French investigators are raiding Google's (GOOGL.O) Paris headquarters as part of a probe over tax payments, a source close to the finance ministry told Reuters on Tuesday. Investigators have been probing Google's offices in central Paris since 0500 am (0300 GMT), said the source, who declined to be named.
- Asian stocks near 11-week lows, dollar bounces on Fed rate view (Reuters)
- Poll Finds Lack of Enthusiasm for Clinton and Trump (WSJ)
- Oil falls for fifth day as focus returns to growing exports (Reuters)
- The Hedge Fund That Couldn't Stay Open Long Enough for a Big Payday (BBG)
- French police break up refinery blockade in anti-reform showdown (Reuters)
One month after news that legendary investor Paul Tudor Jones' $11.6 billion hedge fund Tudor Investment had seen some $1 billion in redemptions as a result of poor performance and the exit of several money managers, some of whom spent decades at the firm, the inevitable next step has followed: Tudor is trimming the fees it charges some clients in its biggest fund amid losses this year.
Yesterday's weak dollar headfake has ended and overnight the USD rallied, while Asian stocks dropped to the lowest level in 7 weeks and crude oil fell as speculation returned that the Federal Reserve will raise interest rates as early as next month. The pound jumped and European stocks gained thanks to a weaker EUR.
Donald Trump released a new video on Monday that uses audio of women who have accused President Clinton of sexual assault to attack Hillary Clinton. It plays the audio against a black-and-white backdrop of the White House and an image of Bill Clinton with a cigar in his mouth. It then pivots to audio of Hillary Clinton laughing.
"I don’t see Brexit as a panacea, but merely the chance to manage one’s own affairs and to conduct one’s own debates over what should or should not be done by the state in one’s name...In Britain’s case, the change would inevitably give rise to economic winners and losers and it may easily be imagined to involve some additional, net short-term expense of time and effort as the country moves to adapt. But to pretend, for example, that Europe will maliciously shut out UK exports or discourage the tourists and holiday-homers from visiting in their droves and so risk a devastating retaliation from its biggest source of external income is worse than a joke."
Fearing a "forced" evacuation, dozens of migrants have left the refugee camp at Idomeni on the Greek-Macedonian border and are reportedly hiding in the surrounding region. It is perhaps no surprise they are fleeing as KeepTalkingGreece reports, ten riot police squads left Athens this morning and are expected to take position at the camp to aid in what officials call "a friendly evacuation." Other police forces from Northern Greece will be deployed in the area for "as long as it takes" to remove the 8,500 men, women, and children.
So far in May, base metals and Oil decoupled markedly. While the Oil price kept rising and moved closer to 50$, base metals fell off a cliff and descended below March lows. We believe that Oil is the errant outlier, helped by deep but temporary supply outages in Canada and Nigeria and all-time record speculative flows, and is more likely to catch down to other commodities going forward rather than the other way round. We look at Oil gyrations as short-term heavy volatility, within a long-term downward trend.
Following a year in which the public was relentlessly barraged with alarmist rhetoric about a “war on cops” and the dreadful impact of the so-called “Ferguson Effect,” official FBI statistics confirm that violent line-of-duty police deaths declined precipitously in 2015.
Asset markets aren't prepared for a hawkish Fed. As Bloomberg's Richard Breslow notes Fed speakers have even taken to the Sunday talk shows to beat the rate-rise drum as economics is morphing into punditry. They’re going to raise rates because they can, are independent, apolitical and can’t be bullied by foreigners. The numbers notwithstanding...
CME Group Inc., the world’s largest exchange operator, just completed an upgrade traders said would eliminate a shortcoming that gave some participants an advantage. Under the old system, data connections that linked customers to CME -- where key products like Treasury futures and contracts tied to the Standard & Poor’s 500 Index trade -- had noticeably different speeds, opening up the potential for gaming, according to traders and other experts. Those who knew how to gain faster access could increase their odds of being first in line to trade.
In 1922, Germany was up to its eyes in debt, to the point that it was beyond repayment. The government, in attempting to overcome the dire poverty that had developed, decided to print more paper banknotes. The printing didn’t (and couldn’t) solve the problem, so they printed more. Then more again... The reader may say to himself, “When will people learn?” Sadly, they don’t. Incredibly, when the reichsmark collapsed in 1923, no one blamed the excessive printing. In fact, many people felt that if only the printing had continued just a bit longer, everything might have been all right. What we can take away from this is that what happened in Weimar Germany in 1922–1923 is happening now in Venezuela in 2016. (And has happened in some twenty other countries over the last hundred years, most recently in Argentina in 2000 and in Zimbabwe in 2008.) The same will occur in Europe and America in the fairly near future.
The global financial system is in the eye of an unprecedented hurricane. While central bankers are congratulating themselves on their god-like mastery of Nature, and secretly praying to the idols of the Keynesian Cargo Cult every night, the inevitable consequence of borrowing from the future, the obsession with "growth" at any cost and financialization /monetary stimulus, a.k.a. the rich get richer thanks to central banks is systemic collapse.
Edward Snowden has called for a complete overhaul of US whistleblower protections after a new source from deep inside the Pentagon came forward with a startling account of how the system became a “trap” for those seeking to expose wrongdoing. The account of John Crane, a former senior Pentagon investigator, appears to undermine Barack Obama, Hillary Clinton and other major establishment figures who argue that there were established routes for Snowden other than leaking to the media.
In Chicago, where homicides are out of control and estimated to top 550 in 2016 (the most since 2012), police are so desperate to correct the problem that they are throwing good old fashioned police work to the wind, and turning to 'Minority Report'-esque algorithms to do the work for them.