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OPEN THREAD + Join Me Tonight at 8PM for NoQuarter Radio’s Sense on Cents with Larry Doyle

By Larry Doyle on May 25, 2009 at 7:45 AM in Economy, NoQuarter Radio, Open Thread

Sunday, May 31st show over . announcement bumped down . listen to archives by clicking on the image.

Please join me Sunday evening from 8-9 p.m. ET for NoQuarter Radio’s Sense on Cents with Larry Doyle. The developments in the markets, economy, global finance, Wall Street, and Washington are occurring at breakneck speed. I will try to slow things down a bit and provide a sense of perspective. What did we learn in the markets over the last week and what does that mean for the weeks and months ahead? We will address a wide range of issues, including economic statistics released this week, the automotive situation, market performance, and the road ahead. Additionally, I am always happy to address anything on your mind as you navigate your own economic landscape.

I will be joined by a special guest this week, as well. John Busacca has been involved in the regulatory and compliance side of the financial industry since the mid 1990s. John has worked as a compliance officer for large wirehouses and NYSE member Clearing Firms. In 2000 he was involved in founding a fixed income firm in Florida. From there he transitioned into a sales role which led him to becoming President of a clearing firm. He grew that firm from a handful of correspondents to over 75.

In 2006 John was elected to the NASD-Business Conduct Committee for District 7 and was also elected to the Florida Securities Dealers Board of Governors. John was involved in the founding of The Securities Industry Professional Association in 2007. The SIPA is an industry advocacy organization. He acquired BDexchange in 2008 and has relationships with nearly every clearing firm and Securities Consultant in the Country. John is an accomplished writer and contributes to many national publications. I look forward to my conversation with him tonight.

These are truly historic times in the global economy. Let’s “navigate the economic landscape” without the pandering or nonsense found elsewhere! What is on your mind? What would you like to address? Please share your questions and thoughts by calling in to (347) 677-0792, and also join our live chat room, which I’ll start up about 10 minutes before the show begins.

Many thanks to Larry Johnson and the rest of the team at NoQuarter for providing such a vibrant vehicle as NoQuarter Radio. I look forward to having you join me Sunday evening as we collectively navigate the economic landscape!!

oldmediatype

Good take, as usual. That’s my only comment but I do have questions.

Whatever happened to those toxic assets that caused this calamity in the first place? Where are they? Have most of them been written off and no longer pose a threat to bank balance sheets?

What about new toxic assets? You referenced rising residential loan default rates. In terms of scale, how do they compare to dollar amounts of toxic assets that triggered the financial crisis in the first place?

We’ve heard that the stimulus money would immediately fund “shovel ready” jobs. But how many of the job losses involved shovels? Where do you see the future job growth coming from?

While today’s unemployment rate is far lower than that of The Great Depression and there is now a safety net (FDIC insurance, unemployment
Compensation, food stamps, etc) that didn’t exist back then, hasn’t the average person today taken a larger financial hit through the collapse of home prices and stock values? Looking around we don’t see the deprivation of The Great Depression but do you envision the current crisis causing enough semi-permanent psychic damage that would make people spend more cautiously in the future? And could that possibly slow the economic recovery?

Autos and housing are two key elements of the economy. Typically the retail automobile business and everything connected to it account for 25% of retail sales. Right now sales are off 40% from their recent peak years. So, the car business is already in a depression. The housing collapse and its collateral damage on the sale of everything that goes into the purchase of a home — new furniture, carpeting, appliances, etc — continues to depress economic activity. What are the turnaround prospects for those two industries?

Many small businesses are under capitalized and rely on credit cards for cash flow and expansion. As you know, credit is very tight now, credit card default rates are continuing to rise and the securitization industry that helped fuel credit growth is currently in a coma. While nobody expects the easy credit days to return, what kind of inhibiting effect on the economy do you see from the retrenchment in the availability of credit card lines for small business?
KR

Open thread:

Has anyone heard much about Obama and Jerusalem? Seems he is giving the Palestinians a foothold and not supporting Israel.

http://www.worldnetdaily.com/index.php?fa=PAGE.view&pageId=99664

Anyone know more?
NomNomNom

OT:
Looks like Penny Pritzker goes under the bus.
http://www.bloomberg.com/apps/news?pid=20601109&sid=a6A3G.MZZqIw&refer=home