UK brings out the big guns to fight recession

From CNBC:

UK government dishes out extensive tax cuts as country braces for recession

The measures include:

  • Cancellation of a planned rise in corporation tax to 25%, keeping it at 19%, the lowest rate in the G-20.
  • A reversal in the recent 1.25% rise in National Insurance contributions — a tax on income.
  • A reduction in the basic rate of income tax from 20 pence to 19 pence.
  • Scrapping of the 45% tax paid on incomes over £150,000 ($166,770), taking the top rate to 40%.
  • Significant cuts to stamp duty, a tax paid on home purchases.
  • A network of “investment zones” around the country where businesses will be offered tax cuts, liberalized planning rules and a reduction in regulatory obstacles.
  • A claim-back scheme for sales taxes paid by tourists.
  • Scrapping of an increase in tax rates on various alcohols.
  • Scrapping of a cap on bankers’ bonuses.
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99 Responses to UK brings out the big guns to fight recession

  1. grim says:

    Well that’s new, from MarketWatch:

    Rents fell in August for the first time since November 2021, but tenants are still struggling. Here’s why.

    For the first time since November 2021, U.S. median monthly rents failed to notch a new record high and even fell a little compared to the previous month — by $10, to $1,771, according to a report on August rental conditions from Realtor.com.

    But renters, don’t go breathing a sigh of relief quite yet.

    While the pace of year-over-year rent increases appears to be slowing — last month marked the first period of single-digit annual rent growth in 13 months, as well as the first slide in median asking rents since last November — tenants are still struggling under higher-than-usual housing costs.

    The median rent growth for 0-2 bedroom units over the 50 metropolitan areas examined by Realtor.com slowed to 9.8% year over year, but rents still grew three times as fast as before the pandemic.

    The power of wage increases earned during the tight labor market has also been diminished by the worst inflation rate in decades. Meanwhile, credit-card balances are increasing and the personal savings rate is declining.

    Renters earning a typical household income were putting 26.4% of their money toward housing in August, compared with the 25.7% they spent last year, Realtor.com’s report said. That means they’re marching closer to the edge of a common affordability standard: spending no more than 30% of one’s monthly income on rent.

  2. Very Stable Genius says:

    Trickle down economics is a farce

  3. Very Stable Genius says:

    Live Bloomberg
    Updated
    Just Now
    Truss’s Economic Plan Sends UK Markets Into Meltdown

    Very Stable Genius says:
    September 23, 2022 at 7:01 am

    Trickle down economics is a farce

  4. leftwing says:

    “Trickle down economics is a farce”

    It is, simply, reality.

    There are those for a wide variety of reasons who innovate and create. They do so, and receive massive benefit for their idea and execution.

    There are others, the large majority of people who don’t innovate and create. They become employees at relatively fixed rates.

    No judgment or politics involved in this comment. Just the world rotating on its axis, as it has since the innovator was a skin clad hunter and the others dependent on his haul.

  5. grim says:

    Perhaps I should have went with “small water gun”?

  6. leftwing says:

    Goldman moves its year end SPX target from 4280 to 3600.

    These moves in Treasurys and currencies is where entities get blown up, with the potential for systemic issues….

    And those UK moves will do wonders for their inflation….

  7. Phoenix says:

    Baxter, Abbott, Integra, Medtronic, Stryker, J&J, Lilly, BD.

    Yeah, lets make critical lifesaving items on an island out in the ocean.
    That makes sense.
    Only financial sense.
    But not common sense.

    https://www.reuters.com/world/americas/medical-device-makers-see-little-impact-fiona-puerto-rico-operations-2022-09-23/

  8. Chicago says:

    2Y 421
    10Y 376

  9. grim says:

    UK went ahead and removed the ban on fracking too.

  10. leftwing says:

    Yesterday I used the term cognitive dissonance to describe Mr Magoo wandering around in his own singular silo of Fed rates…what is the term to describe the above fiscal actions in the UK yesterday as the Bank of England raises rates by 50bps….

    Buckle up guys….we’ve opened the car door while traveling at 60mph and booted the driver out because we weren’t happy with how he was negotiating turns…the seat is empty, we’re still hurtling down the highway, and now we have the people sitting in the back seat trying to steer by committee….

  11. Phoenix says:

    Blah blah blah.

    Where is the money, Alex? And is our wonderful “justice” system going to be able to find it and get it to the victims of the crime you committed? That’s what I want to know.

    Infowars founder Alex Jones lashed out as he testified in a tense Connecticut courtroom Thursday as part of a defamation trial that will determine how much he should pay to the relatives of victims of the 2012 Sandy Hook elementary school massacre.

    The far-right conspiracy theorist and host, known for emotional outbursts on his shows, appeared frustrated at several points and said he would not make further apologies for popularizing the false claim that the shooting in Newtown, Conn., was a hoax.

    “Is this a struggle session? Are we in China?” Jones asked, referring to Maoist rallies where people were publicly humiliated, after an attorney for the plaintiffs, Chris Mattei, pointed out the victims’ family members in the courtroom. “I’ve already said I’m sorry hundreds of times, and I’m done saying I’m sorry.”

  12. Phoenix says:

    There are those for a wide variety of reasons who innovate and create. They do so, and receive massive benefit for their idea and execution.

    It’s not usually those that innovate and create that make the money. Just watch Shark
    tank. Its the sharks that profit, those that manipulate money that make more than the innovators and creators. It’s those that control patents. Look what Sarnoff was able to do to Armstrong-and how the “justice” system is used in America to encourage theft.

  13. Phoenix says:

    Pollute the water for the youth with the “proprietary” fracking fluids.

    It’s almost time for WW3.

  14. BRT says:

    That S&P chart is on the verge of turning very ugly

  15. leftwing says:

    “Yeah, lets make critical lifesaving items on an island out in the ocean. That makes sense. Only financial sense.”

    Blame meddling and compromise by DC…

    Major corporate tax breaks, including at initiation an entire pass on Federal tax on profits generated by healthcare manufacturing in PR, were enacted to ‘spur’ development on the island. DC intentionally wanted companies to establish manufacturing there.

    Politicians of all stripes have shown their foresight is equivalent to that of a common housefly. Can we just send them all home before they keep fucking things up worse?

    Compromise among ‘moderate’ and especially career politicians is your enemy, not your friend.

  16. Phoenix says:

    LW

    agree.

  17. Fast Eddie says:

    “Based on our client discussions, a majority of equity investors have adopted the view that a hard landing scenario is inevitable and their focus is on the timing, magnitude and duration of a potential recession and investment strategies for that outlook,” wrote Goldman analyst David Kostin.

    The Fed indicated on Wednesday global policymakers would “keep at” their battle to beat down inflation, and hiked U.S. interest rates by 75 basis points for a third consecutive time and signaled borrowing costs would keep rising this year.

    Kostin noted inflation has proved more persistent than expected and is unlikely to show clear signs of easing in the near term, leading to even higher estimates of Fed tightening.

    Build back better.

  18. 1987 Condo says:

    As I mentioned in an earlier post, my son’s Manhattan studio apartment just got its rent increase letter, just $50 on his current $2,300, or about 2%. Units in his building are actually going for a lower amount so he is negotiating.

  19. Libturd says:

    “Kostin noted inflation has proved more persistent than expected and is unlikely to show clear signs of easing in the near term, leading to even higher estimates of Fed tightening.”

    I kept telling you all inflation was out of control (mainly making up for lost time). When morons start making such idiotic statements as, “debt doesn’t matter.” That’s when you know it’s time to pull back.

    Remember:

    https://photos.app.goo.gl/HqXeVjC7ihiZWPv69

  20. 3b says:

    House prices increased 43 percent in 2 years! That is insane. Hard landing indeed.

  21. Phoenix says:

    House prices increased 43 percent in 2 years!

    A gift to boomer, along with a healthy increase in Social Security payment money.

    All this after we tanked the economy for the youth over Covid.

  22. Phoenix says:

    New Acela trains represent a significant step toward national aspirations for faster and more reliable train service.

    Till they have to stop for hours after a suicide.

  23. leftwing says:

    Joyce, would be interesting to know how much all the items cost that are integrated into cars mostly as standard now and usually for my ‘safety’…many, many thousands, wouldn’t surprise me if it breaks five figures….

    Also, this gem from your link…

    “The recommendation also calls for systems to monitor a driver’s behavior, making sure they’re alert. She said many cars now have cameras pointed at the driver, which have the potential to limit impaired driving.”

  24. Libturd says:

    After the market opens, I’ll post the same chart for today.

  25. SmallGovConservative says:

    Very Stable Genius says:
    September 23, 2022 at 7:01 am
    “Trickle down economics is a farce”

    Low(er) taxes, light(er) regulation and high(er) domestic energy production are almost universally good policy. All the better if they eventually lead to small(er) government. The fact that a dingbat like VeryStableCuck, a guy that enjoys being governed by JoeBiden, KamalaHarris and NancyPelosi, is against them, is just further confirmation that they’re good policy.

  26. leftwing says:

    Phoenix, IIRC there is some obscure clause in the Constitution setting minimum amount of time(s) Congress needs to be in session….when our representatives were ‘citizen-legislators’ with the order of those two descriptors intentional, meaning they spent more time as citizens than as legislators……

    I think we should set a limit on the maximum number of days that Congress can be in physical session, and that action can only be taken in physical session…

    Say, no more than 60 days in DC…

    Basically, they will be under the gun to get the important items done and no idle time for them to screw around in the Senate Dining Room, Senate Gym, or Greenbrier to come up with ‘brilliant’ ideas to engineer your existence and fuck up your life.

    60 days in town, get the people’s business done, and then go back to your own job.

  27. No One says:

    Honestly those aren’t much of a tax cut in the UK. Biggest signal is that they cancelled planned tax hikes, which is a good idea if you are a small country hoping multinationals will remain based there. But this doesn’t sound like it’s really a supply-side revolution either.

  28. AJ says:

    “Yeah, lets make critical lifesaving items on an island out in the ocean. That makes sense. Only financial sense.”

    I thought you were talking about Taiwan.

  29. leftwing says:

    Lib, you have a nice tailwind…with AAPL, AMZN, GOOG, and MSFT comprising nearly 40% of the index if their multiples come in a few points or so from their current lofty levels you’ll find close to 1000 points to the downside right there.

  30. Chicago says:

    I got fucked by oil today. Damnit

  31. Bystander says:

    Innovators = global debt shufflers. Fixed it.

    Very Stable,

    This is perfect

    https://tinyurl.com/479mkpwf

  32. Libturd says:

    We are 300 points, about 2.5%, from the 52-week intraday low on the Nasty.

    Soon, pensions go boom.

  33. leftwing says:

    “Innovators = global debt shufflers. Fixed it.”

    LOL. There you go again…nope, they are just better paid peasants with nicer houses and cars than you…any idea what a government bond guy is comped?

    Phoenix, your comment on Shark Tank was interesting…my kids used to watch it regularly so I’ve seen a bunch of episodes.

    I would suggest both the funders and the presenters are the innovators…they are together in that specific high risk project, that no one else is touching, and one would not exist without the other nor would the project. And each will get their pro-rata reward.

    Having the shark take control – over 50% ownership for his risk – is quite rare. The ‘creator’ always has a huge slug of the return, for no additional contributed capital at risk.

    “It’s not usually those that innovate and create that make the money. Just watch Shark
    tank. Its the sharks that profit, those that manipulate money that make more than the innovators and creators.”

  34. Libturd says:

    Shark Tank has become an infomercial where the appearance on the show becomes a huge marketing opportunity. The Sharks all get paid a bloody fortune to be on the show. The amount of money they are willing to invest in the companies presenting is a pittance compared with their celebrity salaries.

    IMO, the concept of the show is great. Though, the stupid presentations are incredibly hard to swallow. Way to made for TV. I imagine when VCs are given a presentation, it looks nothing like this whatsoever. I know, if I was mad wealthy, I wouldn’t sit through it.

  35. Phoenix says:

    Sharks to me just seem like some that look at someone’s idea, invest some money, and have connections with marketing teams that have the real skill and manufacturing connections that do the real work at a low price. What they provide mostly is the money.

    As far as inventers go and patents, this article describes how the patent system is rigged and if you are a small fish expect to be eaten alive. Armstrong fought with millions of dollars when millions of dollars was real money. Inventors lose to the connected and big business all of the time.

    https://www.inc.com/nick-skillicorn/how-the-current-patent-system-actually-hurts-inventors.html

  36. Bystander says:

    I was using term much more loosely left. I realize the govi guy is not top 1% but it probably puts them in top 5% of all earners. That is where all the money has gone. In reality, the middle class is competing with the upper middle class, not elite. Like how getting a driveway seal tells me $500 now. He probably goes to Westport and Darien where $500 is nothing as Daddy’s trust grew like bonkers during bailout. These are not the innovators.

  37. leftwing says:

    Lib, haven’t watched in a few years since my kids moved on. Back then the Sharks were getting something like $25 or 50k an episode IIRC so over the course of a season they likely each had some money at risk but there was likely a decent degree of house money. Before W2s, lol.

    Phoenix, for the sake of debate I’ll agree, but doesn’t that still demonstrate their value to the combined success?

    If the founder could do it themselves they would (many do). If the founder could get money and infrastructure on better terms they would (many do).

    If you just have a great seed idea and no plan, experience, or ability to move it forward and also need cash, there is real value added to them. Or your idea ceases to exist.

    Big difference between and idea/product and a company.

  38. BRT says:

    Lib,

    Cuban came out a couple of weeks ago and disclosed, he’s actually net negative on all his shark tank investments. I think Lori makes money because she’s able to put products on TV. Funny story, they had a demo where they showed the Sharks these metal ice cubes and how they kept your coffee hot but also prevented it from burning you by storing the energy in the metal cube. Absolute nonsense to anyone who understands thermodynamics. But in their demo, they put it in a the vacuum mug before they were popular. So the mug kept their coffee at temperature for hours and they all in unison, committed to investing. I identified it as a scam in about 10 seconds.

    Well the funny part is, I now know the sister of the guy that scammed them.

  39. BRT says:

    The bigger issue is, you can patent something, China will violate it, undercut you and sell it on amazon or some similar platform, and amazon will be slow to fix the problem. Trump was actually taking care of the problem but I don’t know if the current admin followed through on the initial battle.

  40. Bystander says:

    “Trump was actually taking care of the problem”

    Wow, he was? I see a big talk and a toothless trade deal where China has never matched their commitments. And now we have to bailout soy farming corps 40b a year more because of his ‘taking care of the problem’. No president is fixing that one. Sorry to break the news. We gave away it free and clear years ago bc we wanted the cheap production costs. We are still giving it bc need to produce products.

  41. Phoenix says:

    LW

    I’ll agree. But I think in many cases, that you don’t see on TV, inventors are being taken advantage of, and in fact, their ideas are just downright stolen by those the investor requested help them.

    Just like lawyers who drain your bank account during a divorce as they know just how deep your pocket is when you step inside their office. Hey, wanna make partner, gotta bring in the dough.

  42. BRT says:

    By,

    he got them to act on it and get them off the market. The only reason I know was because O’leary went on TV and showed all the products he invested in that were being illegally undercut in the US by China. Headway was made on that issue according to him and another countertop manufacturer. This wasn’t really a trade issue that required legislation. The existing laws/policies were already on the books and they weren’t being enforced.

    Whether it’s continued, I have no idea. I doubt it because solving problems doesn’t seem to be a priority of Joe.

  43. BRT says:

    And for what it’s worth, it didn’t solve the heart of the trade problem. O’leary’s and everyone else’s products were still manufactured in China as well. It’s just someone over there stole their designs, went to a different factory, and sold them in the US at a lower price.

  44. Phoenix says:

    This one was upset when Trump told her she couldn’t make her 250 dollar bags in China. Not enough profit if she made it in America. You need to be rich here, right??
    California based, “minority” woman owned business. Real patriot.

    “I’m trying to keep my cool and not get worried and upset, but it’s becoming hard,” said Magi Raible, founder of LiteGear Bags, a luggage maker based in Vallejo, Calif.

    She has a meeting next week with an industry colleague to discuss moving more of her manufacturing from China to India or South Africa, she said.

    “I don’t know how much faster I can move or how much more urgency I can have,” she said.

    https://litegearbags.com/

  45. Phoenix says:

    “I want LiteGear to be a global brand that is a leader in impact design, sustainability and social consciousness.”

    Guess social consciousness doesn’t include caring about nine year old girls slaving away to produce her products so she could enjoy the finer things in life.

  46. chicagofinance says:

    This could be the flush today…… still I think there are too many investors that are wrong footed and were hoping to play catch-up before 2022 calendar year close.

    focus on next Friday….. a triple
    1. month close
    2. quarter close
    3. a Friday

    Chicago says:
    September 19, 2022 at 10:53 am
    No news until earnings. Market moves on incremental news only. To left’s point, the floating conditions are likely upward, but it is a fool’s errand without strict trading discipline. Look at FedEx. At any time between now and the end of next week you can get bat guanoed.

    Bear in mind, the book closing on positioning is going to have one flush either up or down. You could argue it was option expiry this past Friday. I am not going to really fuck around here. The gains to be had are too minimal.

    We are really starting to move into juicy rates. Get some 4 handles on things. Booya.

  47. grim says:

    She has a meeting next week with an industry colleague to discuss moving more of her manufacturing from China to India or South Africa, she said.

    That entire product line looks like a straight lift and shift from any Chinese luggage manufacturer, with a different label and logo.

  48. grim says:

    The “As seen on tv” guys in Fairfield are still driving around in Bentleys and Maybachs. Those guys (Telebrands) were the original shark tank.

  49. grim says:

    Speaking of infomercial crap.

    Anyone here following htttp://www.whatnot.com

    Those guys are KILLLING IT. I know a few sellers that are doing disgusting business there.

  50. Phoenix says:

    Guess someone doesn’t like paying taxes. I get a w2 so I pay no matter what.

    Republicans say they will immediately ‘repeal 87,000 IRS agents’ if they retake Congress

  51. leftwing says:

    “I realize the govi guy is not top 1% but it probably puts them in top 5% of all earners.”

    Fifth percentile is about $270k. So, yeah, most professionals around here are 5%ers…

    “That is where all the money has gone.”

    Money isn’t ‘gone’, it doesn’t just disappear…it is moved from low productivity and negative return areas into high productivity positive returns. This process creates wealth and liquidity.

    “But I think in many cases, that you don’t see on TV, inventors are being taken advantage of, and in fact, their ideas are just downright stolen by those the investor requested help them.”

    Phoenix, absolute zero basis for that statement….

  52. leftwing says:

    “This could be the flush today…”

    Want to see VIX in the 30s and inversion of that curve….

  53. The Great Pumpkin says:

    This guy must not deal with the individuals I deal with. Lmao

    “There isn’t one single robot that’s so intelligent and so versatile that it’s like a human worker. That’s just not where the technology is.”

    — Matthew Johnson-Roberson, the director of Carnegie Mellon University’s Robotics Institute, talks about the limitations of warehouse robots

  54. joyce says:

    leftwing,
    The stats I’ve seen, census and elsewhere, show an area like the prestigious Bergen county having a median household income of about $115k and average of about $150k. So given that it’s a skewed distribution, most are not in the top 5% if that one county is representative of others (and given the unicorn population, it may be better).

  55. Phoenix says:

    LW

    He built a lab in his basement and used a windshield from the junkyard to do tests. In 1963, he had a prototype attached to a Ford Galaxie convertible. He drove that car to a meeting with executives at Ford.

    Ford seemed interested but made no promises. They did ask him back for a second meeting, though. That meeting was with engineers who asked a lot of questions. They were apparently working on their own system for the upcoming Mercury. They continued to meet for two years, but Ford never offered him a business deal. By 1965, Ford stopped calling. I’m sure you can see where this is going. In 1969, Ford started offering electronic intermittent wipers.

    In 1976, Kearns’ son Dennis took apart a wiper control box from a Mercedes-Benz. The circuit inside was an exact copy of the circuit in his Father’s patent. Kearns started looking at patent filings by Ford, General Motors, Volkswagon, and others. They had all just copied key elements of his design.

    https://hackaday.com/2020/04/23/the-back-and-forth-of-windshield-wipers-and-patent-lawsuits/

  56. Libturd says:

    Phoenix,

    I think I read that story back in college.

  57. Anon says:

    Regarding trickle down economics and innovation…

    People like Edison have turned actual innovators into commodities/wage slaves, much the same way land owners turned actual farmers into indentured serfs. Look at pharma. The innovators get a very small portion of the profit relative to their contributions. And they can’t exactly venture out on their own given that the corporations own all the patents and IP. But in many industries it is corporations that are dependent on the innovators, not the other way around.

    Sure there are many examples of people successfully venturing out on their own – particularly in modern tech. But those success stories are the exception not the norm – what you see is survivorship bias.

    Leftwing seems to be implying that the people who are unable to come out on top in a system where “winners take all” – or who are unable to find and move various secret levers – are somehow at fault.

    Capitalism in the US has become a giant poker tournament full of people trying to game the rules in their favor. And the most effective tactic is to take control over the people who are supposed to be upholding and enforcing the rules.

    People who thrive in these environments aren’t the type who leave money on the table to trickle down. Unless you are into getting peed on.

  58. BRT says:

    -.39% on the day. Heavy short in my portfolio was able to offset the much bigger losses on the few longs I have. Finish the week up 1.5%. I’ll take it.

  59. leftwing says:

    joyce, was using national stats…

  60. leftwing says:

    Phoenix, gotcha. Thought you were referring to Shark Tank.

    On the wipers, doesn’t that prove the point on the value of investors/advisors, rather than put them in black hats?

    If your Galaxy dude had any reputable attorney or investor in with him they’re not letting Ford rip apart his devices without any protection….

    The world is complicated, value resides in many rooms, not just inside the four corners of a product box…

  61. chicagofinance says:

    Forgot also the holidays next week too. It is only a 3 day week.
    Left: I’m talking September only…… of course the VIX has been creepily muted….

    chicagofinance says:
    September 23, 2022 at 12:45 pm
    This could be the flush today…… still I think there are too many investors that are wrong footed and were hoping to play catch-up before 2022 calendar year close.

    focus on next Friday….. a triple
    1. month close
    2. quarter close
    3. a Friday

    Chicago says:
    September 19, 2022 at 10:53 am
    No news until earnings. Market moves on incremental news only. To left’s point, the floating conditions are likely upward, but it is a fool’s errand without strict trading discipline. Look at FedEx. At any time between now and the end of next week you can get bat guanoed.

    Bear in mind, the book closing on positioning is going to have one flush either up or down. You could argue it was option expiry this past Friday. I am not going to really fuck around here. The gains to be had are too minimal.

    We are really starting to move into juicy rates. Get some 4 handles on things. Booya.

  62. leftwing says:

    “Leftwing seems to be implying that the people who are unable to come out on top…or who are unable to find and move various secret levers – are somehow at fault.”

    Not at all.

    “The innovators get a very small portion of the profit relative to their contributions. And they can’t exactly venture out on their own given that the corporations own all the patents and IP.”

    Eh….

    My point is that if they could have ventured out on their own they would have…Your pharma guy? The corporation owns the IP because the employee needed the infrastructure to develop it…in fact, he is part of that infrastructure. And that is why the infrastructure – the corporation – owns it and not the individual.

    If he could easily move out on his own when it was his seed ideahe would, he’d be crazy not to, but…facilities, capital, finding and hiring needed colleagues, risk tolerance, etc. Those are the levers, they’re not that secret.

    There seems to be a heavy dose of Horatio Alger around here….but a successful business is wildly different than a great product.

    Ask our host…he may not want to be candid on a public forum but I strongly suspect that of all the factors that went into making his business successful the exact recipe of the product is not the most important factor…may not even be top three.

  63. 3b says:

    Anon: There is always Venezuela. 20 percent of the country’s population has left over the last few years, and they continue to leave.

  64. 3b says:

    Ian Shepherdson says housing prices may plummet by 20 percent next summer. I ain’t the only one saying it!!

  65. leftwing says:

    chi, punched through 32 on the vix for all of nine minutes lol…it’s a level for me to short it…missed my entry but did pile on at the outside of the price range I look for, in smaller size…in this trade in particular I try to stay disciplined.

    Great rant by Siegel on CNBC at lunch. See if you can find the unedited version…it’s a hoot, and he’s right. Which means absolutely zero for making money, ha.

    Wrote some more puts today on solid names. Someone a while back was looking for a place to park money, I offered to structure something for them if they gave me a couple solid names they would eventually want to own long term…does anyone think META will go from 140 currently (14x times forward) to 90? Down 36%? Willing to get paid 22% annualized to underwrite that risk?

    Anyway….it’s all fun until someone loses an eye. BRT nice pull…take that big science brain and make some real money in the market. I closed down 0.2% today…was white knuckle on one position that cost me over the last two days but we’re solid there…

  66. leftwing says:

    holy shit, sterling parity is visible….

  67. chicagofinance says:

    I came here to post “what the actual fuck is the British government doing?”

    Idiots????

    leftwing says:
    September 23, 2022 at 4:51 pm
    holy shit, sterling parity is visible….

  68. Anon says:

    I’m sure we’ll see plenty of new Venezuelans in the tri-state. After all, we need people riding on the trains and working in the office buildings.

    “There is always Venezuela. 20 percent of the country’s population has left over the last few years, and they continue to leave.”

  69. 3b says:

    Anon: I would say we won’t find too many Venezuelans working in the office buildings.

  70. Anon says:

    Leftwing,

    My comments were from the context of your below statements.

    There is a distinction to be made between “innovating as business/equity owner” and “innovating as a W2 earner.” But to say W2 earners don’t innovate or create is not accurate.

    There are those for a wide variety of reasons who innovate and create. They do so, and receive massive benefit for their idea and execution.

    There are others, the large majority of people who don’t innovate and create. They become employees at relatively fixed rates.

  71. chicagofinance says:

    Bunch of Ukranian kids in my son’s high school…..

    Anon says:
    September 23, 2022 at 5:20 pm
    I’m sure we’ll see plenty of new Venezuelans in the tri-state. After all, we need people riding on the trains and working in the office buildings.

    “There is always Venezuela. 20 percent of the country’s population has left over the last few years, and they continue to leave.”

  72. Bystander says:

    “I would say we won’t find too many Venezuelans working in the office buildings”

    I disagree. Penthouse was at 1 Penn back I worked there. Could have sworn those girls were Venezuelan.

  73. joyce says:

    Maybe I misunderstood. I didn’t look up what $270k was exactly but I thought you meant that was the threshold to be top 5% income nationally, right? So, I was saying “most” people in Bergen (and elsewhere) are not top 5%. Am I still off base?

    leftwing says:
    September 23, 2022 at 3:44 pm
    joyce, was using national stats…

  74. leftwing says:

    Agree Anon.

    No slight intended toward W2s, I was one lol.

    My comment on W2s not innovating was in the context of ‘trickle down’ and wealth creation. All else being equal you pick your role.

    ‘Employees’ should have expectations of relatively narrow compensation variance, lower risk, and limited obligation to the role.

    ‘Owners’ should have expectations of wide compensation variance (up and down), higher risk, and unlimited obligation to their role.

    When things go well the rewards go to the owners.

    The fact that those with greatest risk and effort get most of the rewards is intentional, not a flaw.

    Obviously, roles can blur…ie, very easy to have an ‘entrepreneur/owner’ embedded in a corporation and compensated variably and generously.

  75. leftwing says:

    sorry, joyce, my comment was a throwaway response to ByS beating the drum on ‘where all the money goes’…not much more thought into it than that other than to look up the 5th percentile income nationally….

  76. Grim says:

    Roughly 125,000 of Bergen County’s 340,000 households have a household income of $200k or more. That’s a bit more than 1 out of 3 families.

  77. Grim says:

    75,000 of those have incomes of over $250,000

  78. The Great Pumpkin says:

    Amount of wealth in northeast nj is staggering.

    Raised the rent of each of my tenants and they all said “no prob” and “thank you.” Boo yah!

  79. Libturd says:

    A year from now, they’ll bee saying, “see ya.”

  80. Fast Eddie says:

    Roughly 125,000 of Bergen County’s 340,000 households have a household income of $200k or more. That’s a bit more than 1 out of 3 families.

    Damn posers, all of ’em!

  81. joyce says:

    You mean muppets

  82. Fast Eddie says:

    That post was due to a lack of coffee. Yes, muppets.

    Mi dispiace.

  83. BRT says:

    With the dollar index spiking, there’s going to be some ideal point to cash out those dollars into some other assets, be it currencies, metals, stocks…

    Long term, I’m an inflation hawk to the max, but 2 years we heard nothing but cash is trash from the crowd. Now they all wish they were in cash. Once the crowd chases that, it will be time.

  84. Fast Eddie says:

    With the dollar index spiking, there’s going to be some ideal point to cash out those dollars into some other assets, be it currencies, metals, stocks…

    I’ll go for a CD at 5%. That would help. Laddered CDs, perhaps?

    I’m really stunned how the prices of e-v-e-r-y-t-h-i-n-g exploded in the last 18 months. From utilities to food to fuel to services and now, medical bills with seemingly decent PPO or POS type coverage. Itemized lab bills from one visit, bills beyond co-pays previously non-existent are now the norm. If you have a family on your plan, it becomes head-spinning. But the shear cost of everything is stunning. We’re in for a long, bumpy ride.

  85. Phoenix says:

    Eddie,
    You get govt subsidized health benefits? Or is everyone in your household in the private sector?

  86. Phoenix says:

    Popo attempts to murder a young woman, or is this an “accident.”

    https://bit.ly/3Sic52I

  87. Libturd says:

    I actually don’t think the ride will be long. Bumpy for sure, but not long. Look at the speed at which we printed and borrowed. We always did it, but the last 15 or so years was insane. Then in the last 3 years, we doubled the action we played in the prior 12. The fall will be fast like the market ran from last November to March. I expect once we break through the Summer lows, we’ll drop through the Fall and into the Winter. Though, not sure we will bounce back in a V. I think we ride horizontally for 6 months or so after that and start to climb back to a normal 8% a year towards the end of next year.

    Recessions are funny. The market tends to recover a bit ahead of the economy. My concern would be my job more than my investments. Many of us are approaching our 50s or are in their 50s (me) and we are the ones who are going to be shown the door this time around.

    All guesses of course.

  88. Fast Eddie says:

    Phoenix,

    Employer provided insurance. Of course, I pay a monthly contribution amount. It’s a POS/PPO type insurance.

    I also notice any follow-up visits required are now taking months to schedule instead of weeks.

  89. Phoenix says:

    This is great. Trending on TT. My daughter says David is her bias.

    https://www.tiktok.com/t/ZTRa7pbTt/

  90. Fast Eddie says:

    Lib,

    I think more painful and prolonged than not. I find myself seriously pulling back on almost everything that isn’t essential and question whether I need any extras… whether it be leisure or every day stuff. You know when you find those few bars of soap in the back of the closet, the nails and screws scattered in workbench drawers, that frozen something in the bottom of the freezer and a few canned goods approaching expiration dates? All gets closely considered now before making a purchase. Nothing is a bargain any more.

  91. Libturd says:

    I hear you. The worst part of all of this bullshit is that though our net income the last three years would have qualified us for ALL of the stimulus due to D’s outsized medical costs, every government program is based on gross income, not net. Heck, NJ counts hardship withdrawals from retirement accounts as income in these types of qualification equations. So though we did not receive one penny in stimulus, be it PPP, direct payments, etc., and technically lived below the poverty line. We are paying for everyone else who had a spending field day. Did I mention that the Montclair rent freeze cost us 20K.

  92. BRT says:

    I’ll go for a CD at 5%. That would help. Laddered CDs, perhaps?

    I was more talking more of a once in 20 year opportunity to cash out quickly into non-dollar assets. Look at the dollar index chart, there’s likely an opportunity to make 20% at some point if you can cash out at peak.

  93. Libturd says:

    BRT,

    The great opportunity will come from buying back into stocks and sector ETFs when everyone thinks our country is going to collapse economically.

  94. Juice Box says:

    Sad Sad day around here. I closed my pool today…….Good news is the Hot Tub Time Machine is still standing and 104F right now. I will enjoy a dip after dinner and a few drinks…

  95. Juice Box says:

    Grim one of your comrades in brewing and distilling is fighting back against the ABC “special ruling”.

    https://www.nj.com/gloucester-county/2022/09/nj-brewery-sues-state-over-rules-it-says-are-killing-business.html

  96. The Great Pumpkin says:

    Wonder if any truth?

    “Reports suggest that Chinese President #XiJinping has been put under #housearrest after he was removed from the post of #PLA chief.
    #chinacoup”

  97. Jim says:

    The Great Pumpkin says:
    September 24, 2022 at 7:04 pm
    Wonder if any truth?

    There are many rumors, cannot be good for any of us. Fingers crossed.

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