Archive - Nov 2014

Should We Trust Governments Which Pass Around Our Nude Images ... While Protecting PEDOPHILES?

Presented with no comment...

We find that, unsurprisingly, AAPL has regained its top spot as the global hedge fund hotel's most beloved stock. In fact, 4 of the 5 most widely held names are all tech names, with GOOG, MSFT and FB rounding out the top 4, and only Citigroup as the outlier in the top 5. Perhaps more notable is that the former hedge fund darlings AIG and GM, have been abandoned by the HF crowd, and were in 9th and 16th place, respectively.

The earlier 'under pressure' resignation of Secretary of Defense Chuck Hagel means President Obama has to make a personnel announcement... explaining exactly what characteristics he is looking for as he prepares to invade the middle east? One wonders if he will assume the duty of SecDef?

What we have is an All American Clusterfuck!

Of the 15 sub-indices under the Dallas Fed Manufacturing survey, only 4 improved in November with New orders tumbling, and wages, number of employees, and average workweek all sliding notably. So, with that in mind, thanks to a surge in 'hope'-based business activity outlook 6 months forward (from 13.3 to 18.3), the Dallas Fed printed 10.5 (against expectations of 9.0) and unchanged from October's 10.5. The number of employees shrank to its lowest in 6 months.

You cannot have the market drop 7% and then rally an even larger 10% in less than month based solely on a single non-voting Fed President’s comments and NOT be in a bubble.

A week after we reported that the head of the Ukraine central bank admitted in an unofficial, informal interview that Ukraine's gold is gone, all gone, moments ago the Central Bank revealed that, sure enough, the gold holdings in the civil war-torn country have tumbled, as a result of a decision in September to "increase the share of US dollars in a reserve basket", or in other words, to sell the gold. Just don't call it that: in fact, as of today we have a brand new buzzword for gold liquidations: "optimization of international reserves."

Why is Bitcoin dangerous and of little intrinsic value? Because my local Central Banker Told Me So! - OR - The lasting message from the highly Centralized, Centrally Planned, Central Banks of the World? "We think, so you don't have to!"

While OPEC has been mostly irrelevant in the past 5 years as a result of Saudi Arabia's recurring cartel-busting moves, which have seen the oil exporter frequently align with the US instead of with its OPEC "peers", and thanks to central banks flooding the market with liquidity helping crude prices remain high regardless of where actual global spot or future demand was, this Thanksgiving traders will be periodically resurfacing from a Tryptophan coma and refreshing their favorite headline news service for updates from Vienna, where a failure by OPEC to implement a significant output cut could send oil prices could plunging to $60 a barrel according to Reuters citing "market players" say.

For any/all readers who retain the capacity for independent thought; it is universally acknowledged that the mainstream, Corporate media is little more than a propaganda megaphone. It broadcasts a single message, 24/7, with which the Old World Order brainwashes the masses in our Zombie societies.

It is understood that with the overwhelming financial resources at its disposal; the One Bank has been able to (literally) buy each-and-every mainstream media outlet across the Western world, with all of these media outlets controlled within a mere handful of its 147 corporate fronts. We understand that because of this media oligopoly that, conservatively speaking, 99% of what is spewed by the mainstream media is irredeemably tainted – and thus cannot be relied upon.

On the heels of the biggest miss on record for US Manufacturing PMI (which corresponded un-decoupling-ly with disappointing European and Chinese Manufacturing PMIs), Markit's Services PMI printed 56.3, missing 57.3 expectations and notably down from October's 57.1 to 7 month lows. As Markit notes, the index has now pointed to softer growth of business activity in each of the past five months, to signal a sustained loss of momentum since the post-crisis peak seen in June. What is even more worrying...  Markit points out that the economic upturn has lost considerable momentum, and with extreme weather hitting parts of the country, growth could slow even further.

It appears some folks might be scapegoated... As NY Times reports, Defense Secretary Chuck Hagel is stepping down, under presssure. President Obama made the decision to ask his defense secretary — the sole Republican on his national security team — to step down last Friday, as a recognition that the threat from the Islamic State would require a different kind of skills than those that Mr. Hagel has, and that his team has struggled to stay ahead of an onslaught of global crises.

On one hand, the US middle class has rarely if ever had it worse. At least, if one actually dares to venture into this thing called the real world, and/or believes the NYT's report: "Falling Wages at Factories Squeeze the Middle Class." In short, it says that America's manufacturing sector, and thus middle class, is being obliterated: "A new study by the National Employment Law Project, to be released on Friday, reveals that many factory jobs nowadays pay far less than what workers in almost identical positions earned in the past. And then, paradoxically, at almost the same time, there's this from Bloomberg: "Lower-wage workers saw bigger pay gains over the past year than the highest earners, reversing the trend from earlier stages of the recovery." In short: the state of the US middle class is truly in the eyes of the beholder.

As the debate regarding whether or not Switzerland should keep the bulk of its gold reserves at home on Swiss soil reaches it's climax - the referendum takes place on Sunday - it is telling that the Dutch announced on Friday that they have just secretly repatriated 122 tonnes of their sovereign gold reserves from New York back to Amsterdam.