I strongly suspect that Ms. Holmes' delusions that she's going to pull herself out of this mess will, at long last, be dismissed when the reaction she gets to this "3 for 1" offer is the sound of crickets.
For all you 'poor' people (and you know who we're talking about...all you people with only around $1 million of liquid investable assets) out there who always wanted to invest their money with Goldman Sachs but didn't have the $50 million net worth required to become a private wealth client, today may just be your lucky day.
The last 5 days have seen the biggest crash in Puerto Rico muni bonds since June 2015 when the Governor declared debts "unpayable." As Bloomberg notes, investor speculation about the scale of the losses Puerto Rico will foist on bondholders caused the price of the island’s most active bond to continue to slide in the heaviest trading in nearly four months.
Loan issuance to businesses and consumers is plunging while metrics like auto delinquencies and credit card charge offs are soaring to 'great recession' levels. Of course, all this loan data continues to deteriorate as equities surge to all new highs with each passing day. So, who's right?
"Most of the money supporting ETF asset growth is coming from investors ignorant (or willfully ignorant) of risk. As with active investing, ETFs provide mostly long exposure. Unlike active investing, the higher cap-weighted indexes move beyond sustainable value, the more likely ETFs will disappoint investors."
"...a 'review team' is subjectively deciding which content it will censor. What happened to the programmers and objectively censoring 'trolls' and abuse? The whole thing is much more similar to McCarthyism, except instead of targeting 'communists' during the Cold War, they are targeting 'right-wing' websites and individuals. Truly a threat to 'national security' in the same vein as ISIS, isn’t it?"
After last week's surprise draw (but big build at Cushing), API reports a bigger than expected crude (and Cushing) build and bigger than expected draw in Gasoline inventories. For now, both WTI and RBOB kneejerked higher but WTI faded very rapidly.
North Korea has nothing to fear from any U.S. move to broaden sanctions aimed at cutting it off from the global financial system and will pursue "acceleration" of its nuclear and missile programs, including developing a "pre-emptive first strike capability" and an inter-continental ballistic missile, a North Korean UN envoy warned.
Are retail investors buttressing US stocks at current (and elevated) levels? A variety of indicators say "Yes". Our primary concern: fund flows can be quite seasonal, with Q1-to-early Q2 a peak period due to retirement account flows. After mid-April, this diminishes considerably. Then, we will need a reliable stream of positive headlines to keep retail investors in the game.
Goldman presents a chart which shows just as graphically how exactly OPEC lost the war against US shale: in one word: the cost curve has massively flattened and extended as a result of "shale productivity" driving oil breakeven in the US from $80 to $50-$55, in the process sweeping Saudi Arabia away from the post of global oil price setter
A new piece of legislation introduced in California, the "Resist The Wall Act" or AB 946, would require state pension funds CalPERS and CalSTRS to divest of any investments in companies helping to build Trump's "Wall Of Shame" within 12 months.