Every residential mortgage loan made in 2020-2021 is likely to be underwater by the end of 2023
The cult of ever falling interest rates goes back 50 years and spans the terms of Fed chairs back to Alan Greenspan and Paul Volcker…
Little attention is being paid to the collateral damage being done by the FOMC to the debt capital markets
Until the FOMC raises interest rates to more “normal” levels, we don’t expect actual volatility to decline.
The assumption of price volatility on the part of consumers and business managers is at the heart of inflation expectations
Demand for risk-free collateral and liquidity is largely a function of how JPMorgan (JPM) CEO Jamie Dimon feels about risk on any given day
The real message to the FOMC is this: hike another 75bp in July and then let the Fed funds target sit for a few meetings…
Why did Elon Musk ever pretend that he was able to acquire TWTR, a transaction the US government would never allow.
Putting dollar leverage under crypto tokens – that is to say, under nothing – makes for infinite dollar risk.
Issuing CMOs via the GSEs could help the FOMC out of its trading mess, but represents a monumental irony.
