Paul Craig Roberts On Who Really Benefits From The Rate Hike

A different way of putting it is that the “rate hike” favors banks sitting on excess reserves over banks who are lending to businesses and consumers in their community. In other words, the rate hike just facilitates more looting by the One Percent.

The Average Stock Is Just Shy Of Being In A Bear Market

Depsite the exuberant buying-panic of the first Fed rate-hike in 9 years lifting stocks to within spitting distance of record highs, under the surface, equities are roiling. In fact, the average stock's distance from its highs is now at 19%... just outside of bear market territory.

Philly Fed Collapses To Lowest Since Feb 2013 As 'Hope' Crashes

Following last month's bounce, driven by a surge in 'hope', The Philly Fed collapsed to -5.9 (dramaticlaly missing expectations of +1.0) and hitting its lowest levels since Feb 2013. With 'hope' plunging back to its lowest levels since Dec 2012, there was little to support the dream as Prices Paid and Received plunged, and New Orders cratered to 3 year lows. Future CapEx expectations crashed as did workweek and employment outlooks.

Money Velocity Is Crashing - Here's Why

Manipulating the PR optics (i.e. perception management) as a substitute for an open market doesn't make you omnipotent, it makes you a hubris-soaked fool.

Caught On Tape: Spanish PM Rajoy Punched In Face By "Selfie-Seeking Teen"

While campaigning ahead of elections, Spanish prime minister Mariano Rajoy was rocked with a right cross when a "selfie-seeking teen" approached and went full Balboa on the side of his face, breaking his glasses, before Rajoy's security detail wrestled the assailant to the floor. As El-Pais reports, the 17-year-old told police "I'm very happy I did it," while Rajoy later tweeted that he "was fine." It appears it is time for a European ban on teenagers (who are suffering massive unemployment) and fists.

Global Stocks, Futures Continue Surge On Lingering Rate Hike Euphoria

Heading into the Fed's first "dovish" rate hike in nearly a decade, the consensus was two-fold: as a result of relentless telegraphing of the Fed's intentions, the hike is priced in, and it will be a "dovish" hike, with the Fed lowering its forecast for the number of hikes over the next year. Consensus was once again wrong on both accounts: first the rate hike was far more hawkish than most had expected (see previous post), and - judging by the surge in Asian, European stocks and US equity futures - the "market" simply is enamored with such hawkish hikes which will soon soak up trillions in liquidity from the financial system.

What The Market Chose To Ignore In Yesterday's Fed Announceent

The hard part now is how to ween the market away from the old narrative, the one which has pushed the S&P to record highs over the past 7 years on bad economic news, and to renomralize the market's own "reaction function" to that of the Fed. The problem is that from day one there is a major discrepancy between the two: as previouslly observed, the Fed did not deliver the desired dovish hike, and kept its 2016 year-end fed funds rate unchanged at 1.4% suggesting 4 rate hikes in the coming year, and which as Breslow notes means "being less dovish than the meeting previews suggested is now a sign of bullishness on the economy." This sets the Fed on a collision course with the market because "with the market pricing fewer hikes than the Fed suggests, someone is going to end up being wrong."

Something Strange Is Taking Place In The Middle Of The Atlantic Ocean

In the latest sign that the world is simply running out of capacity when it comes to coping with an inexorable supply of commodities, three diesel tankers en route from the Gulf to Europe did something rather odd on Wednesday: they stopped, turned around in the middle of the ocean, and headed back the way they came.

Ecological Panic: The New Rationale For Globalist Cultism

If ecological panic is the primary trigger of collapse, war and industrialized death, the elites escape all blame. They are the ones, after all, trying to “save us” from ourselves by introducing carbon emissions controls, not to mention the idea of population controls. Global warming becomes a catch-all bogeyman, a Frankenstein monstrosity created by humanity and plaguing humanity. Those who deny the existence of global warming or who question the legitimacy of its high priests (climate scientists) are not exercising their right to skepticism; they are contributing to inevitable genocide. Therefore, climate denial would have to be punished by governments, as climate scientists have been publicly suggesting.

Search For Fabled Nazi Gold Train Is A Bust: "There May Be A Tunnel...But There Is No Train"

Several months ago a couple of amatuer explorers in Poland thought they had finally found the location of the fabled Nazi gold train (used to ferry away the Reich's ill-gotten gains) and the Polish government even sent military teams to start digging it up because it was believed to be hidden in secret railway tunnels some 30 feet underground. But as the New York Times reports, the hunt for the train may be a bust...

China Weakens Yuan For 9th Consecutive Day, Longest Streak Since 2008

In the first two weeks of August 2008 (just a month before Lehman imploded), as tensions built in US financial markets, China weakened the Yuan for 10 straight days. Tonight, China just extended its streak of weakening the Yuan fix to 9 days (for an aggregate 1.4% devaluation, the largest such drop outside of August's devaluation in history). This pushes the Yuan back to June 2011 levels.