Fed cuts rates
- Thread starter sammyk
- Start date
Dude, do your research - quit leaning on ABC and MSNBC before you jump on a forum. It is bad enough this forum knows you're a complete idiot.
No it isn't, it's actually quite funny. Remember a couple of weeks ago when stocks were taking their largest one day hit in history? Was that bot on here asking us all to "Thank Joe" for the losses on our 401Ks?
He's desperate, delusional, and defeated. Let him keep making as ass of himself...it's comedy gold.
The cost of living in 2024 has continued to increase. The Consumer Price Index showed prices increased 3.2 percent.
A new MarketWatch Guides survey found that high levels of inflation, record household debt, and average salaries not keeping up with the rising cost of living are having a negative impact on Americans' overall feelings of financial security.
A new MarketWatch Guides survey found that high levels of inflation, record household debt, and average salaries not keeping up with the rising cost of living are having a negative impact on Americans' overall feelings of financial security.
Not if you're invested in commercial real estate!
US commercial real estate is headed towards a crisis
excerpt summaryThe risks of U.S. commercial banks being overexposed to commercial real estate (CRE) have intensified as the global pandemic upended long-held economic assumptions of perpetually subdued inflation, low interest rates, and in-office work.
*U.S. banks face a reckoning: Over the next two years, more than $1 trillion in commercial real estate (CRE) loans will come due, according to The Conference Board calculations using MSCI Real Assets data. Institutions with the most concentrated exposures, insufficient capital cushions, and limited lifelines from larger institutions or regulators face significant losses.
The damage could metastasize into a full-blown financial crisis if scores or even hundreds of small- and midsize commercial banks fail simultaneously.
THE HEART OF THE PROBLEM
Hundreds of banks hold an outsized amount of CRE loans on their books relative to capital. Small banks (assets of $100 million to $1 billion) and midsize banks (assets of $1 billion to $10 billion) have CRE loan values far exceeding risk-based capital levels at 158% and 228%, respectively, according to The Conference Board calculations using FDIC Institutional Financial Reports data. This is compared to 142% for large banks (assets of $10 billion to $250 billion) and 56% for the largest banks (assets greater than $250 billion). The smallest banks (assets less than $100 million) issue few of such loans.
As CRE property values fall and the debt service on associated loans accumulates, borrowers are becoming delinquent or defaulting. The portion of these loans that are nonperforming more than doubled — from 0.54% to 1.25% — over the six quarters from the Q3 2022 cycle low, according to data compiled from BankRegData.com and the FDIC. Compare this with the just 0.87% rate six quarters after the cycle low, in the second quarter of 2006, which preceded the 2008–09 Great Recession.
*Editor's note... when the commercial real-estate market collapses, it will make the 2008 housing bust look like a weekend Toga party!
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your 401K is now a 201K from all the 6uild6ack6ettter work of the obiden/kommie regime....
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