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Suspended Student loan payments helped fuel the auto market over the last several years. Auto loans pass Student loans in consumer debt load for the first time in 13yrs, which means consumers face a double-whammy starting in October w/existing auto payments & resumed student loan obligations. Auto loan delinquencies are on the rise and more consumers could fall behind if unemployment increases. Source: Bloomberg, HolgerZ

Interest Rates on Deposits, by Bank: 1. Wells Fargo: 0.15% 2. Citibank: 0.05% 3. Chase: 0.01% 4. Bank of America: 0.01% 5. US Bank: 0.01% Rates on Alternatives to Bank Deposits: 1. CDs: 5.0% 2. Money Market: 4.5% 3. Treasury Bonds: 4.0% Deposits continue to flow out of banks at a historic pace with $1 trillion+ withdrawn over the last year. The era of "free" money for large US banks is coming to an end. They must raise interest paid on deposits or capital will continue to leave. Source: The Kobeissi Letter, Apollo

Crypto-focused Blockchain Capital has raised $580 million across two new funds, one of the biggest raises for the asset class this year and the largest for the venture firm in its 10-year history. Blockchain Capital, which has an existing $2 billion in assets under management, will use the fresh capital to back crypto startups in areas including decentralized finance and gaming as well as infrastructure, general partner Kinjal Shah said in an interview with Bloomberg News.

Source: Bloomberg

There are various ways to become wealthy. But finance and investments remain the surest path to becoming a billionaire🤑. Chart by Genuine Impact

The Europace House Price Index for existing homes crashed by 2% in August, and has now lost 16% from the top in Apr2022. Only the index for newly built homes has remained unch, this is due to the low level of new construction activity. Source: Bloomberg, HolgerZ

Without reliable access to affordable power, Germany fears energy-intensive companies will invest elsewhere, and “we will lose this industrial base,” vice-chancellor Robert Habeck said. Source: Eurostat, Gustavo Philippsen Fuhr

As highlighted by The Kobeissi Letter, three of Canada's largest banks are seeing ~20% of their outstanding mortgages in negative amortization. What does this mean? Monthly payments on ~20% of mortgages at BMO, TD, and CIBC are no longer enough to cover interest expense. This means you end up owing more than your original loan amount over time. Typically, variable rate mortgages with fixed payments experience this in a rapidly rising interest rate environment. These homeowners may begin to foreclose over the next few months. This is an important trend worth watching.

Energy Index (SEUENRS Index) is trading over major resistance 1631. It's the first time since 2008 that it's trading over that level. Source : Bloomberg