So Much For The Saudi "Proposal" - Iran Refuses To Cap Output, Clashes With Saudis Over Freeze

After oil spiked earlier on an anonymously-sourced Reuters "report" that Saudi Arabia has offered to cut production in exchange for an Iran production freeze, a proposal which was promptly shut down by third party observes, moments ago WSJ reporter Summari Said effectively killed this particular attempt to spike the price of oil when she reported - also citing sources - that Saudis and Iranians have clshed over output freeze levels, and that Iran has refused to cap output.

Former Goldman Chief Economist Jim O'Neill Quits UK Government

While the UK has so far avoided to implode in a depressionary supernova in the aftermath of Brexit contrary to what most of the "experts" and Tokyo-owned UK journalists had predicted, changes are taking place, mostly among the top echelons of power. Earlier today, the latest political fallout from the Brexit vote was the news that former Goldman economist, and BRIC acornym creator, Lord Jim O’Neill, resigned from the U.K. government.

Frontrunning: September 23

  • Futures slip after three-day rally as oil dips (Reuters)
  • Charlotte protests diminish early on Friday as family views video (Reuters)
  • Undecided Voters Are Proving a Tough Sell for Clinton and Trump (BBG)
  • Facebook Overestimated Key Video Metric For Two Years (WSJ)
  • Trump received $1.6 million from Secret Service (Politico)

Iran Is Unlikely To Accept Saudi Oil Cut Offer: Bloomberg Analyst

With the oil market roiled by the latest unconfirmed report by Reuters, which cited three anonymous sources as claiming that Saudi Arabia was ready to cut production if Iran freezes output, everyone has been focused on the follow up, to see if there is either an official confirmation, or an unofficial denial. While we wait, however, Bloomberg oil strategist Julian Lee released a quick analysis moments ago in which he explains "why Iran is unlikely to accept the Saudi oil cut offer." 

Global Central Bank-Driven Stock Rally Fizzles; Crude Rebounds On Saudi Oil Production Cut Report

Until minutes ago, this week's rebound in global equities appeared to be running out of steam as oil retreated from a two-week high and a dollar slide ended.  However, as noted just around 6am, Reuters reported, citing as it usually does various "anonymous sources", that in a radical departure from its long-held policy of not cutting production, Saudi Arabia was prepared to cut production on condition that Iran freezes output, which led to an instant spike in crude.

Saudis Said To Offer Oil Production Cut If Iran Freezes Output, Reuters Reports

With oil rolling over, and modestly pressuring US equity futures, moments ago Reuters did what it does best, and reported, citing three "anonymous" sources, that Saudi Arabia was prepared to engage in a radical shift in its long-held policy of not cutting production, and has offered to lower its own oil production if Iran agrees to cap its output this year, in a major compromise ahead of talks in Algeria next week, "three sources familiar with the discussions told Reuters."

German Politicians Are Getting Nervous About Deutsche Bank

Deutsche Bank's finances, weakened by low profitability and mounting legal costs, are raising concern among German politicians.  At a closed session of Social Democratic lawmakers, participants discussed the U.S. fine and the financial reserves at Deutsche Bank’s disposal if it had to cover the full amount. In other words, Germany is officially starting to get nervous about Europe's biggest bank.

Syrian Politician: "WW III Has Begun, And It's Being Fought In Syria"

Syrian Social Nationalist Party representative Tarek Ahmad says that the war in Syria has reached a dead end, with the intervention of foreign powers turning the situation into a chaotic mess. Moreover, the politician says that Syria is just one front in a Third World War being waged by Washington and its allies.

Italy Is The EU's Weakest Link

Italy’s economy is weak. There is no growth. The banking system is in bad shape. Unemployment is high. There is substantial public unrest, and Renzi’s standing is weakening. Italy has been somewhere between recession and stagnation since 2008. After eight years, the situation shows no signs of improving... The faster they get out of the EU the better.

More Troubling Evidence That Hillary Clinton Will Start WW3

Putin, a former KGB agent, “doesn’t have a soul,” Clinton quipped... Is this the sort of starting point you want from a new U.S. President? There’s a reason so many genuine progressives and liberals can’t stomach Hillary Clinton and refuse to vote for her. Sure, there’s the rampant embrace of cronyism and incessant oligarch coddling, but there’s also her penchant for bloodthirsty militarism.

Un-Becoming American - One Man's Painful Journey To Renouncing Citizenship

“I am sorry, we cannot open a bank account for you because you are a US citizen... Earlier this month we received a directive from top management not to open any more accounts for US passport holders, even if they are also Swiss. I am really sorry, but we cannot do anything for you..." You’re guilty until proven innocent... This was when I first considered renouncing my US citizenship.

Retired Green Beret Warns "We Haven't Been This Close To Nuclear War In A Long Time"

As can readily be seen by the current events, the world has not been this close to a nuclear war and World War 3 in a long time.  There are four major flashpoints right now that could easily escalate and ignite a powder keg, transforming from a regional conflict or conflicts into a world war: Syria, the South China Sea, Ukraine, and North and South Korea.  The “reconstruction” of a Cold War-type faceoff, initiated by the U.S. and NATO building up forces in Eastern Europe and facing off against Russia.

Spot The Odd (Hedge Fund Strategy) Out

The trend is your friend... until the end. August was a great green month for many hedge funds (with Multi-Strategy and Event-Driven strategies doing best). But, as RBC notes., 'trend-following' CTA/Managed Money funds "got smoked."

Why Syria Matters To You

Syria is drawing in major global and regional powers. When, for example, the US and Russia are engaged in a country - with very different goals and supporting hostile factions - it is certainly not something to dismiss out of hand. On the contrary, Syria matters a great deal. If nothing else, it has become a test of the strength of powers with interests far beyond Syria.