Recession - 2022 / 2023 / 2024

[Hobo Hilton]

The loan officers further said they expect troubles to persist over the next year, owing largely to diminished expectations for economic growth as well as fears over deposit outflows and reduced risk tolerance.

Fed report shows banks worried about conditions ahead, with focus on slowing economy and deposit outflows

The Senior Loan Officer Opinion survey said requirements got tougher for commercial and industrial loans as well as for many household-debt instruments.

www.cnbc.com

 

[Hobo Hilton]

“The Fourteenth Amendment requires the President to meet obligations to the holders of federal debt,” the complaint states. “To do so, he must either borrow or find the necessary funds to do so from cancelling, suspending, or refusing to carry out spending already approved by Congress.”

Government employees union sues Yellen, Biden over ‘unconstitutional’ debt limit law

The National Association of Government Employees (NAGE) filed a lawsuit to block enforcement of a law that sets the nation’s debt limit, arguing it is unconstitutional as a political divide over ra…

thehill.com

 

[Hobo Hilton]

Sounding like another situation that is being "Politicized".....


WASHINGTON, May 8 (Reuters) - Treasury Secretary Janet Yellen is reaching out to U.S. business and financial leaders to explain the "catastrophic" impact a U.S. default on its debt would have on the U.S. and global economies, two sources familiar with the matter said on Monday.
The Treasury secretary is having one-on-one conversations with individual CEOs to warn them about the "dangerous consequences of the current brinkmanship," one of the sources said.

Yellen is calling CEOs personally to warn on US debt ceiling, sources say

Treasury Secretary Janet Yellen is reaching out to U.S. business and financial leaders to explain the "catastrophic" impact a U.S. default on its debt would have on the U.S. and global economies, two sources familiar with the matter said on Monday.

www.reuters.com

 

[Hobo Hilton]

May 8 (Reuters) - LinkedIn, the social media network owned by Microsoft Corp (MSFT.O) that focuses on business professionals, said on Monday it would cut 716 jobs as demand wavers, while also shutting down its China-focused job application.
LinkedIn, which has 20,000 employees, has grown revenue each quarter during the last year, but it joins other major technology companies including its parent in laying off workers amid a weakening global economic outlook.

LinkedIn cuts over 700 jobs, phases out China app as demand wavers

LinkedIn, the social media network owned by Microsoft Corp that focuses on business professionals, said on Monday it would cut 716 jobs as demand wavers, while also shutting down its China-focused job application.

www.reuters.com

 

[Hobo Hilton]

BEIJING, May 9 (Reuters) - China's imports contracted sharply in April, while exports rose at a slower pace, reinforcing signs of feeble domestic demand despite the lifting of COVID curbs and heaping pressure on an economy already struggling in the face of cooling global growth.
China's economy grew faster than expected in the first quarter thanks to robust services consumption, but factory output has lagged and the latest trade numbers point to a long road to regaining the pre-pandemic momentum at home.

China's shrinking imports, slower exports growth darken economic outlook

China's imports contracted sharply in April, while exports rose at a slower pace, reinforcing signs of feeble domestic demand despite the lifting of COVID curbs and heaping pressure on an economy already struggling in the face of cooling global growth.

www.reuters.com

 

[Lightning8]

May 8 (Reuters) - LinkedIn, the social media network owned by Microsoft Corp (MSFT.O) that focuses on business professionals, said on Monday it would cut 716 jobs as demand wavers, while also shutting down its China-focused job application.
LinkedIn, which has 20,000 employees, has grown revenue each quarter during the last year, but it joins other major technology companies including its parent in laying off workers amid a weakening global economic outlook.

LinkedIn cuts over 700 jobs, phases out China app as demand wavers

LinkedIn, the social media network owned by Microsoft Corp that focuses on business professionals, said on Monday it would cut 716 jobs as demand wavers, while also shutting down its China-focused job application.

www.reuters.com

LinkedIn is a Leftist cesspool - cannot believe that US CEOs have not demanded that HR/Recruiting abandon LinkedIn. I guess most US major corporation CEOs are Leftists too.............

 

[Lightning8]

Sounding like another situation that is being "Politicized".....


WASHINGTON, May 8 (Reuters) - Treasury Secretary Janet Yellen is reaching out to U.S. business and financial leaders to explain the "catastrophic" impact a U.S. default on its debt would have on the U.S. and global economies, two sources familiar with the matter said on Monday.
The Treasury secretary is having one-on-one conversations with individual CEOs to warn them about the "dangerous consequences of the current brinkmanship," one of the sources said.

Yellen is calling CEOs personally to warn on US debt ceiling, sources say

Treasury Secretary Janet Yellen is reaching out to U.S. business and financial leaders to explain the "catastrophic" impact a U.S. default on its debt would have on the U.S. and global economies, two sources familiar with the matter said on Monday.

www.reuters.com

The simple idea of reduce government spending is too easy and therefore they will not reduce spending.

 

[Hobo Hilton]

The simple idea of reduce government spending is too easy and therefore they will not reduce spending.

But if they forced us to use crypto they could balance the budget.

 

[Hobo Hilton]

May 9 (Reuters) - U.S. companies are feeling the heat of decades-high interest rates and sticky inflation, with several filing for bankruptcy protection as the era of easy money draws to a close.
The tally of U.S. companies that have gone bankrupt so far in 2023 is higher than the first four months of any year since 2010, data from S&P Global Market Intelligence showed.
There were 54 corporate bankruptcy petitions in April, down from 70 in March, S&P Global said. Still, the year-to-date count more than doubled to 236 from a year ago.

Factbox: U.S. corporate bankruptcies at highest level since 2010

U.S. companies are feeling the heat of decades-high interest rates and sticky inflation, with several filing for bankruptcy protection as the era of easy money draws to a close.

www.reuters.com

 

[Hobo Hilton]

In its report, Moody’s assigns a 10% probability to a breach of the debt ceiling, up from 5% previously.
“What once seemed unimaginable now seems a real threat,” Moody’s Analytics chief economist Mark Zandi wrote in the report.

https://www.cnn.com/2023/05/10/economy/debt-ceiling-layoffs/index.html

Biden says GOP debt ceiling plan is 'devastating'
U.S. President Joe Biden piled pressure on Republican lawmakers on Wednesday to move quickly to raise the country's $31.4 trillion debt ceiling or risk throwing the U.S. economy into a recession that would kill thousands of jobs. Tamara Lindstrom

Biden goes after Republicans on debt limit in campaign-style speech

President Joe Biden is blasting Republican demands for federal spending cuts as “devastating." He made his case in a campaign-style speech to voters in Valhalla, New York, on Wednesday. At the same time, lawmakers met in Washington to try to find a path forward to lifting the government’s...

apnews.com

 

[lariat]

MSN

 

[lariat]

Food for thought. I think this article was written for 8th graders, but here we are in a perpetual Woke Romper Room anyway.

This Recession Indicator Hasn't Been Wrong in 57 Years, and It Has a Very Clear Message for Wall Street

 

[Hobo Hilton]

MSN

A line from the article:
But prices probably won’t drop markedly until there are simply more homes available.

That is not true. The old theories of "Supply and Demand" are not working these days. "More homes" will be built with inflated material and labor cost. There was too much free government money for way too long. We are now "Paying the Piper" even though we did not get the money.

 

[Hobo Hilton]

But Bostic said he doesn’t see cuts coming anytime soon and in fact expects an increase would be more likely at this point.

Fed's Bostic casts doubt on rate cuts this year even if there's a recession

Atlanta Federal Reserve President Raphael Bostic and Chicago Fed President Austan Goolsbee spoke Monday on CNBC's "Squawk Box."

www.cnbc.com

 

[Hobo Hilton]

I call a statement like this (Below) "Guilt by Omission"... It's not what they are telling you, it's what they are not telling you. Working middle class is existing on credit cards hoping things will get better, financially.

Total consumer debt hit a fresh new high in the first quarter of 2023, pushing past $17 trillion even amid a sharp pullback in home borrowing.
The total for borrowing across all categories hit $17.05 trillion, an increase of nearly $150 billion, or 0.9% during the January-to-March period, the New York Federal Reserve reported Monday. That took total indebtedness up about $2.9 trillion from the pre-Covid period ended in 2019.

Consumer debt passes $17 trillion for the first time despite slide in mortgage demand

The total for borrowing across all categories hit $17.05 trillion, an increase of nearly $150 billion, or 0.9% during the January-to-March period.

www.cnbc.com

 

[Hobo Hilton]

May 17 (Reuters) - Many U.S. regional lenders may have to consider selling off commercial real estate (CRE) loans at a steep discount after breaching key regulatory thresholds for exposure to the troubled sector, according to new data and market sources.
Regional banks, the largest lenders to the beleaguered U.S. CRE and construction markets, have reduced their exposure to the sector by tightening standards and making fewer loans, especially in the weeks after the collapse of Silicon Valley Bank [RIC:RIC:SIVBV.UL], Signature Bank (SBNY.PK) and First Republic Bank (FRCB.PK).

Analysis: Overexposed US regional banks could sell commercial property loans

Many U.S. regional lenders may have to consider selling off commercial real estate (CRE) loans at a steep discount after breaching key regulatory thresholds for exposure to the troubled sector, according to new data and market sources.

www.reuters.com

 

[Hobo Hilton]

Anyone want to take a stab at explaining this ?

The Fed could enact a ‘substitute’ interest rate hike at June meeting​

 

[Hobo Hilton]

Zombie firms are companies with earnings that are sufficient to allow it to continue operating and pay the interest on its debt, but not to pay off the debt, meaning any cash generated is immediately spent on debt. The company is therefore “neither dead nor alive.”

The global debt pile grew by $8.3 trillion in the first quarter to a near-record high of $305 trillion as the global economy faced a “crisis of adaptation” to rapid monetary policy tightening by central banks, according to a closely-watched report from the Institute of International Finance.
The finance industry body said the combination of such high debt levels and rising interest rates has driven up the cost of servicing that debt, triggering concerns about leverage in the financial system.

Global debt nears record highs as rate hikes trigger 'crisis of adaptation,' top trade body says

Global debt grew by $8.3 trillion in the first quarter of 2023 to a near-record high of $305 trillion.

www.cnbc.com

 

[Hobo Hilton]

Always a good indicator of inflation:
Walmart raised its full-year forecast Thursday, as fiscal first-quarter sales rose nearly 8% and its large grocery business helped offset weaker sales of clothing and electronics.

Walmart raises full-year guidance, as earnings beat on boost from grocery and online businesses

The discounter's report comes after Home Depot and Target reported weaker sales trends.

www.cnbc.com

 

[Hobo Hilton]

LOL.... unexpectedly = The blind leading the blind.

Feb 16 (Reuters) - Manufacturing activity in the Mid-Atlantic region dropped off sharply and unexpectedly in February, and goods producers reported input cost increases accelerated for the first time in 10 months while their own price increases slowed dramatically, signaling margin pressures were building.

Philadelphia Fed manufacturing gauge plunges unexpectedly

Manufacturing activity in the Mid-Atlantic region dropped off sharply and unexpectedly in February, and goods producers reported input cost increases accelerated for the first time in 10 months while their own price increases slowed dramatically, signaling margin pressures were building.

www.reuters.com

 

[Hobo Hilton]

The plan is to run you out of money.

“We haven’t yet made the progress we need to make. And it’s a long way from here to 2% inflation,” Logan said, referring to the Fed’s longer-run goal.

Dallas Fed President Logan says current data doesn't justify pausing rate hikes yet

The Dallas Fed president said the central bank still has work to do in achieving its goal for price stability.

www.cnbc.com

 

[Hobo Hilton]

Zombie firm
May 18 (Reuters) - TuSimple Holdings Inc (TSP.O) said on Thursday it will cut 30% of its workforce in the United States under a restructuring as the autonomous driving technology company looks to preserve its balance sheet amid a funding crunch in the sector.

TuSimple to restructure US business, lay off 30% staff

TuSimple Holdings Inc said on Thursday it will cut 30% of its global workforce under a restructuring as the autonomous driving technology company looks to preserve its balance sheet amid a funding crunch in the sector.

www.reuters.com

 

[Hobo Hilton]

So, here we are.. Too much free Government money and a politicized FED Reserve. Unfortunately the Americans who got very little free money are bearing the brunt of inflation. Financially "treading water" while Jerome Powell continues to do too little, too late.

Fed may be forced to defy market expectations and hike more aggressively, economist says

The U.S. Federal Reserve may be forced to defy market expectations hike interest rates aggressively again later this year, according to Daniele Antonucci, chief economist at Quintet Private Bank.

www.cnbc.com

 

[Hobo Hilton]

Central banks have been credited with averting a global depression twice over the past 15 years: Once after the 2008 financial crisis, and again at the height of the coronavirus pandemic.


But the tactics they deployed to restore confidence and keep money flowing from banks to the economy amounted to a high-stakes experiment — one that may be impossible to unwind without destabilizing the financial system.


Central banks purchased tens of trillions of dollars worth of government bonds and other assets in a bid to bring down longer-term borrowing costs and stimulate their economies. This measure, known as “quantitative easing,” or QE, created a flood of cheap cash and gave policymakers newfound sway over markets. Investors called it the era of “easy money.”

https://www.cnn.com/2023/05/19/economy/quantitative-tightening-global-impact/index.html

 

[Hobo Hilton]

The Fakakta Debt Ceiling Negotiations Off And On - Victory Girls Blog

The fakakta debt ceiling talks have been off and on and off again, as Creepy Joe Biden stumbles around in Japan and talks F-16s for Ukraine.

victorygirlsblog.com

 

[Hobo Hilton]

No soft landing.

Citigroup to spin off its Mexico business after efforts to sell unit collapse

Citigroup announced Wednesday it plans to pursue an initial public offering of its Mexico business, Banamex, making formal a long-telegraphed spinoff.

www.cnbc.com

Meta has started its latest round of layoffs, focusing on business groups

Meta has begun its third round of layoffs as part of a cost-cutting plan that will eliminate more than 21,000 workers from the company.

www.cnbc.com

Mortgage demand drops again as rates cross back over 7%

The average rate on the popular 30-year fixed mortgage crossed over 7% on Tuesday, according to Mortgage News Daily. The highest level since early March.

www.cnbc.com

UK inflation falls by less than expected, heaping pressure on BoE

Investors pile into bets for more BoE action.

www.reuters.com

Higher interest rates boost hedge fund stock borrowing to record high - Goldman

Borrowing across the global hedge fund industry has hit record highs, Goldman Sachs said in a note to clients on Wednesday, as rising interest rates make it cheaper for speculators to borrow stock and bet on movements in company stock prices.

www.reuters.com

 

[Hobo Hilton]

JPMorgan Chase
cut about 500 positions this week, mostly among technology and operations groups, according to people with knowledge of the move.
The cuts were spread across the New York-based firm’s main divisions of retail and commercial banking, asset and wealth management and its corporate and investment bank, said the people, who declined to be identified speaking about personnel matters.

JPMorgan Chase cut about 500 jobs this week, including technology and operations roles

Like many financial firms, JPMorgan periodically trims staff during the year, even as it hires thousands more workers to fill roles.

www.cnbc.com

 

[lariat]

JPMorgan Chase
cut about 500 positions this week, mostly among technology and operations groups, according to people with knowledge of the move.
The cuts were spread across the New York-based firm’s main divisions of retail and commercial banking, asset and wealth management and its corporate and investment bank, said the people, who declined to be identified speaking about personnel matters.

JPMorgan Chase cut about 500 jobs this week, including technology and operations roles

Like many financial firms, JPMorgan periodically trims staff during the year, even as it hires thousands more workers to fill roles.

www.cnbc.com

I just read an article that said the tech industry layoffs were trying to go to Wall Street. Whelp…

 

[Hobo Hilton]

I just read an article that said the tech industry layoffs were trying to go to Wall Street. Whelp…

I have witnessed "movement" as the past 4 recessions took hold. Memorable one, during the '70's, was to watch the displaced Detroit Auto Workers come to Louisiana to work in the oil patch or on an off shore rig, a refinery or a shrimp boat... Deja Vu

 

[Hobo Hilton]

From this article:
U.S. consumer spending increased more than expected in April,
Of course it did. Consumers are trying to keep their head above water. The FED is attempting to paint a lovely picture. The consumer knows better.

Strong US consumer spending, inflation readings put Fed in tough spot

U.S. consumer spending increased more than expected in April, boosting the economy's growth prospects for the second quarter, and inflation picked up, which could prompt the Federal Reserve to raise interest rates again next month.

www.reuters.com

 

[Hobo Hilton]

Goldman Sachs is cutting jobs again amid Wall Street deals slump

Goldman Sachs, more tied to the ups and downs of Wall Street than its rivals, is cutting jobs again.

www.cnbc.com

 

[Glowworm]

More Than 1 in 4 American Homeowners Is ‘House Poor’

The News More than one quarter of homeowners in the United States are “house poor,” spending more than 30 percent

dnyuz.com

 

[DarnYankeeUSMC]

$23 trillion in debt has been added in 13 years. The debt has more than tripled since 2010 to $32 trillion and McCarthy just bent the taxpayers over for another $4 trillion by 2025.
Nothing to see here. Move along, everything is rosy.

 

[lariat]

Commercial real estate's cataclysmic crash is underway and there's now a 'huge class of zombie buildings,' says top executive

 

[Hobo Hilton]

Wait a little longer for your stuff.

West Coast ports shut down as union workers 'no show' after breakdown in wage negotiations

West Coast ports are shutting down after union workers walked off the job after a failure in negotiations with port management.

www.cnbc.com

 

[Hobo Hilton]

The Treasury secretary also said she expects there to “be issues” in the commercial real estate sector given the changing approach to work.

Treasury Secretary Yellen says she wouldn't be surprised to see more bank consolidation

Yellen said she wouldn't want to see the diverse banking system threatened by further consolidation, but it would be understandable.

www.cnbc.com

 

[Hobo Hilton]

Remote jobs are moving overseas and to smaller U.S. cities: ‘The same skills for 60% of the cost'

Remote hiring is expanding beyond its traditional strongholds, like India, creating new "Zoomtowns" overseas and in pockets of the U.S. Midwest.

www.cnbc.com

 

[Hobo Hilton]

According to a new report from the National Association of Realtors and Realtor.com published Wednesday, U.S. households earning the median wage are seeing a pool of homes they can afford.
Households earning $75,000 or less per year in annual income—about 51% of households—could afford a home for up to $256,000. They could buy only 262,580 or 23% of the 1.1 million home listings that existed in April 2023.
That share has shrunk significantly over the past five years: In April 2018, households earning $75,000 a year — who could afford a $281,480 home — had 810,000 listings in their price range, less than 50%.
“There are more homes available for sale now that middle-income buyers can afford than in 2018,” the report said.

A family earning $75,000 can afford less than 25% of homes for sale.

According to a new report from the National Association of Realtors and Realtor.com published Wednesday, U.S. households earning the median

rotasi.co

 

[Hobo Hilton]

To at least one market veteran, the stock market’s resurgence after a string of bank failures and rapid interest rate hikes means only one thing: Watch out.
The current period reminds Bob Michele, chief investment officer for JPMorgan Chase’s massive asset management arm, of a deceptive lull during the 2008 financial crisis, he said in an interview at the bank’s New York headquarters.
For Michele, who began his career four decades ago, the signs are clear: The next few months are merely a calm before the storm. Michele oversees more than $700 billion in assets for JPMorgan and is also global head of fixed income for the bank’s asset management arm.

JPMorgan bond chief Bob Michele sees worrying echoes of 2008 in market calm

Economic crosscurrents have divided the investing world into roughly two camps: Those who see a soft landing and those who envision something far worse.

www.cnbc.com

 

[Hobo Hilton]

15 Big Box Retailers at Risk of Bankruptcy in 2023

Via America First Report The list of endangered retailers continues to grow this year. Many companies that actually exited bankruptcy in the past are now being threatened by it again, while others …

www.theburningplatform.com

 

[Lightning8]

Remote jobs are moving overseas and to smaller U.S. cities: ‘The same skills for 60% of the cost'

Remote hiring is expanding beyond its traditional strongholds, like India, creating new "Zoomtowns" overseas and in pockets of the U.S. Midwest.

www.cnbc.com

Told you so..................keep telling the young workers bragging about working from home in their pajamas (actually in their parents basement)

 

[Hobo Hilton]

Told you so..................keep telling the young workers bragging about working from home in their pajamas (actually in their parents basement)

I tell them "The pyramids in Egypt were not built remotely, and they are still standing"..... Crickets

 

[Hobo Hilton]

Pyrex, Instant Pot maker files for bankruptcy as sales fall

Instant Brands, the maker of Pyrex glassware and Instant Pot pressure cookers, has filed for bankruptcy, saying high interest rates, tighter credit conditions and falling consumer demand made its debt load unsustainable.

www.reuters.com

 

[Hobo Hilton]

The FED is simply "prolonging" the agony..... No rate change is not going to bring inflation down. It's causing Americans to charge more on the credit cards and pay more for essentials while wages are not going up. The FED / Jerome is hoping the bankers and big business will get him out of this mess. Big business and banks will profit from his foot dragging while American's suffer.
Plot your course carefully..... No one is coming.

Fed holds off on rate hike, but says two more are coming later this year

The Federal Reserve on Wednesday released its decision on interest rates.

www.cnbc.com

 

[Hobo Hilton]

Reset:

Retailers are preparing for a discount heavy, down holiday season: CNBC survey

Inflation may be down, but consumer demand is soft, retailers aren't placing big orders for peak season, and they expect discounts will be needed: CNBC survey.

www.cnbc.com

 

[Hobo Hilton]

Article is "very carefully" worded.

Goldman Sachs became the latest Wall Street bank to downgrade its growth forecast for China, as the world’s second-largest economy stutters and loses momentum after its coronavirus reopening.

Goldman joins Wall Street banks in cutting China's growth outlook as post-Covid bounce fades

Goldman Sachs sees further turbulence ahead for the Chinese economy as the recovery from its stringent Covid measures continue to disappoint.

www.cnbc.com

 

[Hobo Hilton]

Article from 16 August 2021, 11.12am........ Almost 2 years later we are seeing it unfold.

The set of conspiracy theories around the Great Reset are nebulous and hard to pin down, but piecing them together gives us something like this: the Great Reset is the global elite’s plan to instate a communist world order by abolishing private property while using COVID-19 to solve overpopulation and enslaving what remains of humanity with vaccines.

Conspiracy theories aside, there is something fishy about the Great Reset

It’s a corporate takeover of global governance that affects our food, our data and our vaccines

www.opendemocracy.net

 

[Hobo Hilton]

To Many Americans, It Already Feels Like We Are in a Deep Recession - LewRockwell

Are you deeply struggling right now? If so, I want you to know that you are not alone. The things that I am about to share with you are not meant to be depressing. Rather, I hope that you will be encouraged to see that there are countless others in the exact same boat. Over the past few...

www.lewrockwell.com

 

[Bigfatcock]

Tree removal service is down from an average of $750 per tree a year ago to $450 per tree from a quote I got this week from the same 3 companies.

 

[lariat]

"We Need Rain": Corn, Soy, Wheat Prices Soar As Drought Conditions Worsen In Midwest | ZeroHedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

zerohedge.com