17 JUL 2020

1) Looming in the wings of the pandemic crisis is another major crisis . . . and epidemic of evictions. With the unemployment rate still more than 10% and eviction protections lapsing across America, housing experts expect millions of Americans to lose their homes in the coming months. For millions of Americans, the housing situation was already precarious before the pandemic. Many are paying large percentages of their monthly incomes toward rent, but don’t have enough to cover an unexpected expense of just a few hundred dollars. With insufficient money from unemployment, people are facing living on the streets during 100 degree plus temperatures, hurricane season and possibly freezing weather if the problem continues. This would also mean increased exposure to the Convid-19 virus.

2) A bright spot in the economy is that retail sales rose again for the second straight month as shoppers slowly trickle back into stores. But with conronavirus cases on the rise, this could be short lived. Sales increased 7.5% for June, from May, better than the 5% estimated by economists. Sales were driven by clothing, electronics and appliances as well as home furnishing. Still, foot traffic through stores is way down, people coming in with specific items to consider buying instead of just browsing. So far this year, 4,000 stores are closing permanently with as many as 25,000 expected by the end of the year. Last year, there were 9,302 store closing.

3) The traditional investing axiom of 60/40 portfolios is coming into question. This is the mix of 60% stocks and 40% bonds, which is generally considered the best risk minimizing strategy for individuals to use in building their fortune. But with Treasury yields now hovering around zero, and expected to stay there for years, those gains are in doubt. For decades, this strategy has given the best returns with the least risk in times of volatile markets. Consequently, investors are scrutinizing the strategy as maybe out of date in a changing economy.

4) Stock market closings for – 16 JUL 20:

Dow 26,734.71 down 135.39
Nasdaq 10,473.83 down 76.66
S&P 500 3,215.57 down 10.99

10 Year Yield: down at 0.61%

Oil: down at $40.80

THE EFR PODCAST EPISODE #25 FEAT. LAWRENCE FRANKLIN (KANYE WEST COUSIN): ECONOMIC LAW

By: Economic & Finance Report

This week’s podcast episode Bizman Bassey (Sammy BE), James Lymon, and Jon “Magic Don” Sterling on the boards; had the great pleasure of interviewing Lawrence Franklin (1st cousin to musical extroidainaire Kanye West).

Law came on the show to discuss millennials taking hold of real estate and real estate investing. How important it is to invest in real estate and have ownership in real estate properties, especially for millennials in this day and age.

He spoke on financial gains in investing and we also threw some Kanye West questions in there; in which he gave us some great answers to.

This is an episode you don’t want to miss & as always Stay Bless & God Bless…. #RealRecognizeDeal$$$$$ #EcoFireTV#SammyBE

Online Platforms To Check Out:

1)www.instagram.com/EcoFireTV

2) www.twitter.com/EcoFireTV

3) www.Economic&FinanceReport.com (Economic & Finance Blog Site)

4) www.soundcloud.com/Economic-FinanceReport (Podcast/Online Show)

5)www.youtube.com/channel/UCWZo5bug…Nlb2VRfDCQ/videos (EFR.Tv Youtube)

6)www.SammyBuysHomes.com (Real Estate Investment)

7)www.TraderSoul.com (Financial Trading Website)

 

BITCOIN & CRYPTOCURRENCY: The Profusion of Cryptocurrencies will Change the Monetary-Banking System Enhancing Economies For the Millennials!

Economic & Finance Report

By: James Lyman BSAE, BSEE, MSSM

I just got my January issue of Scientific American with a collection of articles about the future of money detailing how new technologies promises to profoundly change the monetary and banking systems and hence the economic system which millennials are already struggling for a place in.  This special report of four articles is very interesting giving a glimpse of how the world of the millennials and Z-generation is changing such as stopping the concentration of wealth, increased transparency while reducing risks, but increasing risks to our digital identities.  This issue is a good introduction to the ‘what and particulars’ of the new technologies of money, but leaves the reader with the question: How will the millennials fair in a new economy when they’re now struggling so much in the old one?

                       

First, just what is cryptocurrencies such as Bitcoin and Tradecoin?   Well, as the articles explains, cryptocurrencies are just as the name implies, money or currency that is data bits in computer systems instead of the traditional metal coins and paper bills we’ve come to think of money as.  This allows individuals and companies to buy and sell physical assets across the internet using cryptocurrencies instead of traditional money.  These cryptocurrencies are not like credit cards used to transfer money, which are in fact just another manifestation of tradition money issued by nations that we use every day.  Instead they are a money or currency created by individual private companies.  These use the technology of blockchaining to give a peer-to-peer digital payment system without any central authority.

 

Immediately there is the obvious problem of what gives this kind of  money any value? The money of a nation represents the cumulative value of a nation. The sum value of a nation’s factories, farms, mineral resources and infrastructure, coupled with the value of all the personal property such as houses and cars is what gives money its value.  The sum total of all the assets of a nation!  So the money from a rich nation is more valued, considered more stable, than one from a poor nation.  During World War II and several decades after, the American dollar was more valued than gold.  It was more sought after, more readily accepted than pure gold, because of the vast wealth that stood behind the dollar.  People across the world wanted American dollars above all else.

 

But cryptocurrencies is the creation of money out of thin air . . . there is no physical assets to back Bitcoin and Tradecoin.  (Tradecoin does used commodities to back their currency, but commodities are perishable, and so its value can be questionable.)  One only has to look briefly at history, at the Weimar Republic after World War I, when the defeated Germans decided to pay reparations to the Allies by simply printing more money.  Quickly inflation became ramped with a wheelbarrow of paper money needed to buy a loaf of bread.  The paper used to print the money on, cost more than what the money was worth.  And this opened the door for the National Socialist and Hitler to step in and gain total power.  Cryptocurrencies lack hard tangible wealth for their money to represent.

 

Creating money is a finicky endeavor.  Prior to the great depression of the thirties, the American dollar was on the gold standard, that is a dollar bill could be redeemed from the American government for a set amount of gold.  It had value because it was backed by gold which most people consider to have value.  The paper dollar bill was a light weight convenient way to carry gold around and exchange for goods and services.   But there was a fixed amount of gold that America had, which in turn fixed how much money the government could issue.  That put a limit on how big America’s economy could be, so to have room to grow further and get America out of the depression, President Roosevelt took America off the gold standard.  Some people say we should return to the gold standard to return stability to the dollar and America’s economy, but there simply isn’t near enough gold for all the money now needed for our economy to operate. 

 

Therefore, if you create too much money, then you risk inflation with its value falling away, while if you create too little, then you risk strangling the economy which can be just as bad.

 

That’s the real risk with cryptocurrencies, the creation of money out of thin air, without any consideration over the consequences of too much or too little money, coupled with no anchor to real material wealth.  This translates into Trust, one of the most important factors of any currency.  To use a currency, to accept it in exchange for some material item of value, both parties must have trust that the currency will be accepted and trust that the currency has value to warrant trading something of value for.

                                                           

As with any new technology, many have plans to revolutionize banks, economies and money.  Some think they can use cryptocurrencies to cut the banks and governments out of the financial world and thus make the world a better place, others that they can fix a flawed system.  For instances, Venezuela is trying to cure its hyper inflation by creating a cryptocurrency.  One thing is for sure, the future economies, which millennials will have to live in and with . . . are now being formed and remade.  But what’s in it for them?  Will the new cryptocurrencies mean more opportunities for them with a brighter future, or will there be more technology displacements of millennials?

 

These are a set of financial articles each millennial needs to read and ponder, since they are the ones who’s world will be changed one way or the other.

 

On AwesomeSauce Comix Youtube Podcast… Check It Out…..

By: Economic & Finance Report

Businessman Bassey aka Sammy BE here, back @ it… Was invited to AwesomeSauce Comix podcast again, by host Adam.

Started talking about Real Estate & Financial Stock Investing and jobs, jobs, jobs, job creation, amongst other topics.. Check it Out Below… -SB

MOTIF INVESTING’S JOINT PARTNERSHIP WITH J.P. MORGAN!!!!!!!!!!!

motif investing

By: Economic & Finance Report

Motif Investing has joined an exclusive alliance with J.P. Morgan. The partnership allows J.P. Morgan IPOs to be directly correlated to retail investors. This will be done through the platform contributed by Motif Investing.

Motif Investing is co founded by former Microsoft Mergers & Acquistions head honcho Hardeep Walia. Mr. Walia is also the CEO of the Motif outlet.  The partnership comes at a good time in the stock market, as the stock indexes continue to rise hitting enormous highs.-SB

THE NIGERIAN STOCK EXCHANGE (NSE) SEEKS FOREIGN COMPANIES TO LIST ON THE EXCHANGE…….

nigerian stock exchange bldng   nigerian stock exchange pic

By: ECONOMIC & FIANANCE REPORT

The Nigerian Stock Exchange (NSE) will widen its scope on listing foreign companies on its exchange. They are doing so to broaden the demographic of foreign investment into the country. Companies who are seeking to invest in other parts of Africa will be included in the NSE and not limited to.

The the (NSE INDEX) has risen slightly  over the past few weeks, but it still has ranked way lower then the other 14 African Indexes currently. New rules will be accompanying the NSE in 2015. Regulations and rules that will be adhered; will concentrate on the markets performance as it relates  to Nigeria’s social, political, and economical issues and how the government manages to deal with the issues at hand.

Domestic/local investors are presumed not to be affected greatly by the drawn down of oil prices because of the preparation that was foreseen by the Nigerian Central Bank and the Nigerian Finance Ministry, but now the new rules and regulations will be able to hedge more on the risk as it is pertained in the future markets…

-SB