Archive - Dec 2013
December 31st
Last Trading Day Of The Year - Full Recap
Submitted by Tyler Durden on 12/31/2013 07:08 -0500A year which showed that central planning works (for the fifth year in a row and probably can continue to "work" at least a little longer - in the USSR it surprised everyone with its longevity before it all came crashing down), is drawing to a close. This is what has happened so far on the last trading session of 2013. As market participants head in to the New Year period, volumes are particularly thin with closures being observed across Europe with only the CAC, IBEX and FTSE 100 trading out of the major European indices, with German, Switzerland, Italy and the Nordic countries are already closed. The FTSE and CAC are both trading in the green with BP leading the way for the FTSE earlier in the session after reports the Co. have asked a federal appeals court to block economic loss payments in its settlement of the Gulf of Mexico oil spill. European stocks rise, with real estate, travel & leisure leading gains. Retail shares underperform as Debenhams slumps following its IMS. A number of major markets will close early today. The euro falls against the dollar. Fixed income market are particularly quiet with the Eurex being shut. Whilst Gilts are seen down this morning following on from yesterday’s short-covering gains.
December 30th
A Drone Operator Speaks: "This Is What You Are Not Told"
Submitted by Tyler Durden on 12/30/2013 22:19 -0500
Over the weekend, Heather Linebaugh wrote a powerful Op-ed in The Guardian newspaper lamenting the lack of public understanding regarding the American drone program. Heather should know what she’s talking about, she served in the United Stated Air Force from 2009 until March 2012. She worked in intelligence as an imagery and geo-spatial analyst for the drone program during the occupations of Iraq and Afghanistan.
"Few of these politicians who so brazenly proclaim the benefits of drones have a real clue of what actually goes on. I, on the other hand, have seen these awful sights first hand."
Spot The Dictator
Submitted by Tyler Durden on 12/30/2013 22:10 -0500
The following brilliant collage of actual photos put together by Frank Schallmaier at the Dutch Volkskrant, shows two things: a narcissistic, megalomanical, self-absorbed supreme ruler of a socialist paradise and another guy who apparently has an identical taste in propaganda pics.
Bitcoin As An Alternative Currency? - Libertarian Vs Pragmatist
Submitted by Tyler Durden on 12/30/2013 21:34 -0500
One question that keeps popping up, and was addressed to some extent by NAB's recent report, is whether all the elements of the current Bitcoin are necessary for a viable alternative currency. And, as Citi's Steve Englander asks (from a libertarian and pragmatic perspective), if they are not, or can be improved on, where does that leave Bitcoin’s first mover advantage?
Spot The Non-PBOC Intervention Days
Submitted by Tyler Durden on 12/30/2013 21:18 -0500
For the first time in a week, the PBOC has decided not to intervene in the interbank liquidity market... the result so far... 7-day repo jumped 157bps to 6.5%... yep, clearly the "liquidity crisis" is behind us... as long as China does not "taper" on any given day by doing nothing instead of injecting liquidity.
4 Asia-Pacific Flashpoints To Watch In 2014
Submitted by Tyler Durden on 12/30/2013 21:02 -0500
Without question, 2013 was a jam-packed year for national security, defense and foreign policy watchers in the Asia-Pacific. Don’t expect the Asia-Pacific to be any less fraught next year.
Seals, Sea Lions, Polar Bears, Bald Eagles, Sea Stars, Turtles, King and Sockeye Salmon, Herring, Anchovies, Sardines All Dying
Submitted by George Washington on 12/30/2013 20:34 -0500Fukushima?
"The Stock Market" In 2013 - For 5-Year-Olds
Submitted by Tyler Durden on 12/30/2013 20:34 -0500
Just Do Da Maf...
Consensus Now Believes Abenomics "Recovery" Will Fail
Submitted by Tyler Durden on 12/30/2013 19:29 -0500
Despite Shinzo Abe proudly proclaiming at the Tokyo Stock Exchange that "Abenomics will be a 'buy' next year as well," Bloomberg notes surveys of economists believe his policies will fail to spark the wage increases required to outpace inflation. In fact - due to the collapsing JPY - those surveyed expect consumer prices to rise 3% next year - 5 times faster than wage growth at a mere 0.6%. Officials are concerned; Japan can’t wait one or two years for salary gains, which are needed sooner for the economy to enter a virtuous cycle of rising profits, wages and growth, Deputy Economy Minister Yasutoshi Nishimura said. But, any increase in wages depends on a pick-up in demand, not just pleas by Abe for companies to do their part for economic recovery.
A New Chapter in Egypt's Power Struggle
Submitted by Tyler Durden on 12/30/2013 18:58 -0500
Much of the Arab world remains in upheaval in the wake of the so-called 'Arab Spring'. Egypt has always been considered a pivotal Arab state – it is both the most populous as well as located in a strategically important spot. It has become quite a steep fall from grace. Within 18 months, Egypt's Muslim Brotherhood has moved all the way from winning the presidency and ruling the country to once again becoming outlawed. During the Christmas holidays the military council currently administering Egypt saw fit to declare the Brotherhood a 'terrorist organization'. The latest escalation clearly shows that the hardliners remain firmly in control in Al-Sisi's government, and it is yet another dangerous gamble that may turn out to be yet another miscalculation. Too many in Egypt feel they have little to lose and it is well known from historical examples that creating martyrs isn't likely to stop a movement that enjoys fairly broad popular support.
The Bifurcated Housing Bubble; From "Why Didn't I Buy?" To "This Is Crazy"
Submitted by Tyler Durden on 12/30/2013 18:31 -0500
Never was 'location, location, location' more important than in the current housing 'recovery'. From the Bay Area to Pittsburgh and from Denver to Oklahoma, the divergence in price movements is incredible. As the WSJ reports, while headlines gloat of several cities enjoying full-scale rebounds, these cities are largely exceptions with prices in many part of the US still well below the peak. In some 1,500 cities, values are still at least 25% lower than their previous highs. For the 'bubble' zip-sodes, "what you've got is something other than a sensible market-deciding price. You've got it goosed by the terms of finance, which are extraordinary," warns one realist realtor, "prices shouldn't be up this high, this quickly. It's a big, flapping yellow flag saying we're back in territory that we should not be in."
Correcting Some Misconceptions About A New Secular Bull Market
Submitted by Tyler Durden on 12/30/2013 18:02 -0500
The ubiquitous sell-side strategist, opining from his ivory tower of market-proven recency-bias based invincibility, appears to have coalesced on the 'group-thunk' case that we have entered into a new "secular" bull market as last seen in the early 1980's. However, while the thesis is interesting, it is based on some flawed assumptions interest rates, valuations and time frames. Of course, with virtual entirety of Wall Street being extremely bullish on the markets and economy going into 2014, along with bullish sentiment at extremely high levels, it certainly brings to mind Bob Farrell's Rule #9 which states: "When all experts agree - something else is bound to happen." Hold on to your hats friends - 2014 could well turn out to be an interesting year for all the wrong reasons.
TruPS CDOs Explained - With Charts
Submitted by Tyler Durden on 12/30/2013 17:22 -0500Over the past two weeks, Trust Preferred (or TruPS) CDOs have gained prominent attention as a result of being the first, and so far only, security that the recently implemented and largely watered-down, Volcker Rule has frowned upon, and leading various regional banks, such as Zions, to liquidate the offending asset while booking substantial losses. But... what are TruPS CDOs, and just how big (or small) of an issue is a potential wholesale liquidation in the market? Courtesy of the Philly Fed we now have the extended answer.
It's Official: Investors Like Stocks MORE Today Than They Did in 2000!
Submitted by Phoenix Capital Research on 12/30/2013 16:58 -0500To put this into perspective, this means investors put more money into stocks this year than they did in 2000: at the very peak of the TECH BUBBLE!
Massive Fireball From North Dakota Oil Train Derailment Caught On Tape
Submitted by Tyler Durden on 12/30/2013 16:46 -0500
*NO INJURIES REPORTED FROM BNSF TRAIN FIRE IN NORTH DAKOTA
UPDATE: Reports of a second train hitting the already-derailed train.
UPDATE: Wind is taking toxic smoke towards areas southeast of Casselton, ND, after train derailment. Residents urged to stay indoors
A train has derailed west of Casselton, North Dakota just before 2:20 p.m. Monday. As Valley News Live reports, t he Casselton Fire Department says a Burlington Northern Santa Fe train is involved. An unknown number of cars derailed, but Valley News Live reports is told one bulk oil car is on fire and toxic black smoke is being released.





