Bull Market officially over!! Year heading negative.

[Rasulis]

i dont even know how they make money? i was always afraid to use them because they could just go bankrupt at any minute?

I had to look it up. They don't charge commission for executing order. So no income from that. Robinhood makes money by lending out un-invested cash to facilitate margin trade and by investing them in bonds. They also received small fee ($2.51 to $2.52 per order) from market marker when they send in an order. Also, although it is a free service, you can pay for additional perks. So it is like a freemium.

The service itself is pretty save. It is FDIC insured. So your un-invested cash is save up to 250,000. The stocks that you bought is yours. Even if the company goes bankrupt, the shares in your portfolio is safe.

[Zan15]

I had to look it up. They don't charge commission for executing order. So no income from that. Robinhood makes money by lending out un-invested cash to facilitate margin trade and by investing them in bonds. They also received small fee ($2.51 to $2.52 per order) from market marker when they send in an order. Also, although it is a free service, you can pay for additional perks. So it is like a freemium.

The service itself is pretty save. It is FDIC insured. So your un-invested cash is save up to 250,000. The stocks that you bought is yours. Even if the company goes bankrupt, the shares in your portfolio is safe.

never had to deal with FDIC how fast can you get your money?

What happens in the meantime while your trades sit there and your positions rot?

i would imagine moving the money would be hard if they went belly up overnight?

[Rasulis]

never had to deal with FDIC how fast can you get your money?

What happens in the meantime while your trades sit there and your positions rot?

i would imagine moving the money would be hard if they went belly up overnight?

Since I have never been in those situations, I don't have an answer. I have transferred my accounts several times. Last one was back in 2012 when my wife and I transferred all the different accounts that we had through out the years to First Republic. The process was simple. However, the accounts were inaccessible during the transfer which took between 8 - 10 days. Not a big deal for us since we don't do any option or margin trading.

Talking about two tiered economy. Median home price is SF just hit 1.8M. If you bought a 800k - 1M dollar home in the high end areas such as Pacific Height, Presidion Height, Cow Hollow or Marina in 1990, annualized appreciation averaged around 200k a year. Not too shabby at all.

[Zan15]

Talking about two tiered economy. Median home price is SF just hit 1.8M. If you bought a 800k - 1M dollar home in the high end areas such as Pacific Height, Presidion Height, Cow Hollow or Marina in 1990, annualized appreciation averaged around 200k a year. Not too shabby at all.

reminds me of how i still hold it against my ex-significant other that we should have sold out 170k house for 335k when it peaked 3 years after we got it. At least its still @225-230..ish.

- - - Updated - - -

So finally a kink in the damn appears? or a few?

https://www.cnbc.com/2020/07/23/inte...s-q2-2020.html

Intel offers disappointing Q3 earnings guidance as it delays next-generation chips

After close: 54.86 -5.54 (-9.17%)

Tho AMD sure picked up some of its slack 64.50 + 4.93 (+8.28%)


MSFT had a rough call and guidance going forward. Google suffering based on MSFT search results.
Even amazon had a rough week


hopefully some of this money starts pivoting to the general market. it would make for a much healthier and softer landing if the shit really starts hitting the fan in full force again

[Breccia]

Oil earnings due this week. Do not expect a pretty picture.

Reports are we'll see a ton of negative numbers, including jobs lost.

[Rasulis]

Oil earnings due this week. Do not expect a pretty picture.

Reports are we'll see a ton of negative numbers, including jobs lost.

Short list of oil companies filing Chapter 11 in July, Patriot Well Solutions, LLC, Permian Holdco 1 Inc., California Resources, Callon Petroleum (soon), BJ Services, Sable Permian Resources, Carbo Ceramics (produce proppant used for fracking), etc. Those are the biggies only. We don't bother to mention the mom & pop ones. Rosehill, another big Permian Basin drilling company, just joined the list.

[Thee ANCOM]

not sure where to link this considering it ties to a lot of things, but there's a housing crisis coming our way, and its super, duper bad.

a break down by state.

[Masark]

not sure where to link this considering it ties to a lot of things, but there's a housing crisis coming our way, and its super, duper bad.

a break down by state.

Well, it's not like there's an investment market based around those rent cheques. That could make things really bad.

[Rasulis]

not sure where to link this considering it ties to a lot of things, but there's a housing crisis coming our way, and its super, duper bad.

a break down by state.

CA rental moratorium has been extended to September 30. It is still a ticking time bomb. The state hasn't figure out their budget yet. They are waiting to see if the Fed is going to extend the $600 unemployment bonus.

[Zan15]

CA rental moratorium has been extended to September 30. It is still a ticking time bomb. The state hasn't figure out their budget yet. They are waiting to see if the Fed is going to extend the $600 unemployment bonus.

ya but is there a mortgage moratorium on rentor's properties? i mean how do they pay their mortgage when they are not able to collect rent?

can you technically kick someone out if the property is forclosed on with a moratorium in place?

banks aint going to give two shits if you can't collect rent after a while when their default rates start effecting their stock prices....

[Rasulis]

ya but is there a mortgage moratorium on rentor's properties? i mean how do they pay their mortgage when they are not able to collect rent?

can you technically kick someone out if the property is forclosed on with a moratorium in place?

banks aint going to give two shits if you can't collect rent after a while when their default rates start effecting their stock prices....

They better hope that their banks are willing to work with them. Commercial properties are in the same boat. Most CA local jurisdictions have moratorium against kicking businesses unable to pay their lease. There are just no good scenarios for landlords right now.

[jonnysensible]

There are just no good scenarios for landlords right now.

fuck landlords anyway, look forward to seeing those parasites eat it. hopefully it leads to an overhaul in how we look at housing.

[Logwyn]

ya but is there a mortgage moratorium on rentor's properties? i mean how do they pay their mortgage when they are not able to collect rent?

can you technically kick someone out if the property is forclosed on with a moratorium in place?

banks aint going to give two shits if you can't collect rent after a while when their default rates start effecting their stock prices....

I'd give two wooden nickels that the banks will come out of all this with record profits and be sitting awesome. The Fed is going to need to sell some of its lands and support the economy for a good 6 months to a year. I bet that the spread this winter will be bad very very bad and we'll be closing it all down again. This time things won't be pretty economy wise.

[Rasulis]

fuck landlords anyway, look forward to seeing those parasites eat it. hopefully it leads to an overhaul in how we look at housing.

What will happen is the mom & pop landlords will go bankrupt, and the corporate landlords with deep pockets will pick up their properties in a fire sale.

One more bad news.

'Tidal Wave' Of Power Shut-Offs Looms As Nation Grapples With Heat

Wykeisha Howe is trying to be thrifty. When her kids are uncomfortable in the sweltering Atlanta heat, she gives them freeze pops. Instead of cranking up the air conditioner, she uses a fan. Lunch and dinner are cooked at the same time, so the electric stove doesn't have to be turned on twice.

"I try my best to manage and ration out things as best as possible," she says.

Still, Howe, who has five kids living at home, is about a month and a half behind on her electric bill. For the last four months, the bill didn't need to be a priority. When the coronavirus pandemic hit, her electricity provider, Georgia Power, voluntarily suspended disconnections for nonpayment.

Dozens of states and utilities around the U.S. took similar actions, ensuring that even as businesses closed and millions of Americans lost their jobs, people would still be able to keep their lights on regardless of their ability to pay.

Now, many of those power shut-off moratoriums are expiring, including Georgia Power's, which ended on July 15. And this comes as Americans who are still struggling face the end of another lifeline: supplemental unemployment benefits that are set to lapse.

In San Diego we are served by SDG&E. SDG&E already said that won't be any service shut off until April 2021. They realized that they won't be able to recover most, if not all, of the outstanding bills. So they plan to spread it out across all of their customers. The average gas & electric bills in San Diego will see an increase of around $0.50. So not too bad. Not sure how that will affect solar customers that own their own system like me. I basically pay a flat fee of $180 per year.

[Antiganon]

ya but is there a mortgage moratorium on rentor's properties? i mean how do they pay their mortgage when they are not able to collect rent?

can you technically kick someone out if the property is forclosed on with a moratorium in place?

banks aint going to give two shits if you can't collect rent after a while when their default rates start effecting their stock prices....

Buddy of mine was going thru this recently (he just bought a house so he's out from under it now).

Landlord moved to Florida. Stopped paying his mortgage. He was underwater and intended to let the bank foreclose.

First, the bank needs to serve him, then complete foreclosure. That takes a while, minimum 90 days IIRC. Once they foreclose, they need to start eviction proceedings with the tenants. That takes minimum 90 days. This is all different depending on the state you live in.

[Felya]

fuck landlords anyway, look forward to seeing those parasites eat it. hopefully it leads to an overhaul in how we look at housing.

Ha! The president of the US was my land lord about 30 years ago...

[Zan15]

I'd give two wooden nickels that the banks will come out of all this with record profits and be sitting awesome. The Fed is going to need to sell some of its lands and support the economy for a good 6 months to a year. I bet that the spread this winter will be bad very very bad and we'll be closing it all down again. This time things won't be pretty economy wise.

only way at this point is if the wave of defaults, bankruptcies and cost come in waaaaaaaaaaaay under forecasted. it also would be after they had lost tens of billions in bad debt. They are already putting 4-6-10 billion away a quarter for loss expectations.

if it ends up as bad as they are preparing for it will take them a decade to make the money back.

[Rasulis]

Chapter 11 filing by states from June 2019 through June 2020. Light blue is for businesses and black is for non-businesses. Graph is too large so I did not include the bottom part. For scaling purposes, 1,637 TX businesses filed for Chapter 11 during that period.

Interestingly enough, we are not seeing an increase in personal filing of Chapters, 11, 7 and 13. The numbers actually went down. Likely because of Federal Aids and all the courts are closed.

Bankruptcy Statistics During COVID-19 Pandemic

The vicious cycle already has been seen in corporate bankruptcies. According to a U.S. Chamber of Commerce poll, about 43% of small businesses likely will close permanently within the final six months of 2020. When July began, nearly 100 companies with more than $100 million in debt had filed for Chapter 11 bankruptcy protection, according to the American Bankruptcy Institute. That puts this year on pace to become the second-highest total behind 2009, the throes of the last financial crisis. Financial threats have encircled department stores, hotels, cruise lines, rental-car companies, airlines, restaurants and movie theaters.

According to the American Bankruptcy Institute, Chapter 11 bankruptcy filings in the commercial sector were up 48% in May from the previous year. More significantly, those bankruptcies were up 30% just between April and May.

The International Monetary Fund projects that the world economy will contract by about 4.9% this year. U.S. Federal Reserve chairman Jerome Powell said the American economy is looking at a 6.5% contraction this year. Powell termed the extent of the downturn and the pace of recovery as “extraordinarily uncertain.’’

Meanwhile, personal bankruptcies were down by about 25% in the second quarter of 2020 — perhaps a reflection of the boost from government programs, stay-at-home orders or the temporary closing of bankruptcy courts — but they are expected to keep rising through the remainder of the year. It could coincide with the growing reduction of government aid.

[Zan15]

whelp who would have suspected... Kodak

https://www.marketwatch.com/investing/stock/kodk/charts

if you look at daily volume.... 4-10k for months

day before announce...10-25-100k orders....

day of announce millions in volume, 200%-250% gains.


Gee i wonder if this corrupt admin will investigate?

rich staying rich

[Rasulis]

whelp who would have suspected... Kodak

https://www.marketwatch.com/investing/stock/kodk/charts

if you look at daily volume.... 4-10k for months

day before announce...10-25-100k orders....

day of announce millions in volume, 200%-250% gains.


Gee i wonder if this corrupt admin will investigate?

rich staying rich

Not surprised. In fact I will be surprised if this administration does not get involved in insider trading.