Where are the stock markets headed over the next 6 months?

[Coytee]

30 minutes ago, oldtimer said:

Disregarding that, if someone has a perfect credit score, which means they have a lot of credit yet pay it off every month avoiding interest

 

I've never paid much attention to how it's calculated.  I seem to recall having read something many years ago where they were more concerned that you KEPT a balance (and therefore kept paying interest).  So in other words, a higher credit score is a quick way for them to review what people are going to help increase THEIR profits because of someone paying interest costs.  If you pay it off every month, you're paying them nothing (and therefore I further read...) it might actually LOWER your credit score.

 

Again, I don't know any of this to be factual, but it made some sense (if you think they are out for themselves)

[oldtimer]

6 minutes ago, Coytee said:

 

I've never paid much attention to how it's calculated.  I seem to recall having read something many years ago where they were more concerned that you KEPT a balance (and therefore kept paying interest).  So in other words, a higher credit score is a quick way for them to review what people are going to help increase THEIR profits because of someone paying interest costs.  If you pay it off every month, you're paying them nothing (and therefore I further read...) it might actually LOWER your credit score.

 

Again, I don't know any of this to be factual, but it made some sense (if you think they are out for themselves)

Negative

Personal experience not needing to expound upon in public.

[billybob]

I had money...I had none

[oldtimer]

I saw a werewolf drinking a pina colada at trader vics

And his hair was perfect

[oldtimer]

24 minutes ago, Coytee said:

 

I've never paid much attention to how it's calculated.  I seem to recall having read something many years ago where they were more concerned that you KEPT a balance (and therefore kept paying interest).  So in other words, a higher credit score is a quick way for them to review what people are going to help increase THEIR profits because of someone paying interest costs.  If you pay it off every month, you're paying them nothing (and therefore I further read...) it might actually LOWER your credit score.

 

Again, I don't know any of this to be factual, but it made some sense (if you think they are out for themselves)

Of course it is not factual.  But by all means encourage others to pay more through interest than whatever it is should cost.

It makes everyone in the business feel good.  Personal finance is diametrically opposed to corporate interests.

[oldtimer]

This reminds me of the conversation regarding paying off the mortgage.  My point was to pay it off, because now you had free cash flow to use to increase your savings and net worth.  Once the mortgage was paid, you could buy more property (with debt) and still be 100% protected to have a house to live in, no matter what happened.  The method for doing this was the argument.  Paying the bank extra to me was only helping the bank, they still had a lien on you.  My idea was to save enough to lump it and tell the bank to lump it..  It worked for me.  These were the same bastards who would not refi my loan because they had such a hell of a deal in the first place.  And my credit score today is like the werewolf's hair.  The bank no longer exists.

[Subway]

"Boot is a professor of finance at the University of Amsterdam in the Netherlands. Hoffman and Laeven are economists with the European Central Bank, where Ratnovski has been seconded from his job as an IMF economist. IMF Blog is a forum for the views of the International Monetary Fund (IMF) staff and officials on pressing economic and policy issues of the day. The views expressed are those of the author(s) and do not necessarily represent the views of the IMF and its Executive Board.”

If following link doesn't function, go to IMF Blog & search for article.      

What is Really New in Fintech – IMF Blog

 

Excerpt:

“New types of information

The most transformative information innovation is the increase in use of new types of data coming from the digital footprint of customers’ various online activities—mainly for credit-worthiness analysis.

Credit scoring using so-called hard information (income, employment time, assets and debts) is nothing new. Typically, the more data is available, the more accurate is the assessment. But this method has two problems. First, hard information tends to be “procyclical”: it boosts credit expansion in good times but exacerbates contraction during downturns.

The second and most complex problem is that certain kinds of people, like new entrepreneurs, innovators and many informal workers might not have enough hard data available. Even a well-paid expatriate moving to the United States can be caught in the conundrum of not getting a credit card for lack of credit record, and not having a credit record for lack of credit cards.

Fintech resolves the dilemma by tapping various nonfinancial data: the type of browser and hardware used to access the internet, the history of online searches and purchases. Recent research documents that, once powered by artificial intelligence and machine learning, these alternative data sources are often superior than traditional credit assessment methods, and can advance financial inclusion, by, for example, enabling more credit to informal workers and households and firms in rural areas.”

[Travis In Austin]

2 hours ago, oldtimer said:

I saw a werewolf drinking a pina colada at trader vics

And his hair was perfect

I was there, saw that too.

[billybob]

2 hours ago, oldtimer said:

I saw a werewolf drinking a pina colada at trader vics

And his hair was perfect

He was a heavy handed gent who ran amuck in Klipsch... werewolves of London again...

[billybob]

1 minute ago, billybob said:

He was a heavy handed gent who ran amuck in Klipsch... werewolves of London again...

Draw blood...

[billybob]

1 hour ago, Subway said:

"Boot is a professor of finance at the University of Amsterdam in the Netherlands. Hoffman and Laeven are economists with the European Central Bank, where Ratnovski has been seconded from his job as an IMF economist. IMF Blog is a forum for the views of the International Monetary Fund (IMF) staff and officials on pressing economic and policy issues of the day. The views expressed are those of the author(s) and do not necessarily represent the views of the IMF and its Executive Board.”

If following link doesn't function, go to IMF Blog & search for article.      

What is Really New in Fintech – IMF Blog

 

Excerpt:

“New types of information

The most transformative information innovation is the increase in use of new types of data coming from the digital footprint of customers’ various online activities—mainly for credit-worthiness analysis.

Credit scoring using so-called hard information (income, employment time, assets and debts) is nothing new. Typically, the more data is available, the more accurate is the assessment. But this method has two problems. First, hard information tends to be “procyclical”: it boosts credit expansion in good times but exacerbates contraction during downturns.

The second and most complex problem is that certain kinds of people, like new entrepreneurs, innovators and many informal workers might not have enough hard data available. Even a well-paid expatriate moving to the United States can be caught in the conundrum of not getting a credit card for lack of credit record, and not having a credit record for lack of credit cards.

Fintech resolves the dilemma by tapping various nonfinancial data: the type of browser and hardware used to access the internet, the history of online searches and purchases. Recent research documents that, once powered by artificial intelligence and machine learning, these alternative data sources are often superior than traditional credit assessment methods, and can advance financial inclusion, by, for example, enabling more credit to informal workers and households and firms in rural areas.”

Shorthand: Do they do cash?

[314carpenter]

Remember the housing market crash and subsequent economic fallout out of 2008? Of course you do. Guess what then. This chart shows that the current housing market is even more overheated than the one that preceeded that crash. So what happens now? Here is some food for thought.

 

https://www.newsweek.com/are-we-about-repeat-2008-housing-crisis-opinion-1620249

 

[314carpenter]

The largest economic bubble of all time is the one that NOBODY wants to talk about.

 

 

[Coytee]

11 hours ago, oldtimer said:

This reminds me of the conversation regarding paying off the mortgage.  My point was to pay it off, because now you had free cash flow to use to increase your savings and net worth.  Once the mortgage was paid, you could buy more property (with debt) and still be 100% protected to have a house to live in, no matter what happened.  The method for doing this was the argument.  Paying the bank extra to me was only helping the bank, they still had a lien on you.  My idea was to save enough to lump it and tell the bank to lump it..  It worked for me.  These were the same bastards who would not refi my loan because they had such a hell of a deal in the first place.  And my credit score today is like the werewolf's hair.  The bank no longer exists.

 

 

I read something once (I'm guessing this was back in the 2008/2009 era)  anyway, the commentary said/suggested that those with a lower balance on their mortgage were at higher risk of default than someone with a higher balance.

 

Their point was if you were late and headed to default, but you only owed say $20K on your $300K home, the bank would take it quicker than if you owed say $180K on same home.....because they could flip it faster/easier to recoup their funds.

 

Never thought of that and I thought that was an interesting perspective.  (no clue how much accuracy might be in their commentary)

 

If accurate, it would lead to some validity in the approach you took, in spite of you having slicked back werewolf hair....

 

[Jeff Matthews]

5 hours ago, Coytee said:

 

 

I read something once (I'm guessing this was back in the 2008/2009 era)  anyway, the commentary said/suggested that those with a lower balance on their mortgage were at higher risk of default than someone with a higher balance.

 

Their point was if you were late and headed to default, but you only owed say $20K on your $300K home, the bank would take it quicker than if you owed say $180K on same home.....because they could flip it faster/easier to recoup their funds.

 

Never thought of that and I thought that was an interesting perspective.  (no clue how much accuracy might be in their commentary)

 

If accurate, it would lead to some validity in the approach you took, in spite of you having slicked back werewolf hair....

 

 

If you want to consider being in greater debt as "safer," you can, but it's counter-intuitive.  It's kind of like the famous lyrics, "Freedom is just another word for nothing left to lose."

 

I've always pondered whether the best and richest life could be had by going into as much debt as possible.  Why live your life in a box when you could have enjoyed a palace on someone else's nickel?

[geoff.]

11 hours ago, 314carpenter said:

The largest economic bubble of all time is the one that NOBODY wants to talk about.

 

 

 

 

My kids are taught about this in school. Humbling to be sure.

[314carpenter]

1 hour ago, geoff. said:

 

 

My kids are taught about this in school. Humbling to be sure.

Post directly above yours is a perfect example of the exact kind of thought pattern that lead us to how we all got to this point. We all could have benefited from the kind of education our younger generations are only now beginning to get. Most of us completely missed the boat.

[geoff.]

The seven deadly sins.

[Subway]

" Indeed, the prospects for acquiring and building wealth appeared bleak. GERMAN ARMY ATTACKS POLAND; CITIES BOMBED, PORT BLOCKADED;DANZIG IS ACCEPTED INTO REICH. The unemployment rate in 1939 was at 17.2 percent.  Widespread bank runs had decimated people’s savings and trust in financial institutions.  The most logical strategy at the time was to stuff your money in a mattress. Many people did.  But not everyone…"

 

“Where is the Outlook Most Miserable?” | Economic Prism

[Subway]

the most important tech company you’ve never heard of ????????

 

ASML And Other Large Eurozone Stocks Back In Fashion - BizPlus