Archive - Nov 2015

What happens if Shkreli's plan is indeed to rerun the "Volkswagen" scenario and unleash an epic short squeeze that sends the price of the company into the stratosphere, unlinked from any fundamentals, but merely soaring ever higher as desperate shorts pay any price just to get out.

• US dollar sell-off: Nov’15 Global FMS shows “long dollar” most crowded trade
• EM rally: China deval complicates rally but humiliated EM ripe for bounce as Fed hike expectations peak
• Positioning less "bearish": risk rally is "narrow" and vulnerable to quick profit-taking in event-rich December: deteriorating RSP/SPY ratio

Between contract roll liquidity and a renewed tumble in the US Oil Rig Count, WTI Crude (Jan 16) has surged above $42.50 (Dec 15 to $41). After last week's very modest rise, the streak of rig count declines continues (11th week of last 12) with a 10 rig drop to 564 - the lowest since June 2010.

Instead of Listening to Idiots Talking Their Book ... Let's Fact-Check the Myths

Despite soaring physical demand, and a clear unwillingness to give up precious metals, gold's "price" is on pace to close down for the 5th straight week at its lowest in 6 years. So where do the banks think gold goes next?

1.3 million transactions were scrutinized, 3,000 accounts were frozen, and according to Jinhua City Public Security Bureau of Economic Investigation Detachment Vice Captain Zhang Hui, it took 35,000 sheets of paper to print out all of the evidence.

From "Best Car Ever" to this... TESLA CONDUCTS VOLUNTARY RECALL OF 90,000 MODEL S SEDANS FOR SEAT BELT INSPECTION... “In early November, a customer sitting in the front passenger seat turned to speak with occupants in the rear and the seat belt became disconnected."

"We've had 12 consecutive years of silver deficits" which "can begin to apply upward pressure to prices in subsequent periods" - Thomson Reuters

"So much of what we now accept as routine in financial markets would have been thought impossible prior to the 2008 crisis ?- the next logical stage in the global currency war will be direct fx intervention!"

- Albert Edwards

Less than a week since the Friday 13th Paris terror attack, hours ago the newswires lit up with news of another terrorist attack when gunmen shouting and screaming "Allahu Akbar" attacked the Radisson Blu, a luxury hotel full of foreigners, in Mali's capital Bamako, taking 170 people hostage. The identity of the Bamako gunmen, or the group to which they belong, is not known

It appears European and US oil & gas stock investors (and Dow Transports lovers) believe they know better than commodity traders when it comes to some kind of future reality in which miracles of growth can happen. The disconnect between European oil & gas stocks, US energy stocks, and Trannies relative to crude oil has never been bigger...

Why would companies hire more people if they’re selling less stuff? The answer is that they probably won’t.

Well at least something makes some sense. Whether it is a safety bid from the ramping up of global terrorist attacks or a reflection of a possible Fed policy error (or their jawboning over low equilibrium rates), US Treasury yields at the long-end are rallying. 30Y just broke back below 3.00% to push it to its best week since late September...

"At the same time, I love dogs but I'm going to call the humane society and hopefully they can come and take this dog away."

Seriously...