Food Prices Rise To Dangerous Levels As “A Second Wave" Hits The U.S. Economy

Food Prices Rise To Dangerous Levels As “A Second Wave” Hits The U.S. Economy

August 6, 2020 Jordan 0

You may have noticed that food prices have started to go up very aggressively. I repeatedly warned my readers that this is precisely what would happen, and more price increases are on the way. Fear of COVID-19 has sparked a tremendous amount of extra demand as Americans have feverishly stocked up their pantries, and at the same time the virus has made it very difficult for the major food companies to keep up.

3 Reasons Treasury Rates Can Still Hit 0%: Part I, Inflation Vs Deflation - rightwingeconomics

3 Reasons Treasury Rates Can Still Hit 0%: Part I, Inflation Vs Deflation

August 5, 2020 Jordan 0

The inflation vs. deflation debate remains one of the more hotly contested ideas in the marketplace today. The inflation hawks argue precious metals are a one-way street higher while cash is trash, and bonds are worthless. The deflationary crowd continues to play with the multi-decade trend arguing that interest rates are not done falling, and more gains are left with nominal Treasury bonds.

Bankrupt Companies "Unfile" To Receive Government Bailouts - rightwingeconomics

Bankrupt Companies “Unfile” To Receive Government Bailouts

August 5, 2020 Jordan 0

By now everyone knows that one fifth of LL corporations are “zombies” – companies that should be out of business as they are technically insolvent and don’t even generate enough cash flow to meet their debt obligations, but continue to exist thanks to either record low rates which allow them to issue even more debt and use the proceeds to pay for existing interest expense (and roll over debt maturities), or government handouts which perpetuate their pathetic, deflationary existence.

"Trade Deal" Farce Summarized In These Charts - rightwingeconomics

“Trade Deal” Farce Summarized In These Charts

August 5, 2020 Jordan 0

The Trump administration boasted positive trade headlines around the clock to pump the stock market in 2019 and even in early 2020. The headlines, dubbed “trade optimism,” unleashed multiple expansion in stocks as President Trump told farmers to buy ‘more land,’ ‘bigger tractors’ to handle China’s farm purchases.

It's Now Virtually Impossible To Get A Bank Loan As Lending Standards Soar - rightwingeconomics

It’s Now Virtually Impossible To Get A Bank Loan As Lending Standards Soar

August 4, 2020 Jordan 0

One quarter ago we pointed out something concerning: shortly after JPMorgan reported that its loan loss provision surged five fold to over $8.2 billion for the first quarter, the biggest quarterly increase since the financial crisis, in preparation for the biggest wave of commercial loan defaults since the financial crisis (a number which in the latest quarter surged to $10.5 billion along with all other banks’ loan loss provisions)…