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Not Ready For Economic Collapse: Only 41% Of Americans Have $1000 To Cover An Emergency

Not Ready For Economic Collapse: Only 41% Of Americans Have $1000 To Cover An Emergency Authored by Michael Snyder via TheMostImportantNews.com, We better hope that the U.S. economy holds together in 2020, because if there is any sort of major economic crisis much of the country is going to be broke almost immediately. Today, close to half of all Americans are living on the edge financially. For many, it is out of necessity, but for others it is a conscious choice. Way too many people out there see no need to build up a substantial financial cushion because they have a tremendous amount of faith in the system. They don’t think that things will ever get too bad in this country, and so there is no urgency to put funds away for a rainy day. But even if authorities could somehow prevent an economic downturn from ever happening again, individual emergencies are taking place all around us on a constant basis. Cars break down, people get sick, and accidents happen. Unfortunately, most Americans are completely unprepared for some sort of an emergency to strike. In fact, a brand new survey has discovered that just 41 percent of Americans could cover a $1,000 emergency expense using their current savings… Bankrate’s January Financial Security Index survey reveals that just four in 10 U.S. adults (41 percent) would cover the cost of a $1,000...

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2019 Is 5th Consecutive Year With No Operating Profit Growth

2019 Is 5th Consecutive Year With No Operating Profit Growth Submitted by Joe Carson, former Chief Economist & Director of Global Economic Research for Alliance Bernstein 2019 operating profits will show no growth for the 5th consecutive year. That would mark the longest stretch of no earnings growth since the late 1990s. Prospects for 2020-profit growth look slim as well given consensus GDP growth estimates of around 2%, slow global growth and rising costs pressure from labor. Operating Profits Q4 GDP and the full year 2019 operating profit numbers will not be released until March, but one can derive an early estimate based on available data. For example, operating profits plus personal income are the counterpart on the income side to Nominal GDP. To be sure, the two sources of income consistently sum to total that almost matches Nominal GDP, with a residual of no more than 3% to 4% in recent years. In Q4, published data on personal income data and GDP Now growth estimates from the Federal Reserve Banks provide enough information (two of the three key data points) to guesstimate a figure on operating profits. Based on the available information, Q4 operating profits are estimated be $2,100 billion, up about 1% when measured against the Q3 2019 reported number of $2,078 billion and a bit less than 1% against the Q4 2018 profit figure of $2,086...

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WTI Bounces Off $55 After Small Crude Draw

WTI Bounces Off $55 After Small Crude Draw Oil prices have extended their losses after last night’s surprise crude build reported by API, not helped by the increasing concerns over demand reductions due to the spread of the Wuhan Coronavirus across the world’s biggest oil importer. “Sentiment has turned negative,” as the coronavirus is set to affect demand, said Andrew Lebow, senior partner at New York consultant Commodity Research Group. The virus fears have overshadowed concern over the halt of exports from Libya. API Crude +1.57mm (-1.0mm exp) Cushing -429k Gasoline +4.5mm (+3.3mm exp) Distillates +3.5mm (+1.6mm exp) DOE Crude -405k (-1.0mm exp) Cushing -961k Gasoline +1.745mm (+3.3mm exp) Distillates -1.185mm (+1.6mm exp) Ongoing major builds in products continued with the 11th weekly gasoline inventory rise but crude and distillates surprised with small draws… Source: Bloomberg US Crude production held at a new record high in the last week and we note that the rig count has somewhat stabilized from its almost constant down-trend. Source: Bloomberg Oil is bearing the brunt of the anxiety due to the potential hit to travel, especially as it’s happening just before the Lunar New Year holidays, the biggest human migration in the world. Goldman Sachs predicts the virus may crimp global demand by 260,000 barrels a day this year – with jet fuel accounting for around two-thirds of the loss – if the SARS epidemic in 2003 is...

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Bitcoin Tumbles To Key Technical Level, Dalio Disses Diversification Into Digital Currency

Bitcoin Tumbles To Key Technical Level, Dalio Disses Diversification Into Digital Currency After pushing up to two-month highs over the weekend, Bitcoin is accelerating lower this morning… Source: Bloomberg Breaking down from the 200DMA and testing the 100DMA… Source: Bloomberg Cryptos are all lower today (and this week)… Source: Coin360 …but remain notably higher on the year… Source: Bloomberg There was no immediate catalyst for today’s drop but we note that CoinTelegraph’s Andrey Shevchenko reports that Bridgewater Founder Ray Dalio warned against holding Bitcoin, saying that it’s neither a medium of exchange nor a store of value. image courtesy of CoinTelegraph Dalio was interviewed at the World Economic Forum in Davos, Switzerland, where he advised investors to hold a global and diversified portfolio in this market, while increasing their stake in stock markets. While Dalio acknowledged recession concerns, he argued that “cash is trash” due to the government’s ability to print it at will — something he believes they will be forced to do during a market downturn. Due to this, jumping into cash just before the eventual market fall is ill-advised, according to Dalio. The billionaire still cautions balance, advising investors to hold “a certain amount of gold” in their portfolios. His stance on Bitcoin (BTC) was far more negative, however, noting that it is not currently functioning as money: “There’s two purposes of money, a medium of...

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