Well we had mixed economic news this morning GDP for the 4th quarter coming in hotter than forecast–not just a little–but much hotter. On the surface you might thing interest rates would move higher—but no rates have moved 5 basis points lower. Durable goods orders came in much softer than forecast and housing sales just came in hotter than expected.
Of course Tesla is taking a sound beating on weak earnings–actually described by some as a ‘train wreak’. Shares are down $80/share in the last month–ouch. It will be interesting to see if the Tesla bulls can drive shares back up or if reality will take hold of the price.
I am still awaiting pricing on the new baby bonds from Atlanticus Holdings–this lender to low quality borrowers must not like the number from the underwriters and they are continuing to haggle. This company has tons of bad loans—that is the business–high rates charged and a lot of bad loans. Their last 10-Q is here. Of course we will post pricing details when they are announced.
I keep watching CD rates—4.95% to 5.20% on Fido today–nothing wrong with a 3 month at 5.15%. No real funds to buy much for a few weeks – we’ll see what happens.