German 10-year yields joined the negative club in morning trade along with Japan and Switzerland this far out on the yield curve, as Brexit fears stoked additional uncertainty.
One of the post bust recovery themes pushed hard by the lamestream media was consumer deleveraging or the sharp reduction in consumer debt in the period after 2007 as the dramatic decline in mortgage debt brought on by plunging homeownership rates and ballooning foreclosure levels made it appear that consumer finances were substantially improved. I pointed out the fallacy of this time and again. Data from the Federal Reserve Flow of Funds report for the 1st quarter shows that Total US Consumer Credit, which excludes mortgages hit a new record high of $3.54 trillion at the end of March, both in dollar terms and as a share of gross domestic product. As for the foreclosure and or bankruptcy reduction in mortgage debt, spinning that as a positive illustrates the chicanery of the lamestream media. Or should we just call a pig a pig and say that there reporting has a lot more in common with propaganda than free, fair, balanced and factual news reporting.
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