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Dave J's avatar

Thanks Farmer Extraordinaire for posting that article. It made my day during a period when most days suck. How beautiful would it be if more of these fools follow suit?

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Worm Farmer extraordinaire's avatar

Dave. Amen to that.

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Steve L's avatar

Yes brother Extraordinaire, keep on doing what you're doing and don't worry about this constant barrage of BS, spewed to distract the sheep. You're not one of them.

This game has been played so well for so many decades, and the powers that are have intensified their assault on our ignorant population to permanently divide them. It's Ok, for most are meant to be lead. When the majority goes left, we go right...

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Cameron's avatar

Mr Bonner I realise you are correct But between the the Fed & The Big Banks & Microsoft, Apple they have so much Ammunition plus I suppose Telsa they are holding back with what should be happening

But they're all helping in kicking the Can down the road

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Paul Murray's avatar

If you have lived in, worked in, or merely traversed a "big" city in your life, you have become inured to the sight of the big buildings, never caring or considering what is actually "happening" to or with them. Then comes the item on the news about the buildings, and the corporations that "own" them, that they are in distress. Each building should have a huge placard posted on it, listing the "owner", its purpose, and its financial condition, so that people whose livelihoods ultimately depend on the decisions these supposed experts are making in the community can know and understand what is happening to their tax base and ultimately the viability of their physical resources.

Also, overlooked (I wager) in today's quotes from articles is a little bit of nastily lethal poison that probably was missed by many: "rent-controlled". It not only indicates a rigged game, it's morally offensive. No wonder we have the mess on our hands that we do. Best always. PM

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Dean McLeod's avatar

As always, having reality based information is the most important economic defense. I've been through 3 or 4 major economic cycles. Rhyming history is the big story and I'm keeping my powder dry.

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Conic Tonic's avatar

‘Don’t fight the fed,’ has proven an appropriate dictum for the last 50 years but going forward I’m not so sure. There is only one way out of the debt malaise and that is through deflation because in terms of gold, debt ‘can not’ be inflated away it can only become a bigger liability. I say, follow the gold… the holders will most probably be making the rules!

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John S's avatar

Not sure that the deflation route is where the powers-that-be will want to go Nick. It's just my opinion, and a pretty uninformed one at that, but a significant decrease in asset values is going to impact the group that own the most assets I'd have thought - and that sure as hell ain't us. Inflate till we all blow up I reckon. You are right about the "golden rule" though

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Conic Tonic's avatar

John, I agree with you, I too think ‘they’ will go down the path of inflating ... but in trying to protect ‘their’ assets they will lose the dollar… and to date that has been their most potent weapon. So to me, at least, it boils down to which group of elites gets its way… the ‘asset’ or ‘power’ seekers - I don’t think they can have both… going forward.

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Kornfrommajar's avatar

I believe the “power” holders will ALWAYS end up with the assets.

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JayCee's avatar

Pension and retirement funds, including the likes of ‘The Ogre, BlackRock, are generally big holders of commercial real estate.

The balance sheets valuations methodology of ‘match to market’ are reliant on meaningful & preferably independent valuations.

My bet is, there are some very uncomfortable times ahead for these organisations executives, to guarantee beneficiaries etc, are given a true and fair value of underlying investments and thus their funds tied to entitlement savings, equity etc

How will the funds annual returns look?

If the trend of the overall portfolio value of a mixed bag of properties, are going to continually head south, I.e. slip -5% or -20% for a 5 to 10 year cycle, what does this mean to retiree punters?

Probably the correct terminology is, Negative Performance or Result.

Less money back during inflationary cycle that keeps leaping ahead, not stopping anytime soon.

And Oh! The impact on their personal remuneration & bonus, will be a big negative also?

Pigs might fly, but NOT outside my window...

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Egypt Solomon's avatar

There is a hidden movement underway to significantly increase pension and retirement fund contributions in the name of “saving them” from underfunding. An oxymoron! 😂

Guess who is going to end up paying more? Yup, you guessed right, you and I, (generally speaking) Our pay checks will be reduced, “for a good cause”, a guarantee that we will continue receiving our retirement benefits with no interruptions or reductions, and that the well will never run dry.

Are there any other guarantees besides death and taxes? 😂

No need to worry though, The new proposed policy and legislation will pass with flying colors across segments of America with votes to boot. The masses will feel proud of themselves and puff out their chests in a show of ingenuity.

The elite will get a pay raise, (the increase percentages of the pension & retirement contributions) while the middle class will get a pay cut. Makes perfect sense! Hahaha!!!

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Graeme's avatar

I don't know about commercial real estate (turn it into high density housing) but I believe the system is to have young and other upwardly mobile people take out mortgages at low interest rates then up the interest rates and destroy their employment to force them to foreclose.

Blackrock et al then buy the houses up at cents on the dollar and rent them back to the previous owners as per WEF plans.

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JayCee's avatar

Really?

Wouldn’t this be called unethical, antisocial and opportunistic ?

Sure sounds like ESG dogma for social investor returns & saving the planet (for the high rollers) etc, working in tandem, very nicely indeed.

Klaus will be pleased…

pass the Chardonnay.

Ah! and wait until Gates, the philanthropist, Microsoft AI, et al, comes out with their further ideal humanistic solutions …. we will all be saved.

Jolly Good Show, for sure.

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Gordon's avatar

So which regional banks hold the most - or highest proportion to total assets - of commercial real estate loans? And what part of the country are they in? It would be nice to spot the likely icebergs before we actually hit them.

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Steve L's avatar

Yes Bill and Joel, It seems like the left coast is experiencing a major decline in real estate prices, as the East coast is having a surge in many states. I think we have been here before...

The banking issues, recession, war, bankrupted cities and states, high crime, riots, burning cities, Mao Zedong, Leonid Brezhnev...ad infinitum... yes, life in the 70's, and all the product of an insane government and their insane policies, but fear not, this too shall pass. Maybe?

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Shannon's avatar

I don’t want my name printed But I do not want or can afford to pay more Joel said price wold go up just give me Tom & Dan The guy from Wyoming & Bills free blog he’s interesting so times & funny others That’s it from a old old Lady God Bless.

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John S's avatar

Appreciate the feedback Nick, however, like Scott, I am inclined to believe the Golden Rule. Whoever has the gold makes the rules. Interesting times, and do enjoy the different perspectives the readers of Bill's missive have on the state of things. Love to know our average age though, cos I think if covid had been a real thing and killed off anyone over 65 most of us wouldn't be around today

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Mar 29, 2023Edited
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Mar 29, 2023Edited
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Steve L's avatar

Yes Mr Thompson, Human nature can sometimes be very unnatural, as we just witnessed yesterday in Nashville.

Life has always come down to choice, and if you choose God, family and country, you choose work, life and happiness.

Choose Godlessness, and we have seen throughout history the outcome, normally to individual nations at the cost of many millions of lives.

The world has been abandoning God for decades now, and the cost will be billions.

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Worm Farmer extraordinaire's avatar

Amen Steve L.

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Dave J's avatar

Brilliant piece. It reminds me of when I studied History at UCLA in the mid-70's. Back then, reading and debating Marx's works were requisite. It was interesting to me at the time that after the Professors and TA's did all the Arab swinging the sabre in the marketplace (I love the original Indiana Jones movie) they took out their six shooter (as Indy did) and blew the swordsmen away with one shot by simply explaining as Professor Thompson does, that "All we have to do is overcome one little obstacle — human nature."

It's too bad those attending UCLA today aren't taught the same conclusion. I know this because one of my sons graduated from there (and the law school too).

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Clem Devine's avatar

Great writing Brad. I think that in previous times Marxism was forced on the population, they didn't want it but now it seems that people these days are lazy and see Marxism as a way to avoid work. There is a need for people to be motivated to become a success and this motivation is becoming more rare. I think the breakdown of the family unit is partly to blame as is the reliance on welfare thru the generations.

Thanks.

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