Jim’s Mailbox

Posted at 7:07 AM (CST) by & filed under Jim's Mailbox.

Jim Sinclair’s Commentary

CIGA "Ddrrreamer" and proud Golden Comet Award holder.

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Jim,

A nice chart on Zero Hedge. The US worker is being marginalized!

Extrapolating this chart, you can see how even THEY (service workers) will lose their jobs.

If everyone is serving customers (bartenders, waiters. waitresses, greeters), part time no less, who is left to patronize the establishments?

CIGA Wolfgang Rech

No Manufacturing Jobs But More Waiters And Bartenders Than Ever

The New Abnormal is turning out to be quite an embarrassment for Obama’s "manufacturing renaissance" agenda not to mention high paying, manufacturing jobs but at least it explains why Bernanke doesn’t mind sending the USD surging when all other central banks are now talking their currencies down (especially if it means fresh S&P records benefiting the 0.1%): after all, if you have nothing to export, who cares what the relative value of your currency is.

There is good news however. Even as the manufacturing jobs continue to collapse, posting their fourth consecutive monthly drop in June to 11.964 million jobs, minimum wage waiters and bartenders have never been happier. In June Restaurant and Bar employees just hit a new all time high of 10,339,800 workers, increasing by a whopping 51,700 in one month.

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Jim,

Will we EVER learn?

We’re Baaaaaack! NINJA loans are coming to a town near you. 5% is acceptable now. NINJA mortgages next? (No Income, No Job or Assets)

CIGA Wolfgang Rech

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The Return of the 10 Percent Down Payment
By Brendon DeSimone | Zillow – Mon, Jun 17, 2013 6:16 PM EDT

Remember the 10 percent down payment on a house? After virtually disappearing for years, it’s back.

Around the country, some lenders are offering 90 percent financing again on all loan types. For example, San Francisco-based RPM Mortgage resumed offering "piggyback" loans in the first quarter of 2013 after discontinuing them during the height of the credit crisis in late 2007, according to Vice President Julian Hebron. (A piggyback loan enables a home buyer to put only 10 percent down without having to buy mortgage insurance. This is done by getting two loans totaling 90 percent.)

In Monroe, NY, Rosalie Cook of Weichert Realtors says she is seeing buyer down payments range from all cash to as little as 5 percent. Mortgage lender Tom Gildea of Prospect Lending in Rockland County, NY agrees, saying that he’s doing loans with as little as 5 percent down "all day long." Those 5 percent down deals are with private mortgage insurance, are only for conforming loans (less than $417,000) and are reserved for borrowers with excellent credit, verifiable income and little debt.

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