Here are the latest news items and commentary on current economics news, market trends, stocks, investing opportunities, and the precious metals markets. We also cover hedges, derivatives, and obscura. And it bears mention that most of these items are from the “tangibles heavy” contrarian perspective of SurvivalBlog’s Founder and Senior Editor, JWR. Today, we focus on investing in discontinued Glock 19C pistols. (See the Tangibles Investing section.)
Just as I predicted, the super-heated spot price of Palladium has broken down. Never buy at the top, folks!
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Global Economy & Finance:
UK-Based Multinational Department Store Debenhams Collapses, After 200 Years of Trading. Here is a key quote:
“Shares of UK-based multinational department store Debenhams — with 165 stores in the UK and Ireland and with 58 franchise stores in 19 other countries — were suspended today after the company and its creditors turned down two last ditch rescue offers from discount retail group Sports Direct, which owns close to 30% of Debenhams’ stock. Debenham’s shares have collapsed spectacularly since they were floated on the stock market in 2006 by its then-private equity owners, Texas Pacific Group, CVC, and Merrill Lynch Private Equity:
The latest rejection means that Debenhams, after gracing British high streets for over 200 years, now faces a “pre-pack” administration that will wipe out its shareholders, including Sports Direct which is estimated to have plowed at least £150 million into the firm.”
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Tom Chatham: Why Are American Communities Dying? This adds credence to my assertion that starting a small manufacturing business in your community derives “multiple gains.”
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Taxes & Regulation:
Laurence Vance, writing over at Lew Rockwell’s site: Your Property Is Not Your Own
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The Reuters news service reports: U.S. Fed proposes new regulatory regime for foreign banks. Here is a quote:
“The proposal, which would affect major banks like UBS, Credit Suisse, Deutsche Bank and HSBC, is part of a broader plan by the Fed to more closely tailor banking rules in line with firms’ risk profiles.
The proposed changes, which are subject to industry feedback, would relax the capital and stress testing requirements for the subsidiaries of foreign banks. They would, however, impose stricter liquidity rules on subsidiaries of foreign lenders that rely extensively on riskier activities like short-term funding.
The Fed also said it was soliciting input on imposing stricter liquidity requirements on foreign bank branches for the first time, although it stopped short of proposing new rules.
In addition, the central bank proposed relaxing the schedule for how frequently foreign banks and domestic banks must submit “living wills” detailing how they could be dissolved in the event of failure.
Currently, large foreign banks have to submit the plans annually, but the proposal would allow them to submit plans every two years. Smaller banks would be able to submit less detailed plans on a three-year cycle. All domestic banks would also be allowed to submit scaled down plans every two years and comprehensive plans every four years.”
A gun guru friend of mine mentioned that the Gen4 Glock Model 19C (compensated, with a factory-ported slide) is now out of production. He predicted that unless a comparable model is introduced by Glock USA in Gen 5, then the discontinued 9mm G19C model will soon command a substantial premium. So I recommend that you try to find them at or under $525 new in box (or like new in box), and stack them in the back of your gun vault. Those will be much better than any money in the bank, regardless of the direction of the economy.
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David Jensen (the oft-mentioned young Silver Searcher, who is now college age): 10 SECRET Ways To Make Money – (2019). Note that most of his ideas involve tangibles.
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SurvivalBlog and its Editors are not paid investment counselors or advisers. Please see our Provisos page for our detailed disclaimers.
Please send your economics and investing news tips to JWR. (Either via e-mail of via our Contact form.) These are often especially relevant, because they come from folks who particularly watch individual markets. And due to their diligence and focus, we benefit from fresh “on target” investing news. We often get the scoop on economic and investing news that is probably ignored (or reported late) by mainstream American news outlets. Thanks!