WHO Declares "Health Emergency", Admits "Stretched To Limit" On "Out Of Control" Ebola Outbreak As Nigeria Cases Soar

CDC Director Frieden's worst nightmare is coming true - Nigeria, of which he was "deeply concerned" due to the population density in Lagos for instance, has admitted 139 patients are now being monitored for Ebola (up from 8 mere days ago). This, along with "the outbreak moving faster than we can control it," drive the World Health Organization (WHO) to declare West Africa's Ebola epidemic, an "extraordinary event" and now constitutes an international health risk. As Reuters reports, the agency said that, all states with Ebola transmission - so far Guinea, Liberia, Nigeria and Sierra Leone - should declare a national emergency, as former WHO official warned "governments appear to not have been engaged as necessary."

Futures Soar Back To Green, Dax Over 9000 On Russian Tweet Putin Ready To De-escalate

Wonder why moments ago futures soared and wiped out all overnight losses of nearly 15 points, pushing into the green, the DAX surging back over 9000 and the USDJPY right back to its cozy tractor-beam manipulated level of 102.000, just as the NY Fed's Kevin Henry walked through the door? The culprit: the following two tweets (yes, really) which were caught by Bloomberg and the other newswires and blasted as a done deal...

Frontrunning: August 8

  • Pope Francis calls for action as Iraqi Christians forced to flee (Reuters)
  • Richest Russians Deprived of Luxury Foods by Putin’s Ban (BBG)
  • Exxon Drilling Russian Arctic Shows Sanction Lack Bite (BBG)
  • Israeli Jets Strike Gaza Targets After Rockets Shatter Truce (BBG)
  • U.S. starts aid airdrops in Iraq but no strikes yet (Reuters)
  • Banks Said to Be Arranging Argentine Debt Buyer Group (BBG)
  • Siberia Flight-Ban Threat Forces Airlines to Mull Options (BBG)
  • Malaysia Airlines to Be Delisted in $429 Million Buyout (BBG)
  • Erdogan poised to win Turkey's first popular presidential vote (Reuters)
  • African Bank Fights Collapse in Espirito Santo-Like Drama (BBG)
  • China to build lighthouses on five isles in defiance of U.S. call (Reuters)

European Stocks Enter Correction, Though Strong USDJPY Levitation Cuts Most Of US Futures Losses

Late yesterday, after Nobel peace prize-winning president Obama revealed his latest military incursion, years of pent up can-kicking almost caught up with futures, which dared to tumble by a whopping 0.7%, a move which hit Europe far more than the US, and shortly after Europe's open, the Euro Stoxx 50 Index dropped 10% from its 2014 high, marking an official correction in Europe where the Dax continues to be the key risk indicator, and which dropped as low as 8,903 before recovering to a drop of only 0.9% while German Bunds continues to print record highs day after day on fears what the escalating Russian trade war will do to the German economy, and other such "costs." US futures meanwhile have seen most of their losses recovered thanks to the usual relentless low volume USDJPY levitation, which pushed ES down to just -0.2% after a nearly four times greater drop. Still, while futures may be surging, the 10 Year has not gotten the memo and remains stuck just above 2.36% or its lowest print since June 2013, a clear indication that at least the bond market has given up all hope of a so-called US recovery for the conceivable future. What is most important however, is that at this pace, the Friday confidence effect, i.e., a green close, may be recovered: let's all just wait and see what the NY Fed trading desk decides to do, and escalating world wars aside, let's just pretend that HY didn't just sugger the biggest weekly HY outflow in history didn't just take place.

China Trade Balance Explodes To Record High As July Exports Double Expectations

Filed in the "are you kidding us" folder... Chinese exports rose an astounding 14.5% YoY in July (the biggest surge since April 2013 and double the 7.0% YoY expectations). Chinese imports plunged 1.6% to 4-month lows, dramatically missing expectations of a 2.6% YoY gain. These miracles of goalseek.xls and fake trade invoicing left the Chinese Trade Balance for July at $47.3 Billion - its highest ever (ever) and almost double the $27.4bn expectations. In the midst of collapsing European economies, plunging Russia, and stumbling 'hard' US macro data, the Chinese government would have us believe the world (net) bought the most stuff ever from them in July...

Markets Turmoil As President Obama Authorizes Air Strikes On Iraq "To Prevent Genocide"

In an effort to prevent genocide, President Obama has authorized US military action in Iraq "to protect Americans":

*OBAMA SAYS HE'S AUTHORIZED TARGETED AIR STRIKES IN IRAQ
*OBAMA SAYS HE'S AUTHORIZED HUMANITARIAN DROPS FOR REFUGEES

Global equity markets and Treasury yields are tumbling, oil and gold are up. President Obama concluded: "Today, America Is Coming To Help Iraq"... Again! Full speech below...

Who Is The Richest Person In Your State: The Full Breakdown

Everyone knows that New York and California have the largest concentration of uber-wealthy Americans, however what may be less known is who the richest people in the other 48 or so states are. So, without further ado, here is the full map of all the top BSDs in America, broken down by state of residence.

Ten Years Later: The Greek Olympic Wasteland In Photos

Ten years ago, when Europe was successfully pretending it is solvent for the benefit of German exports and Greece was happily masking its budget deficit disaster with Goldman Sachs currency swaps, the Olympic flame was about to light up the Athenian night sky. As BBC reports, the return of the Games to the Olympics' spiritual home was widely hailed as a success at the time. Now, not so much and most Greeks view the Athens Olympics with anger as a contributing factor to the country's economic catastrophe. The Games cost almost twice their projected budget, with organisers not opting to use any temporary, collapsible venues, as other host cities have done.

Making Sense Of The US Oil Story

We frequently see stories telling us how well the United States is doing at oil extraction. The fact that there are stories in the press about the US wanting to export crude oil adds to the hype. How much of these stories are really true? A major concern with falling per-capita energy consumption it that the financial system may soon reach limits where it is stretched beyond what it can stand. The economy needs energy growth to grow, but the economy is not getting it.

Checkers Vs Chess: The Reason Europe Is Imploding On "Russian" Sanctions

The West's leaders are full of lawyers, Putin is ex-KGB. If ever there was an example of him playing chess while the West plays checkers, the following chart is it. Despite Western protestations that its sanctions will hurt Russia more than Europe this morning, one look at Europe's huge net trade balance with Russia for food and it's clear who is really going to feel the pain. As Martin Armstrong noted previously, "Putin has responded to [Western] sanctions as any really smart chess-player would - you get the supporters of your adversary to jump-ship." What better way to crack the 'stop-Putin' alliance than to force Europe into trade deficits and squeeze their economies (especially Germany)?

Martin Armstrong Warns Italy's Recession Means "The End Of Democracy"

For the second time this year, Italy experienced a slump of its gross domestic product by 0.3% year on year. The economic data is so bad that Italy's economy is the smallest in 14 years. The advantage of Italy and its legendary corruption has been its equally inefficient government that has allowed the people to just ignore it and get along with life in the real world of the underground economy. The solution for Italy? The politician’s dream. Brussels want to take away the right of the Italian people to vote on anything meaningful. Italy is where the Republic was born. The land that had inspired the American Revolution against monarchy is now itself surrendering the last vestige of democratic process yield to the growing tyranny of Brussels under the pretense of saving the Euro.

70% Of Americans Believe Illegal Immigrants Threaten Way Of Life

In recent weeks, Bloomberg Businessweek reports, President Obama and congressional Republicans have begun to offer the same simple-sounding solution for dealing with the flood of children crossing the U.S. border alone: Send the kids home. But with tens of thousands of them churning through the system, some just toddlers, the logistics are overwhelming. Since October, more than 57,000 children have arrived by themselves, most from Central America (as we show below), and 22,000 more have been detained with their parents (mostly children under 12). The American people appears considerably more concerned than the politicians - a Reuters/Ipsos poll shows 70% of Americans - including 86% of Republicans - believe undocumented immigrants threaten traditional U.S. beliefs and customs.

First BRICS Bank, Now BRICS Food Bank

Despite President Obama's dictating that Russia is increasingly "isolated," it appears they have found a whole new set of friends to play with in the global trade sandpit. In retaliation to Western sanctions, Putin yesterday unveiled a total food import ban from all sanctioning nations, and, just as the BRICS created their own 'IMF-lite' away from Washington's prying eyes, Russia plans to substitute banned goods with not just domestic supplies but imports from Latin America, China, and several other nations. Agriculture Minister Nikolai Fedorov said "no food shortages are expected," but more isolation for the West...

US Begins Dropping Humanitarian Supplies In Iraq, It May Also be Dropping Bombs

While we await the latest nationally televized appearance of the teleprompter telling Obama just what the US is doing in Iraq at some point over the next 60 minutes, there are conflicting reports about what may or may not be happening in Iraq right now. On one hand there appears to be confirmation that the US has begun airdropping humanitarian supplies to the thousands trapped in the Iraqi mountains, as we earlier reported would likely happen. On the other hand, the NYT also blasted that the US is now also bombing ISIS targets in Iraq.

It Begins: Canada To Send Military Equipment To Ukraine

Moments ago Bloomberg reported, citing Defense minister Rob Nicholson speaking in Trenton, Ontario, that Canada, a NATO member, will send military equipment to Ukraine. Ukraine will in turn supposedly use supplies to protect eastern border Nicholson speaking to reporters, although perhaps one should ask ISIS where US military equipment that was meant for Al-Qaeda, pardon, Syrian rebels to dethrone Assad ended up...