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You are at:Home » Animal Spirits: Rates to the Hilt
Wealth Building

Animal Spirits: Rates to the Hilt

adminBy adminAugust 23, 2023No Comments3 Mins Read
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Posted August 23, 2023 by sean

Today’s Animal Spirits is brought to you by YCharts:

YCharts Launches New Partnership with United Planners ...

Submit your email here to receive 20% off a YCharts subscription for new clients and here for YCharts Value vs. Growth Trends Report

On today’s show, we discuss:

Tropical Bros Shirts:

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Since 2/19/20 — the peak for the market before COVID hit — the 20+ Year Treasury ETF has posted a total return of -31.9% versus ARK Innovation’s $ARKK drop of 30.7%. pic.twitter.com/flFRsaJzn6

— Bespoke (@bespokeinvest) August 21, 2023

A look at all of Michael Burry’s recent predictions.

In 2005, Predicted the collapse of the subprime mortgage market
-> Housing market crashes in 2008, Global Financial Crisis.

On Dec 2015, he predicted that the stock market would crash within the next few months.
-> SPX +11%… pic.twitter.com/fpBj9V2Shq

— Adam Khoo (@adamkhootrader) August 15, 2023

It’s not every day you see a strategy go almost all the way to zero in less than two years. But this cannabis ETF–which is slated for liquidation–has nearly done it. It’s down ~90% since its Oct. 2021 inception. Leverage and weed stocks, bad combo. pic.twitter.com/h4KEuEUJzD

— Jeffrey Ptak (@syouth1) August 20, 2023

All of these are reasonable takes:
-inflation is still too high
-fast growth is compatible with cooling inflation due to supply chain improvement
-growth is still too fast to be consistent with 2% inflation
-over time the economy can’t handle 5%+ Fed Funds

— Conor Sen (@conorsen) August 18, 2023

Severe delinquency for auto loans is highest since at least 2006. Yet, the jobs market is strong.

So basically, no one has any idea what’s going on.

[via Wall Street Journal] pic.twitter.com/i0SvkjCrvB

— CarDealershipGuy (@GuyDealership) August 21, 2023

Closing my week pondering thoughts from an AI professor @Wharton who thinks productivity acceleration from AI will take 10-year bond yield up to 6%.

Is bond sentiment too bullish or bearish – @biancoresearch and @dailydirtnap been debating.

Talk about a 🔥take.

— Jeremy Schwartz (@JeremyDSchwartz) August 18, 2023

Excess leverage and real estate speculation?

Only 0.88% of home equity is being used in HELOCs currently

The lowest level since 1988!

It peaked at 6.57% pic.twitter.com/nFKLIx86tI

— TheHappyHawaiian (@ThHappyHawaiian) August 21, 2023

What a monthly mortgage payment would look like for a new home buyer in the US, based on the median existing home price and the average 30Y fixed-rate mortgage, assuming a 20% down payment: pic.twitter.com/GITXvCvI2f

— Michael McDonough (@M_McDonough) August 22, 2023

Macy’s is hard to take seriously.

Hikes shrink allowance after physical count… which raises a lot of questions.

Looking for -7% FY comps. Takes credit card delinquencies up.

*This* is what garbage retail accounting looks like. So much gibberish for a $4b mkt cap co. $M

— Jeff Macke (@JeffMacke) August 22, 2023

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Wealthcast Media, an affiliate of Ritholtz Wealth Management, received compensation from the sponsor of this advertisement. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investing in speculative securities involves the risk of loss. Nothing on this website should be construed as, and may not be used in connection with, an offer to sell, or a solicitation of an offer to buy or hold, an interest in any security or investment product.





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