Individual Economists

Who Really Owns America? The Banks, The Billionaires, & The Deep State

Zero Hedge -

Who Really Owns America? The Banks, The Billionaires, & The Deep State

Authored by John and Nisha Whitehead via The Rutherford Institute,

“The politicians are put there to give you the idea that you have freedom of choice. You don’t. You have no choice. You have owners. They own you. They own everything. They own all the important land. They own and control the corporations. They’ve long since bought and paid for the Senate, the Congress, the state houses, the city halls. They got the judges in their back pockets and they own all the big media companies, so they control just about all of the news and information you get to hear… They spend billions of dollars every year lobbying. Lobbying to get what they want. Well, we know what they want. They want more for themselves and less for everybody else... It’s called the American Dream, ‘cause you have to be asleep to believe it.”

- George Carlin

As President Trump floats the idea of 50-year mortgages, Americans are being sold a new version of the American Dream—one that can never truly be owned, only leased from the banks, billionaires, and private equity landlords who profit from our permanent state of debt.

Which begs the question: who owns America?

Is it the government? The politicians? The corporations? The foreign investors? The American people?

While the Deep State keeps the nation divided and distracted by circus politics—the bread and circuses of empire—the police state’s stranglehold on power ensures the continuation of endless wars, runaway spending, and disregard for the rule of law.

Meanwhile, America is literally being bought and sold right out from under us.

Consider the facts.

Homeownership—the cornerstone of middle-class stability—is being transformed into a lifetime rental agreement. Cars, homes, and even college degrees have become indentured commodities in a debt-driven economy where the average American family serves as collateral for Wall Street’s profits.

This is not accidental.

It’s the natural evolution of an economy built to enrich the few at the expense of the many.

The American Dream has been repackaged as a subscription service—an illusion of ownership propped up by 0% down payments, predatory interest rates, and fine print that lasts a lifetime.

What used to be called “buying” is now simply renting from the future.

We’re losing more and more of our land every year to corporations and foreign interests. As individual Americans struggle just to make rent, corporations and foreign investors are quietly buying the country piece by piece. Foreign ownership of U.S. agricultural land has surged to more than 43 million acres—millions added in just the last few years. Meanwhile, large institutional landlords and single-family rental operators have amassed hundreds of thousands of houses across the country. Corporations now hold vast portfolios, converting would-be first-time buyers into permanent tenants. The result is a nation where more of our soil and shelter are controlled by entities whose primary allegiance is to shareholders—not communities.

The same dynamic plays out across industries.

We’re losing more and more of our businesses every year to foreign corporations and interests. Brands that once defined American enterprise—U.S. Steel, Budweiser, Jeep and Chrysler, Burger King, 7-Eleven—now fly international flags. Chinese companies and investors are also buying up major food companies, commercial and residential real estate, and other businesses. Global conglomerates have bought up the names we grew up with: U.S. Steel (now Japanese-owned); General Electric (Chinese-owned); Budweiser (Belgium); Burger King (Canada); 7-Eleven (Japan); Jeep, Chrysler, and Dodge (Netherlands); and IBM (China). The American economy has become a franchise of the world’s oligarchs.

We’re digging ourselves deeper and deeper into debt, both as a nation and as a populace. Debt has become America’s most profitable export. Washington borrows trillions it cannot repay; Wall Street packages our futures into products it can sell; and households shoulder record balances. The national debt (the amount the federal government has borrowed over the years and must pay back) has surged to more than $38 trillion under President Trump, “the fastest accumulation of a trillion dollars in debt outside of the COVID-19 pandemic.” In a nutshell, the U.S. government is funding its existence with a credit card, spending money it doesn’t have on programs it can’t afford. In this economy, debt has replaced freedom as our national currency.

The Fourth Estate—the supposed watchdog of power—has largely merged with the corporate state. Independent news agencies, which were supposed to act as bulwarks against government propaganda, have been subsumed by a global corporate takeover of newspapers, television and radio. A handful of corporations now control most of the media industry and, thus, the information dished out to the public. Likewise, with Facebook and Google having appointed themselves the arbiters of disinformation, we now find ourselves grappling with new levels of corporate censorship by entities with a history of colluding with the government to keep the citizenry mindless, muzzled and in the dark.

Most critically of all, however, the U.S. government, long ago sold to the highest bidders, now operates as a shell company for corporate interests. Nowhere is this state of affairs more evident than in the manufactured spectacle that is politics. Elections change the faces, not the system. Members of Congress do far more listening to donors than to citizens, so much so that they spend two-thirds of their time in office raising money. As Reuters reports, “It also means that lawmakers often spend more time listening to the concerns of the wealthy than anyone else.”

In the oligarchy that is the American police state, it clearly doesn’t matter who wins the White House, if they all answer to the same corporate shareholders.

So much for living the American dream.

“We the people” have become the new, permanent underclass in America.

We’re being forced to shell out money for endless wars that are bleeding us dry; money for surveillance systems to track our movements; money to further militarize our already militarized police; money to allow the government to raid our homes and bank accounts; money to fund schools where our kids learn nothing about freedom and everything about how to comply; and on and on.

This is no way of life.

It’s tempting to say that there’s little we can do about it, except that’s not quite accurate.

There are a few things we can do—demand transparency, reject cronyism and graft, insist on fair pricing and honest accounting methods, call a halt to incentive-driven government programs that prioritize profits over people—but it will require that “we the people” stop playing politics and stand united against the politicians and corporate interests who have turned our government and economy into a pay-to-play exercise in fascism.

Unfortunately, we’ve become so invested in identity politics that label us based on our political leanings that we’ve lost sight of the one label that unites us: we’re all Americans.

The powers-that-be want us to adopt an “us versus them” mindset that keeps us powerless and divided. Yet as I make clear in my book Battlefield America: The War on the American People and in its fictional counterpart The Erik Blair Diaries, the only “us versus them” that matters is “we the people” against the Deep State.

The American Dream was meant to promise opportunity, not indentured servitude.

Yet in the American Police State, freedom itself is on loan—with interest.

We can keep renting our lives from the powerful few who profit from our compliance, or we can reclaim true ownership—of our persons, our labor, our government, and our future.

For as long as we still have one, the choice is ours.

Views expressed in this article are opinions of the author and do not necessarily reflect the views of ZeroHedge.

Tyler Durden Thu, 11/13/2025 - 16:20

First Casualty Of Power Bill Crisis? Pennsylvania Abandons Regional Carbon-Trading Market

Zero Hedge -

First Casualty Of Power Bill Crisis? Pennsylvania Abandons Regional Carbon-Trading Market

The worsening power bill crisis across the Mid-Atlantic region, a combination of nation-killing climate change policies colliding with surging load growth from data centers, has forced Pennsylvania Governor Josh Shapiro to sign legislation allowing the state to abandon the Regional Greenhouse Gas Initiative (RGGI).

The Pennsylvania legislature ended the state's RGGI participation in the new state budget, which also cut funding tied to the climate initiative, effectively reversing the state's 2019 entry under former Governor Tom Wolf.

Senate Republicans have opposed RGGI for years, which, through its carbon-pricing structure, effectively penalizes the state's energy sector, increasing costs for the very plants that anchor the state's power grid and industrial economy. In return, power plants pay for CO₂ allowances that only send wholesale electricity prices higher, and result in higher power bills for businesses and families.

It's straightforward: climate taxes = higher power bills. 

Independent reports (from grid operator PJM and state regulators) have warned RGGI would:

  • pressure to close gas and coal plants early

  • loss of grid resilience

  • higher risk of capacity shortages

Given surging load growth from data centers, RGGI was a disaster waiting to happen that would've stripped the grid of spare capacity, destabilized regional power supply, and effectively paralyzed the state into a power crisis, as its neighbors just south, in Maryland, have done through failed globalist climate crisis policies.

"For years, the Republicans who've led the Senate have used RGGI as an excuse to stall substantive conversations about energy production; today that excuse is gone," Shapiro told reporters during a press conference minutes before signing the budget.

Shapiro noted, "I am looking forward to aggressively pushing for policies that create more jobs in the energy sector, bring more clean energy onto our grid and reduce the cost of energy for all Pennsylvanians."

The question becomes whether other surrounding states, many of which are experiencing power bill crises, thanks to horrible green policies that strip stable spare capacity from grids and replace it with unreliable solar and wind, which collide with expanding load growth from data centers, quietly exit RGGI.

It's time to bring common sense back to Mid-Atlantic politics after decades of failed Democratic policies that have sparked a cost-of-living crisis. And for those leftist-controlled states still pushing the climate-crisis narrative, remember this: even Bill Gates has acknowledged that many of the extreme claims around climate policy have been overstated.

By the way, the whole climate crisis hoax delayed America's ability to add new reliable spare capacity on the grid - now it must play catch up (all detailed in this epic report).

Tyler Durden Thu, 11/13/2025 - 15:40

ChatGPT's Use Of Song Lyrics Violates Copyright, Munich Court Finds

Zero Hedge -

ChatGPT's Use Of Song Lyrics Violates Copyright, Munich Court Finds

Authored by Vince Dioquino via Decrypt.co,

  • Judges found GEMA’s claims valid, ordering OpenAI to cease reproduction and provide damages and disclosure.

  • The court said GPT-4 and GPT-4o “memorized” lyrics, amounting to reproduction under EU copyright rules.

  • The decision, not yet final, could set a major European precedent on AI training data.

Germany’s national music rights organization secured a partial but decisive win against OpenAI after a Munich court ruled that ChatGPT’s underlying models unlawfully reproduced copyrighted German song lyrics.

The ruling orders OpenAI to cease reproduction, disclose relevant training details, and compensate rights holders.

It is not yet final, and OpenAI may appeal.

If upheld, the decision could reshape how AI companies source and license creative material in Europe, as regulators weigh broader obligations for model transparency and training-data provenance.

The case marks the first time a European court has found that a large language model violated copyright by memorizing protected works.

In its decision, the 42nd Civil Chamber of the Munich I Regional Court said that GPT-4 and GPT-4o contained “reproducible” lyrics from nine well-known songs, including Kristina Bach’s “Atemlos” and Rolf Zuckowski’s “Wie schön, dass du geboren bist.”

The court held that such memorization constitutes a “fixation” of the original works in the model’s parameters, satisfying the legal definition of reproduction under Article 2 of the EU InfoSoc Directive and Germany’s Copyright Act.

“At least in individual cases, when prompted accordingly, the model produces an output whose content is at least partially identical to content from the earlier training dataset,” a translated copy of the written judgement provided by the Munich court to Decrypt reads.

The model “generates a sequence of tokens that appears statistically plausible because, for example, it was contained in the training process in a particularly stable or frequently recurring form,” the court wrote, adding that because this “token sequence appeared on a large number of publicly accessible websites“ it meant that it was “included in the training dataset more than once."

In the pleadings, GEMA argued that the model's output lyrics were almost verbatim when prompted, proving that OpenAI’s systems had retained and reproduced the works.

OpenAI countered that its models do not store training data directly and that any output results from user prompts, not from deliberate copying.

The company also invoked text-and-data-mining exceptions, which allow temporary reproductions for analytical use.

“We disagree with the ruling and are considering next steps,” a spokesperson for OpenAI told Decrypt. “The decision is for a limited set of lyrics and does not impact the millions of people, businesses, and developers in Germany that use our technology every day.” 

OpenAI claims systems like theirs do not store or contain training data and thus do not hold copies of lyrics or other texts. Instead, these models learn patterns and generate new outputs based on patterns, OpenAI said.

The company told Decrypt that treating a model as if it contains stored works reflects a misunderstanding of how the technology works.

The court rejected those defenses, ruling that full reproductions embedded in a model’s structure fall outside the scope of data-mining exemptions.

“Training the models is not to be regarded as a usual and expected form of use that the rights holder must anticipate,” the court wrote. “This applies all the more when—as in the present case—the works are reproduced in the model, something that even the defendants themselves consider undesirable and against which countermeasures are taken.”

Decrypt reached out separately to GEMA for comment but has yet to receive a response by press time.

Tyler Durden Thu, 11/13/2025 - 15:20

Points or Cash Back?

The Big Picture -

 

 

Fees are going higher.

There has been a lot of coverage about this, especially with high-end credit cards like the Chase Sapphire Reserve and the Amex Platinum. Some of this is inflation, some business model adjustments, some just platform decay (aka enshittification).

Nobody really needs a points card, but if you use it well, it might be worth the cost.

I discussed a contrarian reason why pre-pandemic:

“Spending points provide any consumer with an opportunity to act as irrationally or even irresponsibly as they like, without the fear of negative consequences. (Spending recklessly on credit cards to accumulate points is idiotic; that is not what we are discussing here). I also am deeply aware of the advantages of purchasing experiences as opposed to the usual materialistic consumer stuff.

I see it not as a loss of 1%, an amount I do not imagine I was likely to have noticed either way. Instead, it is an unexpected windfall, providing an excuse to do some things and make some purchases you might not have done on your own, but wanted to.”

My choice is irrational. I intellectually understand that all cash is fungible, and that dollars back are both more flexible and more efficient than any points plan. I freely admit this. But it creates the opportunity to purchase guilt-free things I would not otherwise buy with my own money.

In 2018, I mentioned a ~$1000 Weber Grill (ironically, it reveals the impact of inflation that in 2018, that amount seemed silly for a grill). A $300 Dyson whisper fan for my desk that I would never have spent the money on; prior to that, an unusually generous points program at Restoration Hardware led to a new bedroom set.

Since then, I have purchased not one but two ridiculous Breville Espresso Machines with points: The Breville Barista Touch Impress Espresso Machine Brass Collection ($1700 at Williams Sonoma) and a Breville Oracle Touch Espresso Machine BES990BSS, Brushed Stainless Steel ($2500 at Amazon). Either of these machines purchased with real money would have ended in divorce, something you definitely cannot pay for with points.

 

The Math remains the same: Cash Back is rational, but Points can be used as an  irrational behavioral hack…

 

 

 

Previously:
Adventures in Behavioral Finance, Points Edition (May 17, 2018)

 

See also:
How much in cash back/points makes a credit card worthwhile for you?  (reddit)

The Problem With Rewards Credit Cards (The Atlantic, July 24, 2025)

Money anxiety is basically a part-time job now (Axios, Jul 30, 2025)

 

The post Points or Cash Back? appeared first on The Big Picture.

Subprime Auto Delinquencies Worst In Over 30 Years

Zero Hedge -

Subprime Auto Delinquencies Worst In Over 30 Years

Building on the theme of low-income consumers and young people burdened by debt and affordability woes, signs of stress are continuing to emerge across the subprime tier of the auto loan space.

A new Bloomberg report on Wednesday, citing data from Fitch Ratings, showed that delinquency rates on subprime auto loans surged to their highest level since 1994, with 6.65% of subprime borrowers at least 60 days overdue on payments in October.

Key data from the Bloomberg report:

  • Subprime exposure rising: 14.4% of consumers now fall into the riskiest credit category, the highest since 2019 (TransUnion).

  • Negative equity spike: Over 28% of trade-ins carried negative equity in Q3, as car prices hover above $50,000 and loan balances exceed vehicle values.

  • Soaring rates: Deep-subprime borrowers face average interest rates of 16% (new cars) and 21.6% (used). Some individual loans reach near-predatory levels above 30%.

The stress first appeared with the bankruptcies of subprime auto lender Tricolor and auto-parts supplier First Brands in September. Then came cracks in Zions and Western Alliance banks, which disclosed they were victims of loan fraud tied to funds invested in distressed commercial real estate.

On top of this, low-income consumers and young people have staged a spending revolt. This triggered Goldman's consumer desk to warn about the worst sentiment in decades and to go "Defcon 1" on the imploding consumer. We've cited a UBS note that explained that weakening consumer trends were spreading from low-income to middle-income households. Compounding this further is the "default cliff" that's rocking Gen Zers and millennials with insurmountable student loan debt.

What's been reported so far:

Cracks emerge: 

The Trump administration's renewed focus on addressing the lingering affordability crisis left by the Biden-Harris regime years is expected to accelerate sharply as the midterm election cycle begins.

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Tyler Durden Thu, 11/13/2025 - 13:25

Ugly, Tailing 30Y Auction Sends Yields Higher

Zero Hedge -

Ugly, Tailing 30Y Auction Sends Yields Higher

After yesterday's mediocre, tailing 10Y auction, and with yields pushing higher today, prospects for the week's final coupon auction, today's $25BN in 30Y bonds, were not too exciting. Which is a good thing because the just concluded final refunding auction was quite disappointing. 

The auction stopped at high yield of 4.694%, down from last month's 4.734%, but it also tailed the When Issued 4.684% by 1.00 basis point. This was the second tail in a row, and the biggest since August when the auction tailed by 2.1bps.

The bid to cover was 2.295, down from 2.382 and the lowest since August, when it was 2.266. Take that auction out and today's BtC would have been the lowest since 2023.

The internals were more solid, with Indirects taking down 71.0%, up from 64.5% and the highest since Oct 2024. Yet this was more than offset by the slide in Directs which took only 14.5%, down sharply from 26.9% in October and the lowest since October 2024. Finally, Dealers were left holding 14.5%, the most since August.

Overall, this was another subpar, tailing auction, and the only saving grace was the rebound in foreign buyers. Yet judging by the move higher in yields across the curve, the market was clearly disappointed with today's auction.

 

Tyler Durden Thu, 11/13/2025 - 13:19

"Chicagoans Do Not Want Us To Bankroll The Regime": Chicago Will No Longer Buy Treasury Bonds

Zero Hedge -

"Chicagoans Do Not Want Us To Bankroll The Regime": Chicago Will No Longer Buy Treasury Bonds

Authored by Jonathan Turley,

“It’s a bold statement, isn’t it?”

Those words of Chicago City Treasurer Melissa Conyears-Ervin hardly capture the moment.

Yesterday, Conyears-Ervin declared that her office would no longer invest in U.S. Treasury bonds to protest what she called the “authoritarian regime” of President Donald Trump. It is more bonkers than bold. It makes about as much sense as President Trump saying that he will not eat deep-dish pizza to protest Chicago.

My hometown of Chicago is facing an economic meltdown due to towering debt and massive spending. Mayor Ben Johnson and the unions have pushed self-destructive tax schemes and borrowing plans that would only accelerate the flight from the city and the collapse of the city’s finances.

Now, the person in charge of investing that money is declaring that politics rather than economics will guide investments.

It is the ultimate virtue signaling at the cost of others. She is given a fiduciary duty to properly maintain and protect the investments of the city, which is currently facing a rising debt crisis. She is saying that the city will not invest in what Ald. Bill Conway (34th), a former investment banker, correctly described as “by far the most liquid and secure debt instrument in the history of the world.”

Chicago has held almost a quarter of a billion dollars in Treasury bonds in the last three years due to its healthy return for citizens. To forego such investments is Kamikaze economics, destroying your own portfolio and investors as a demonstration of true faith.

The position hurts only Chicagoans.  However, the loss to the citizens could still provide gains to Conyears-Ervin, who is running to replace radical Chicago congressman, Danny Davis. Her announcement is meant to tap into the rage as she declared: “Chicagoans do not want us to bankroll the regime — the authoritarian regime — of Donald Trump where he has waged a war on our city. It’s a bold statement, isn’t it? And we need it to be.”

So, a city collapsing under debt will forego investing in one of the most secure debt instruments in the world.

Let’s recap. Mayor Johnson wants to float massive bonds to avoid cutting the budget while taxing large businesses for every new person that they employ. At the same time, the city will not invest in bonds that guarantee the most secure investment of money currently in city coffers.

This is coming in a week when many are questioning the logic of the government shutdown. After losing billions and putting many families and travelers into duress, the Democrats agreed to basically the identical clean CR that was offered over a month earlier. Yet, Conyears-Ervin makes that effort seem brilliant in comparison.

It is the same logic as burning money as a way to prevent its theft.

It is not clear where the money will go.

Antifa does not currently offer an investment fund option that guarantees a total political return with no capital gains. On the other hand, over $200 billion is practically hard to stuff in the mattress of Conyears-Ervin.

This could work out in the end, resulting in practically no loss due to the new investment policies. As Johnson virtually chases businesses out of the city, there will be less money to invest. Problem solved.

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Tyler Durden Thu, 11/13/2025 - 12:20

"Chicagoans Do Not Want Us To Bankroll The Regime": Chicago Will No Longer Buy Treasury Bonds

Zero Hedge -

"Chicagoans Do Not Want Us To Bankroll The Regime": Chicago Will No Longer Buy Treasury Bonds

Authored by Jonathan Turley,

“It’s a bold statement, isn’t it?”

Those words of Chicago City Treasurer Melissa Conyears-Ervin hardly capture the moment.

Yesterday, Conyears-Ervin declared that her office would no longer invest in U.S. Treasury bonds to protest what she called the “authoritarian regime” of President Donald Trump. It is more bonkers than bold. It makes about as much sense as President Trump saying that he will not eat deep-dish pizza to protest Chicago.

My hometown of Chicago is facing an economic meltdown due to towering debt and massive spending. Mayor Ben Johnson and the unions have pushed self-destructive tax schemes and borrowing plans that would only accelerate the flight from the city and the collapse of the city’s finances.

Now, the person in charge of investing that money is declaring that politics rather than economics will guide investments.

It is the ultimate virtue signaling at the cost of others. She is given a fiduciary duty to properly maintain and protect the investments of the city, which is currently facing a rising debt crisis. She is saying that the city will not invest in what Ald. Bill Conway (34th), a former investment banker, correctly described as “by far the most liquid and secure debt instrument in the history of the world.”

Chicago has held almost a quarter of a billion dollars in Treasury bonds in the last three years due to its healthy return for citizens. To forego such investments is Kamikaze economics, destroying your own portfolio and investors as a demonstration of true faith.

The position hurts only Chicagoans.  However, the loss to the citizens could still provide gains to Conyears-Ervin, who is running to replace radical Chicago congressman, Danny Davis. Her announcement is meant to tap into the rage as she declared: “Chicagoans do not want us to bankroll the regime — the authoritarian regime — of Donald Trump where he has waged a war on our city. It’s a bold statement, isn’t it? And we need it to be.”

So, a city collapsing under debt will forego investing in one of the most secure debt instruments in the world.

Let’s recap. Mayor Johnson wants to float massive bonds to avoid cutting the budget while taxing large businesses for every new person that they employ. At the same time, the city will not invest in bonds that guarantee the most secure investment of money currently in city coffers.

This is coming in a week when many are questioning the logic of the government shutdown. After losing billions and putting many families and travelers into duress, the Democrats agreed to basically the identical clean CR that was offered over a month earlier. Yet, Conyears-Ervin makes that effort seem brilliant in comparison.

It is the same logic as burning money as a way to prevent its theft.

It is not clear where the money will go.

Antifa does not currently offer an investment fund option that guarantees a total political return with no capital gains. On the other hand, over $200 billion is practically hard to stuff in the mattress of Conyears-Ervin.

This could work out in the end, resulting in practically no loss due to the new investment policies. As Johnson virtually chases businesses out of the city, there will be less money to invest. Problem solved.

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Tyler Durden Thu, 11/13/2025 - 12:20

"Chicagoans Do Not Want Us To Bankroll The Regime": Chicago Will No Longer Buy Treasury Bonds

Zero Hedge -

"Chicagoans Do Not Want Us To Bankroll The Regime": Chicago Will No Longer Buy Treasury Bonds

Authored by Jonathan Turley,

“It’s a bold statement, isn’t it?”

Those words of Chicago City Treasurer Melissa Conyears-Ervin hardly capture the moment.

Yesterday, Conyears-Ervin declared that her office would no longer invest in U.S. Treasury bonds to protest what she called the “authoritarian regime” of President Donald Trump. It is more bonkers than bold. It makes about as much sense as President Trump saying that he will not eat deep-dish pizza to protest Chicago.

My hometown of Chicago is facing an economic meltdown due to towering debt and massive spending. Mayor Ben Johnson and the unions have pushed self-destructive tax schemes and borrowing plans that would only accelerate the flight from the city and the collapse of the city’s finances.

Now, the person in charge of investing that money is declaring that politics rather than economics will guide investments.

It is the ultimate virtue signaling at the cost of others. She is given a fiduciary duty to properly maintain and protect the investments of the city, which is currently facing a rising debt crisis. She is saying that the city will not invest in what Ald. Bill Conway (34th), a former investment banker, correctly described as “by far the most liquid and secure debt instrument in the history of the world.”

Chicago has held almost a quarter of a billion dollars in Treasury bonds in the last three years due to its healthy return for citizens. To forego such investments is Kamikaze economics, destroying your own portfolio and investors as a demonstration of true faith.

The position hurts only Chicagoans.  However, the loss to the citizens could still provide gains to Conyears-Ervin, who is running to replace radical Chicago congressman, Danny Davis. Her announcement is meant to tap into the rage as she declared: “Chicagoans do not want us to bankroll the regime — the authoritarian regime — of Donald Trump where he has waged a war on our city. It’s a bold statement, isn’t it? And we need it to be.”

So, a city collapsing under debt will forego investing in one of the most secure debt instruments in the world.

Let’s recap. Mayor Johnson wants to float massive bonds to avoid cutting the budget while taxing large businesses for every new person that they employ. At the same time, the city will not invest in bonds that guarantee the most secure investment of money currently in city coffers.

This is coming in a week when many are questioning the logic of the government shutdown. After losing billions and putting many families and travelers into duress, the Democrats agreed to basically the identical clean CR that was offered over a month earlier. Yet, Conyears-Ervin makes that effort seem brilliant in comparison.

It is the same logic as burning money as a way to prevent its theft.

It is not clear where the money will go.

Antifa does not currently offer an investment fund option that guarantees a total political return with no capital gains. On the other hand, over $200 billion is practically hard to stuff in the mattress of Conyears-Ervin.

This could work out in the end, resulting in practically no loss due to the new investment policies. As Johnson virtually chases businesses out of the city, there will be less money to invest. Problem solved.

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Tyler Durden Thu, 11/13/2025 - 12:20

WTI Holds Gains Despite Big Crude Build, New Record US Crude Production

Zero Hedge -

WTI Holds Gains Despite Big Crude Build, New Record US Crude Production

Oil prices are bouncing modestly off of yesterday's ugly drop driven by OPEC+'s outlook for a sizable surplus (glut) ahead. The IEA also flagged a deteriorating outlook for a sixth consecutive month, saying in a report on Thursday that supply will exceed demand by just over four million barrels a day next year.

“There’s a lot of oil supply that’s coming back from the OPEC+ countries,” Chevron Corp. Chief Executive Officer Mike Wirth told Bloomberg Television.

“There’s a period of time when it would appear we’re going to see more supply coming into the market than demand will be able to absorb.”

At the same time, Bloomberg reports that the Trump administration has moved to raise the pressure on Russia to end the war in Ukraine, including sanctions on Rosneft PJSC and Lukoil PJSC. An oil trading firm that’s a unit of Russian oil giant Lukoil is starting to terminate jobs with days to go until sanctions fully kick in.

“The latest round of sanctions appear significant and there’s clear risk to supply,” Toril Bosoni, head of the oil markets division at the International Energy Agency, said in a Bloomberg TV interview.

That, coupled with Ukraine attacks against Moscow’s energy infrastructure, has helped to support fuel prices and offer a support to oil markets otherwise weighed down by oversupply fears.

Overnight, API reported a modest crude build.

Quick reminder that this week’s data won’t include the effect of the US government shutdown on aviation and, therefore, jet fuel demand and inventories. That will come in next week’s data after airlines began curtailing flights on Nov. 7. 

API

  • Crude +1.3mm

  • Cushing -43k

  • Gasoline -1.4mm

  • Distillates +944k

DOE

  • Crude +6.413mm - biggest build since July

  • Cushing -346k

  • Gasoline -945k

  • Distillates -637k

Crude inventories surged higher for the second week in a row (biggest build since July), modestly offset by small drawdowns for products (down for six straight weeks)...

Source: Bloomberg

The last two weeks have lifted US crude stocks to their highest in five months, but we note on a seasonal basis, it continues to lag recent years...

Source: Bloomberg

US Crude production surged by over 200k b/d last week to a new record high despite the ongoing slide in the rig count...

Source: Bloomberg

WTI is holding on top its modest gains off yesterday's plunge lows for now...

Source: Bloomberg

The bearish outlook for next year has triggered a key indicator - WTI’s prompt spread - to sink into contango...

Source: Bloomberg

That pricing pattern, with the nearest contracts trading at discounts to further-out ones, signals ample short-term supplies, though it also recovered Thursday.

Tyler Durden Thu, 11/13/2025 - 12:10

WTI Holds Gains Despite Big Crude Build, New Record US Crude Production

Zero Hedge -

WTI Holds Gains Despite Big Crude Build, New Record US Crude Production

Oil prices are bouncing modestly off of yesterday's ugly drop driven by OPEC+'s outlook for a sizable surplus (glut) ahead. The IEA also flagged a deteriorating outlook for a sixth consecutive month, saying in a report on Thursday that supply will exceed demand by just over four million barrels a day next year.

“There’s a lot of oil supply that’s coming back from the OPEC+ countries,” Chevron Corp. Chief Executive Officer Mike Wirth told Bloomberg Television.

“There’s a period of time when it would appear we’re going to see more supply coming into the market than demand will be able to absorb.”

At the same time, Bloomberg reports that the Trump administration has moved to raise the pressure on Russia to end the war in Ukraine, including sanctions on Rosneft PJSC and Lukoil PJSC. An oil trading firm that’s a unit of Russian oil giant Lukoil is starting to terminate jobs with days to go until sanctions fully kick in.

“The latest round of sanctions appear significant and there’s clear risk to supply,” Toril Bosoni, head of the oil markets division at the International Energy Agency, said in a Bloomberg TV interview.

That, coupled with Ukraine attacks against Moscow’s energy infrastructure, has helped to support fuel prices and offer a support to oil markets otherwise weighed down by oversupply fears.

Overnight, API reported a modest crude build.

Quick reminder that this week’s data won’t include the effect of the US government shutdown on aviation and, therefore, jet fuel demand and inventories. That will come in next week’s data after airlines began curtailing flights on Nov. 7. 

API

  • Crude +1.3mm

  • Cushing -43k

  • Gasoline -1.4mm

  • Distillates +944k

DOE

  • Crude +6.413mm - biggest build since July

  • Cushing -346k

  • Gasoline -945k

  • Distillates -637k

Crude inventories surged higher for the second week in a row (biggest build since July), modestly offset by small drawdowns for products (down for six straight weeks)...

Source: Bloomberg

The last two weeks have lifted US crude stocks to their highest in five months, but we note on a seasonal basis, it continues to lag recent years...

Source: Bloomberg

US Crude production surged by over 200k b/d last week to a new record high despite the ongoing slide in the rig count...

Source: Bloomberg

WTI is holding on top its modest gains off yesterday's plunge lows for now...

Source: Bloomberg

The bearish outlook for next year has triggered a key indicator - WTI’s prompt spread - to sink into contango...

Source: Bloomberg

That pricing pattern, with the nearest contracts trading at discounts to further-out ones, signals ample short-term supplies, though it also recovered Thursday.

Tyler Durden Thu, 11/13/2025 - 12:10

WTI Holds Gains Despite Big Crude Build, New Record US Crude Production

Zero Hedge -

WTI Holds Gains Despite Big Crude Build, New Record US Crude Production

Oil prices are bouncing modestly off of yesterday's ugly drop driven by OPEC+'s outlook for a sizable surplus (glut) ahead. The IEA also flagged a deteriorating outlook for a sixth consecutive month, saying in a report on Thursday that supply will exceed demand by just over four million barrels a day next year.

“There’s a lot of oil supply that’s coming back from the OPEC+ countries,” Chevron Corp. Chief Executive Officer Mike Wirth told Bloomberg Television.

“There’s a period of time when it would appear we’re going to see more supply coming into the market than demand will be able to absorb.”

At the same time, Bloomberg reports that the Trump administration has moved to raise the pressure on Russia to end the war in Ukraine, including sanctions on Rosneft PJSC and Lukoil PJSC. An oil trading firm that’s a unit of Russian oil giant Lukoil is starting to terminate jobs with days to go until sanctions fully kick in.

“The latest round of sanctions appear significant and there’s clear risk to supply,” Toril Bosoni, head of the oil markets division at the International Energy Agency, said in a Bloomberg TV interview.

That, coupled with Ukraine attacks against Moscow’s energy infrastructure, has helped to support fuel prices and offer a support to oil markets otherwise weighed down by oversupply fears.

Overnight, API reported a modest crude build.

Quick reminder that this week’s data won’t include the effect of the US government shutdown on aviation and, therefore, jet fuel demand and inventories. That will come in next week’s data after airlines began curtailing flights on Nov. 7. 

API

  • Crude +1.3mm

  • Cushing -43k

  • Gasoline -1.4mm

  • Distillates +944k

DOE

  • Crude +6.413mm - biggest build since July

  • Cushing -346k

  • Gasoline -945k

  • Distillates -637k

Crude inventories surged higher for the second week in a row (biggest build since July), modestly offset by small drawdowns for products (down for six straight weeks)...

Source: Bloomberg

The last two weeks have lifted US crude stocks to their highest in five months, but we note on a seasonal basis, it continues to lag recent years...

Source: Bloomberg

US Crude production surged by over 200k b/d last week to a new record high despite the ongoing slide in the rig count...

Source: Bloomberg

WTI is holding on top its modest gains off yesterday's plunge lows for now...

Source: Bloomberg

The bearish outlook for next year has triggered a key indicator - WTI’s prompt spread - to sink into contango...

Source: Bloomberg

That pricing pattern, with the nearest contracts trading at discounts to further-out ones, signals ample short-term supplies, though it also recovered Thursday.

Tyler Durden Thu, 11/13/2025 - 12:10

Verizon Set To Axe 15,000 Jobs Right Before Thanksgiving Holiday

Zero Hedge -

Verizon Set To Axe 15,000 Jobs Right Before Thanksgiving Holiday

The optics look awful for Verizon Communications if the Wall Street Journal's report is accurate: the carrier is preparing for its largest job cuts ever just days before millions of Americans hit the road for Thanksgiving. 

WSJ says Verizon is planning to cut 15,000 jobs. If that figure is correct, Bloomberg's latest data suggests this would be about 15% of its roughly 100,000-person workforce. WSJ notes this would be the largest workforce reduction on record for the carrier

Most of the job reductions will come from direct layoffs, and the carrier will shift 200 corporate stores into franchise operations, removing those employees from Verizon's payroll

For three consecutive quarters, Verizon has been losing postpaid phone subscribers, putting pressure on leadership to stop the hemorrhaging.  

Earlier, Verizon chairman Mark Bertolini told CNBC's Becky Quick on "Squawk Box" that the company needs to "do something different" as it undergoes its leadership change.

Bertolini said the carrier's new CEO, ex-PayPal boss Dan Schulman, is working on a turnaround plan after share losses under former CEO Hans Vestberg. 

"Verizon has gone from number one in market cap, bond ratings and market share to number three. And the network isn't as differentiated as it used to be, in large part because everybody's been spending money to put these 5G networks in place," Bertolini said. "So losing 30% share over the last eight years is an issue, and we have to do something different."

Bertolini added that Schulman will reveal his plan to turn the company around "sooner rather than later."

Schulman recently pledged to "aggressively transform our culture, our cost structure, and the financial profile of Verizon in order to put our customers first, compete effectively, and deliver sustainable returns for our shareholders."

Shares of Verizon in New York are up only 4% year to date, after being halved since peaking around $60 a share in late 2021.

T-Mobile appears to be the winner in the 'carrier wars'... 

Rest assured, AI will drive deeper workforce cuts in the years ahead. Everyone is starting to figure out what we've known for years (read here)

Tyler Durden Thu, 11/13/2025 - 12:00

Verizon Set To Axe 15,000 Jobs Right Before Thanksgiving Holiday

Zero Hedge -

Verizon Set To Axe 15,000 Jobs Right Before Thanksgiving Holiday

The optics look awful for Verizon Communications if the Wall Street Journal's report is accurate: the carrier is preparing for its largest job cuts ever just days before millions of Americans hit the road for Thanksgiving. 

WSJ says Verizon is planning to cut 15,000 jobs. If that figure is correct, Bloomberg's latest data suggests this would be about 15% of its roughly 100,000-person workforce. WSJ notes this would be the largest workforce reduction on record for the carrier

Most of the job reductions will come from direct layoffs, and the carrier will shift 200 corporate stores into franchise operations, removing those employees from Verizon's payroll

For three consecutive quarters, Verizon has been losing postpaid phone subscribers, putting pressure on leadership to stop the hemorrhaging.  

Earlier, Verizon chairman Mark Bertolini told CNBC's Becky Quick on "Squawk Box" that the company needs to "do something different" as it undergoes its leadership change.

Bertolini said the carrier's new CEO, ex-PayPal boss Dan Schulman, is working on a turnaround plan after share losses under former CEO Hans Vestberg. 

"Verizon has gone from number one in market cap, bond ratings and market share to number three. And the network isn't as differentiated as it used to be, in large part because everybody's been spending money to put these 5G networks in place," Bertolini said. "So losing 30% share over the last eight years is an issue, and we have to do something different."

Bertolini added that Schulman will reveal his plan to turn the company around "sooner rather than later."

Schulman recently pledged to "aggressively transform our culture, our cost structure, and the financial profile of Verizon in order to put our customers first, compete effectively, and deliver sustainable returns for our shareholders."

Shares of Verizon in New York are up only 4% year to date, after being halved since peaking around $60 a share in late 2021.

T-Mobile appears to be the winner in the 'carrier wars'... 

Rest assured, AI will drive deeper workforce cuts in the years ahead. Everyone is starting to figure out what we've known for years (read here)

Tyler Durden Thu, 11/13/2025 - 12:00

Verizon Set To Axe 15,000 Jobs Right Before Thanksgiving Holiday

Zero Hedge -

Verizon Set To Axe 15,000 Jobs Right Before Thanksgiving Holiday

The optics look awful for Verizon Communications if the Wall Street Journal's report is accurate: the carrier is preparing for its largest job cuts ever just days before millions of Americans hit the road for Thanksgiving. 

WSJ says Verizon is planning to cut 15,000 jobs. If that figure is correct, Bloomberg's latest data suggests this would be about 15% of its roughly 100,000-person workforce. WSJ notes this would be the largest workforce reduction on record for the carrier

Most of the job reductions will come from direct layoffs, and the carrier will shift 200 corporate stores into franchise operations, removing those employees from Verizon's payroll

For three consecutive quarters, Verizon has been losing postpaid phone subscribers, putting pressure on leadership to stop the hemorrhaging.  

Earlier, Verizon chairman Mark Bertolini told CNBC's Becky Quick on "Squawk Box" that the company needs to "do something different" as it undergoes its leadership change.

Bertolini said the carrier's new CEO, ex-PayPal boss Dan Schulman, is working on a turnaround plan after share losses under former CEO Hans Vestberg. 

"Verizon has gone from number one in market cap, bond ratings and market share to number three. And the network isn't as differentiated as it used to be, in large part because everybody's been spending money to put these 5G networks in place," Bertolini said. "So losing 30% share over the last eight years is an issue, and we have to do something different."

Bertolini added that Schulman will reveal his plan to turn the company around "sooner rather than later."

Schulman recently pledged to "aggressively transform our culture, our cost structure, and the financial profile of Verizon in order to put our customers first, compete effectively, and deliver sustainable returns for our shareholders."

Shares of Verizon in New York are up only 4% year to date, after being halved since peaking around $60 a share in late 2021.

T-Mobile appears to be the winner in the 'carrier wars'... 

Rest assured, AI will drive deeper workforce cuts in the years ahead. Everyone is starting to figure out what we've known for years (read here)

Tyler Durden Thu, 11/13/2025 - 12:00

Ukraine Ruled By "Wartime Mafia Network" With "Countless Ties" To Zelensky: Viktor Orban

Zero Hedge -

Ukraine Ruled By "Wartime Mafia Network" With "Countless Ties" To Zelensky: Viktor Orban

Hungarian Prime Minister Viktor Orbán is having a "told you so" moment as Ukraine's massive corruption scandal which has already taken down the country's Justice Minister and several other high officials has come to light. The crisis has entered Ukraine's presidential office, with at least one close Zelensky business associate, Tymur Mindich, having fled the country already, just as the major embezzlement and kickbacks scandal involving the state-owned nuclear power company was made public.

Orban commented on X in a scathing denunciation of Zelensky's rule that Ukraine has been taken over by a "wartime mafia network" and that "the golden illusion" of an underdog nation heroically resisting the Russians is "falling apart". The crisis centers ironically on Ukraine's state-run energy sector at a moment common Ukrainians are suffering amid rolling blackouts and relentless Russian aerial attacks on the power grid.

AFP/Getty Images

"A wartime mafia network with countless ties to President Volodymyr Zelensky has been exposed," stated the Hungarian leader. "The energy minister has already resigned, and the main suspect has fled the country."

He then unleashed on those Eurocrats who've long wagged their finger at Hungary for not stepping up to do more in funding Ukraine. This has simultaneously included years of immense pressure from Western Europe for Hungary to sever its energy dependency on Russian imports, which Orban has at various times warned would sink the economy if done drastically.

Orban in the Thursday X statement blasted this "Madness":

"This is the chaos into which the Brusselian elite want to pour European taxpayers’ money, where whatever isn’t shot off on the front lines ends up in the pockets of the war mafia. Madness."

"Thank you, but we want no part of this," he continued sarcastically. "We will not send the Hungarian people’s money to Ukraine. It can be put to far better use at home: this week alone we doubled foster parents’ allowances and approved the 14th month’s pension."

And again, alluding to the ongoing scandal, "Anyhow, after all this, we certainly won't give in to the Ukrainian president’s financial demands and blackmail. It's high time Brussels finally understood where their money is really going," Orban wrote.

Hungary has clashed with Kiev time and again over the years, with at times other European allies stepping in to seek to mediate the delicate relationship. EU leadership has also constantly chastised Orban in particular for thwarting and sabotaging European unity when it comes to collective efforts to support Ukraine and punish Russia.

Tyler Durden Thu, 11/13/2025 - 11:50

Ukraine Ruled By "Wartime Mafia Network" With "Countless Ties" To Zelensky: Viktor Orban

Zero Hedge -

Ukraine Ruled By "Wartime Mafia Network" With "Countless Ties" To Zelensky: Viktor Orban

Hungarian Prime Minister Viktor Orbán is having a "told you so" moment as Ukraine's massive corruption scandal which has already taken down the country's Justice Minister and several other high officials has come to light. The crisis has entered Ukraine's presidential office, with at least one close Zelensky business associate, Tymur Mindich, having fled the country already, just as the major embezzlement and kickbacks scandal involving the state-owned nuclear power company was made public.

Orban commented on X in a scathing denunciation of Zelensky's rule that Ukraine has been taken over by a "wartime mafia network" and that "the golden illusion" of an underdog nation heroically resisting the Russians is "falling apart". The crisis centers ironically on Ukraine's state-run energy sector at a moment common Ukrainians are suffering amid rolling blackouts and relentless Russian aerial attacks on the power grid.

AFP/Getty Images

"A wartime mafia network with countless ties to President Volodymyr Zelensky has been exposed," stated the Hungarian leader. "The energy minister has already resigned, and the main suspect has fled the country."

He then unleashed on those Eurocrats who've long wagged their finger at Hungary for not stepping up to do more in funding Ukraine. This has simultaneously included years of immense pressure from Western Europe for Hungary to sever its energy dependency on Russian imports, which Orban has at various times warned would sink the economy if done drastically.

Orban in the Thursday X statement blasted this "Madness":

"This is the chaos into which the Brusselian elite want to pour European taxpayers’ money, where whatever isn’t shot off on the front lines ends up in the pockets of the war mafia. Madness."

"Thank you, but we want no part of this," he continued sarcastically. "We will not send the Hungarian people’s money to Ukraine. It can be put to far better use at home: this week alone we doubled foster parents’ allowances and approved the 14th month’s pension."

And again, alluding to the ongoing scandal, "Anyhow, after all this, we certainly won't give in to the Ukrainian president’s financial demands and blackmail. It's high time Brussels finally understood where their money is really going," Orban wrote.

Hungary has clashed with Kiev time and again over the years, with at times other European allies stepping in to seek to mediate the delicate relationship. EU leadership has also constantly chastised Orban in particular for thwarting and sabotaging European unity when it comes to collective efforts to support Ukraine and punish Russia.

Tyler Durden Thu, 11/13/2025 - 11:50

Ukraine Ruled By "Wartime Mafia Network" With "Countless Ties" To Zelensky: Viktor Orban

Zero Hedge -

Ukraine Ruled By "Wartime Mafia Network" With "Countless Ties" To Zelensky: Viktor Orban

Hungarian Prime Minister Viktor Orbán is having a "told you so" moment as Ukraine's massive corruption scandal which has already taken down the country's Justice Minister and several other high officials has come to light. The crisis has entered Ukraine's presidential office, with at least one close Zelensky business associate, Tymur Mindich, having fled the country already, just as the major embezzlement and kickbacks scandal involving the state-owned nuclear power company was made public.

Orban commented on X in a scathing denunciation of Zelensky's rule that Ukraine has been taken over by a "wartime mafia network" and that "the golden illusion" of an underdog nation heroically resisting the Russians is "falling apart". The crisis centers ironically on Ukraine's state-run energy sector at a moment common Ukrainians are suffering amid rolling blackouts and relentless Russian aerial attacks on the power grid.

AFP/Getty Images

"A wartime mafia network with countless ties to President Volodymyr Zelensky has been exposed," stated the Hungarian leader. "The energy minister has already resigned, and the main suspect has fled the country."

He then unleashed on those Eurocrats who've long wagged their finger at Hungary for not stepping up to do more in funding Ukraine. This has simultaneously included years of immense pressure from Western Europe for Hungary to sever its energy dependency on Russian imports, which Orban has at various times warned would sink the economy if done drastically.

Orban in the Thursday X statement blasted this "Madness":

"This is the chaos into which the Brusselian elite want to pour European taxpayers’ money, where whatever isn’t shot off on the front lines ends up in the pockets of the war mafia. Madness."

"Thank you, but we want no part of this," he continued sarcastically. "We will not send the Hungarian people’s money to Ukraine. It can be put to far better use at home: this week alone we doubled foster parents’ allowances and approved the 14th month’s pension."

And again, alluding to the ongoing scandal, "Anyhow, after all this, we certainly won't give in to the Ukrainian president’s financial demands and blackmail. It's high time Brussels finally understood where their money is really going," Orban wrote.

Hungary has clashed with Kiev time and again over the years, with at times other European allies stepping in to seek to mediate the delicate relationship. EU leadership has also constantly chastised Orban in particular for thwarting and sabotaging European unity when it comes to collective efforts to support Ukraine and punish Russia.

Tyler Durden Thu, 11/13/2025 - 11:50

Michael 'Big Short' Burry Rage-Quits Market, Liquidates Hedge Fund

Zero Hedge -

Michael 'Big Short' Burry Rage-Quits Market, Liquidates Hedge Fund

We'll begin with the famous quote from economist John Maynard Keynes: "The market can stay irrational longer than you can stay solvent."

It's a reminder that even the smartest traders in the room, the ones who've built entire careers calling bubbles and shorting tops, can be steamrolled when markets detach from reality.

Case in point: "Big Short" investor Michael Burry, who periodically disappears into X hibernation, nuking his account every so often, only to reemerge months later with cryptic warnings like his latest: "Sometimes, we see bubbles."

Days after Burry's bubble post on X, his Scion Asset Management 13F revealed that roughly 80% of his put positions were concentrated in the high-flyers Palantir and Nvidia.

Source

Fast forward one week, and the unthinkable has happened, or perhaps thinkable, given his 2023 "Sell" call...

... Burry's Scion Asset Management terminated its SEC registration on Monday.

By Thursday night, Burry's X post clarified details about his recent bearish bet on Palantir, noting he bought 50,000 option contracts at $1.84 each, representing 100 shares per contract, for a total outlay of about $9.2 million, not the $912 million figure circulated online. The contracts give him the right to sell Palantir shares at $50 in 2027.

"That was done last month. On to much better things, Nov. 25," he wrote.

Burry sent a letter to investors late last month, noting: "With a heavy heart, I will liquidate the funds and return capital — but for a small audit/tax holdback — by year's end."

Almost admitting he is wrong: "My estimation of value in securities is not now, and has not been for some time, in sync with the markets."

The letter is circulating on X and has not yet been confirmed.

ZeroHedge commentary on Burry's 13Fs from last week:

All we know is that Burry appears to once again be swinging for the bubble fences, similar to what he did during the housing bubble, and is shorting the two names that are most synonymous with the current market mania — similar to what he did in 2008 when he was shorting housing using CDS.

We also know that since both names are sharply higher than where they were on Sept. 30 (the date of the 13F), Burry has already suffered substantial losses on his positions, assuming he hasn't already liquidated them (at a loss).

And while some will declare that Burry putting his money where his bubble-bursting mouth is a sign of the top, we have two words of caution: back in 2005, Burry was early by about two years, and even though he ultimately got the trade right, the carry on the CDS crushed him. Second, the last time Burry tried to top-tick the market was January 2023 when he blasted the one-word "Sell." The market is up 69% since then.

Bloomberg Intelligence Eric Balchunas' first take on Burry "taking his ball and going home":

1. Shows how bears win battles but bulls win wars.

2. Arguable a top signal that this mkt broke him, echoes Ted Aronson closing his value fund in similar existential crisis manner just prior to 2022 value comeback (brutal).

3. NO ONE KNOWS THE FUTURE (even ppl who get portrayed by Christian Bale in a movie, which may be the coolest thing that can happen to someone).

Ouch!

Back to Keynes' quote about bears being steamrolled in bubbles... What is Burry's next move?

Tyler Durden Thu, 11/13/2025 - 11:50

Michael 'Big Short' Burry Rage-Quits Market, Liquidates Hedge Fund

Zero Hedge -

Michael 'Big Short' Burry Rage-Quits Market, Liquidates Hedge Fund

We'll begin with the famous quote from economist John Maynard Keynes: "The market can stay irrational longer than you can stay solvent."

It's a reminder that even the smartest traders in the room, the ones who've built entire careers calling bubbles and shorting tops, can be steamrolled when markets detach from reality.

Case in point: "Big Short" investor Michael Burry, who periodically disappears into X hibernation, nuking his account every so often, only to reemerge months later with cryptic warnings like his latest: "Sometimes, we see bubbles."

Days after Burry's bubble post on X, his Scion Asset Management 13F revealed that roughly 80% of his put positions were concentrated in the high-flyers Palantir and Nvidia.

Source

Fast forward one week, and the unthinkable has happened, or perhaps thinkable, given his 2023 "Sell" call...

... Burry's Scion Asset Management terminated its SEC registration on Monday.

By Thursday night, Burry's X post clarified details about his recent bearish bet on Palantir, noting he bought 50,000 option contracts at $1.84 each, representing 100 shares per contract, for a total outlay of about $9.2 million, not the $912 million figure circulated online. The contracts give him the right to sell Palantir shares at $50 in 2027.

"That was done last month. On to much better things, Nov. 25," he wrote.

Burry sent a letter to investors late last month, noting: "With a heavy heart, I will liquidate the funds and return capital — but for a small audit/tax holdback — by year's end."

Almost admitting he is wrong: "My estimation of value in securities is not now, and has not been for some time, in sync with the markets."

The letter is circulating on X and has not yet been confirmed.

ZeroHedge commentary on Burry's 13Fs from last week:

All we know is that Burry appears to once again be swinging for the bubble fences, similar to what he did during the housing bubble, and is shorting the two names that are most synonymous with the current market mania — similar to what he did in 2008 when he was shorting housing using CDS.

We also know that since both names are sharply higher than where they were on Sept. 30 (the date of the 13F), Burry has already suffered substantial losses on his positions, assuming he hasn't already liquidated them (at a loss).

And while some will declare that Burry putting his money where his bubble-bursting mouth is a sign of the top, we have two words of caution: back in 2005, Burry was early by about two years, and even though he ultimately got the trade right, the carry on the CDS crushed him. Second, the last time Burry tried to top-tick the market was January 2023 when he blasted the one-word "Sell." The market is up 69% since then.

Bloomberg Intelligence Eric Balchunas' first take on Burry "taking his ball and going home":

1. Shows how bears win battles but bulls win wars.

2. Arguable a top signal that this mkt broke him, echoes Ted Aronson closing his value fund in similar existential crisis manner just prior to 2022 value comeback (brutal).

3. NO ONE KNOWS THE FUTURE (even ppl who get portrayed by Christian Bale in a movie, which may be the coolest thing that can happen to someone).

Ouch!

Back to Keynes' quote about bears being steamrolled in bubbles... What is Burry's next move?

Tyler Durden Thu, 11/13/2025 - 11:50

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