Samsung guidance shocks: fourth-quarter profit 18 percent less than market expected

a reply to: BeefNoMeat

Only short term T-Bills have a higher interest rate, meaning that the market for the purchasing of short term T-Bills is saturated, and further incentive is needed for their purchase.

Long Term T-Bills have a low interest rate, meaning that there is a high demand for them, and no further incentive is needed.

It follows that long term, there is no real need for alarm as to the state of the bond market, however there is some short term worry.

wolfstreet.com...
and
ticdata.treasury.gov...


From this data it can be assumed that US entities and citizens purchased about $1.66 Trillion in bond in the last year alone, becoming the largest holder at about 33%.

An inverted yield curve is bad news

a reply to: toysforadults



Apple, and Samsung, have released new phones every year for a decade. 5 years ago, new phones were getting better and better. There were new exciting features every year, to justify the upgrade. I have the Galaxy 8, and will not upgrade anytime soon. There are no longer new features on the new phones, that my Galaxy 8, can not do. So why upgrade? The market is saturated.

Anyone, who has Galaxy 7, or iPhone 7, or newer, have 0 reason, to spend $1000 for a phone, that is far less than a massive upgrade, like there was years ago. Maybe in 3 years, I will upgrade.

samsung started making junk but keep charging the same if they dont stop making junk there sales will go down alot more

a reply to: iplay1up2

I think it has a lot more to do with the Chinese markets than the American markets

I think they calculate what you are saying into their American projections or western anyway

a reply to: toysforadults
it is bad news for day traders and stock markets, yes. The rest of the economy? not really.

originally posted by: toysforadults
An inverted yield curve is bad news

Quoted for truth.

@dubiousatworst: appreciate the info graphic. The rest of your reply w.r.t. incentives and bond market ‘saturation’, well, you keep doing you. Maybe you can sprinkle in a, “it stands to reason” into your dubious, at best, investment vernacular — “it follows” is saturated.

a reply to: BeefNoMeat
See that is exactly what I am talking about. You are misunderstanding the entirety of what I was posting about. I'm NOT giving or even talking about investing, im looking at the economic picture as a whole. People latch onto how stock markets are doing or an index fund is doing and assume it is actually a good marker for the way the entire market is doing. Which is exactly what my first post was about. This is NOT about your 401k or managing "investments" (which they are not actually, but that is semantics), but about economic health.

a reply to: dubiousatworst

the health of the economy isn't that great that's the entire point

the massive amounts of debt from government and consumer's is the main indicator you are ignoring

it's all bad and someone has to pay it all back

a reply to: toysforadults
Industrial production is up, year over year in almost every category.
www.federalreserve.gov...
unemployment is down and better than prior to the default swaps disaster
www.bls.gov...#
wages and consumer spending are up
www.bea.gov...
home construction is down (this is a negative) but only for larger permits
www.census.gov...
shipments and orders are up in every category in manufacturing, except for computers
www.census.gov...
retail and sales are up
www.census.gov...
imports are slowing, while exports are hastening. While growth is continuing, albeit at a slightly slower pace.
www.instituteforsupplymanagement.org...

So that looks to me like it is pretty good outside of computers doing poorly.

a reply to: dubiousatworst

now, put in a little extra effort and correlate the data to the rise in corporate and consumer debt. also, show the ratio of inflation to wage growth over a period of time

a reply to: toysforadults
This is a good (albeit long) article on the debt, and debt serviceability. If a global shock were to come due to corporate debt, it will come from China, not the US.
www.pimco.com...

The ratio of inflation to wage growth has been horrible since the late 60s/ early 70s due to a couple issues including an overabundance of cheap labor. Wage growth has been around 2-3% as of the last 2 quarters which slightly outstrips inflation rates (1.9%) by ~1%, where as in the past, right before the Great Recession we were seeing 4-5% wage growth and interest rates that matched.
www.thebalance.com...
www.frbatlanta.org...