But it’s Even Worse Than it Looks. And this time, there is no jobs crisis. This time, it’s the result of greed by subprime lenders.
Santander Consumer USA is on the forefront of souring subprime-auto-loan backed securities.
But these are the good times. Automakers are not amused.
But what will happen to banks and automakers when the cycle turns?
“A development that is surprising during a strong economy and labor market”: New York Fed
What will sink the US auto boom?
It’s already in the works and goes far beyond subprime.
SEC gets edgy. Investors get crushed.
“Recipe for Disaster.”
“Fears of an impending liquidity crunch in that asset class.”