Spread & Containment
Mounting loan defaults Mid-Corona – XLF a sell?
Mounting loan defaults Mid-Corona – XLF a sell?

Earnings season kicked off last week with big banks like Wells Fargo, Bank of America and Goldman Sachs delivering Q3 earnings for Q3/2020 and giving some first insights into their business and revenues Mid-Corona.
While Goldman Sachs delivered some strong numbers, Wells Fargo and Bank of America disappointed.
Trading houses like Goldman outperform "classic" banks like Wells Fargo
Goldman Sachs earnings came in significantly above the expectation of $5.37 Earnings per Share (EPS) at $9.68 and revenue at $10.78 billion against $9.19 billion.
In general, it seems as if chances are high that US banks with a focus on trading continue to profit from the elevated volatility Mid-Coronavirus and before the US election.
But given recent developments around the Coronavirus lockdown, the focus in the US banking and financial sector will likely be more on those banks which are more defined by interest rates, consumer banking and commercial real estate since these will potentially paint a clearer picture on what to expect in terms of the US economic outlook.
That said, a look at Wells Fargo, one of the biggest US banks, seems to make more sense:
- Wells Fargo's total revenue of $18.86 billion was down 14 year-over-year, but slightly above expectations of $17.98 billion
- That didn't help in terms of EPS, which came in at $0.42 against an expected $0.45
- Wells Fargo "only" set aside $769 million for credit losses in Q3, down from a staggering $9.5 billion in Q2/2020 and well below a FactSet estimate of $1.76 billion
CEO Scharf told investors that "[…]The trajectory of the economic recovery remains unclear as the negative impact of COVID continues and further fiscal stimulus is uncertain[…]".
That sceptical outlook can also be seen in presented earnings from Bank of America:
- EPS was $0.51 against $0.53
- The bank set aside $1.4 billion for loan loss provisions, against $5.1 billion in Q2/2020
- Net interest income is down 17%, coming in at $10.1 billion.
With our expectation of mounting defaults Mid-Corona and a further decline in US interest rates, our outlook for the US banking sector is not very positive.
How can you trade #XLF in this environment?
This leaves us with a bearish expectation for the Financial Select Sector SPDR Fund ETF (XLF):
While the ETF is currently trading around its SMA(200), we consider the overall mode on a daily time-frame bearish if bulls can't sustainably recapture 26.00 USD, the region around the August/September highs.
A break below 23.00 USD should be considered bearish and would make a substantial stint lower to a target around the "Corona lows" of 17.50 USD in the months to come an option, with a stop-over at around 20.00 USD:
Source: Admiral Markets MT5 with MT5SE Add-on #XLF Daily chart (from April 01, 2019, to October 19, 2020). Accessed: October 19, 2020, at 09:00 AM GMT. Please note: Past performance is not a reliable indicator of future results, or future performance.
In 2015, the value of #XLF decreased by 1.74%, in 2016, it increased by 22.59%, in 2017, it increased by 22.0%, in 2018, it decreased by 13.04%, and in 2019, it increased by 31.88%, meaning that in five years, it was up by 52.3%.
Discover the world's #1 multi-asset platform
Admiral Markets offers professional traders the ability to trade with MetaTrader 5, allowing you to experience trading at a significantly higher, more rewarding level than with MetaTrader 4. Experience benefits such as the addition of the Market Heat Map, so you can compare various currency pairs to see which ones might be lucrative investments, access real-time trading data, and so much more. Click the banner below to start your FREE download of MT5!

Disclaimer: The given data provides additional information regarding all analysis, estimates, prognosis, forecasts or other similar assessments or information (hereinafter "Analysis") published on the website of Admiral Markets. Before making any investment decisions please pay close attention to the following:
- This is a marketing communication. The analysis is published for informative purposes only and is in no way to be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and that it is not subject to any prohibition on dealing ahead of the dissemination of investment research.
- Any investment decision is made by each client alone whereas Admiral Markets shall not be responsible for any loss or damage arising from any such decision, whether or not based on the Analysis.
- Each of the Analysis is prepared by an independent analyst (Jens Klatt, Professional Trader and Analyst, hereinafter "Author") based on the Author's personal estimations.
- To ensure that the interests of the clients would be protected and objectivity of the Analysis would not be damaged Admiral Markets has established relevant internal procedures for prevention and management of conflicts of interest.
- Whilst every reasonable effort is taken to ensure that all sources of the Analysis are reliable and that all information is presented, as much as possible, in an understandable, timely, precise and complete manner, Admiral Markets does not guarantee the accuracy or completeness of any information contained within the Analysis. The presented figures that refer to any past performance is not a reliable indicator of future results.
- The contents of the Analysis should not be construed as an express or implied promise, guarantee or implication by Admiral Markets that the client shall profit from the strategies therein or that losses in connection therewith may or shall be limited.
- Any kind of previous or modelled performance of financial instruments indicated within the Publication should not be construed as an express or implied promise, guarantee or implication by Admiral Markets for any future performance. The value of the financial instrument may both increase and decrease and the preservation of the asset value is not guaranteed.
- The projections included in the Analysis may be subject to additional fees, taxes or other charges, depending on the subject of the Publication. The price list applicable to the services provided by Admiral Markets is publicly available from the website of Admiral Markets.
- Leveraged products (including contracts for difference) are speculative in nature and may result in losses or profit. Before you start trading, you should make sure that you understand all the risks.
International
A Climate Of Fear
A Climate Of Fear
Authored by James Gorrie via The Epoch Times,
The medical, media, and political elites’ focus has shifted from facts…

Authored by James Gorrie via The Epoch Times,
The medical, media, and political elites’ focus has shifted from facts to fomenting and magnifying fear.
In Franklin D. Roosevelt’s first inaugural address in 1933, the new president told a nation in the depths of the Great Depression that “the only thing we have to fear is fear itself.”
Those words were true and rightfully spoken at that time. Roosevelt knew that fear is a powerful emotion that limits our ability to reason, act wisely, and work together. It’s also an emotion that’s contagious and not easily diminished or dissipated.
The Power of Fear to Fragment Society
Unfortunately, Roosevelt’s words are even more applicable today.
On a personal level, decisions made under the emotional duress of fear are rarely the best ones and often the worst. Fear can bring out the best in us, but can often bring out the worst. That’s more likely to occur the more fragmented a society becomes. Fear among different groups of people creates an us-versus-them context in the minds of individuals, or even an “every-man-for-himself” attitude, which pits one group against another or even each of us against each other.
Now elevate that sense of fear to the level of the national electorate. A people or a nation that's paralyzed with fear makes rash decisions based on their fears of what could happen, not necessarily what the current situation truly is. When that happens, a society can quickly degenerate, where our base instincts determine our behavior in a law-of-the-jungle social environment.
Roosevelt knew this, as do our leaders today. The difference is that today, rather than seeking to dispel fear, our political and media elites create it, expand it, and revel in it. Rather than promote hope and strength of character in us, in a Roosevelt- or even a Reagan-like fashion, they traffic in fear and its fellow traveler social division in order to fragment our society.
It’s the old but effective divide-and-conquer strategy, and sadly, it works far too well. The mechanism for divide and conquer is the constant drumbeat of the Big Lie, which is also a tried and true method for controlling society. It was first practiced and perfected by Joseph Goebbels in Nazi Germany using the mass media, but has been successfully used by the USSR and every other communist and dictatorial regime in the world since the 1930s.
Social Media Is Magnitudes More Powerful Than Legacy Media
The difference today is the massive and pervasive presence of social media. Its reach and social saturation throughout society are magnitudes greater than have ever been possible before. What’s more, our political and media elites create and exaggerate fear without even mentioning the word. “Fear” is driven into our collective psyches under the guise of our government keeping us “safe,” while demonizing anyone who challenges that narrative.
The repetition by the media and the pharmaceutical industry of how to stay safe from COVID-19 always involves more drugs and less freedom. That’s by design. The elites that run society know that once enough of our friends, neighbors, coworkers, and others with whom we interact become more fearful than rational, they’re easily manipulated and divided into confrontational groups.
Does that sound like a conspiracy theory?
Yes, it probably does, but it’s also how the Stasi, the East German security agency, turned virtually every neighbor into an informant. The result was that people were fearful of doing anything that could be construed as being against the communist East German government. In light of what we’ve been through the last three years—and what looks to be on the horizon—the conspiracy theory accusation has lost its sting.
From Conspiracy Theory to Fact
Recall, for example, how those who received the COVID-19 vaccine turned against those who remained unvaccinated. The contrast and social division couldn’t have been clearer or more deliberate. Vaccinated people were characterized by the media and government agency spokespeople as selfless, smarter, and better human beings than those who refused the vaccine.
On the flip side, the “anti-vaxxers,” as they came to be called, were publicly derided by the medical, pharmaceutical, media, and government elites. They were accused of being low-intelligence conspiracy theory nuts who wouldn’t or couldn’t “follow the science,” even when they followed the science from experts such as Robert Malone, one of the inventors of the mRNA technology, and other medical doctors in Europe and Asia, including former Pfizer Vice President Dr. Michael Yeadon, all of whom were de-platformed from mainstream media and social media.
In fact, any “alternative” remedy to the experimental and highly dangerous mRNA vaccines, such as ivermectin, was summarily dismissed, even though nations that used ivermectin had the lowest mortality rates. As noted above, many media personalities and even medical experts with contrary opinions were silenced, shamed, and shunted into professional oblivion, being substituted by compliant replacements. That practice continues to this day, with Russell Brand being the latest example of being de-monetized by YouTube.
In light of vaccine injuries and deaths, and the staggering profits that vaccines have delivered to the pharmaceutical industry, the number of people who believe the mainstream media, the government, and in the vaccines, is much smaller today than three years ago.
Conspiracy theory narratives have become conspiracy facts.
The Endgame of Fear
So, what’s the endgame of promoting and enforcing a climate of fear throughout society?
It’s simple. Fearful people are far more compliant and, therefore, are easily controlled, pacified, monitored, and dehumanized. Next thing you know, we’ll all be eating bugs and liking it.
The antidote to fear, of course, is freedom and access to real and contrary information so that each person can make up his or her own mind. The encouragement, enablement, and empowerment of private individuals to exercise informed judgment about their health and their livelihoods are also part of the solution. A vibrant, thinking, and active society of informed individuals isn't nearly as vulnerable to the polarizing climate of fear our elites are foisting upon us.
In short, to live in fear is to live in bondage.
International
COVID-19 Vaccine Found In The Hearts Of Dead People: Study
COVID-19 Vaccine Found In The Hearts Of Dead People: Study
Authored by Zachary Stieber via The Epoch Times (emphasis ours)
COVID-19 vaccine…

Authored by Zachary Stieber via The Epoch Times (emphasis ours)
COVID-19 vaccine was detected in patients who died within a month of vaccination, according to a new study.
U.S. researchers analyzed tissue samples from the autopsies of 25 people, including 20 who were vaccinated.
Samples from the hearts of three patients, all of whom died within 30 days of a Pfizer shot, tested positive for messenger ribonucleic acid (mRNA).
Eight bilateral axillary lymph node samples, from people who died within 30 days of a Moderna or Pfizer vaccine, also tested positive. The companies' shots utilize mRNA.
The research shows "the vaccine can persist for up to 30 days, including in the heart," Dr. James Stone, with the departments of pathology at Massachusetts General Hospital and Harvard Medical School, told The Epoch Times via email.
The study was published by npj Vaccines. Authors declared no conflicts of interest. They said the research was supported by Massachusetts General Hospital, which is in Boston.
In testing of heart and bilateral axillary lymph node tissues from other vaccinated people who died, no vaccine was detected.
Additionally, no vaccine was detected in the liver, spleen, or mediastinal lymph nodes—vaccine was detected in the liver and spleen in preclinical rodent studies before—nor was any detected in tissues from the unvaccinated patients.
The Pfizer and Moderna vaccines are known to cause myocarditis, a form of heart inflammation that can result in death.
The people who had mRNA detected in the heart did not have myocarditis, though they did have detectable heart injuries, researchers found.
The researchers said they believed the heart injuries stemmed from underlying diseases and not the vaccines.
"There is no indication as yet that the vaccine in the heart is causing any problems in these patients; neither the causes of death nor the causes of the myocardial injury were linked to the vaccines in that study," said Dr. Stone, one of the authors of the paper.

That position was challenged by Dr. Clare Craig, a British pathologist who reviewed the research.
"The vaccine should not have been there. There was evidence of heart damage. Those three people are now dead," Dr. Craig told The Epoch Times in a message.
She said the researchers were setting too high of a bar for causality.
"At postmortem if there is significant narrowing of the coronary arteries then heart damage is attributed to it on the balance of probabilities. Here this is a clear cut association, an unusual picture of myocardial injury, and a failure to call it out for what it is," Dr. Craig said.
More on Research
The tissues were collected from autopsies performed between January 2021 and February 2022 at the Massachusetts General Hospital. Researchers excluded tissues from some dead people, including from patients who had no clear history of vaccination or non-vaccination and those who had a documented prior COVID-19 infection.
The researchers wanted to test the tissue for vaccine in light of research that has found both spike protein and mRNA persisting in axillary lymph nodes and blood for weeks or even months after vaccination. The testing would help "gain a better understanding of the biodistribution and persistence of SARS-CoV-2 mRNA vaccines," they said. SARS-CoV-2 is the virus that causes COVID-19.
Researchers ended up with tissues from 20 vaccinated patients, including six who received one dose, 12 who received two doses, and two who received three doses. They also formed a control group of five unvaccinated patients.
Six bilateral axillary lymph node samples were available for people vaccinated with Moderna's shot. Two tested positive for the vaccine. Thirteen were available for people vaccinated with Pfizer's shot. Six tested positive for the vaccine.
Overall, of the 11 bilateral axillary lymph node samples from patients who died within 30 days of a shot, eight tested positive. None of the samples from patients who died beyond 30 days of vaccination tested positive.
Researchers also examined samples from each of the vaccinated people from the cardiac left ventricle and cardiac right ventricle. Of those, four samples tested positive across three patients. These were the three who received Pfizer's shot within 30 days of dying. The samples also tested negative for COVID-19.
Vaccine was not detected in any of the unvaccinated people.
The vaccinated patients were on average older, with a mean age of 64 compared to 57. A higher percentage—55 percent to 20 percent—had recent heart injury.
Read more here...
International
T2 Biosystems (NASDAQ: TTOO) Breaks Ground: FDA Clearance, Market Trends, and Healthcare Impact
Shares of T2 Biosystems (NASDAQ:TTOO) are soaring up over 20% today on the heels of receiving a 510(k) clearance for its T2Biothreat from the FDA. This…

Shares of T2 Biosystems (NASDAQ:TTOO) are soaring up over 20% today on the heels of receiving a 510(k) clearance for its T2Biothreat from the FDA. This unique test directly detects six biothreat pathogens from a blood sample.
Spotting Biothreats Faster:
T2Biothreat Panel is a game-changer, being the first and only FDA-approved product that can spot these critical biothreat pathogens simultaneously. T2 Biosystems proudly stands as the first U.S. company to achieve this milestone, reshaping the field of biothreat detection.
Big Investor Sells:
Interestingly while celebrating this achievement, a significant investor, CR Group (CRG), decided to sell off a substantial chunk of shares. This sell-off, totaling 24.81 million shares, took place between Sept. 20 and Sept. 26. The timing of this sell-off alongside the FDA clearance raises some eyebrows.
Subscribe to Microcapdaily.com Right Now by entering your Email in the box below.
Subscribe to Our 100% Free Penny Stock Newsletter. We Have Something Big Coming!
New CDC Guidelines:
Regardless of CR Group selling, there still appears to be a massive opportunity according to many retail investors. Following new CDC guidelines, the U.S. government now mandates that all hospitals in the country must adopt rapid testing protocols to combat the sepsis pandemic by 2026, or risk losing Medicare funding.
Buying opportunity of the year!!! Update
byu/den1183 inTTOOstock
T2 Biosystems stands as the exclusive FDA-cleared product capable of achieving 100% accurate sepsis detection within 3 to 5 hours. Anticipating widespread adoption of T2 instruments in hospitals, the CEO foresees significant revenue generation, potentially reaching $1.3 billion annually, given the mandate.
This development drastically alters the landscape, potentially influencing the stock’s trajectory positively. With the ongoing surge in manufacturing hires and likely acceleration in orders, coupled with potential government contracts or international sales, many beleive T2 Biosystems presents an undervalued opportunity for investors.
What Borrowing Costs Tell Us:
Another interesting indicator to look at is the cost to borrow (CTB) fee. In terms of TTOO’s case, the stock has seen a massive surge in CTB fees, indicating a high demand from short sellers. When compared to the average CTB fee for other stocks, it’s pretty drastic. While this is typically not a very positive sign, retail investors seem to be buzzing with interest, given there also could be a potential short squeeze if enough buying comes in to trap the shorts.
Better News for Patients:
But let’s not forget the real impact and that’s what TTOO can do for patients. @ChengKeki a user from Twitter also shared an article about Butler Memorial Hospital and their approach to Sepsis. The hospital came up with a 2 step approach to expedite patient care. They’re utilizing the Beckman Coulter automation line to identify changes in a person’s blood cells that might indicate the development of sepsis. Which apparently has only been used in Europe and they’re the first in the US with the technology. Then shortly after, they use T2 Biosystems panels that as you know, quicken the process from 36 hours, to just 3-5 hours.
Catching sepsis quickly is crucial because it’s a life-threatening condition that rapidly progresses throughout your body and can lead to death if not promptly diagnosed and treated. Sepsis occurs when the body responds improperly to an infection, causing widespread inflammation and potentially damages multiple organ systems. Early detection allows for immediate medical intervention.
Conclusion:
T2 Biosystems is hitting major milestones, not only in the market but in improving critical healthcare processes. The company is also a major hit with retail investors and continues to trade an astronomical amount of shares daily, the current average is ~115M shares. The FDA approval and its implications, along with the positive shift in sepsis diagnosis, showcase T2 Biosystems’ growing role in healthcare. Keep an eye on how this progresses—it’s exciting for both investors and patients alike.
We will update you on TTOO when more details emerge, subscribe to Microcapdaily to follow along!
Subscribe to Our 100% Free Penny Stock Newsletter. We Have Something Big Coming!
Picture by jarmoluk from Pixabay
The post T2 Biosystems (NASDAQ: TTOO) Breaks Ground: FDA Clearance, Market Trends, and Healthcare Impact first appeared on Micro Cap Daily.
The post T2 Biosystems (NASDAQ: TTOO) Breaks Ground: FDA Clearance, Market Trends, and Healthcare Impact appeared first on Micro Cap Daily.
nasdaq stocks cdc testing fda pandemic europe-
Uncategorized20 hours ago
Bitcoin Payment Service BTCPay Server Now Easier to Integrate with React Apps
-
Government22 hours ago
Henderson on Illegal Weed
-
International18 hours ago
Putin Signs Decree To Draft 130K Young Men In Fall Conscription
-
International12 hours ago
Is The US Military Laying The Groundwork To Reinstitute The Draft?
-
Uncategorized17 hours ago
Expect new crypto regulations to follow Bitcoin ETFs
-
Government23 hours ago
October 2023 Monthly
-
International10 hours ago
These Are The World’s Top Diamond-Mining Countries, By Carats & Value
-
International14 hours ago
What Is The Top Priority Or Number One Concern Of Most Americans?