Saudi Cut In Oil Price For US May Lead To Price War

Saudi Arabia’s move to cut the cost of its oil to US customers has injected fear into the oil markets, bringing the price of OPEC crude below $80 and suggesting to some observers that the cartel is preparing for a global price war.

Man Buys Foreclosed Home, Finds Corpse Inside

Every now and then a person comes along who completely redefines the concept of "buying sight unseen." That someone is longtime Cape Coral resident William Wilson who, at a foreclosure auction on Monday, purchased the house on SE 19th Lane with rusted iron gates on each window and every entrance. Four dead-bolts were chained at the front door. He paid $96,000.  So far so good. He arrived the next morning to evaluate his purchase, trim the hedges and mow the lawn. What he found inside was a body.

While Brussels Burns In "Anti-Austerity" Riots, Here Is The Real Reason For Europe's Depression

Riot police clashed with demonstrators in the Belgian capital of Brussels on Thursday amid a massive protest against government plans to reform the country’s welfare system. This comes on the heels of violent French, Italian, and Spanish youth protests in recent weeks as the citizens of the non-Germanic European Union decry the 'austerity' they have been crushed by. What is odd, though, is externally, there has been 'no' austerity with debt loads rising for all these nations and debt/GDP at record highs for most. So where is the disconnect between a people under increasing financial pressure and a sovereign issuing more and more debt at will? The Telegraph has the stunning answer: an audit, published this morning, found that £109 billion out of a total of £117 billion spent by the EU in 2013 was "affected by material error”. Brussels accounts have not been given the all clear for 19 years running. In other words, Brussels 'embezzles' billions of euros per year, and blames it on austerity. Is it any wonder, Europe is burning?

Former IMF Head's Hedge Fund Goes Bankrupt After Partner Suicide, Fraud

It there is a better anecdote for everything the IMF stands for than the hedge fund of its former head, disgraced Dominique Strauss-Khan, going broke days after his partner, Thierry Leyne, 49, commits suicide in Tel Aviv under mysterious circumstances as reported previously, and subsequent revelations exposing at least one instance of fraud at the financial firm, we have yet to hear it.

3 Things Worth Thinking About

Not paying attention to the symptoms, failing to diagnose the problem and not taking any defensive actions will ensure that investors fall victim to the full-blown effect of any 'illness'. Even minor colds can have a lasting impacting on portfolio performance over time, and making up previous losses has never been a prescription for long-term financial health. Is this a "suckers rally?" Maybe, but only time will tell. However, taking some action in portfolios to reduce risks, take some profits, and rebalance your allocation model is always a great way to prevent coming down with a "cold."

"Most Powerful Man In The World"'s Inner Circle Probed By US Regulators For Money Laundering

Being 2 for 2 in losses this week (The US Election and Time's "world's most powerful person), it appears President Obama has fallen back on his regulatory army to take the fight to Vladimir Putin. As WSJ reports, U.S. prosecutors have launched a money-laundering investigation of billionaire Gennady Timchenko - a member of Putin's inner circle. The allegations are that Timchenko (who was among the first Russian businessmen to be sanctioned by the U.S. following Russia’s intervention in Ukraine’s Crimea region) transferred funds linked to allegedly corrupt deals in Russia through the U.S. financial system. The probe is also examining whether any of Mr. Putin’s personal wealth is connected to allegedly illicit funds. Timchenko warned in August, "there are reasons to be seriously afraid of provocations from the U.S."

When Risk Dies: Rwanda Bets Its Future On Junk Bonds

In the old days, maybe 6 or 7 years ago, there was a reason high-yield bonds had a high-yield... because they were 'risky'. Now, thanks to the transformative efforts of the world's central banks, there is no risk anymore and Rwanda has figured that out. As AllAfrica reports, Rwandan sovereign wealth fund money is being invested in high-yield instruments so that it can grow and be used to fund the country's development projects. "This way, the Fund will grow faster and will be used to support development projects sooner," says the fund's CEO. What could possibly go wrong?

Inside The Minds Of Central Bankers

"Central bank policies are no longer about the general state of an economy, or about jobs numbers, they’re about the threat of specific price levels. Now, I think that unlike the western press, Yellen and Draghi and other central bankers are acutely aware of what Kuroda stated yesterday. But perhaps I give them too much credit."

"Saudis Have Good Reason To Be Concerned" Warns Ex-CIA Officer, As ISIS Enters World's Largest Oil Exporter

For the longest time there has been speculation whether Jihadist forces, be they ISIS, Nusra or other regional groups, had managed to spread beyond the Iraq conflict zone and infiltrate the world's oil mecca: Saudi Arabia. We now know the answer: according to Bloomberg, a Saudi citizen suspected of organizing the attack on Shiite worshipers in the oil-rich Eastern Province returned from fighting in Iraq and Syria, according to Saudi-owned newspapers. In short, ISIS has arrived in the world's largest oil exporter, which begs the question: was yesterday's news of an oil pipeline explosion, quickly downplayed by Saudi sources as "maintenance-related", in fact what most assumed at first, namely an act of sabotage? And how long until the next "planned maintenance" pipeline explosion?

Record Equity ETF Creation In October

Every day for the past several years, sometime after 3pm, bullish market participants exhale a sigh of relief when as if out of nowhere, an "unexpected" surge of buying lifts stocks into the 4 pm close. There are several explanations for what some have dubbed if not Divine, then certainly centrally-planned intervention. This is the time when ETF creation and (far less frequently) redemption takes place. As a result, in a world in which the bulk of liquidity has shifted away from single name stocks and even futures toward ETFs, trends in the creation and redemption of ETFs are key to watch to determine how the market may move purely for to technical reasons (since fundamentals died some time in 2009). Which is why we note, with little surprise, that according to SocGen, Equity ETFs posted a record level of monthly creations in October, driven by US, regional eurozone and UK indexations, perhaps explaining the relentless levitation of the market on ever lower volume especially in the latter part of the day.

Ukraine Begins "Large-Scale" Offensive In Donetsk; "War Has Resumed" Rebel Leader Warns; Russian Stocks, Currency Crashing

Ebola is solved. Oil price drops are "unequivocally good news". The US election is positive. Draghi promised to do whatever it takes again. And Ukraine is in ceasefire.So why is it that Donetsk's Deputy Prime Minister Andriy Purgin claims Ukrainian security officials have started full-scale fighting, clashing 26 times today according to Ukraine military.y. With tanks advancing, Purgin exclaims, "now there is a full-scale war... attacking us, we are defending." The Ruble has been crushed to new record lows over 46 to the USDollar and Russian stocks are tumbling.