THE FED WILL PUT MORE HOT AIR IN THE EVERYTHING BUBBLE TOMORROW

Summary

In this video, the host anticipates Jerome Powell's speech at Jackson Hole, speculating on potential rate cuts and market reactions. They discuss the weak housing market, with rising inventory and falling sales, and the impact of high mortgage rates. The script also covers the closure of Subway stores, ATM fee hikes, and the economic struggles faced by Americans. Concerns about cybersecurity are raised following a major cyber attack on an oil field service company, and the video ends with a call for prayer and action for the United States.

Takeaways

• 📅 It's Thursday, August 22nd, 2024, and Jerome Powell's speech from Jackson Hole is anticipated to be a significant market event.
• 💹 The market is expecting a rate cut in September, and Powell's speech may provide hints about the number of rate cuts for the current and next year.
• 🏠 Home sales rose in July for the first time in five months, but overall sales are at the weakest level since 2010, with a 20% increase in inventory.
• 📉 Despite lower mortgage rates, there is no significant rush to the housing market, suggesting a lack of motivation among buyers.
• 📊 The average cost to withdraw cash from an ATM in the U.S. has hit a record high, with cities like Atlanta and San Diego having particularly high fees.
• 🛒 Walmart and Target are cutting prices to attract customers, indicating a competitive retail environment.
• 🏥 There's a proposal to close two hospitals in the Shenango Valley, reflecting financial struggles in the healthcare sector.
• 🚨 The U.S. government has allocated nearly $800 million to help shelter and transport migrants, raising questions about domestic economic priorities.
• 💼 The job market is facing a crisis, with many people losing their jobs, which could exacerbate economic challenges.
• 💻 A massive cyber attack on Halliburton, a major oil field services company, highlights the vulnerability of digital systems and the risks of relying on digital currency.
• 🙏 The speaker emphasizes the importance of prayer and community action in addressing the economic and social challenges faced by the United States.

Q & A

What is the significance of Jerome Powell's speech at Jackson Hole?

Jerome Powell's speech at Jackson Hole is significant as it is anticipated to provide insights into the Federal Reserve's stance on interest rates, potentially hinting at upcoming rate cuts and affecting market expectations.

Why are markets expecting a rate cut in September according to the script?

Markets are expecting a rate cut in September because it has been a recurring expectation that has not yet materialized, and the speech by Jerome Powell could be a pivotal moment for such an announcement.

What does the script suggest about the current state of the housing market?

The script suggests that the housing market is weak, with home sales up only 1.3% month over month but down 2.5% year-over-year, marking the weakest July since 2010. Despite increased inventory and lower rates, there is no significant rush to the housing market.

What is the current mortgage rate mentioned in the script?

The current 30-year fixed mortgage rate mentioned in the script is 6.62%.

How does the script describe the impact of high ATM fees on consumers?

The script describes high ATM fees as a burden on consumers, with an average cost of $5 to withdraw cash and significantly higher fees in certain cities like Atlanta and San Diego, contributing to the financial strain on people.

What is the script's perspective on the current job market and its implications?

The script suggests that there is a growing job crisis, with many people losing their jobs, making it difficult for them to afford basic necessities and contributing to a larger economic problem.

What major event is mentioned in the script regarding the cyber attack on a large oil field service company?

The script mentions a massive cyber attack on Halliburton, one of the largest oil field service companies, which impacted business operations and global connectivity networks, highlighting the vulnerability of digital systems.

Why does the script express concern about the move towards digital currency?

The script expresses concern about the move towards digital currency due to the risks of cyber attacks, the potential for systems to be shut down, and the convenience and safety trade-off that people may not fully understand.

What is the script's opinion on the allocation of $800 million to Catholic Charities for migrant support?

The script criticizes the allocation of $800 million to Catholic Charities for migrant support, arguing that the money should be used to help Americans first, especially considering the economic struggles faced by many citizens.

What economic issues are highlighted in the script regarding small businesses, hospitals, and the middle class?

The script highlights the struggles of small businesses closing down, hospitals facing shutdowns, and the middle class falling behind financially, suggesting a deteriorating economic situation that is not being adequately addressed.