What Recovery? 9.4 Million More Americans Below Poverty Line Than Pre-Crisis

Despite the Fed continuing to kick this down the road, they continue to claim that we are in the middle of an ongoing recovery. There’s just one problem with that: things are getting worse than pre-crisis levels for millions of the poorest Americans. Possibly even more concerning is the fact that the amount of Americans living below the poverty line has soared since 2007.

The New World Financial Disorder

The global Bubble is bursting – hence financial conditions are tightening. Bubbles never provide a convenient time to tighten monetary policy. Best practices would require central bankers to tighten early before Bubble Dynamics take firm hold. Central bankers instead nurture and accommodate Bubble excess. It ensures a policy dead end -  the faltering global Bubble has progressed beyond the point where Fed rate policy has much impact.

"Nothing's Safe" Passport's Burbank Warns "The Liquidity Of Everything Is Being Taken Down"

Having warned that "we are on the precipice of a liquidation in emerging markets like the fourth quarter of 1997," Passport Capital's John Burbank sits down with RealVisionTV to discuss why "the Fed would eventually be forced into a fourth round of quantitative easing to shore up the economy." Being among 2015's best performing hedge funds, successfully navigating this turmoiling unwind of the Fed's efforts to "mean-revert" the world's assets back to normal, Burbank concludes, "nothing's safe," no matter what The Fed does, "the liquidity of everything is being taken down."

71-Year-Old Arrested For Widespread "Hitlerization" Of Shinzo Abe Posters

Having achieved his militarist goals, amid massive protests and plunging popularity, it appears Shinzo Abe is rapidly taking gaining on Vladimir Putin's spot atop the tyrannical-dicators-of-the-world-meme. By pushing through this change to Japan’s pacifist constitution, Japan’s nationalists have gotten their foot in the door, so to speak; and as Pater Tenebrarum notes, once a long-held principle is abandoned, further steps to alter the legal framework are usually not long in coming, prompting, as TokyoReporter.com reports, a 71-year-old man to allegedly deface roughly 30 political posters - drawing a hitler-esque moustache on Abe posters.

Wholesale Money Markets Are Broken: Ignore "Perverted" Swap Spreads At Your Own Peril

At the height of the financial crisis, the unprecedented decline in swap rates below Treasury yields was seen as an anomaly. The phenomenon is now widespread, as Bloomberg notes, what Fabozzi's bible of swap-pricing calls a "perversion" is now the rule all the way from 30Y to 2Y maturities. As one analyst notes, historical interpretations of this have been destroyed and if the flip to negative spreads persists, it would signal that its roots are in a combination of regulators’ efforts to head off another financial crisis, China selling pressure (and its impact on repo markets) and "broken" wholesale money-markets.

Did The PBOC Covertly Buy 1,747 Tonnes Of Gold In London?

The Western gold space has learned a great deal about the Chinese gold market and global gold flows, though we’re always left with loose ends. For example, the issue regarding PBOC gold purchases; how much gold do they truly have and where was it bought? Does the PBOC buy 400-ounce Good Delivery (GD) bars in London and covertly transports these gold bars to its gold vaults in China mainland, or are the Good Delivery gold bars shipped to Switzerland, refined into 1 Kg 9999 gold bars, sent forward to the Chinese mainland where they’re required to be sold through the SGE gold exchange and from where they can be bought (in clear sight) by the PBOC.

The Fed's Troubling Clarity Of Confusion

Over the past few years no institution has had more consequences beholden to their words than the Federal Reserve. So much so one could reasonably argue in response to prevailing circumstances their communiques overshadowed most others; including presidents and other leaders. The problem today is; in their effort to bring more clarity via press-ers, and more as to what might be transpiring behind the doors at the Eccles building, they’ve now communicated more confusion in the last two weeks nullifying all previous efforts. In our eyes it seems to be working exactly the same as its other policy outcomes: adding confusion, uncertainty, and having the exact opposite of intended results.

QE Infinity Calls Continue: "QE4 Will Be Their Next Move"

"What we have had is a jobless recovery in the US and so the Fed could not afford to cause another depression by raising interest rates. QE4 will be their next move, which is now much more likely than a rate hike."

George Soros Demands EU Accept 1 Million Refugees (Costing €15 Billion) Per Year For Foreseeable Future

The exodus from war-torn Syria should never have become a crisis, according to billionaire George Soros; it was long in the making, easy to foresee, and eminently manageable by Europe and the international community. While some leaders, like Hungary's Orban, have suggested plans, these subordinate the human rights of asylum-seekers and migrants and threaten to divide and destroy the EU by renouncing the values on which it was built and violating the laws that are supposed to govern it. Soros demands that The EU respond with a genuinely European asylum policy that will put an end to the panic and the unnecessary human suffering.

Dear Janet Yellen, Here Is All You Need To Know About The US Economy: True Unemployment Is Over 12%

Dear Fed Chairwoman Yellen: if you are still confused why there is so much slack and so little wage growth in the US economy despite the 5.1% "reported" unemployment rate, here is the answer: instead of a 5.1% unemployment rate in August, the true unemployment rate in the "land of the free" has been rising ever since the financial crisis, and is above 12% for the past three years.

The Bull/Bear 'High Stakes Poker' Game Is Down To The Final Table

High stakes poker, winner takes all. Traders better have their trade plans ready: The next 3 weeks will likely determine whether we enter a lengthy bear market or whether bulls can use coming positive seasonality to avert a major market break one more time. As the following charts show, by the end of October we shall have confirmation one way or the other...

Paul Craig Roberts Warns "The Entire World May Go Down The Tubes Together"

Neoliberal economics is blind to reality and serves to justify the destruction of the economic prospects of the Western World. It remains to be seen if Russia and China can develop a different economics or whether these rising superpowers will fall victim to the “junk economics” that has destroyed the West. With so many Chinese and Russian economists educated in the US tradition, the prospects of Russia and China might not be any better than ours. The entire world could go down the tubes together.

Meet The Man Who Prevented World War III

As proxy wars morph closer and closer to outright confrontations, the Cold War 2.0 meme continues to mount and questions arise of how this rapidly escalating sabre-rattling will end. With that in mind it is perhaps worth remembering Vasili Arkhipov; and how - at the height of The Cold War (with the civilized world on the brink of extinction) - one person can indeed change the fate of the world.

Jim Grant Explains How To Hedge Against The Coming Money Paradrop

"This is a monetary moment... we are looking at the beginning of the world’s reappraisal of the words and deeds of central bankers like Janet Yellen and Mario Draghi. You see monetary disorder manifested in super low interest rates, in the mispricing of credit broadly and you see it in the escalation of radical monetary nastrums that are floating out of the various central banks and established temples of thought: Negative real rates, negative nominal rates and the idea of helicopter money. So you need some hedge against things not going according to the script and that makes gold and gold mining equities terrifically interesting now."