Everyone in this country is born free and equal, and everyone living on this land should have the right to buy housing.

But the reality is that we see that there are still many people who still can't afford to buy houses. They can only live in the toilets of the subway station and in the tent camps in the park. This makes me feel heartbroken every time I think about it. This should not happen in our prosperous and free country. We should act, not yesterday or tomorrow, but from now on!

...

On TV, Walsh Jr. delivered a public speech, reading out his new policies on real estate.

To make residents have their own homes, this is the core idea of ​​Walsh Jr.'s TV speech. In order to achieve this goal, Walsh Jr. said that he will continue to promote real estate plans, provide housing subsidies for middle- and low-income groups and minorities, and will continue to promote interest rate cuts.

Once Walsh's TV speech was broadcast, it immediately caused an uproar across the United States. The media interpreted that this was part of Walsh's economic recovery strategy, just like his father did ten years ago, promoting economic development by stimulating real estate.

At the same time, the media believes that this is also the promise of Walsh Jr. fulfilling his campaign promise, because when Walsh Jr. was fighting for votes on the Red Mountains in Georgia, he promised to allow his voters to live in his own house. He wanted to eliminate the homeless people as much as possible. Regardless of your skin color and ethnicity, he had to guarantee your minimum right to live.

The lower class people are also cheering for their victory. After all, although the United States is the most developed country in the world, there are a large number of poor people here, most of them are minorities. Therefore, Walsh's plan is considered to be an election victory for minorities.

However, some media believe that they should be skeptical about Walsh Jr.'s real estate stimulus policy. After all, during his father's reign, the economy was a mess, otherwise Wellington would not have been dismissed from re-election by playing the economic card, nor would they leave a classic "The problem of fools is in the economy."

Since the old Walsh failed back then, now that the little Walsh picked up the cold rice again, can he succeed?

But regardless of whether the media's interpretation is support or suspicion, the policy of stimulating real estate is being firmly implemented. The Federal Reserve first made the adjustment, which announced that it would cut interest rates in cooperation with President Walsh Jr.'s real estate policy.

"We will determine the extent of our interest rate cuts based on feedback from the financial markets and whether we will continue to cut interest rates in the future," said Fed Chairman Green publicly.

This is undoubtedly a super good news, because Meifang and Meidi are positioned as second-tier loan dealers, and low interest rates will help him continue to sell his loans downward.

The reactions given by Meifang and Meizhen were also quite real. On the day the Federal Reserve announced the interest rate cut, Meifang and Meizhen both borrowed 10 billion US dollars of loans through bank lending.

With the outbreak of the news of "10 billion loans", the secondary market suddenly became excited. After all, the economy is now sluggish, and all companies in the secondary market are also struggling to survive. Moreover, these companies are not as good as "state-owned enterprises" like Meifang and Meidi, so they will really go bankrupt.

Therefore, with the federal government's policy of stimulating real estate, and the 10 billion loans from Meifang Meidi, these companies have flocked to the place like hungry ghosts.

The effect of a 10 billion loan was also immediate. When the news of a 10 billion loan came out, not only the stocks of various real estate companies were rising, but even Dow Jones and S&P stopped the decline and began to rise.

As the stock market rose, the media followed the news, praising Walsh Jr.'s economic policies for its effectiveness, and said that the Federation will soon get rid of the quagmire of economic stagnation and re-enter the fast lane of development.

But compared to the media's optimism, Zhou Ming and Chen Shuye Ning and others shook their heads and sighed at the current situation.

This is an illusion!

Zhou Ming directly told Piero and Freeman that their real estate was not stimulated at all, and now it is just a bubble blown by finance.

The Americans are difficult to understand this situation because in their opinion, isn’t the stock market the economic vane? The stock market has risen. Is the actual situation still so bad?

Zhou Ming just asked back: "Where do you think the money invested in the stock market comes from?"

Zhou Ming's words woke up the dreamer with just one word, and also gave optimistic investors such as Piero and Freeman a blow.

Yes, where does the money in the stock market come from?

As old stock investors, Piero and Freeman know that no stock can rise for no reason. It is definitely because a lot of money is invested in, so the stock will rise, but where does this money come from?

It can only be a bubble created by tens of billions of loans!

The full name of Meifang is the Federal Citizen Mortgage Association. He is the second-department dealer of mortgage loans and the leader of the second-department dealer. Meifang, which is claimed by the federal government to be the savior of middle- and low-income people and minority groups to buy houses. In fact, he does not have direct contact with his customers. He takes out the loan from the bank and then subcontracts to other loan companies below, typically subcontracting them layer by layer.

In normal times, although the profits of this structure are taken away layer by layer, at the bottom, there are always loan companies that can lend out, but the economy is quite sluggish now. Not to mention lending to middle- and low-income people and minorities, it is a problem whether the lowest-level loan companies are still there.

In this case, instead of betting on unreliable interest from those poor people, it is better to invest directly in the stock market and get a good deal.

Because the federal government wants to stimulate real estate anyway, there must be other policy measures, so they will definitely make a profit if they invest in real estate. Even if it is not good, it is okay to wait for cash out at a high level.

This is the trend of thinking that should have been used as funds to buy houses for the lower-level people, and almost all of them flowed into the stock market.

To save the capitalists first, we should save the capitalists. Only when the capitalists have enough money to invest in the poor is the poor. Everyone is old Heshen, who doesn’t know who?

Zhou Ming used financial leverage to deal with real estate stocks long as he was at the Atlanta mobilization meeting. Now he just waited for the situation to change. After all, this is just beginning, so why are you anxious?

This is true. At the beginning, Walsh Jr. was very happy to see the stock market rise. He thought that his real estate policy had been successful. But as time passed, Walsh Jr. felt something was wrong, especially when the underlying statistics came out, Walsh Jr. found that not only did the homeless homeless people not decrease at all, but there was a trend of increasing numbers.

The data not only comes from low- and middle-income people and minorities, but the data feedback from real estate developers is also not optimistic. Although the market value of these real estate companies is growing, their sales have not actually increased at all. Whether in Manhattan or Los Angeles, there are a large number of houses that are vacant and cannot be sold.

Correspondingly, there are a large number of people who have become homeless people because they can't afford to buy a house.

After learning the news, Walsh Jr. was furious in the office and scolded the Housing and Financial Bureau for being unfavorable.

"I didn't receive any reports on such a thing. Are you all idiots? Or do you think you can do whatever you introduced? No matter what method you use, you must strictly investigate the case of misappropriation of mortgage funds in the stock market!"

In addition to the Housing and Finance Bureau, Walsh Jr. also notified Franklin and Holland, calling them to their office and scolding them for being bloody.

"I give you policy support and give you low-interest bank loans, not to let you invest in the stock market. If I want to revitalize the stock market, why don't I sign the quantitative easing bill directly? What other second-hand water injections are needed here?"

"Don't tell me that you can't manage the money you lend. If you really can't manage it, then I will look for someone who can manage it. Don't doubt my determination, I will do what I say!"

Of course, Walsh Jr. didn't just scold him, but Walsh Jr. also discussed countermeasures with his staff.

It is believed that the reason why these loan companies are using mortgages to invest in the stock market is that the economy is in a downturn. The income they lend to middle- and low-income people and minorities cannot be guaranteed, and coupled with the current lack of benefits in the real estate market.

Simply put, it is necessary to make these loan companies believe that their money is lending to home buyers, which is the biggest profit.

So Walsh Jr. introduced a housing subsidy policy, which was made available by the federal government and states respectively to provide subsidy support for home purchases for middle- and low-income people and minorities.

At the same time, the Federal Reserve also cut interest rates again, and Walsh Jr. hopes to use this to increase market enthusiasm.

However, Walsh Jr. continued to make policy adjustments and implemented various new policies, but it always achieved little success.

First of all, the Housing and Finance Bureau. He issued fines of up to billions of dollars to several loan companies with the largest loans, including Meifang Meidi and Kuailei, who had the most second-hand mortgages, but there is nothing else.

Next comes Franklin and Holland. They kept discussing with downstream loan companies and demanded that they use the loans in real estate, but the Housing and Financial Bureau issued a fine and immediately gave them a blow.

Finally, there is the issue of housing subsidies. The Ministry of Finance has no problem getting the money, but when it comes to the states below, all kinds of scenes of crying for poverty are staged. Not only traditional poor states like Alabama and Mississippi, but even California and New York are crying for poverty, saying that in order to cope with the economy, the state has become financially insecured and cannot support a large amount of housing subsidies.

Even Green privately found Walsh Jr. and complained that the Fed's interest rate cut was useless. If this continues, the Fed will reconsider its current interest rate cut strategy.
Chapter completed!