#Negative equity

Authored by David Stockman via The Daily Reckoning, Ben Bernanke’s successors at the Fed and other global central banks still don’t get it. Falsified debt prices do not promote macroeconomic stability. They lead to reckless credit expansion cycles that eventually collapse due to borrower

We've written frequently in recent months about the coming subprime auto crisis which will very likely be prompted by a wave of off-lease vehicles that will flood the market with used inventory over the coming years.  In fact, Morgan Stanley recently predicted that the surge in used inventory could

Just two weeks ago we noted that a record 25% of vehicles being traded in for used car purchases had negative equity of $3,635.  Now, according to the latest report from Edmunds, the new car market isn't any better off with 32% of trade-ins having an average negative equity balance of $4,832.  Of

We have frequently written about the unsustainable trends in new car sales in the United States created by the combination of lower rates, loosening underwriting standards and voracious demand for new securitizations by wall street and pension funds that will do just about anything for an extra