President Obama’s Kenyan-born, half-brother Malik will be in the audience in Las Vegas Wednesday night when Donald Trump and Hillary Clinton square off in their third and final debate. Malik — an American citizen who lives in Washington, DC, when he’s not in Kenya — says he will be a guest of Trump, the Republican nominee he supports for president.
...some bureaucrats in New York City think that it is sexual harassment for a professor to base grades in part on effort and classroom behavior. It appears that the bureaucrats decided that “effort” could be interpreted as an invitation for female students to trade sex for higher grades.
"From a growth rate perspective, the speed of credit expansion is alarming. The current pace of credit growth in China is realistically in a range between 19% and 20%, well above the reported official TSF growth of 12.4% and new loan growth of 13.0% in September. Relative to GDP, China’s credit-to-GDP ratio currently in a range from 260% to 275% of GDP as of September 2016" - Barclays
While we await news of the first, and quite historic, foreign Saudi bond pricing which at last check was said to be oversubscribed, in more surprising news, Al Arabiya reports that according to Saudi Arabia’s Ministry of Interior, on Tuesday it carried out the execution orders on Prince Turki bin Saud al-Kabir, a member of the Saudi Royal family.
For those who still believe in the concept of individual freedom, Adolf Hitler had this to say: “Society’s needs come before the individual’s needs.” This concept has been thoroughly supported by modern day American politicians of both parties. Hillary Clinton echoes the Fuehrer’s view as follows: “We must stop thinking of the individual and start thinking about what is best for our society.” The Sedition Act has now become a permanent condition in the US, and Europe is not far behind.
Seasonally, expectations are for continued builds in inventories (following last week's biggest build in 6 months) but API reported a massive 3.8mm drawdown (against 2.1mm build expectations) sending WTI prices soaring. Distillates also saw a notable draw as Gasoline built modestly. Cushing saw the biggest draw since Feb 2014.
It turns out that in its buying frenzy, the ECB made a mistake, and according to an explanation provided by an ECB representative, the ECB had to sell a short dated Arkema bond last week it had bought some three weeks ago as it wasn’t eligible under the corporate bond buying program.
US equity markets have gone nowhere fast since the start of September, coiling in a narrow range and breaking down. This also coincides with the peak in speculative long positioning in S&P Futures and for the first time since April, large speculators are net short the US equity market.
Philippine President Rodrigo Duterte arrived in China to meet with Chinese Premier Xi Xinping. Duterte has become a very controversial figure in Asian politics as he has publicly excoriated U.S. President Barack Obama’s treatment of him and his country. Duterte's trip to China this week is very bad news for Clinton and Obama and it is very likely that the Asian Pivot policy will unravel in short order.
While the probability of a November rate-hike has collapsed to just 8.5% (as Dec holda round 65%) it appears regional Federal Reserves have a very different perspective of when Janet should hike. Nine of the Fed’s 12 regional banks sought a quarter-point increase in the discount rate in September, up from eight in August, based on minutes of their board meetings published by Fed. This is the same number as right before the December hike in 2015.
".. that was one of the biggest mistakes the central banks made during the financial crisis: They stopped the debt from blowing up. So we never had a cleansing... we are still solving the too-much-debt-problem with too much debt... the Fed is still saying We will make money for free and you just need to borrow more money, and that's its solution to having too much debt. It's insane when you look at it. "
The hostage situation has concluded after the suspect surrendered to police. According to newspaper Derniere Heure, witnesses report that the hostage taker's only statement was that he "doesn't want to go to jail." It is unlikely he will get his wish.
One of Elon Musk's great promises is that the "electric car for everyone", the Model 3, was supposed to become available some time in 2017. As he said at the official unveilingof the Model 3 "I do feel fairly confident that it will be next year." However, that now appears unrealistic and as Kyle Russell spotted on Twitter, on the company's website, Tesla has inserted the disclaimer that "Production begins late 2017. Delivery estimate for new reservations is mid 2018 or later."
Dear Americans, if you feel like healthcare costs are soaring, that's because it's true. However, the reason why the Fed may not be sharing your pain and keeping rates "lower for longer" is that it may be simply looking at a parallel series that shows virtually no healthcare inflation at all.