Lloyd Blankfein wearing a suit and tie: Brendan McDermid/Reuters


© Brendan McDermid/Reuters
Brendan McDermid/Reuters

  • Goldman Sachs’ former CEO Lloyd Blankfein told CNBC on Thursday that a “wash of free money is clearly creating bubble elements in the markets.” 
  • The banking titan blamed low interest rates for creating free money for large investors. 
  • Blankfein also cited speculation in the growing SPAC market: “Look at SPACs and how much money  is available on the basis of somebody’s reputation as opposed to a business plan.”

Former Goldman Sachs CEO Lloyd Blankfein told CNBC on Thursday that a “wash of free money” due to low interest rates is “clearly creating bubble elements in the markets.”

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“Given that money is kind of free, it presumably is not being allocated in a disciplined way, and so there are bubble elements to this,” Blankfein said. “Look at the credit market — people are lending to what historically would have been weak credits for

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  • A report by UBS analyzed price growth in 25 major urban housing markets around the world from the second quarter of 2019 through the second quarter of 2020.
  • Of those markets, 7 are in bubble risk territory, per the UBS Global Real Estate Bubble Index.
  • Visit Business Insider’s homepage for more stories.

On a global scale, the housing market has shown strength during the coronavirus pandemic, despite the economic downturn. 

A recent report by UBS identified three factors for its resilience.

First, as home prices are a backward-looking indicator of the economy, UBS said they therefore react with a delay to economic downturns. The number of transactions declined in most cities in the second quarter of 2020 compared with the previous year, “complicating price formation and reducing the validity of observed prices.”

Second, the majority of potential home buyers didn’t suffer direct income losses in the first half of 2020,

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Jimmy Butler hasn’t just been proving his worth on the court with the Miami Heat in the NBA bubble. He’s also shown he has quite the business acumen, and it’s all thanks to one French press coffee maker in his Disney World hotel room.

Trademark attorney Josh Gerben revealed via Twitter on Thursday that Butler had filed three trademarks for the “Big Face Coffee” business that has made headlines in the bubble.

Per Gerben, the trademark applications for “Big Face Coffee” and his “ No I.O.U.’s” slogan were filed Sept. 4 and include claims for general apparel (a no-brainer), houseware including mugs and cups (even more of a no-brainer) and food and beverage categories including coffee (duh), standard coffeehouse foods, produce and other non-coffee beverages.

The total cost of the applications is apparently $4,125 in just filing fees, to say nothing of the attorneys hired to submit such applications.

Jimmy

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KEY POINTS

  • An analyst noted how Tesla’s daily price chart mirrors Bitcoin’s weekly price from 2016 to 2017
  • Tesla stock, currently trading at $372.72, rallied to $498 on Aug. 31
  • The analyst said both assets had “a great story” behind them and a lot of liquidity

An analyst has observed that Tesla’s recent stock action has closely resembled Bitcoin, suggesting that the electric car maker’s stock is currently in a bubble. 

Julian Bridgen, the co-founder of macroeconomic research firm MI2 Partners, says Tesla’s price behavior is comparable to that of Bitcoin in 2017 when it hit near $20,000 in a massive rally but then dropped 58% after two months, Cointelegraph reports.

Tesla stock (TSLA) hit $498.32 on Aug. 31 in a rally that started at $72.24 on March 18. The stock pushed past $500 on Sept. 1 but dropped $400 three days later. Its lowest closing level in the last

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So, how could a stock market bubble burst help you reduce the amount you send to Uncle Sam? It’s simple: It presents an opportunity for tax loss harvesting.

Tax loss harvesting involves selling losing investments and claiming those losses on your taxes. They can be used to offset capital gains taxes, if you owe them on successful investments. They can also reduce other taxable income. However, while there is no limit on the value of capital losses you can deduct from capital gains, your losses can only reduce other taxable income by $3,000 per year. The good news is that the losses can carry over. That means if the market crashes and you sell a stock you lost $5,000 on, you could reduce any capital gains you’re claiming by up to the full amount of that $5,000. Or, if you have no capital gains this year, you could deduct $3,000

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So, how could a stock market bubble burst help you reduce the amount you send to Uncle Sam? It’s simple: It presents an opportunity for tax loss harvesting.

Tax loss harvesting involves selling losing investments and claiming those losses on your taxes. They can be used to offset capital gains taxes, if you owe them on successful investments. They can also reduce other taxable income. However, while there is no limit on the value of capital losses you can deduct from capital gains, your losses can only reduce other taxable income by $3,000 per year. The good news is that the losses can carry over. That means if the market crashes and you sell a stock you lost $5,000 on, you could reduce any capital gains you’re claiming by up to the full amount of that $5,000. Or, if you have no capital gains this year, you could deduct $3,000

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bubble goods 2



Bubble Goods/Instagram


  • We recently bought natural snacks and drinks from Bubble Goods, a website that curates up-and-coming healthy food brands. 
  • All products sold on Bubble are free from artificial ingredients, preservatives, and trans fats. 
  • It’s the perfect place to discover natural food products you can trust, from creamy sesame butter to crunchy chili sauce. 
  • See also: Thrive Market review

Bubble Goods calls itself “The Most Transparent Food Marketplace.” Like your local natural health food grocer, it’s a place where you can trust that the products on the shelves are made with natural ingredients — and where you can almost certainly expect to stumble upon something new, interesting, and delicious. 

It’s easy to browse by category, search products directly, and take your time looking at ingredient labels. Then, your order is shipped quickly to your

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InvestorPlace – Stock Market News, Stock Advice & Trading Tips

With EV stocks cooling down, now may not be the time to speculate in  Spartan Energy Acquisition (NYSE:SPAQ). SPAQ stock has been rather unpredictable lately.

Source: Eric Broder Van Dyke / Shutterstock.com

On one hand, the pending deal, in which privately-held Fisker will merge with Spartan, a SPAC (special purpose acquisition company), looks like it could produce the big returns seen with similar deals so far this year.

On the other hand, what worked for Nikola (NASDAQ:NKLA) may not work here. For starters, that stock’s successful run after its SPAC merger came when the “EV Bubble” was just warming up. But now, with major EV names like Tesla (NASDAQ:TSLA) and Nio (NYSE:NIO) heading lower, investor interest in the space could be cooling down.

That’s not to say SPAQ stock is headed to

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Skye Gould/Business Insider

Summary List Placement

  • Tech stocks sold off sharply last week but a chief strategist doesn’t think things will go much further south.
  • Jonathan Bell of Stanhope Capital, said: “I would be saying to people that this is a bubble-type territory, but it doesn’t mean that it is going to deflate now. 
  • All US stock indices closed lower on Friday for a consecutive session driven by the tech-sell off.
  • Bell said investors should trim holdings in big tech stocks and not be overly allocated. 
  • Visit Business Insider’s homepage for more stories.

Tech stocks are definitely in a bubble, based on the sizzling rally so far in 2020, but it will take a while to burst, a chief strategist said. 

Jonathan Bell, chief investment officer at Stanhope Capital told CNBC’s “Street Signs Europe” Monday: “I think we are certainly in bubble territory.” 

Bell’s comments come days after a sell-off

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I’m perplexed by the disconnect between the US stock market and the economy. Why does the stock market keep going up? Two explanations are common – (1) Hopium is the hope that the recovery will be swift and thorough, and (2) FOMO is fear of missing out. In other words, hope and greed. In an earlier article this year, I added a third reason – inflation in stock and bond prices caused by Quantitative Easing. And in this article, I add a fourth reason to the list – foreigners protecting their savings by holding them in US dollars.

Foreigners are buying US stocks like never before

Non-US citizens are justifiably concerned that their currencies are being devalued. US investors should be worried too, but the US dollar is the “cleanest dirty shirt in the basket.” Global pre-COVID per capita debt exceeded $200,000, and it is increasing as central banks around

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