The Trump Administration has launched an investigation into auto imports on national security grounds. But trade in uranium may be closest to what reasonable people might think as a national security issue.
Tesla is a completely speculative, junk-rated venture. Investors in the company are betting on Elon Musk's celebrity as a forward-thinker, hoping he can ramp up production and achieve significant economies of scale
For now, think of Italy as a short-term risk-off trigger that has limited longer-term impact. To me, this presents a buying opportunity.
We should expect the Fed's tightening to continue. But a lot of the recent incoming data has been soft. And while this may just be a blip, I expect the curve to flatten further by mid-year.
In the aftermath of the shale oil bust that sent the US economy to stall speed in 2015, growth has rebounded, but only to a sort of 2%ish level. Continued low inflation insures further low nominal GDP growth aka secular stagnation. But so…
Below are some data points from recent credit statistics and analyses, showing trends in the auto credit sector.
From an economic perspective, the coming slowdown in production will dent GDP growth.
US auto sales have been down persistently on a year-over-year basis during the past several months. March was no different, according to figures released today.
Increased delinquencies in the auto sector will spell trouble given the high LTVs of loans and lower credit scores of borrowers. And I am troubled by the OCC’s depiction of the commercial real estate sector; we could see heavy loan losses…