Archive - Jun 2015

"If you are a sizeable bank that wants to do more business in China you don't want to make parts of the Chinese government angry"...

"Investors have experienced many mood swings, some institutionalized irrationality, as well as treacherous trading conditions in the first six months of 2015. The wacky has become the norm."

It is impossible to wean an economy that relies on debt and leverage for its "growth" of excessive debt and leverage.

US equity market indices are re-plunging to the day's lows - having given up all their post-FOMC post-Greece-is-Rescued gains. S&P 500 is testing its 100DMA. Coincidentally, as the plunge began:

S&P DOW JONES INDICES SAYS EXPERIENCING INTERMITTENT ISSUES DUE TO OBSERVED DELAYS WITH CME DISTRIBUTION

And this is happening before the Russell Rebalance volumefest hits.

After 28 consecutive weeks rig counts declines in America - despite crude production levels hitting new cycle record highs - Baker Hughes reports Total Rig Count increased 2 to 859 this week. The oil rig count dropped 3 to 628. Crude's price reaction is negligible.

Following yesterday's historic 6:3 Supreme Court decision enshrining the tax known as Obamacare, there was little surprise moments ago when in one of its last remaining decisions in re: Obergefell v. Hodges, the most liberal Supreme Court since 1960 just declared gay marriage legal nationwide. The decision, supported by all the women on the SCOTUS, came down in a 5:4 vote with Ginsburg, Sotomayor, Kagan, Breyer and Kenedy voting for, while Roberts, Scalia, Thomas and Alito dissented.

While we expained in great detail exactly what "good" the previous bailouts for Greece did for the Greek people, we thought the following gif was easier for many to digest...

The Supreme Court ruled yesterday (June 25) in favor of the Obama Administration's current implementation of the Affordable Care Act (ACA), denying claims from challengers that health insurance subsidies were improperly paid for enrollees in states that did not operate their own health insurance exchanges. Goldman explains what it means... (spoiler alert: more healthcare consumption - which translated means higher healthcare costs).

When you wet the QE bed...

"Black Friday. China shares dive 7.4%... How much further will it fall after this massacre?"

"It's a do-or-die moment for all investors... If retail investors become skittish now, panic selling will continue next week."

If you jump off of a make believe cliff, don't be surprised when you hit the reality of the ground! Reggie Middleton

The recent spike in earthquakes in Oklahoma could present a “game changer” for regulators. That is how regulators themselves described the spate of earthquakes that struck the state between June 17 and June 24, according to Reuters. “If there is damage and loss of life, you will see the political climate absolutely change overnight,” cautioned Jason Murphey, a Republican representative in the state legislature, according to Reuters. “When and if that happens, you will have a cloud that hangs over the energy sector for the rest of our lives.”

EURUSD just broke below its 50-day moving average and slid to 3-week lows... running stops to 1.1130.

We present the Ackman Appendix, which appears to have been surgically removed from his "Keys To Successful Investing" presentation with unfortunate consequences...

For the first time since 2009... the biggest driver for stocks is cratering.