Archive - Jun 24, 2013 - Blog entry

What is happening today has its roots in history. The end result is shown to us already and is gauranteed at this point.

Headed to the Yes We Can...

Moral: You can fool too many of the people too much of the time. (Thurber)

FLASH: Fed to Cap long-term interest rates.

FLASH: Fed prepared to conduct unlimited purchases to maintain Cap.

FLASH: Fed sees Cap as short-term measure.

FLASH:Cap will be eliminated when markets stabilize.

China’s central bank issued a statement that the Chinese banking system had liquidity levels that were “reasonable” today. There by hangs a tale. ‘Reasonable’ is that which may fairy and properly be required of an individual (a case of prudent action observed under a set of given circumstances).

The markets are beginning what could in fact be an epic meltdown.

Unless You Know About This Spying Method, You Might Say Something Which Could Get You In Hot Water

"Well you know if you look at the last 13 years it was up 12 out of 13 and this year isn't even over yet, so I would say its responded pretty well.  But you might say well yeah what about in the last year why hasn’t it? Well, markets do these things they go up sharply and sometimes they take a rest.  But the long term is something you can get a handle on, but I was never very good on short term, whether it’s the stock market or whatever, or what government will do, they are just all over the place.

The best way to get to a "buy" signal is to have lower prices.

Hey POTUS, guess where this hand's been...

Overview of the great unwind, which I suggest has three components--tapering talk in the US, Japanese selling foreign assets and the liquidity squeeze in China (squeezing another carry carry trade).