The markets react to uncertainty. Maybe Trump will listen. But the dice are thrown, and the markets have told Trump that on-again, off-again tariffs are unacceptable risks to capital. Again, it's a communication issue. Markets thrive on information. Since Trump doesn't communicate, the markets (i.e. people with money) react to actions.
I'll second Brian and heartily thank you - David - for a wonderful piece.
After Trump's tweets during Biden's time, I'm curious how #MAGA is polishing the turd that has been the market these past few weeks. (Not that I mind it - my investing horizon extends beyond 2028 and I'm happy to pick up shares for a bargain.)
Oh, I don't know: bird flu seems like a prime contender for another pandemic, especially with the Trump admin's actions against public health. He sure seems to be acting on his COVID-era thought of "If we stop testing we don't have cases".
The Biden administration printed money to subsidize “high-risk” borrowers—those with low reserves (79% of FHA first-time buyers have a month or less of cash backup, or significantly weak credit (FHA accepts scores as low as 500 with 10% down). It’s a “house of cards,” propping up a bubble reminiscent of 2008, when lax lending crashed the market. Delinquency rates for FHA loans hit 11.03% by late 2024, per the Mortgage Bankers Association—above pre-pandemic levels—This is rapidly trending higher. Worse case is 1 million foreclosures. If it's even a quarter of that number, the housing market is going to completely collapse. Florida is already approaching freefall.
FHA has existed for a long time now, so why are you blaming Biden for its existence?
Your numbers appear wrong: single family serious delinquency for Freddie Mac/Fannie Mae is still under 1%, whereas in 2009 it spiked to 4.2% and 5.5% respectively.
I'm also looking into what changes have occurred in mortgage rules, and from what I can see Trump 1 made changes to loosen rules, and Biden had considered taking action to reverse those changes.
Biden did have a mortgage rule change in 2023, but it was rescinded by Congress and signed into law by Biden.
Also, re FHA loans: there have been foreclosure moratoriums in some places due to natural disasters that occurred in 2024. Those moratoriums are expiring next month.
Is that your sole item you want to talk about? If so, that's assuredly not "everything driven off a cliff",
Thank you for your “unbiased” opinion.
The markets react to uncertainty. Maybe Trump will listen. But the dice are thrown, and the markets have told Trump that on-again, off-again tariffs are unacceptable risks to capital. Again, it's a communication issue. Markets thrive on information. Since Trump doesn't communicate, the markets (i.e. people with money) react to actions.
Good example:
March 3: "Tariffs on Canada!"
March 5: "Okay, no tariffs on cars but tariffs on everything else."
March 6: "Actually, no tariffs until April 2."
March 11: "Tariffs on Canada!"
I'll second Brian and heartily thank you - David - for a wonderful piece.
After Trump's tweets during Biden's time, I'm curious how #MAGA is polishing the turd that has been the market these past few weeks. (Not that I mind it - my investing horizon extends beyond 2028 and I'm happy to pick up shares for a bargain.)
They're embracing de-growth.
Do I detect a little sarcasm?
Oh, I don't know: bird flu seems like a prime contender for another pandemic, especially with the Trump admin's actions against public health. He sure seems to be acting on his COVID-era thought of "If we stop testing we don't have cases".
It’s fascinating to me that you can sit there and critique Trumps early moves on the heels of the shit show we just endured for 4 years.
The left just drove us off a cliff in almost every conceivable way and you show up saying I told you so when the car won’t run correctly.
Please go ahead and admit you have TDS and save me the time explaining why your conclusions are incredibly flawed.
Provide actual numbers on what you think was driven "off a cliff".
The Biden administration printed money to subsidize “high-risk” borrowers—those with low reserves (79% of FHA first-time buyers have a month or less of cash backup, or significantly weak credit (FHA accepts scores as low as 500 with 10% down). It’s a “house of cards,” propping up a bubble reminiscent of 2008, when lax lending crashed the market. Delinquency rates for FHA loans hit 11.03% by late 2024, per the Mortgage Bankers Association—above pre-pandemic levels—This is rapidly trending higher. Worse case is 1 million foreclosures. If it's even a quarter of that number, the housing market is going to completely collapse. Florida is already approaching freefall.
FHA has existed for a long time now, so why are you blaming Biden for its existence?
Your numbers appear wrong: single family serious delinquency for Freddie Mac/Fannie Mae is still under 1%, whereas in 2009 it spiked to 4.2% and 5.5% respectively.
I'm also looking into what changes have occurred in mortgage rules, and from what I can see Trump 1 made changes to loosen rules, and Biden had considered taking action to reverse those changes.
Biden did have a mortgage rule change in 2023, but it was rescinded by Congress and signed into law by Biden.
Also, re FHA loans: there have been foreclosure moratoriums in some places due to natural disasters that occurred in 2024. Those moratoriums are expiring next month.
Is that your sole item you want to talk about? If so, that's assuredly not "everything driven off a cliff",