Archive - Mar 2011 - Blog entry

Oh wonderful ...

Bill Gross, with the possible exception of Goldman Sachs, has the best access to the US Federal Reserve and US Treasury Department of any investor on the planet. During the 2008 Crisis it was rumored the Treasury had him on “speed dial.” So for Gross to be dumping ALL of his US Treasury holdings means that the US debt Crisis is coming and coming fast.

A big call from me. QE is dead.

Just in case you all missed this outrageous Fraudclosure "settlement" from Florida AG Pam Bondi.

Protecting Our Strategic Interests in Broccoli

The time is now to collectively fight back. We can work together to demand that the big banks are held accountable for their crimes.

The July 21 deadline for the hedge funds to register required by the one year anniversary of the Dodd-Frank bill is fast approaching, and the industry is roiling with turmoil. The net result for the rest of us could be shrinking market liquidity and falling asset prices as hundreds of funds shut down or move overseas rather than meet the new, onerous disclosure requirements and the vastly increased legal liabilities they imply.

At what point does an advisor who is wrong nearly 100% of the time lose credibility? Well, the National Association of Realtors has been consistently wrong since the very tippy top of the real estate bubble 4 years ago, yet they get ample air time in the media to continuously spout their methodically erroneous viewpoints and data. Finally, someone in the mainstream has called them on this perpetual farce that has costed those that followed them substantial wealth in exchange for a 2.5% commission split!

Retail positioning is staying pretty constant the last few days, GBPUSD has been seeing a strong shift in sentiment however, with increasing numbers of retail traders becoming long the pair throughout the sell off. Although still in the neutral if this retail buying continues we may take a dip into the short zone. GBP Current Account data released at 4:30am EST may tip the balance.

The market rose for most of the day like the radiation readings from...

The hedge fund industry's strong rebound from the credit crisis has prompted investors to ask whether some funds have grown too large and inflexible to keep delivering bumper returns for which the sector is famous. Are these concerns justified?

Thus, to say that the US Dollar and debt system are broken would be the understatement of the century… However, the US Dollar has become a massively lopsided trade with investors betting heavily on its demise. When you consider its position relative to the Euro (another doomed currency), it is clear that the US Dollar could bounce just based on the lopsidedness of this situation.

Presenting an explanation of the dynamics of the Japanese iron triangle: politicians, ministries and big business, by someone who knew what he was talking about...

"In order to maintain the status quo, you have to educate people, and this is where "castration" comes into play. The Japanese bureaucracy wants the people to be as obedient as sheep. Not to complain. Not to challenge the system. Not to resist their superiors. For individuals to enslave themselves to the system. If one is educated to embrace these values, then Japan as a system can maintain harmony... However, in order to imprint these values, you need a special technique, which is to halt the growth of identity..."

Certain indication from the Fed that QE2 could end early would bring considerable unwinding, disproportionately biased towards commodities, as nobody on Wall Street is currently positioned for that.

Call us dumb money but we were short oil, short silver and long on the Dollar last week...