Meanwhile In Submerging Markets: An FX Bloodbath

Things were already bad enough for emerging markets going into August. Persistently low commodity prices, slumping demand from China, depressed global trade, and a “diminutive” septuagenarian waving around a loaded rate hike pistol in the Eccles Building had served to put an enormous amount of pressure on the world’s emerging economies. And then, the unthinkable happened.

Fallout From Petrodollar Demise Continues As Qatar Borrows $4 Billion Amid Crude Slump

Early last month, we noted the irony inherent in the fact that Saudi Arabia, whose effort to bankrupt the US shale space has been complicated by the Fed's ZIRP, was set to opportunistically tap the debt market in an effort to offset a painful petrodollar reserve burn. As Bloomberg reports, Qatar is now doing the same, "raising money from local banks as the slump in oil prices buffets the finances of the Middle East’s largest oil and gas exporters."

End Of Cheap Fossil Fuels Could Have More Severe Consequences Than Thought

The characteristic feeling of the post-2008 world has been one of anxiety. Occasionally, that anxiety breaks out into fear as it did in the last two weeks when stock markets around the world swooned and middle class and wealthy investors had a sudden visitation from Pan, the god from whose name we get the word "panic." Pan's appearance is yet another reminder that the relative stability of the globe from the end of World War II right up until 2008 is over. We are in uncharted waters. The relentless, if zigzag, rise in financial markets for the past 150 years has been sustained by cheap fossil fuels and a benign climate. We cannot count on either from here on out...

Bull Or Bear?

The can is no longer rolling along. Instead, it has come to a near halt, with central bankers and government policymakers desperate to give it another boot. Watch out!

Must Be The Weather?

Low oil prices? Low interest rates? Jobs galore? Wages pressures? Time for a rate hike? Then explain this...

Why Capital Is Fleeing China: The Crushing Costs Of Systemic Corruption

Corruption isn't just bribes and influence-peddling: it's protecting the privileges of the few at the expense of the many. Rampant pollution is corruption writ large: the profits of the polluters are being protected at the expense of the millions being poisoned. What China will be left with a poisoned land stripped of talent and capital.

Pentagon Admits Russian Spy Ship Discovered Near US Submarine Base, Heading For Cuba

On the heels of the unprecedented proximity of 5 Chinese naval ships in the Bering Sea, U.S. military satellites have been tracking a Russian spy ship - capable of cutting undersea communications cables and other sensors - since it was spotted in the north Atlantic last month off the coast of Kings Bay, Ga., home to the U.S. Navy’s East Coast ballistic missile submarine fleet. As FOX News reports, The Pentagon says the ship is transiting toward its next destination - Cuba.

NFLX Down 25% From Highs, Tumbles To June Stock Split Levels

FANG - Forget About New Gains? It appears another one of the legs of the new investing meme has broken. NFLX is now down 25% from its record highs in August and has entirely roundtripped from the post-stock-split exuberance...

Are Hillary Clinton & Donald Trump Distant Cousins?

While conspiracy theories of Trump's run as a disruptive influence in the Republican ranks to 'help' Hillary seems to be floundering following his pledge and jibes yesterday, it appears the two have more in common than anyone could have believed. It turns out Hillary Clinton and Donald Trump are distant cousins - sharing royal blood that runs deep in their family lines. No wonder The Oligarchy is so comfortable ruling over us serfs.

Goldman: "No Rate Hike In September"

While we have exposed the ugly under-belly of today's jobs data, mainstream media is spinning it as a 'Goldilocks' report with enough hits-and-misses for every hawk or dove. The market's initial reaction signals rising expectations of a September rate hike but, as Goldman's Jan Hatzius explains, they continue to expect the FOMC to keep policy rates unchanged at the September 16-17 meeting.

Is This Why Copper Is Collapsing?

Copper prices are in free-fall this morning, slammed lower by the "good-enough" jobs data. But we suspect the real reason lies elsewhere...

Record 94 Million Americans Not In The Labor Force; Participation Rate Lowest Since 1977

According to the BLS, the main reason why the unemployment rate tumbled to the lowest since April 2008 is because another 261,000 Americans dropped out of the labor force, as a result pushing the total number of US potential workers who are not in the labor force, to a record 94 million, an increase of 1.8 million in the past year, and a whopping 14.9 million since the start of the second great depression in December 2007.