Danielle DiMartino Booth, CEO and chief strategist of Quill Intelligence, joins Jack Farley to ring the alarm bell about the housing and auto markets, which by her reading of the data are quickly deteriorating. Booth notes that while the credit quality of mortgages remain high, the mortgage origination market itself falling sharply and, because of a “biblical” quantity of single-family houses about to hit the market, Booth expects housing prices to continue to fall. Booth argues that the car loan market is in even worse condition, as car note defaults mount, the car values plummet and the jubilee-like monetary conditions of 2020 and 2021 wither away. Booth’s description of the car loan market reminds Farley of his reading of the subprime housing meltdown in 2007. Booth and Farley also discuss Bernanke’s Nobel Prize and the means and timing of a Powell pivot.
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Timestamps:
00:00 Intro
00:21 The Housing Recession
09:39 The Brewing Auto Loan Wreck
19:06 Is The Auto Loan Crisis Systemic?
23:14 Sponsor ad Bitrex
24:42 The “Winter” In Investment Banking
26:38 The Fed Is Not Coming To The Rescue
31:31 The Recession Started In January 2022″
43:26 Will The Fed Bail Out The Treasury Market?
48:37 The Bernanke Doctrine Is Failing
51:10 Ben Bernanke’s Nobel Prize: “The Prize Was Premature”
53:57 Is Jay Powell Making The Right Move?
58:38 Closing Thoughts On The Midterms In The U.S.
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Daniel is a great informant. she has been helpful thus far.
Ditto…the best!
She said, "There is still a ton of stimulus money flowing through the economy….."
She's right, and it kills me that people don't understand that the stupid fiscal stimulus we are getting is working in opposition to the Fed's efforts to knock down inflation.
I will forever be indebted to you Mrs Maria Valequez, you have changed my entire life. I will continue to preach on your name for the world to hear that you saved me from huge financial debt with just a small investment. Thank you very much,
What a gem as always
The rich stays rich by spending like the poor and investing without stopping then the poor stays poor by spending like the rich yet not investiing like the rich
Amazing video and thank you for breaking it down!! Despite the economic downturn, I'm so happy 😊I have been earning $ 60,000 returns from my $9,000 investment every 21days.
Fantastic. She's awesome.
Jack keeps getting better and better… heard a few deep sighs from Jack, eye opening episode
70% of USA home owners have FIXED 30 Year Mortgage <3.5%…
I see you pissed off and left that Criminal Raoul Pal
It's WW3 in case you haven't noticed..The FED will do whatever it takes to keep the USD as the Global Reserve Currency. Money is making a move from Financial's into Commodities….This will continue to drive CPI higher and the FED will continue to chase it, and destroy the World around it in the process….THEN and only then the US will fall
I love listening to DDMB
She's awesome, thanks for having her on
Podbean is spelled like this, not as in Pod"been" as he stated.
Money printing leading to islamisation of western economies. Same ethos- run on resources, don't pay loans , expect state doles every on every occasion, tech and state enabled mass surveillance and slavery of people , rising wokism and an absolute fear of the elites. Is this arab or America?
Ty for you content
What's with people persistent high inflation is a bigger evil than the financial system imploding.
We may have a depression for a couple of years, a few governments falling, a few wars but then eventually a new system will be born out of the chaos and we will live in ever greater prosperity for a generation.
Also wondering if time has come to de emphasise data analytics for economic insights currently since the last 3 years have been a series of extraordinary exogenous shocks which no statistical model has the capability of imputing into it. Capable economists need of the hour not the LSE phd types whose sole premise is lobbying for cross holdings from arab elites
Most probably the current generation of American policymakers will be viewed with disdain 10 years down the line by the American public , who single handedly catalyzed the downfall of America into a pirate state whom everyone loves to hate. Perhaps its never been Ayn Rand's USA but a bunch of global robber barons undermining human rights , human dignity and propped up on a poinsonous concoction of loot, hate , treachery, cheating , gluttony and incompetence by virulent misuse of power. Never thought would see such condition of the "free world"
Excellent video. Fantastic conversation with a brilliant guest. Love all her insights!
Powell and Biden have killed all
financial market
“The delta is the midterms”, “the candy store is closed”, the middle is getting screwed”…. And other platitudes signifying nothing. It would have been nice if Danielle had got her narrative straight before she talked and failing that, if Jack had held her to account…where is she going with all this rant and graphs? Eg the Fed couldn’t see the inflation that was coming because they missed the Fed Govt stim checks in banking system but then she tells you that Money growth was through the roof because of the reserve balances created by the Fed. Ok so then they DID see metrics of large money growth? Or, we have been in Recess since Jan so the Fed shouldn’t raise BUT, there is so much money in the system and so we can’t see recession…. So which is it Danielle? “ the next market to crack will be the Euro but is no European sovereign debt issue” really? What about Bunds? Or BTPs? Sorry, “ stigma attached to the Fed Repo facility? There hasn’t been any uptake?” You mean only 2 trillion + dollars? Do you just appear on talk shows Danielle? Is there any thought behind that facade?
Will be interesting in the event of a world war purely from an economic perspective. The west has already exhausted it's economic arsenal through incessant money printing for the last 50 years. What was supposed to be a emergency measure has been going on continuously for the last 50 years. Military power has been reduced to a dud , unless American elites are prepared to destroy the whole world now. That's the extent to which the current utility of consumption has been maximised by the fed policymakers. Stupid , insane , vile policies detrimental for everyone.
Its my understanding that Powell HAS to raise rates because of the current inflation situation. The facts about how the fed caused all this trouble have become just talking points for shows like this one. No one is being fired, jailed, and replaced, so the same act just keeps stumbling on and on. And Powell is NOT aggressively raising rates. His actions have been baby steps compared to what he should have been doing to stop this inflation being as large as it is.
This is what the news was supposed to be. Only PBS compares.
I’ll definitely check out PodBean; great interview as always Jack 🔥
If the goal of Powell is to eliminate the “Fed Put” then the Road to Hell is paved with good intentions when the global financial system has a painful reset. The earliest known text resembling this phrase occurs in Virgil's Aeneid: "facilis descensus Averno (the descent to hell is easy)". Thanks to DDB for sharing her insider experience in writing and on YT.
Its< natural to see so many investors panic amid a worsening bearish market but it is also important to note that the market situation is nothing new in the crypto world.Several factors are driving negative sentiment in the stock and crypto markets right now including inflation, a shaky stock market, rising interest rates, and recession fears. As a result, bitcoin has dropped significantly from its all-time high, breaking below several key technical levels. As a crypto investor, the current situation might seem bleak. However, there are several tried and tested, expert-suggested investment strategies that can help you weather the current crypto storm. In 2 weeks of shorting and trading with signals directly from Aaron Addison, I have been able to accumulate 7 btc despite the state of the market.
no need to rescue anything. that market is up and down all the time.
Great interview and guest…thanks!
It kind of weird to see so many complaints about the housing market when we know it's affordability is way off. If the market sees a correction thats fine. It needs it. An average selling price of 400k didn't make sense. I mean junk houses were 100k. I even see some home that need plenty of TLC selling for 200k with less than 1500 square feet.
This chick rocks. Totally gets it. Real.
Market is at bottom and about to rebound, Blockworks pushed out another super bearish show. LOL
We already saw the meltdown in uk db
Great discussion. Bernanke hasn’t done any significant academic work since leaving the Fed. He got the prize since he bailed out the Global banks
Doom doom doom doom doom doom doom.
Bernanke’s Nobel prize was a clear middle finger to the world. They gave the finger few years ago by awarding Obama with peace prize. IMO it just goes to show how little value they give to sentiment of us – nobodies.
Great information! Thanks for sharing the knowledge!
Wall Street must NEVER be bailed out again…Otherwise, what's their motivation to not exploit consumers and the market place every time the winds are blowing in their favor?
Interesting interview. We shall see how this experiment ends.
DMVs aren't going to let you abandon a car by the side of the road. You'd have to donate it.