{"id":88264,"date":"2025-07-05T01:00:16","date_gmt":"2025-07-05T08:00:16","guid":{"rendered":"https:\/\/lenpenzo.com\/blog\/?p=88264"},"modified":"2025-07-09T08:03:20","modified_gmt":"2025-07-09T15:03:20","slug":"black-coffee-5-july-2025","status":"publish","type":"post","link":"https:\/\/lenpenzo.com\/blog\/id88264-black-coffee-5-july-2025.html","title":{"rendered":"Black Coffee: Dumb and Dumber"},"content":{"rendered":"

\"\"It’s time to sit back, relax and enjoy a little joe …<\/em><\/p>\n

Welcome to another rousing edition of Black Coffee, your off-beat weekly round-up of what’s been going on in the world of money and personal finance.<\/p>\n

I’ve got another busy weekend ahead of me, so let’s get right to this week’s commentary …<\/p>\n

The fundamental cause of the trouble is that in the modern world the stupid are cocksure while the intelligent are full of doubt. <\/em><\/p><\/blockquote>\n

– Bertrand Russell<\/strong><\/p>\n

The stupid neither forgive nor forget; the naive forgive and forget; the wise forgive but do not forget. <\/em><\/p><\/blockquote>\n

– Thomas Szasz<\/strong><\/p>\n

Credits and Debits<\/strong><\/p>\n

Debit:<\/strong><\/span> Did you see this? A new study finds that only 46% of adult Americans have enough emergency savings to cover three months of expenses<\/a>. Additionally, 30% of people have some emergency savings but not enough to cover three months\u2019 expenses, and 24% have no emergency savings at all. In the meantime …<\/p>\n

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Debit:<\/strong><\/span> By the way, the same study also found that 33% of adult Americans have more credit card debt than emergency savings<\/a>, down from 36% in 2024 and 2023. That percentage is still higher than in 2022, when 22% of Americans had more credit card debt than emergency savings. Anybody else wonder if housing expenses have anything to do with this?<\/p>\n

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Credit:<\/strong><\/span> In other news, Raising Cane\u2019s has quietly surpassed KFC<\/a> in annual sales, becoming the third-largest chicken chain in the country. The accomplishment follows a recent winning streak for the 28-year-old company, which has spent the last decade expanding outside its home bases in Louisiana and Texas. Its restaurant footprint has grown to more than 900 locations, up from just over 500 in 2020. About 100 more are expected to open this year, with another 200 or so in the development pipeline. That\u2019s going to require a lot of employees. Then again, Raising Cane\u2019s isn\u2019t the only employer who is hiring\u2026<\/p>\n

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Credit:<\/strong><\/span> On Wall Street, the three major stock indices are finished higher for the week, with the S&P 500 and Nasdaq both hitting all-time intraday highs<\/a> on Friday before pulling back a bit. The Dow also finished up for the week, but just short of its last all-time high. Some economists are saying the current stock markets rally is primarily in reaction to the federal government’s continuing debasement of the US dollar (USD), rather than a booming economy. Okay \u2026 and maybe this, too:<\/p>\n

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Debit:<\/strong><\/span> In other news, with the $9 trillion in debt that is due this year, the federal government is planning to refinance the $9 trillion as short-term debt<\/a> in an attempt to avoid having to pay for 10 years of debt at a higher rate. Needless to say, this is extremely reckless due to its potential to increase interest rate volatility, and strain government cash flow. Although probably not as reckless as this \u2026<\/p>\n

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Gary Larson – The Far Side<\/p><\/div>\n

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Debit:<\/strong><\/span> Not coincidentally, the Fed announced changes last week to something called the commercial banks\u2019 supplementary leverage ratio (SLR). According to the Fed, the goal is rather mundane; that is, “ensure there is always enough liquidity<\/a> in the markets.\u201d Then again, we all know central bankers like to lie – especially by omission. After all, it\u2019s the best way to keep most people completely confused. Kind of like this lady …<\/p>\n