Tag Archives: Economic Collapse

Jul 13 2022

U.S. Homebuyer Contract Cancellations Surge to 15 Percent in June, Highest Ever Recorded Sans Pandemic


Posted originally on the conservative tree house on July 12, 2022 | Sundance

A slowdown in the housing market is being identified as the primary cause of a significant increase in cancelled homebuyer contracts in the month of June.  Bloomberg Report Here and Redfin Report Here.  It would appear the inflated housing bubble has popped.

According to the data 60,000 home sales were cancelled while under contract in June, that represents 14.9% of all contracts cancelled by the buyer before the transaction closed.  If you take out the forced cancellations due to the pandemic, a 15% cancellation rate equals the highest monthly cancellation rate ever recorded.

The economy is contracting, economic activity and consumer purchases have stopped, and the contraction is now fast and sudden.

(Redfin) – Nationwide, roughly 60,000 home-purchase agreements fell through in June, equal to 14.9% of homes that went under contract that month. That’s the highest percentage on record with the exception of March and April 2020, when the housing market all but ground to a halt due to the onset of the coronavirus pandemic. It compares with 12.7% a month earlier and 11.2% a year earlier.

This is according to a Redfin analysis of MLS data going back through 2017. Please note that homes that fell out of contract during a given month didn’t necessarily go under contract the same month. For example, a home that fell out of contract in June could have gone under contract in May.

“The slowdown in housing-market competition is giving homebuyers room to negotiate, which is one reason more of them are backing out of deals,” said Redfin Deputy Chief Economist Taylor Marr. “Buyers are increasingly keeping rather than waiving inspection and appraisal contingencies. That gives them the flexibility to call the deal off if issues arise during the homebuying process.”

Marr continued: “Rising mortgage rates are also forcing some buyers to cancel home purchases. If rates were at 5% when you made an offer, but reached 5.8% by the time the deal was set to close, you may no longer be able to afford that home or you may no longer qualify for a loan.” (read more)

Now, keep in mind that contract cancellations can also be attributed to a hot housing market, where purchasing hysteria and bidding wars end up being factors in the contracts.  Some anxious buyers make out-of-town offers without even seeing the house, then use contract exits -contingencies- to cancel the purchase if the home is ultimately not up to their standard.

In my opinion the spike in cancellations is a blend of the two aspects which indicate the apex of home purchasing is behind us.  The bubble popped.

Home values are now declining as more available inventory starts to fill up the real estate market.  Again, everything is local and regional depending on a myriad of issues; however, if we are looking at it from a macro level, the booming housing market is now over.

City and county tax rates will now benefit from the overinflated real estate sales data.  Real estate tax bills (a backward-looking metric) will go up as the curve on home valuation actually starts to drop and drop quickly.

If you did not purchase a home this year, you have not lost money.  If you did purchase a home this year, the dropping market will erase tangible wealth.

Redfin also has the top metro-markets for cancellations:

(Source, with Expanded List)

CBS says the best way to survive the Biden economy is not to buy stuff, and young adults should stay living with mom and dad. WATCH:

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Jul 13 2022

Neil Oliver Analyzes the Global Uprisings that are Rejecting the Build Back Better Agenda


Posted originally on the conservative tree house on July 12, 2022 | Sundance

Appearing on GBNews with Dan Wootton, UK commentator Neil Oliver discusses and connects the Sri Lanka protests, the uprising in the Netherlands, and the aligned protests in Poland, Italy, Germany and much of the European continent.

As Oliver notes the pretorian guards for western politicians, aka the ‘western media’, are doing everything they can to ignore the global scale of the popular uprisings that are directly connected to the globalist agenda of the World Economic Forum and their Build Back Better orders to the western politicians.  The media ignore the issue until it reaches a point like Sri Lanka where it can no longer be ignored.  WATCH:

The Canadian trucker protests were targeted by Canadian Prime Minister Justin Trudeau in an effort to quickly stop the spread of any opposition to the globalist agenda. However, in the Netherlands the Dutch farmers have several distinct advantages in their ability to impact the life of ordinary Dutch people, as they refuse to become victims to the new global feudalism.

Like Sri Lanka, the Netherlands is a case study in raw people power, where the government is represented by a select few people.  The only thing keeping the Dutch from storming the politicians’ palaces and government buildings is a preference for polite society.  If that preference changes, and it might as people get more desperate, well, katy-bar the door.

Sri Lanka (top)

The Netherlands (bottom)

Both uprisings are connected to the exact same dynamic.

Jul 13 2022

Rivian Electric Vehicle Manufacturer Planning Layoffs


Posted originally on the conservative tree house on July 12, 2022 

Two things about this report showing Rivian is planning layoffs for its workforce.

First, the larger ‘layoff‘ issue is going to be more prevalent as the economy contracts and consumer demand declines.  There is almost no expanded investment going into any Main Street business that sells non-essential goods.

The economic contraction, the drop in consumer demand that indicates a recession, is very real and now very easy to spot.

Second, Rivian is backed by the financing of Ford and Amazon and operates in California, Michigan and Illinois (three deep blue states).  Rivian is also the supplier for Amazon electric delivery vehicles having previously announced (in 2019) a deal to purchase 100,000 vehicles from Rivian.  Additionally, Rivian has lost 69% of its market value this year.

LA TIMES – Rivian Automotive Inc. is planning hundreds of layoffs to trim its workforce in areas where the electric-vehicle maker has grown too quickly, according to people familiar with the matter. […] The Irvine company, which has more than 14,000 employees, could target an overall reduction of around 5%, the people said. The layoffs are still in the planning stage, and nothing has been decided.

[…] The manufacturer is poised to join companies across corporate America pruning their operations amid growing worries about an economic downturn. Tesla is cutting 10% of its salaried workforce, while protecting manufacturing jobs, after Chief Executive Elon Musk said he sees a recession as inevitable. (read more)

Jul 12 2022

Sri Lanka’s Economy Completely Collapsed


Armstrong Economics Blog/Tyranny Re-Posted Jul 12, 2022 by Martin Armstrong

Protestors swarmed President Gotabaya Rajapaksa’s palace in Sri Lanka, forcing him to flee and step down. The entire government in Sri Lanka will be restructured. When the people are hungry, no amount of rules and restrictions will prevent them from protesting. Sri Lanka ran out of food and ran out of fuel to cook whatever happened to be available.

The country’s foreign reserves were depleted. The government began to cut the power grids daily for increasingly longer periods. There was not enough fuel to power generators. Inflation soared to 45.3% in May, with food costs rising 58%. The United Nations estimated that 22% of the entire population had become food insecure and 86% of families  “are resorting to at least one coping mechanism, including eating less, eating less nutritious food and even skipping meals altogether.”

“Gota Go Gama” (Gama meaning village) or GGG protests arose throughout the nation. Labor migration rose 286% this year, according to the Sri Lanka Bureau of Foreign Employment. The government owes $51 billion in debt and cannot make any payments on loans. Their currency collapsed 80% and was basically worthless. Tourism halted after the pandemic, adding to the crisis. The people had hit rock bottom and knew exactly who to blame. President Rajapaksa and his brother, former Prime Minister Mahinda Rajapaksa, are extremely corrupt. They allowed the problem to become a crisis; living lavishly as their people starved.

The revolutionary wave has only just begun. I warned that it would first come for emerging countries. However, do not think this incident will be isolated to one nation. Unrest is rising as living standards decline.

Jul 12 2022

Another Dead Politician


Armstrong Economics Blog/Politics Re-Posted Jul 12, 2022 by Martin Armstrong

We warned that 2022 would be the year from political hell. There has been another assassination, but this time in Brazil. Brazil’s leftist opposition Workers’ Party (PT) Marcelo Arruda was enjoying his birthday celebration in the city of Foz de Iguacu, Parana, when he was shot dead.

Jorge Jose da Rocha Guaranho is responsible for the shooting. Reports state that the two men had some sort of disagreement that led to gunfire from both sides. Gurarnho was also shot but lived to tell the tale, although he was originally declared dead by the media. Arruda died on the scene. Yet, there may be more at play. Witnesses say that the murderer showed up uninvited and began shouting insults at the politician while praising far-right President Bolsonaro. He left the party but returned shortly after to kill Arruda.

“Another dear comrade passed away this morning, a victim of intolerance, hatred and political violence,” Gleisi Hoffmann, the PT’s national president, stated.

This comes before Brazil’s presidential election in October, which is likely to bring more violence and civil unrest. President Luiz Inacio Lula da Silva is the current PT candidate and is leading in the polls ahead of Bolsonaro. However, Bolsonaro hinted that he may not accept defeat and plans to remain in power. In response to the shootings, Bolsonaro tweeted: “I ask these types of people, for consistency, to change sides and support the left.” Things are getting ugly.

Jul 12 2022

Low Poll Joe


Armstrong Economics Blog/Politics Re-Posted Jul 12, 2022 by Martin Armstrong

President Joe Biden’s approval rating is at its lowest level – 29%. A majority of Americans, 58%, flat out disapprove of Biden’s work. Unsurprisingly, only 2% of Republicans approve of Joe, with 97% stating disapproval. Only 19% of Independent voters approve, while 68% do not. Democrats are still trying to justify their vote as 64% still support Joe, despite everything he has done to harm the nation.

The only states that saw a slight majority in their approval rating were former President Obama’s home state of Hawaii (45% approval v 41% disapproval) and Vermont (43% approval v 39% disapproval). He fell out of favor with all other states. Anyone living in the US likely hears disgruntled sentiments on a daily basis. I hear angry mumbles from people every time I visit the pump or walk in the grocery store. Countless people in various professions have written in to state how Biden’s policies have directly hurt their businesses.

These low approval numbers make it less likely to see a 2024 Joe Biden election year, as the Democrats now know they cannot win with him at the helm. We saw Boris Johnson resign by force, but will Joe Biden be next? Even the Fed stated that unemployment must rise for inflation to decline. The situation will become much worse before it gets better. In the meantime, low poll Joe has run out of people to blame for America’s downfall.

Jul 12 2022

Political Corruption in The Netherlands and How the Dutch Farmer Protest Connects to the Burning of The Picnic Grocery Distribution Center


Posted originally on the conservative tree house on July 12, 2022 | Sundance

You might have heard about an online grocery distribution center called Picnic in the Netherlands burning to the ground {LINK}.  The backstory of how the Picnic operation connects to the Dutch government is fascinating, and with context it looks like Picnic was targeted as part of the Dutch farmer protest.

In the Netherlands the government official who organized the regulations to take farmland from farmers and reduce their livestock is a politician named Christianne van der Wal-Zeggelink {wiki link}.  Mrs van der Wal-Zeggelink is the current Minister for Nature and Nitrogen Policy in the Dutch cabinet of Prime Minister Mark Rutte.

Minister Christianne van der Wal-Zeggelink and Prime Minister Mark Rutte are climate activists, so it makes sense that the “Minister of Nitrogen Policy” would be the person who would attempt to reduce nitrogen by targeting the farmers.  It is Mrs. van der Wal-Zeggelink who created the regulations that the farmers are protesting.

Now, stay with me… Christianne van der Wall-Zeggelink is married to Piet van der Wal, an heir to the wealth of the family who owns a supermarket chain called Boni. {citation} So, when Dutch farmers sell product to Boni they are directly funding the wealth of the government minister who seeks to destroy their livelihoods.

Additionally, when Dutch shoppers spend their money at the Boni supermarket they are funding the family of the government minister who is seeking to destroy the farmers who provide the food to the supermarkets.  Do the Dutch farmer blockades of the supermarkets and distribution centers make more sense now?

Here is where it gets interesting….  The supermarket chain Boni is one of a small group of four big investors in the online supermarket chain Picnic. {citation}  The van der Wal family was part of a group of investors in 2015 and 2019 who generated €450 million for the Picnic grocery operation.

Additionally, as part of the financial relationship, the Picnic distribution center buys their groceries at wholesale prices from Boni: “Picnic directly buys from an existing supermarket chain (Boni), which saves them the operational costs on that side” {2015, citation}.

Buying from Boni Supermarket or ordering online from Picnic home grocery delivery is essentially the same thing.  Boni is a retail supermarket chain, and Picnic is a free home delivery service that sources their grocery distribution center inventory from Boni.

Additionally, Bill and Melinda Gates are big investors into Picnic {citation}: “As reported by the respected Dutch financial magazine Quote in September last year, [Picnic] raised €600 million (approximately $604 million) in an investment round, with the lion’s share coming from the Bill & Melinda Gates Foundation Trust.” {link}

Summary so far: Nitrogen Policy Minister Christianne van der Wal-Zeggelink is married to the ultra-wealthy family who own the Supermarket chain Boni.  Together with other ‘climate change’ investors including Bill and Melinda Gates, Boni funds online supermarket Picnic.  Sales from Picnic or Boni directly increase the wealth of the Dutch Nitrogen Policy Minister.  Picnic also sells the engineered food that Bill Gates promotes.

The current owner and CEO of Picnic is a man named Michiel Muller.  Mr. Muller is a Dutch entrepreneur, climate change activist and self-described visionary, who intends to “change the entire food system, eliminate waste” and be in line with sustainable energy goals and the climate change agenda [Video citation @14:21].

Additionally, a great deal of the money from the investment rounds is going toward building a robotic warehouse and automated Picnic distribution center which aligns with the free online grocery ordering system. {another citation}

With all of these associations, business interests and financial aspects in mind, Dutch Nitrogen Minister Christianne van der Wall-Zeggelink has a direct financial conflict-of-interest in the advancement of sustainable supermarket and online grocery operations.  Specifically, those operators who are the beneficiaries of not only her nitrogen elimination regulation, but also the direct investment from her family.

It is also not surprising that Dutch farmers would seek to block the retail supermarkets and distribution centers of the companies that are directly connected to the business interests of Dutch politicians.

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Jul 12 2022

I Feel Like I’m On A Debt Treadmill And It’s Never Ending!


The Ramsey Show – Highlights  Published originally on Rumble on  July 8, 2022

I Feel Like I’m On A Debt Treadmill And It’s Never Ending!
Subscribe and never miss a new highlight from The Ramsey Show: https://www.youtube.com/c/TheRamseyShow?sub_confirmation=1

Jul 11 2022

The DOJ Wants Illegal Immigrants to Vote


Armstrong Economics Blog/Corruption Re-Posted Jul 11, 2022 by Martin Armstrong

Who will vote for Biden after he destroyed the American economy? Perhaps illegal immigrants from Socialist countries who would have gratitude for even the lowest level of living in this nation. I explained how the election system is rigged with Dominion Voting Systems directly funneling money to liberal candidates and having close ties to George Soros. The Biden Administration wants to ensure that the game is completely in their favor, and now wants illegal immigrants to vote in American elections.

The Biden Administration is actually suing the state of Arizona because the state will require voters to show proof of American citizenship. Was the left not up in arms about other nations allegedly interfering in our electoral process? The Department of Justice claims that House Bill 2492 is illegal under the Civil Rights Act (1964) and the National Voter Registration Act (1993).

Arizona Attorney General Mark Brnovich said that he will not accept the DOJ’s demands. “In addition to free rooms and transportation for those illegally entering our country, the DOJ now wants to give them a chance to vote,” he said to Fox reporters. “It’s another round of Brnovich v. Biden. I will once again be in court defending Arizona against the lawlessness of the Biden administration.”

New York City recently prohibited illegal aliens from voting and the measure has bipartisan support. Even Mayor Bill de Blasio did not fight the ruling. The only politicians seeking to allow outsiders to vote in elections are on the far-left, and it appears that those at the very top of our political system have become extremists in their views.

Jul 11 2022

After-Birth Abortion – Really?


Armstrong Economics Blog/Opinion Re-Posted Jul 11, 2022 by Martin Armstrong

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The woman army medic who seems to be fighting for the Constitution clearly has no idea what the Constitution is all about. Here rant which gathered 30,000 likes said:

“I just extended my contract to continue serving this country a week ago. How am I supposed to swear to support and defend the Constitution and a country that treats its women like second-class citizens?” She continued: “How am I supposed to do that? How am I supposed to do that with pride? How am I supposed to do that with love and honor?”

In HARRIS v. McRAE, 448 U.S. 297 (1980), the facade of Roe v Wade was exposed. The case was claiming that the government MUST pay for medically necessary abortions. They made it clear in that decision that the Constitution is NEGATIVE, not POSITIVE. It is a restraint upon government – not a shopping list of positive rights. This medic should resign, leave the country, and go someplace where you can freely kill a two-year-old when they annoy you.

If there was a Constitutional Right to abortion, but a restraint under the 8th Amendment against cruel and unusual punishment, then the solution would be to justify retroactive abortion without limitation so you no longer sentence someone to death, you merely abort their life whenever.

The very law that these people are so upset about was limiting abortion to the first 15 weeks. They seem to want even after-birth abortion. These real fanatics want to call a newborn still a fetus to justify abortion after birth.

“We claim that killing a newborn could be ethically permissible in all the circumstances where abortion would be. Such circumstances include cases where the newborn has the potential to have an (at least) acceptable life, but the well-being of the family is at risk.”

Why not just kill a child at any age when it threatens the “well-being of the family” if there is even a family that remains under this definition. There has always been justification for abortion when the life of the mother is at risk, or rape, or incest. But not any of these justify after-birth abortion. Sorry, but I don’t see how they would be good mothers and the solution should be sterilization – Gates would love it!