Bond
Gold In 2016: "Economic Power Is Shifting"
Submitted by Tyler Durden on 01/09/2016 18:15 -0500An unseen bubble at the heart of the financial system is deflating with unknown consequences. When bubbles deflate, and here we are talking about one in the hundreds of trillions, bad debts are usually exposed. Even though much of the reduction in outstanding OTC derivatives is due to consolidation of positions following the Frank Dodd Act, much of it is not. When free markets reassert themselves, and they always do, the disruption promises to be substantial. We appear to be in the early stages of this event. If so, demand for physical gold can be expected to escalate rapidly as a financial crisis unfolds.
What The Charts Say: "US Stocks Are In Riskiest Position In Seven Years"
Submitted by Tyler Durden on 01/09/2016 17:15 -0500"After suffering the worst start to a new year in history, the U.S. stock market has entered correction territory which is defined by a drop of 10% from its old high. The following "hateful eight" charts pretty much speak for themselves... This doesn't bode well for U.S. stocks which are now in the riskiest position since the bull market started seven years ago."
Angry Bond Insurers Sue Puerto Rico Over "Clawback" Boondoggle
Submitted by Tyler Durden on 01/09/2016 15:15 -0500“The commonwealth has committed itself to a ‘scorched earth’ strategy of blaming its fiscal and structural problems on lenders, Congress and others, in an effort to deflect responsibility and obtain retroactive application of bankruptcy laws.”
Priced For Perfection - Why This Burrito Market Is Heading For A Fall
Submitted by Tyler Durden on 01/08/2016 14:40 -0500In March 2014 Wall Street’s ex-items S&P 500 earnings forecast for 2015 was about $133 per share; it ended up 20% lower at $106. Yet here they go again - the consensus for 2016 started out at $137 per share last spring, and is just now beginning to make its way back toward the high $120s. It is a barometer of the abject complacency and intellectual sloth that has descended on the casino owing to two decades of Fed coddling and seven year of free money for the carry trades. In the case of Chipotle, it was always just a burrito. In the case of the US and world economy and financial markets, it’s not even that.
Gold Higher In Most Currencies in 2015 - Up 4% This Week
Submitted by GoldCore on 01/08/2016 14:23 -0500The sole focus of gold in dollar terms and the 10% fall of gold priced in dollars has led to some negative comment about gold's annual fall, the "third year of losses."
When The U.S. Dollar No Longer Exists
Submitted by Sprott Money on 01/08/2016 10:06 -0500When will we know that the United States is really close to “normalizing interest rates”? The U.S. dollar will no longer exist, and (hopefully) neither will the Federal Reserve – the entity which promised to “protect” that dollar.
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Frontrunning: January 8
Submitted by Tyler Durden on 01/08/2016 07:49 -0500- U.S. jobs market seen fairly healthy despite slowing economy (Reuters)
- China State Funds Said to Buy More Shares After Market Rout (BBG)
- Global Stocks Gain Some Respite (WSJ)
- U.S. Jobs Data Take on Added Importance With Markets in Turmoil (BBG)
- GOP Health Plans Are Works in Progress (WSJ)
- For economy czar of crisis-hit Venezuela, inflation 'does not exist' (Reuters)
US Futures Lose Overnight Gains; Dax Back Under 10,000 As Chinese Market Bailout Fizzles
Submitted by Tyler Durden on 01/08/2016 06:56 -0500- Aussie
- Bond
- China
- Circuit Breakers
- Consumer Credit
- Copper
- CPI
- Crude
- Crude Oil
- Equity Markets
- Fail
- fixed
- France
- Germany
- Initial Jobless Claims
- Iran
- Japan
- Jim Reid
- KIM
- Mexico
- NASDAQ
- Natural Gas
- Nikkei
- North Korea
- Price Action
- Primary Market
- recovery
- Saudi Arabia
- Shenzhen
- Time Warner
- Trade Deficit
- Unemployment
- Volatility
- Wholesale Inventories
- Yuan
The half-life of the latest "market supporting" intervention by the Chinese government: just about 12 hours.
Martin Shkreli Secures Bail With $45 Million E*Trade Account, Demands Respect From Wu-Tang Clan
Submitted by Tyler Durden on 01/07/2016 22:00 -0500“I bought the most expensive album in the history of mankind and RZA is talking shit behind my back and online in plain sight. If I hand you $2 million, fucking show me some respect.”
2016: Oil Limits & The End Of The Debt Supercycle
Submitted by Tyler Durden on 01/07/2016 21:30 -0500The problem of reaching limits in a finite world manifests itself in an unexpected way: slowing wage growth for non-elite workers. Lower wages mean that these workers become less able to afford the output of the system. These problems first lead to commodity oversupply and very low commodity prices. Eventually these problems lead to falling asset prices and widespread debt defaults. These problems are the opposite of what many expect, namely oil shortages and high prices. This strange situation exists because the economy is a networked system. Feedback loops in a networked system don’t necessarily work in the way people expect.
Russell Napier Explains How The Decline Of The Yuan Destroys Belief In Central Banking
Submitted by Tyler Durden on 01/07/2016 20:28 -0500If you had not noticed, 2016 has begun with gold and the USD rising simultaneously. This is different and important. This is very positive for gold and very bad for the world...
Perfect Storm!?
Submitted by Tyler Durden on 01/07/2016 17:20 -0500One of the (many) fascinating things about this latest global financial crisis is that there’s no single catalyst. Unlike 2008 when the carnage could be traced back to US subprime housing, or 2000 when tech stocks crashed and pulled down everything else, this time around a whole bunch of seemingly-unrelated things are unraveling all at once.
Bob Janjuah Warns The Bubble Implosion Can't Be "Fixed" This Time
Submitted by Tyler Durden on 01/07/2016 16:25 -0500Having correctly foreseen in September that "China's devaluations are not over yet" it appears Nomura's infamous 'bear' Bob Janjuah has also nailed The Fed's subsequent actions (hiking rates into a fundamentally weakening economy in a desperate bid to "convince markets that strong growth and inflation are on their way back"). In light of this, his latest note today should be worrisome to many as he warns the S&P 500 will trade down around 20% to 25% from current levels in H1, down to the 1500s and for dip-buyers, it's over: "I now feel even more certain that debt-driven asset bubble implosions cannot merely be 'fixed' with even more debt and another round of central bank-driven asset bubbles."
Why Bank Of America Just Said To Go Long "Cash & Volatility", In Charts
Submitted by Tyler Durden on 01/07/2016 10:49 -0500Denmark Hikes Rates As Draghi's "Hawkish" Ease Relieves Peg Pressure
Submitted by Tyler Durden on 01/07/2016 10:40 -0500When Mario Draghi “disappointed” markets in December by “only” cutting the depo rate by 10 bps and “merely” extending PSPP by six months while electing not to expand monthly asset purchases, the Riksbank, the Nationalbank, the Norges Bank, and the SNB all breathed heavy sighs of relief. And while we doubt the ECB is done when it comes to going "full-Krugman" (as it were), Mario Draghi’s “hawkish” ease did buy his counterparts some breathing room. Case in point: Denmark just hiked.





