Category: Financial Markets

So, Is This The “Big One”? – With Harry Dent

I discuss the latest market ructions with Economist and Author Harry Dent. Is this the massive financial correction he has been forecasting? What strategies are available in the current environment? How should we react?

Note: DFA has no commercial relationship with Harry Dent.

Guy Standing’s Eight Giants And The Potential For UBI

I caught up with Guy Standing, Professorial Research Associate at SOAS University of London, a Fellow of the British Academy of Social Sciences, and co-founder and now honorary co-president of the Basic Income Earth Network (BIEN), an international NGO that promotes basic income.

His latest and new book is Battling Eight Giants: Basic Income Now.

Today in one the richest countries in the world, 60% of households in poverty have people in jobs, inequality is the highest it has been for 100 years, climate change threatens our extinction and automation means millions are forced into a life of precarity. The solution? Basic Income.

Here, Guy Standing, the leading expert on the concept, explains how to solve the new eight evils of modern life, and all for almost zero net cost. There is a better future, one that makes certain all citizens can share in the wealth of the modern economy. Far from being a new idea, Standing shows how the roots of basic income go back to the Charter of the Forest, one of two foundational documents of the state – the other, sealed on the same day, being the Magna Carta.

His recent books include Basic Income: And How We Can Make It Happen (2017), The Corruption of Capitalism: Why Rentiers Thrive and Work Does Not Pay (2016); with others, Basic Income: A Transformative Policy for India (2015); A Precariat Charter: From Denizens to Citizens (2014); and The Precariat: The New Dangerous Class (2011), which has been translated into 23 languages.

[Note: to comply with YT I edited certain words and replaced them with more generic ones, but did not change the meaning in 5 separate places]. The full non edited version is available via the DFA podcast edition. The link to that will be pinned to the video.

Stocks Roar Back As US Support Bill Agreement Nears

The US markets has a good day – with the Dow making the biggest percentage rise since 1932, at more than 11%, in a bear market bounce. Expect more volatility ahead.

The USS&P 500 futures is also higher:

However the volatility index is still in extended territory:

According to The Hill:

The Trump administration and Senate Democrats closed in on a nearly $2 trillion stimulus plan and economic rescue package after days of tense negotiations.

Wall Street found reprieve from a month of crashing stocks and financial panic after Treasury Secretary Steven Mnuchin and Senate Minority Leader Charles Schumer (D-N.Y.) announced early Tuesday morning that they expected to clinch a stimulus deal.

Negotiations between Mnuchin and Schumer continued throughout Tuesday as details about the stimulus plan emerged. Schumer said Tuesday that the federal government will pay the full salaries of furloughed workers for up to four months under the emerging stimulus deal, which may get a vote as soon as Tuesday.

The Senate bill will also provide about $500 billion to the Treasury Department to backstop Federal Reserve loans to industries facing a liquidity shortage because of a loss of business related to the coronavirus crisis.