The Federal Reserve has pursued the unprecedented monetary policy of lowering rates to zero and increasing their portfolio from 500 billion to over 4 trillion. But as the Fed reminds us, there is a cost.
Trump is barely two days in office, and already a lawsuit is set to be filed against the newly inaugurated president. According to press reports, a group of lawyers, including former White House ethics attorneys will file a lawsuit on Monday accusing the President of allowing his businesses to accept payments from foreign governments in violation of the U.S. Constitution.
It is becoming increasingly apparent that dissent is being criminalized not only nationwide but on multiple fronts. Increased regulations are appearing that limit the public spaces that can be lawfully occupied in protest. Meanwhile, legislation is also being introduced to increase the negative consequences for newly unlawful protests.
At least two major Chinese private providers of home price data have stopped publishing the figures, at a time when China's housing bubble appears to be bursting. "Housing prices are an extremely sensitive matter right now."
The post-Brexit euphoria appears to have abruptly vanished in December as UK core retail sales plunged 2.0% month-over-month, the biggest drop since May 2011. Ironically, this crack in the 'Brexit Boom' occurred an hour before U.K. Chancellor of the ExchequerPhilip Hammondtold a Davos gathering on Friday that an inflation pickup will put a damper on consumers this year. Cable tumbled on the print (not helped by London home pre-sales plunging).
In only 8 years, Airbnb has become a $25 billion company. Co-founder Brian Chesky often talks about how anyone can turn extra space in their home into an asset that helps them pay their rent, but the economics of short term rental sites Airbnb and VRBO also appeal to people who do not live in the house or apartment they rent out. This increasingly includes professional real estate investors.
There is much we don’t know about how the Trump presidency will play out. But of one thing we can be fairly certain. President Trump is very likely to preside over the largest expansion of Federal budget deficits in our history.