Archive - Mar 24, 2014
“Do You Think That Because I’m CHAIRMAN of The Intelligence Committee That I Just Say “I Want It”, and They Give It To Me? ...
Submitted by George Washington on 03/24/2014 23:46 -0500... They Control It. All Of It. ALL of It. ALL THE TIME. I Only Get – and My Committee Only Gets – What They WANT To Give Me.”
Guest Post: Does The World Need China's Leadership?
Submitted by Tyler Durden on 03/24/2014 21:42 -0500
For more than two decades China has abided by former leader Deng Xiaoping’s “keep a low profile” strategy in foreign affairs. But things are changing — China is ready to take on a leadership role in international affairs, and the world may benefit from it. Does the goal of a more stable and prosperous world necessitate a China that’s more active and assertive in global affairs.
Who Is And Isn't Saving For Retirement
Submitted by Tyler Durden on 03/24/2014 21:11 -0500
In the land of the free and the home of the entitled, the sad (but true) nature of income inequality's inexorable rise in the past few years has a somewhat more startling impact on the future. With work being punished for the marginal employee and the wealth effect concentrated in the hands of the great and good, the following two charts show clearly the sad fact that those who need to save for the future the most don't (and likely can't) and those with all the income save the most (and thus 'spend' the least). As we noted previously, the rich have the assets and the poor have the debt (and debt is not wealth).
Eric Holder & DoJ Spent Millions Of Taxpayer Dollars On Unreported Personal Travel
Submitted by Tyler Durden on 03/24/2014 20:36 -0500
Despite his unique role, Eric Holder has spent the past five years taking absolutely zero action on any matter of national significance. In fact, his major claim to fame appears to be that he has solidified the creation of a group of untouchable criminals known as the “Too Big to Jail” class. So what does Eric Holder do in his spare time, you know, when he isn’t coddling financial oligarchs and running firearms into Mexico? Apparently, according to a recent study from the non-partisan Government Accountability Office, he likes to hop on government planes for personal trips at taxpayer expense. Serfs up suckers!
30 Survey Results That Sound False But Are Actually True
Submitted by Tyler Durden on 03/24/2014 19:57 -0500
You will be shocked at what some Americans actually believe.
What Happens To America's Long-Term Unemployed (Spoiler Alert: Nothing Good)
Submitted by Tyler Durden on 03/24/2014 19:22 -0500
The number of people unemployed for 27 weeks or longer in the US rose by 203,000 in February to 3.8 million. As we noted previously, this is the desperate shadow hanging over the so-called recovery. What is more problematic is the stunning findings of a new study that only 11% of the long-term unemployed in any given month found full-time work a year later.
IceCap: "Which Bubble Is Created Next?"
Submitted by Tyler Durden on 03/24/2014 19:12 -0500Chart 1 proves it is crystal clear that every time the US Federal Reserve acts to "save us" from one crisis, it directly sows the seeds for an even bigger crisis in the future.
The Fourteen Year Recession
Submitted by Tyler Durden on 03/24/2014 18:47 -0500
When you ponder the implications of allowing a small group of powerful wealthy unaccountable men to control the currency of a nation over the last one hundred years, you understand why our public education system sucks. The average American has experienced a fourteen year recession caused by the monetary policies of the Federal Reserve. Our leaders could have learned the lesson of two Fed induced collapses in the space of eight years and voluntarily abandoned the policies of reckless credit expansion, instead embracing policies encouraging saving, capital investment and balanced budgets. They have chosen the same cure as the disease, which will lead to crisis, catastrophe and collapse.
Poland Is Quietly Mobilizing Its Army Reservists
Submitted by Tyler Durden on 03/24/2014 18:11 -0500
It seems the words of Polish Prime Minister Donald Tusk warning that “the world stands on the brink of conflict, the consequences of which are not foreseen... Not everyone in Europe is aware of this situation," are a little more real than some (US equity buyers) might suspect. As The Week's Crispin Black reports, at least 7,000 Polish workers in Europe have received call-up papers as army reservists in the last few weeks. Polish authorities dismiss it as "routine" but the men note this has never happened before.
Guest Post: The Fallacy Of Homeownership
Submitted by Tyler Durden on 03/24/2014 17:41 -0500
Many people have a weird obsession with homeownership. When it comes to buying a house, they are willing to overlook, or even completely throw out, a bunch of financial values and principles they claim to hold dear. The unfortunate truth is, for many middle-class folks, buying a house is often a very silly financial decision, especially if they are young (in their 20s or early 30s), or have a low net worth.
In A World Artificially Priced To Perfection, The Imperfections Appear
Submitted by Tyler Durden on 03/24/2014 17:11 -0500
China, Japan and the US are the three largest economies in the world. Each country is currently in the midst of highly-significant policy maneuvers. The Fed is bringing QE to an end. China is dealing with the credit bubble issues outlined above. Japan is lifting its consumption tax from 5% to 8%. Japan’s hike in 1997 from 3% to 5% pushed the economy into a recession. In addition, Russian sanctions could magnify and potentially take a large bite out of global economic growth. Portfolios will need to adapt to this changing environment. Just about everyone is anticipating higher Treasury yields. Most PM’s are short duration. However, the term premium is falling quickly. The technical chart looks outstanding on the long end. Macro factors are also beginning to align. I believe the next 50bps in the 30year (yield) is shaping up to be a move toward lower (not higher) yields. Portfolios are ill-prepared.
China Contracts
Submitted by Pivotfarm on 03/24/2014 16:58 -0500Spending just $3.33 on US-produced goods every year by every person in the USA would create 10,000 jobs. We obviously don’t have that much money to spend or we don’t care
Market based approach to Russia
Submitted by globalintelhub on 03/24/2014 16:48 -0500Let's examine what happened from the beginning. An extreme right wing group, with US and NATO support (according to released internal transcripts), overthrew the legitimate Ukrainian government (illegally) via violent coup. The fact that this group had western support is not important really, but should be noted. So according to 'international law' - this 'country' is NOT Ukraine. Ukraine cease to exist when this happened. The new 'government' - not popularly elected, seized control by force.
Message To The Fed: Here Are A Few Things That You Can't Do
Submitted by Tyler Durden on 03/24/2014 16:44 -0500
It’s evident that the economy isn’t growing strongly because of conditions that central bankers themselves created, by encouraging excessive borrowing and disregarding moral hazard. In other words, the problem isn’t so much that the Fed can’t deliver another debt-fueled boom, but that it shouldn’t be trying to cure a credit bust with more borrowing in the first place. Sadly, though, this idea falls in the same category as the notion that the Fed’s balance sheet isn’t the right tool for job creation. It’s too damning a thought to be accepted by central bankers who’ve shackled themselves to a philosophy of ceaseless intervention. It’s also too basic for economists who prefer abstract theories and mathematical models over reality-based thinking.
Russia Is Slowly Turning The NatGas Tap Off To Europe
Submitted by Tyler Durden on 03/24/2014 16:26 -0500
While Naftogaz (Ukraine's gas pipeline operator) states that all gas transportation from Russia to Europe is running normally, Bloomberg reports that Russian natgas exports to Europe are declining. Shipments are down over 4% from the prior week and also lower to Ukraine. This 'adjustment' follows increased sanctions by the West as Medvedev's notable statement this morning that Ukraine owes Russia $16bn. Furthermore, Gazprom has cut its Diesel output by the most in 7 months... and just to rub some Black Sea salt into the wound, NY Times reports that Russia's asking price for natgas to Europe is soaring.






