For months, the best performing strategy of 2016 was being long "low hedge fund concentration stocks." Amusingly, as of a few days ago, the second best performing strategy of 2016 is being long "high hedge fund concentration stocks", demonstrating vividly just how schizophrenic hedge fund traders have become...
Similar to Saudi Arabia, which is a swing producer, China is acting like a swing consumer. However, as China doesn’t report its storage data, it is difficult to estimate how long this trend will continue. Though other factors were involved in encouraging the bulls to buy at lower levels, the increased demand from China also helped in lapping up the excess production. If their imports drop, the world will return to the supply glut and oil prices will retrace back to the lower $30s per barrel.
A lack of intervention in the Yen and strength in EUR have combined to weigh on the US dollar (following the Treasury's "currency manipulator" report. Bloomberg's USD Index is back at one-year lows as, while overnight chaos sent stocks higher, it has driven investors into the safety of bonds (Treasury yields down 2-3bps) and precious metals. Gold topped $1300 and Silver $18 as EURUSD pushes above 1.1500...
- Puerto Rico Development Bank Won’t Make Most of a Debt Payment Monday (WSJ)
- Why the jump in futures? Tokyo slide keeps mood downbeat (Reuters)
- Indiana to test Donald Trump’s staying power with evangelicals (Reuters)
- Gold Rallies Above $1,300 for First Time Since January 2015 (BBG)
- This Tech Bubble Is Bursting (WSJ)
After Failed Halliburton Deal, Baker Hughes Unveils "Path For The Future" Including $2.5BN Stock, Bond BuybackSubmitted by Tyler Durden on 05/02/2016 - 07:21
While it wasn't exactly breaking news, with consensus having long ago decided that Halliburton and Baker Hughes would ultimately call off their ill-timed $28 billion merger announced in late 2014 following recurring media leaks, overnight the two companies officially ended speculation when they announced that the contested merger would be called off, resulting in a $3.5 billion termination fee payable to Baker Hughes. And with its immediate future somewhat in limbo, moments ago Baker Hughes outlined its "path for the future."
In what may be the biggest "self-outing" in years, overnight Australian entrepreneur Craig Wright has publicly identified himself as Bitcoin creator Satoshi Nakamoto, revealing his identity to three media organizations - the BBC, the Economist and GQ. His admission ends years of speculation about who came up with the original ideas underlying the digital cash system.
There has been a bevy of negative news in the past 48 hours which perhaps explains why futures are fractionally in the green as of this moment.
Update: PR Governor Padilla has spoken...*PUERTO RICO GOVERNOR SAYS WON'T PAY DEBT TOMORROW, CALLS ON U.S. CONGRESS, PAUL RYAN FOR HELP, CRISIS WILL GET WORSE IF U.S. CONGRESS DOESN'T HELP
Seymour Hersh has reported that the Obama Administration falsely blamed the government of Syria’s Bashar al-Assad for the sarin gas attack that Obama was trying to use as an excuse to invade Syria, exposing that a secret agreement in 2012 was reached between the Obama Administration and the leaders of Turkey, Saudi Arabia, and Qatar, to set up a sarin gas attack and blame it on Assad so that the US could invade and overthrow Assad. Notably, multiple reports suggest the US Consulate in Benghazi Libya was operating a "rat line" for Gaddafi’s captured weapons into Syria through Turkey; and now, for the first time, Hersh has implicated Hillary Clinton directly in this "rat line."
The latest mega data leak which hit the Qatar NationL Bank last week contains hundreds of thousands of records including customer transaction logs, personal identification numbers and credit card data. Additionally, dozens of separate folders consist of information on everything from Al Jazeera journalists to what appears to be the Al-Thani Qatar Royal Family and even contains a slew of records listed as Ministry of Defence, MI6 (the UK foreign intelligence service) and Qatar's State Security Bureau, also known as "Mukhabarat".
"Get Out Traitor" - German Justice Minister Flees In Armored Mercedes After Angry Protesters Boo Him OffstageSubmitted by Tyler Durden on 05/01/2016 - 20:40
Heiko Maas, the German Minister of Justice, was unable to finish his Labor Day celebration speech on the 1st of May as he was loudly booed and chased off the stage by the German people. The people repeatedly shouted "Traitor", "Leftist Rat", "Get out!", "We are the People" and "Maas must go!", eventually getting him to cancel his speech and flee to his armored Mercedes escorted by his armed bodyguards.