Archive - 2013 - Blog entry

I continue to read pieces in the media claiming the QE should not be stopped because it will hurt the recovery. I don’t understand this claim because there is literally no historical evidence that QE creates jobs in the first place.

How Fitch has not downgraded the U.S. already is a mystery to analysts looking at the U.S. fiscal position and the lack of political will to tackle it. It seems likely that significant political pressure is being put on credit ratings agencies regarding their credit rating of the U.S.

Big Boehner in Little Vichy...Happy Execution Day 2013!

The documentary will air Novemeber 4th at Battle of The Quants in Shanghai and from there will hopefully make its way around the world

It’s obvious that we might sometimes have the impression the freedom has no price on it. But, think again.

Over-burdensome regulation and massive liability exposure is stifling business and creativity, slowing the flow of capital globally and stagnating economic growth.

And a surprise encore guest lecture...

Time runs out on Italian and Spanish banks. But the truth is fatal.

I like Professor Shiller and respect his work. Really, I do, but... Massive bubbles, the sort of the proportion of the 2008 crisis, are nigh impossible to miss if you can add single digits successfully and are able to keep your eyes open for a few minutes at a time. Yes, I truly do feel its that simple. I saw the property bubble over a year in advance, cashed out and came back in shorting - all for a very profitable round trip. Was I a genius soothsayer? Well, maybe in my own mind, but the reality of the situation is I was simply paying attention. Let's recap:

A Banzai7 public service translation...

Gold’s price falls are very counter intuitive and suggests that Wall Street banks, either independently or in unison with the U.S. authorities possibly through the Working Group On Financial Markets or the Plunge Protection Team, are suppressing gold lower.

No one and I mean NO ONE would place an order like this. It simply doesn’t happen. Anyone who is trying to unload a position of this size would do it in chunks over a period of time in order to not push the price sharply lower.

We all know that it’s not actually the message that is important but the way that the words are interpreted by those reading them. Never has that been more important than with Twitter. You only get 140 characters, which might be too much when we read some of the comments on there. But, for others it’s far from enough. Traders look like they could be needing a few more pages to get the full picture. Just a few days ago traders made a mistake when they read the tweet posted by the Israeli army on October 10th 2013.

Remember how we were told time and again that Europe was saved? Remember how repeatedly we were told that the European Central Bank (ECB) would do “whatever it takes” to fix things? Turns out all of that was a total load of BS.

Stunning Facts that Your History, Economics and Business Teachers Never Learned ...