Anybody Buying Yet? Where’s the Bottom?

[noharleyyet]

Last auction was 1.2%. This one is might be below 1%.


I think I said in a previous post on the other thread that by my definition, nothing yet has been a bailout, but I don't think there is an official definition. Didn't save shareholders, didn't save debt holders, only saved deposits. If you want to use the word "bailout" when talking about depositors, that is your call. I just think the word has a negative connotation to it with the general public. So far I see nothing that bothers me. Just action to try to keep the system functioning- which is necessary. But doesn't mean I can't change my mind next week.

25 points coming next week.

 

[Red-Team 98]

I Bonds over 6% still not bad.
I parked cash in Money Market Reserves at 4.45% waiting for a 1 or 2 years CD to break 6%.
But my investments all in Energy ETF XLE !

 

[Red-Team 98]

Last auction was 1.2%. This one is might be below 1%.


I think I said in a previous post on the other thread that by my definition, nothing yet has been a bailout, but I don't think there is an official definition. Didn't save shareholders, didn't save debt holders, only saved deposits. If you want to use the word "bailout" when talking about depositors, that is your call. I just think the word has a negative connotation to it with the general public. So far I see nothing that bothers me. Just action to try to keep the system functioning- which is necessary. But doesn't mean I can't change my mind next week.

The Fed Gov sent how much from the FDIC to cover the banks…….and now other banks are contributing….that’s a bailout. They don’t won’t call it a bail out because that looks negative on administration just like the word Recession.

 

[BigHornRam]

Buffett bailout....

Warren Buffett could be asked to save the banks once more

Buffett reportedly spoke to Biden's team about investing in regional banks and gave general advice on how to come out of the current crisis.

www.newsweek.com

 

[noharleyyet]

Buffett bailout....

Warren Buffett could be asked to save the banks once more

Buffett reportedly spoke to Biden's team about investing in regional banks and gave general advice on how to come out of the current crisis.

www.newsweek.com

The 2008 investment was made in preferred stock, so Goldman Sachs had the ability to redeem the shares, which it did in 2011. In the three years Berkshire Hathaway held the stock, it earned $3.7 billion, of which $1.27 billion was dividends.

Warren Buffett Invested $5B in Goldman During the 2008 Crisis. What’s It Worth Now?

Buffett takes the long view. Will you invest in Goldman, too?

www.yahoo.com

 

[wllm]

Why use the Wells Fargo's, etc? Seems they're in hot water and pissed

Business accounts I’ve had a good experience with… mostly

Personal accounts what a nightmare.

 

[Red-Team 98]

Buffet bought Apple and More Energy and Goldman.
Jamie Dimon of JP Morgan would be the only big bank I would consider. He should be the in charge of the Fed Reserve. But no banks stocks for me. XLE and Apple !
Added More XLE and more next week with a hefty dividend being reinvested into XLE.

 

[Red-Team 98]

Breaking News
Now withdraws are happening at the larger banks
A run on the banks for safety !
Going to Money Market account and staying invested in Energy XLE .

 

[brymoore]

25 points coming next week.

Think so?

A rate increase makes every unrecognized bond loss larger for banks further exasperating the issue.

 

[SAJ-99]

Think so?

A rate increase makes every unrecognized bond loss larger for banks further exasperating the issue.

The bond losses are not the real problem, because they are HTM. And We are down 50bps on the 10yr since the last Fee increase. The problem is that it increase the attractiveness of money markets and 3-6mo tbills causing further withdrawals of deposits. It’s a viscous cycle.

 

[HONEYBADGER]

The bond losses are not the real problem, because they are HTM. And We are down 50bps on the 10yr since the last Fee increase. The problem is that it increase the attractiveness of money markets and 3-6mo tbills causing further withdrawals of deposits. It’s a viscous cycle.

And the fact that almost every other aspect of the economy is in the toilet so there is nowhere else to make money through investments besides tbills etc.

 

[rogerthat]

And the fact that almost every other aspect of the economy is in the toilet so there is nowhere else to make money through investments besides tbills etc.

The economy is roaring. Look at the job market. The reason there is nowhere else to make money is because the artificially low interest rate environment finally came to an end and the “juice” has been squeezed out. People already enjoyed outsized returns on their assets for a good period of time. Time to grow more fruit. It only makes sense for asset returns to come back to earth for awhile

 

[Red-Team 98]

Yes he should give us a hint of rate hike
Everyone expects 1/4 point hike !
Expect a good rally this week !

 

[Red-Team 98]

The economy is roaring. Look at the job market. The reason there is nowhere else to make money is because the artificially low interest rate environment finally came to an end and the “juice” has been squeezed out. People already enjoyed outsized returns on their assets for a good period of time. Time to grow more fruit. It only makes sense for asset returns to come back to earth for awhile

Yes low interest rates borrowing money for very low rates and paying half a percent on checking accounts. I expect it to normalize between 3 and 4% never 2% again. Which is good. But it’s going to take a year to get their. We moved our cash account into Money Market account paying 4.5%.

 

[Red-Team 98]

For the last 2 years made over 100% in VDE.
Expect a great 2nd half of year for VDE.
Strong Buy Now

 

[BigHornRam]

Think so?

A rate increase makes every unrecognized bond loss larger for banks further exasperating the issue.

That's good for vultures like blackrock to swoop in and pick up banks for pennies on the dollar!

Who will bid for SVB?

The FDIC is struggling to find a buyer for Silicon Valley Bridge Bank, which was once one of the most powerful lenders for venture startups. Private equity, which has about $1.92 trillion in dry powder, is circling.

fortune.com

 

[SAJ-99]

That's good for vultures like blackrock to swoop in and pick up banks for pennies on the dollar!

Who will bid for SVB?

The FDIC is struggling to find a buyer for Silicon Valley Bridge Bank, which was once one of the most powerful lenders for venture startups. Private equity, which has about $1.92 trillion in dry powder, is circling.

fortune.com

Even vultures have a role in this world. I would highly skeptical of Blackrock wanting a bank though. And this is the process. FDIC sets up a bridge ban and sells it off. It speeds up process.

 

[Red-Team 98]

How many are investing in VDE and XLE in Energy ?
Strong Buy just before the China Reopening!

 

[SAJ-99]

How many are investing in VDE and XLE in Energy ?
Strong Buy just before the China Reopening!

Long XLE but your enthusiasm makes me question my decision. China already reopened and oil is down 13% and sector is down 7% YTD.

 

[BigHornRam]

Here's a good tune for all you oil patch investors to get you pumped.

DFLI is coming back to life!