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Junk Borrowing Binge Benefits Wall Street Above All

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Junk Borrowing Binge Benefits Wall Street Above All

Unread postby AdamB » Mon 16 Oct 2017, 20:05:17

Junk-rated companies are selling loads of debt again. They're issuing dollar-denominated bonds at the fastest pace this month since October 2012. October Surge This month's U.S. junk-bond sales are poised to be the fastest for an October since 2012 Source: Bloomberg Note: Blue bar is monthly volume 2012-2016, MTD 2017. Yellow bar is conservative projection. This builds on the frenzy in the U.S. leveraged-loan market this year, which is on pace to be the most active ever. The most obvious interpretation of this borrowing binge is that it fits into the popular narrative of incredibly frothy markets. In that scenario, speculative-grade companies are throwing caution to the wind and packing on leverage at the expense of lenders. Supporting that argument is the reliance of more companies on debt markets to finance leveraged buyouts, locking in historically low rates. But that narrative is far too simplistic and misses an important point. Junk-rated companies have ..


Junk borrowing binge benefits Wall Street Above All
Peak oil in 2020: And here is why: https://www.youtube.com/watch?v=2b3ttqYDwF0
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Re: Junk Borrowing Binge Benefits Wall Street Above All

Unread postby Newfie » Wed 18 Oct 2017, 06:05:40

To be frank I have trouble following these articles. There is so much jargon that I've no interest in becoming familiar with.

In my world financial transactions SHOULD be relatively transparent and comprehensible to someone with an above average IQ. If not then they have become overly complicated and are likely a cover for fraud.

Interestingly yesterday, while captured on a transit-Atlantic flight, I watched a movie on Bernie Madoff. It starred DiNero, wonderful actor. It spurred me to read a wiki bit about Madoff who was HIGLEY critical of the SEC. the wiki article noted that there were a number of credible complaints about Madoff, that many investment houses would not deal with him, and the one SEC investigator who did want to follow up was taken off the case.
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Re: Junk Borrowing Binge Benefits Wall Street Above All

Unread postby onlooker » Thu 19 Oct 2017, 17:35:08

This whole frenzy of borrowing in just totally overboard in makes me think of this article I read recently of how all our society especially Economics is just one big Con. Well, nothing epitomizes this more that this the staggering Debts loads now of Countries down to families. And Wall St. Banks continue to squeeze proft out of it. And how long before everyone wakes up to the realities that nothing is healthy anymore in the Economy, it is just a walking zombie addicted to Debt.
http://charleshughsmith.blogspot.com/20 ... onned.html
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Re: Junk Borrowing Binge Benefits Wall Street Above All

Unread postby onlooker » Thu 19 Oct 2017, 18:03:59

pstarr wrote:
onlooker wrote:This whole frenzy of borrowing in just totally overboard in makes me think of this article I read recently of how all our society especially Economics is just one big Con. Well, nothing epitomizes this more that this the staggering Debts loads now of Countries down to families. And Wall St. Banks continue to squeeze proft out of it. And how long before everyone wakes up to the realities that nothing is healthy anymore in the Economy, it is just a walking zombie addicted to Debt.
http://charleshughsmith.blogspot.com/20 ... onned.html

Does he understand declining net energy and peak oil?

Looks to me like he does "Now that the whole Bernie Madoff scam of a system is unraveling, two self-reinforcing dynamics are in play: our leadership, elected and unelected alike, are doubling down on the lies because there is no alternative--TINA. What does a liar gain by confessing the whole prosperity thing is illusory, and darn it, we can only spend what we produce in real-world surplus? Short answer: nothing, because that's not going to win elections or gain the consent of the governed.
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