Faber News Flow

Do you think you may have a stock market addiction?  In this article, we're going to talk about how to recognize the signs, why it's potentially destructive, and what you can do if you believe you may be addicted to trading. But before we begin, please subscribe to our weekly newsletter, where we discuss marketing commentary, sector analysis, the major macro trends you need to know, and more. Why Is The Stock Market So Addictive? A few years ago, I discussed the issue of a  trading addiction  as we saw early signs of speculative excess at the time. However, we had no idea the degree to which we would see those excesses grow: "This type of market activity is an indication that markets have returned their 'enthusiasm' stage. Such is characterized by: High optimism Easy credit (too easy, with loose terms) A rush of initial and secondary offerings Risky stocks outperforming Stretched valuations" Addiction is the inability to stop consuming a chemical or pursuin...

PUBLISHED SUN, AUG 1 2021 •8:30 AM EDT  UPDATED MON, AUG 2 2021 •9:58 AM EDT  Federal unemployment programs that have paid jobless benefits since March 2020 are poised to end Sept. 6. It doesn't appear Congress will extend them again. Roughly 7.5 million people will lose benefits entirely at that time, per one estimate. Those eligible to collect state unemployment insurance may continue to receive weekly payments past Labor Day. They would get $300 less per week.  Who's impacted?  Millions of jobless Americans are poised to lose Covid-era income support in about a month's time. This impending "benefits cliff" appears different from others that loomed this past year, when Congress was able to keep aid flowing after eleventh-hour legislative deals. There doesn't seem to be an urgency among federal lawmakers to extend pandemic benefit programs past Labor Day, their official cutoff date. "There's almost nobody talking about extending the benefit...

With the Supreme Court officially striking down Biden's eviction moratorium and with most state-level restrictions set to expire over the next month, Goldman has calculated how sharply evictions could rise under current policy in order to estimate the potential impact on the economy. First some big picture details: Despite the severe recession,  evictions actually declined during the coronacrisis due to the national eviction moratorium,  with eviction filings declining 65% in Blue states and 61% nationwide. Using rent delinquency data from real estate companies, the National Multifamily Housing Council, and the Census Pulse survey,  the bank estimates that  2½-3½ million households are behind on rent, with $12-17bn owed to landlords. Despite the $25bn dispersed from the Treasury to state and local governments, the process of providing these funds to households and landlords has been slow.  Only 350k households received assistance in July, and at this pace, 1-2 m...

Three months ago  when observing  the reversal of China's all-important credit impulse to negative, its first red print in over a year, we warned that China was set to unleash a deflationary wave across the world... ... but first it would be China's own economy that is impacted. And sure enough, the country which first emerged from the covid pandemic it created courtesy of a tidal wave of new debt creation which however collapsed right on schedule in July, when China's Total Social Financing aggregate printed at the  lowest level since February  2020... ... has just seen its service sector contract sharply, because moments ago China's official Services (non-manucaturing) PMI Index unexpectedly collapsed from a healthy 53.3 to a  contractionary   47.5 - the second lowest print on record with just the Feb 2020 peak covid print lower,   badly missing the 52.0 Bloomberg consensus, and the largest one-month drop (-5.8)outside of the covid recessionary plung...