Here's The Ultra-Clever Way That The Chinese Are Circumventing Capital Controls
Submitted by Tyler Durden on 01/05/2016 - 19:05
Last year amid China’s ongoing financial crisis, the government there tightened some forms of capital controls (curiously while loosening others). For any Chinese citizen with savings right now, it’s pretty obvious what’s happening. And they want to get their money out of the country. Bitcoin has been a popular alternative in China because people can easily cross borders with vast sums of money encrypted inside their mobile phones. But there’s a new tactic that Chinese are using now: domains.
Caption Contest: "Make America Great Again" Edition
Submitted by Tyler Durden on 01/05/2016 - 18:40
"Shock and awe"...
Nomi Prins' Financial Road Map For 2016: "The Potential For Chaotic Fluctuations Is Greater Than Ever"
Submitted by Tyler Durden on 01/05/2016 - 18:15
We are currently in a transitional phase of geo-political-monetary power struggles, capital flow decisions, and fundamental economic choices. This remains a period of artisanal (central bank fabricated) money, high volatility, low growth, excessive wealth inequality, extreme speculation, and policies that preserve the appearance of big bank liquidity and concentration at the expense of long-term stability. The potential for chaotic fluctuations in any element of the capital markets is greater than ever. The butterfly effect - the flutter of a wing in one part of the planet altering the course of seemingly unrelated events in another part - is on center stage.
Islamic State's New "Jihadi John" Was Bouncy Castle Salesman, Nirvana Fan, Aspiring Dentist
Submitted by Tyler Durden on 01/05/2016 - 17:40
"He stopped studying and rented bouncy castles for children's parties while supporting banned militant group Al-Muhajiroun and running 'roadshows' aimed at attracting troubled youngsters in inner-cities"...
Hong Kong Publishers Reportedly Being Kidnapped By Chinese Authorities, Taken To Mainland
Submitted by Tyler Durden on 01/05/2016 - 17:15
For several years now, we’ve periodically observed that China’s increasingly aggressive crackdown on dissent serves as a harbinger of far more difficult times ahead. The thinking goes that if anyone is privy to the severe fragility the country’s economic situation, it would be Chinese leadership. As such, desperate moves by Chinese leadership should foretell drastically worse economic and social conditions to come.
Dow Swings 1000 Points In 24 Hours As Crude Carnage Continues
Submitted by Tyler Durden on 01/05/2016 - 17:02
Dear Retail Investor: Here's How Your Stop Orders Really Work
Submitted by Tyler Durden on 01/05/2016 - 16:50
"...The Wholesaler and HFTs then cover their short-sales, buying from Retail investors near the temporary low, just prior to the stock recovery...Instant profits, massive gains for Wholesalers... Rigged Stock Market."
Crude Spikes Higher As API Reports Large Inventory Draw
Submitted by Tyler Durden on 01/05/2016 - 16:42
For the last week of December - typically a month when inventories are drawn down dramatically to avoid year-end tax-burdens - API reports a huge 5.6 million barrel inventory draw (massively bigger than expectations of a 488k build). It would appear, after 3 mixed weeks, that energy firms waited for the very last week to dump inventories into year-end (as seasonally occurs). Of course the transit of the first post-export-ban tanker may have also helped. While WTI spiked higher it is fading a little as Cushing reported a very large build of 1.4mm barrels (the 9th week in a row).
'Still' Safe On The Sidelines - 501 Days And Counting
Submitted by Tyler Durden on 01/05/2016 - 16:25
The S&P 500 first crossed yesterday's levels in August 2014 - that is 501 days ago, confirming our belief that the stock market casino has just begun its descent has only been further reinforced. In terms of the fundamental economic and financial rot now coming to the visible surface, the analysis we presented last week is even more timely now.
What Does Citi's "Bear Market Checklist" Predict About The Future
Submitted by Tyler Durden on 01/05/2016 - 15:52
We wonder how many of "non-red" checks would be flashing angry burgundy, if it wasn't for the latent effect of $13 trillion in central bank liquidity injections, and what these checklists will show after a few more rate hikes and a few trillion in petrodollar FX reserve liquidations.
Wall Street's Biggest Permabull Just Slashed His Q4 GDP Forecast To 0.5%, Says "It May Be Too High"
Submitted by Tyler Durden on 01/05/2016 - 15:48
We have reduced our estimate of Q4 real GDP growth by one full percentage point to 0.5%, and this still might be too high in light of what could be much larger inventory liquidation than what we have assumed.
Why $1.5 Billion Nevsky Capital Is Shutting Down: The Full Letter
Submitted by Tyler Durden on 01/05/2016 - 15:45
"It is time to accept that what we have done has worked brilliantly for twenty years but does not work anymore and move on. We are confident our process will eventually work again – for the laws of economics will never be repealed – but for now they are suspended and may be for some time; an indefinite period involving indeterminate levels of risk during which we think it would be wrong for us to be the stewards of your money."
Sweden Prepares For FX "War" With Bloodthirsty Hedge Funds
Submitted by Tyler Durden on 01/05/2016 - 15:16
Look out Stefan Ingves, the 2 and 20 crowd smells blood: "The market seems eager to challenge the Riksbank and there are rumors that many foreign hedge funds are long kronor and see a weakening of the krona after a possible intervention as a good buying opportunity.”
US Auto Sales Plunge To 6-Month Lows - Biggest Miss Since Nov 2008
Submitted by Tyler Durden on 01/05/2016 - 15:05
Despite the blustering propaganda from CNBC's Phil LeBeau, it appears the Auto-sales (and massive inventory build) party is over in America. December US domestic auto sales SAAR printed 13.46 mm - the lowest in 6 months (missing expectations of 14.15mm by the most since November 2008). With non-revolving credit growth slowing in December, and inventories at record highs, the wheels just fell off the credit-fueled auto 'recovery'.
