Quitaly — pronounced Quit a lee — has a Post-Brexit Europe on edge. The how and the why are steeped in the all to common fare which Italian politics have become; however, it is summarized by the Italian president Sergio Mattarella appointing a hard liner as finance minister which may have overstepped his democratic powers. The current party coalition of Five Star and anti-immigration Lega party have threatened a de facto referendum on leaving the European Union vote. And once again demonstrating precisely how inter-connected our Markets are globally, the Dow went off the rails. Coming just hours after the $2.2 trillion Italian bond market took another devastating blow — the weakest session in five years and continued a month that’s seen these yields rise 70 basis points in total — statements by the Coalition have sparked widespread panic.
Taken singularly, Italy is simply looking like a repeat of the 2012 crisis which plagued the European Union (EU), on the heels of the US 2008 Housing Crisis. Traders clearly think the turmoil in emerging markets and the euro zone will hurt global economic growth and demand for raw materials. The declines were spread out across all commodities, from oil to copper to corn. As usual, oil received most of the attention as crude extended a weeklong rout amid signals from Saudi Arabia and Russia that they will restore some of the production they’ve curbed to drain a global glut.
And while this mornings Bloomberg paints a rosy picture, with all that is going on with respect to Canadian and Chinese trade wars already on our doorstep, the reality is that the Markets are merely reflections of things which have already begun to happen. Many will remember the Foreclosurepedia article on 20% Canadian Lumber tariffs which Trump applied nearly a year ago.
Normally, I do not dabble in currencies a lot as they both vex me as well as rarely tell the true tale. South Africa’s rand — the equivalent of our dollar — is another story. When most people mention South Africa, the first thing which comes to mind is Nelson Mandela and the ousting of the Botha government and removal of Apartheid. What many do not think of is Day Zero in Cape Town. Cape Town was one of the largest metropolitan cities in South Africa — the second largest to be precise. It is on the ocean. And Day Zero meant the last day that any water would be available for humans. And while it has been postponed for a bit, the reality is that Cape Town has collapsed, for all intents and purposes. The why or the how or the fact that political infighting has made South Africa a war zone unsafe for all. On the other side of southern Africa, the authorities in Maputo recently turned off the taps in areas of Mozambique’s capital every other day to conserve water after the city’s biggest reservoir fell perilously low. The same is happening in Iran as well as Jakarta. And to that point, even the Huffington Puffington Post had to admit that for all the progressives and musical fanfare, South Africa has become a third world backwater,
“In 2015, a majority of South Africans report a lack of improvement on a range of socioeconomic indicators, including personal safety, economic circumstances, employment opportunities, race relations, and inequality between rich and poor. On average, less than four in 10 citizens (37 percent) believe that these conditions are “better” or “much better” than in 1994, while six in 10 (62 percent) say they have either stayed the same or deteriorated.”
It is these idiosyncratic blips on the periphery of a fine tuned radar cum bullshit meter that has allowed Foreclosurepedia to predict some of the nastiest activities within the Mortgage Field Services Industry. And while previously we were focused upon the graft, greed, and corruption exhibited by the National Association of Mortgage Field Services (NAMFS), the reality is that even NAMFS is powerless to keep the future at bay. In light of the forced Involuntary Bankruptcy of National Field Network, owned by Jack Jaffa of Jaffa and Associates — related to Safeguard Properties CEO Alan Jaffa — the NAMFS brand has forced a stampede out of the Industry and for those remaining a movement into the safe haven created by the International Association of Field Service Technicians (IAFST).
The Boise -Nampa, Idaho, Ada County, area saw the median price of a home crest $300K in March, 2018, for the first time ever — that is up a whopping 21% YOY. Treasure Valley is finally earning its name, to say the least. Rising costs of new construction helped along with — and here is the fortune cookie which ought to terrify you — the simple and salient fact that there is only enough inventory to sell for about a month. The average length of time for a home on the market was 20 days.
There are valuation bubbles in virtually all 147 metropolitan regions. And the problem is that even with the Federal Reserve Board (Fed) dumping $40 billion, per month, of its toxic asset purchase sheet of well over $1 trillion, we are ultimately heading for the next great Recession. And while the Great Manipulator in Chief is attempting to micro manage everything except what is important for Main Street, the Fed gave a stern warning yesterday to keep is meddling to a minimum with them,
The White House and congressional Republicans are eager to see economic growth and wages accelerate following the tax cut bill Trump signed into law last year, and the president has said publicly that he would like interest rates to stay low. If the Fed raises rates too quickly, it could slow the expansion.
“In this environment, central banks cannot take our measure of independence for granted,” said [Newly elected Federal Reserve Chairman Jerome] Powell. “For monetary policy, the case for central bank independence rests on the demonstrated benefits of insulating monetary policy decisions from shorter-term political considerations.”
Gas prices continued to distance themselves from the $3 per gallon mark in the past week, as AAA Michigan reports gas prices in the state jumped about 10 cents. And it is looking like $4 per gallon, soon, in California. So, as fuel begins to skyrocket which conversely means that those $3 inspections Eric Miller, NAMFS Executive Director, continues to watch his Members roll out are hitting the Delete Trash Bin for most Field Service Technicians, the Crapo Bill, formally signed as the Economic Growth, Regulatory Relief, and Consumer Protection Act, is soon to create a landslide of foreclosures. It is the irony of all ironies. In the same way as if Cape Town suddenly began to get a monsoon — which would lead to catastrophic destruction due to the parched earth there — so to will the next Crisis completely devastate the Miller Regime’s last vestiges of artificial control over the Industry.
Miller’s One Hundred and Twenty Two Thousand Dollar a year salary, consuming over Eighty Five Percent of all NAMFS Member dues, now is becoming a liability for the nearly financially insolvent trade association, NAMFS.
- NAMFS posted a NEGATIVE $47,283 as revenue for Fiscal Year 2015
- NAMFS earned $493,036 and spent $540,319 — That is $47,283 more than they earned
- NAMFS provided $84,000 in compensation to “…disqualified persons as defined under section 4958(f)(1) and persons described in section 4958(c)(3)(B) by the Internal Revenue Service (IRS).”
- NAMFS Membership Revenue declined by $41,340
- NAMFS Program Service Revenue, their lifeblood, dropped by $71,365
- NAMFS Total Assets dropped another $56,661— NAMFS Cash On Hand is now $27,403
The backstory on NAMFS is one of sadness; the story is akin to the dying carnival workers whom are hocking everything, including the tent itself, in hopes that no one will realize that the painted clown is not sad due to the makeup, but due to their insignificance in the modern world today.