Archive - Jan 5, 2014

“In the past few years, we seem to have embarked on a new paradigm in which our control engineer central bankers have decided that the value of assets must no longer be driven by a price that would be reached today, but instead by whatever best price a given asset may have reached in the past. This is a revolutionary change... In all likelihood, this manipulation will fail as every attempt at price manipulation since Diocletian’s Edict on Maximum Prices in the 3rd century. The only outstanding question is one of timing". - Louis-Vincent Gave.

Bottom line for financials is that 2014 is looking to be a tough year, even if the Sell Side wants to believe that growing earnings is still possible on flat revenue

It's cold out there. Cold enough that JFK's runways are so frozen, airplanes literally are skidding off runways, which is what happened seconds ago to a Delta airplane landing at JFK.The result: JFK is now closed until further notice.  But that's just New York: elsewhere America is gripped in a cold spell which may beat all records, as 140 million Americans are expected to see subzero temperatures in the coming days, including the deep south. As CNN reports, "The deep freeze gripping much of the country is about to send temperatures plummeting to unbelievable lows. Parts of the Midwest and Great Plains will plunge as low as 30 degrees below zero on Sunday. That's where the Green Bay Packers will host the San Francisco 49ers in what could be the coldest football game in NFL history. By Wednesday, nearly half the nation -- 140 million people -- will shudder in temperatures of zero or lower, forecasters said. Even the Deep South will endure single-digit or sub-zero temperatures."

From this point on I start demonstrating to those who can't see the benefits of smart digital money over dumb fiat currencies. Now, you can short bitcoin and hedge against volaitlity using same tools the big boys use for USD/EUR/CNY, etc.