, they pressured appraisers to do fraudulent appraisals. As a real estate attorney, I have met numerous appraisers who had to deal with this problem. I have even met some who were cut off by TBTF banks for refusing to appraise fraudulently to come up with over-stated values. I have also seen underwriting docomentation evidencing an intention of TBTF banks to misrepresent loans to FHA and Freddie Mac. As to the dishonesty of those you would call greedy Americans who bought houses they could not afford, I must say that most of it was ignorance as to what they could afford. Most people are not efficient at analyzing the realism of their budgets. Many actually believe that if they qualify for a loan, the experts must think they can afford it. Sure, that is not bright; but it is not crooked either.
Costa - You are not serious are you? You think banks could not make any money honestly? After all, they sold the loans which were not guaranteed by FHA or other govt entities to the GSEs; cashing in at taxpayer expense. They did not hold them.
Since the Federal Reserve is composed of bankers, why would anyone be surprised that their goal is to enrich banks and bankers? Who would expect otherwise? The evidence has shown that bankers are more concerned with the public good than they are with their own enrichment. Right. And John Dillinger was a humanitarian.
3 Key Metrics That Show Why We Can't Avoid Recession [View article]
Since,, as the author points out quite well, the excess reserves created by Fed spending are being used by those in possession of money ("the rich") to pay down debt, rather than being spent, it is clear that the Fed policy has promoted the transfer of wealth from the middle class to the monied class; from small business to big business, from businesses that make things to the financial industries. As usual, the claimed goals are not the results.
If yhou go to Fannies' website (presuming it has not changed since I researched this a couple years ago) it is diffcult to find, but you can find their underwriting guidelines listed by year effective. Freddie simply adopted Fannie's so they don't show their guidleines on the website. If you read the guidelines from the early 2000's, which is the period I was looking at, the thing that jumps out at you is the underlying message, "if you will make the loan, we will buy it." Everyone was paid for loan production. They were not penalized for poor loan performance.
Lending standards are too lax if your goal is to have a nation of renters and/or people living in public housing. I rent. It isn't so bad, but I don't think homeownership should be so exclusive. The solution is to educate people as to what they can afford to buy and still have sufficient money to live the lifestyle they demand. The other half of the equation is that people need to grow up and realize they cannot "have it all".
"It would be much better for fiscal policy makers to simply remove the cliff," writes Strategas, noting negative economic growth typically brings with it a drop in the S&P of about 30%. Negative economic growth? It's sure to come. David Kotok reminds the hit to households from the tax increases will be 5-7%. [View news story]
Wouldn't simply removing the financial cliff, rather than doing something constructive, show that there is no determination to solve the debt problem and cause an even greater economic crisis that the cliff?
3 Key Metrics That Show Why We Can't Avoid Recession [View article]
What is the national debt if it is not borrowed money? Why does Uncle Sam pay interest on treasuries if they have not borrowed?
Duke Energy (DUK) CEO Jim Rogers says he intends to retire by the end of 2013, consistent with the expiration of his contract. A special board committee will oversee the recommendation of a successor, as stipulated in DUK's just-announced settlement with North Carolina regulators regarding the management succession following the merger with Progress Energy. [View news story]
Duke Energy (DUK) CEO Jim Rogers says he intends to retire by the end of 2013, consistent with the expiration of his contract. A special board committee will oversee the recommendation of a successor, as stipulated in DUK's just-announced settlement with North Carolina regulators regarding the management succession following the merger with Progress Energy. [View news story]
Goldman Sachs details its 1575 price target on the S&P 500 in 2013: Expecting better growth than most, the firm likes cyclical over defensive sectors, and tech over staples, telecom, and health care. A "grand bargain" in D.C. along the lines of Simpson-Bowles "would spark a PE multiple expansion and a higher target." [View news story]
3 Key Metrics That Show Why We Can't Avoid Recession [View article]
The Fiscal Cliff Is The Best Fiscal Medicine [View article]
Does anyone have the leisure time our forefathers had? Where is this "standard of living"? I don't think 4 vehicles and 5 televisions evidence a higher standard of living. Perhaps is evidences a greater velocity of money, but does that really speak to the issue of quality of life?
Flash crash in gold? The yellow metal dives $20 in the space of a few trades, now -1.6% to $1,716/oz. [View news story]
The Fiscal Cliff Is The Best Fiscal Medicine [View article]
When the income tax was authorized, they did not expect it to result in a govt addicted to spending irresponsibly. We need to either revoke the 16th amendment or amend it to restrict taxation or we will not be able to solve the problem. The federal debt is now more than 5,000 times what it was after 122 years without a federal income tax. The income tax makes irresponsible federal spending possible, rather than pays for it. It was an experiment which we must now admit has not worked.
Is QE3 Working? [View article]
As to the dishonesty of those you would call greedy Americans who bought houses they could not afford, I must say that most of it was ignorance as to what they could afford. Most people are not efficient at analyzing the realism of their budgets. Many actually believe that if they qualify for a loan, the experts must think they can afford it. Sure, that is not bright; but it is not crooked either.
Is QE3 Working? [View article]
Is QE3 Working? [View article]
The evidence has shown that bankers are more concerned with the public good than they are with their own enrichment. Right. And John Dillinger was a humanitarian.
3 Key Metrics That Show Why We Can't Avoid Recession [View article]
Another Real Estate Bubble? [View article]
If you read the guidelines from the early 2000's, which is the period I was looking at, the thing that jumps out at you is the underlying message, "if you will make the loan, we will buy it." Everyone was paid for loan production. They were not penalized for poor loan performance.
Another Real Estate Bubble? [View article]
"It would be much better for fiscal policy makers to simply remove the cliff," writes Strategas, noting negative economic growth typically brings with it a drop in the S&P of about 30%. Negative economic growth? It's sure to come. David Kotok reminds the hit to households from the tax increases will be 5-7%. [View news story]