May 3, 2023 Fed Chairman Jerome Powell held his monthly meeting today, oblivious to the crisis in the banking industry, which has been precipitated by the Fed’s interest rate increases over the past year. As widely anticipated, Fed increased Fed Fund Rates another 1/4 point to 5% – 51/4%, with maybe a pause in the…… Continue reading Sell in May, Go Away
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Dimon or Munger?
May 2, 2023 Only one day after Jamie Dimon’s bank JPM swallows the good pieces of FRC with the help of a $30 Billion loan from the Federal Reserve, the market gets spooked by concerns that the debt ceiling may be reached in early June. Jamie Dimon says that with this step, “…this part of…… Continue reading Dimon or Munger?
Banking Problems Solved?
Monday, May 1st, 2023 Before the market opening on Monday, it was announced that JP Morgan (JPM) the biggest U.S. Bank will be “buying” First Republic Bank’s (FRC) assets and some of its liabiities, from the Federal Deposit Insurance Fund, with $50 Billion of Federal Reserve provided loans. The failure of FRC is the second…… Continue reading Banking Problems Solved?
Another Bank Goes Under
April 29, 2023 “You Don’t Know Who is Swimming Naked, Until the Tide Goes Out” ____Warren Buffett, CEO of Berkshire Hathaway This week saw the final collapse of another major bank, First Republic, FRC which the Banking industry tried to save several weeks ago with a $30 Billion Dollar loan from a group of other…… Continue reading Another Bank Goes Under
Still Negative on the Auto Sector
April 26, 2023 Although I am not a professional auto analyst, and this is in no way investment advice, I continue to believe the Auto Sector, of GM ( ), F( ) and TSLA ( ) could be a sink hole for investors in 2023. On Tuesday, General Motors (GM) reported an 18.5 percent drop…… Continue reading Still Negative on the Auto Sector
Is FRC the Next Bank Problem?
April 26, 2023 Even after a $30 Billion loan a few weeks ago, from a group of major banks to shore up its Balance Sheet, depositers continue to flee. The basic problem is again concerns about the liquidity of the Bank’s investment portfolio. Like many of the other banks facing a loss of confidence because…… Continue reading Is FRC the Next Bank Problem?
The Storm Ahead
April 25th 2023 Here we go again…..Once again, Speaker McCarthy and the extreme wing of the House GOP, threatens to allow the United States to default on its financial obligations, unless President Biden and the Senate agree to his political blackmail. Once again we are being taken to the edge of the financial cliff. After…… Continue reading The Storm Ahead
Is Macy’s Next?
April 24th, 2023 Over the weekend, the well known retailer Bed Bath and Beyond BBBY has filed for Chapter 11 Bankruptcy after a multi year struggle to stay alive. The stock which had been one of the stocks that had been heavily touted in stock market chat rooms over the past years, will end its…… Continue reading Is Macy’s Next?
Problems in Auto-Land?
April 20, 2023 After the close of the stock market on Wednesday, Tesla Motors (TSLA) reported disappointing Sales and Earnings numbers for the most recent quarter, and the stock looks to open, at a new 6 month low today. On the back of this disappointing earning reports, many of the major brokerage and investment firms…… Continue reading Problems in Auto-Land?
Storm Ahead?
April 5, 2023 As we head into a big Holdiay Week, with both Passover and Easter celebrations ahead, the market is slowly grinding lower. A lack of direction? The calm before the storm? Many investors are hoping that the signs that the economy is slowly dipping into a recession will force the hand of the…… Continue reading Storm Ahead?