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Why SocGen Thinks That "For Long-Term Investors The Outlook Is Dire"

"For long-term investors the outlook is dire. If you invested today for 20 years the after cost excess return might be $21,800 (today’s yield on a balanced portfolio is just 199bps minus 100bps) versus $60,000 if you invested 10 years ago – and a $150,000 30 years ago."

"Hillary Is Closer To Mussolini Than Trump Is To Hitler"

Obviously, the sitting parties in Congress want nothing more than for Trump to be branded a fascist. Which is why Hillary Clinton not long ago compared him to Adolf Hitler. Through a wider philosophical and historical lens, there are two issues with that claim. First, Trump hasn’t killed anyone. Second, the person making the claim has. The problem for Hillary is that a lot of Americans understand this.

€348 Million: ECB Releases First Total Of Corporate Bond Purchases

As part of today's update of the ECB's asset purchases, the central bank announced for the first time, in addition to its various other sovereign and covered-bond purchases, just how many corporate bonds it had bought in the open market under its infamous CSPP, or corporate bond buying program, which officially launched on June 3. The result: a mere €348 million in purchases on the first day in which the program was operational.

Apple 2016 iPhone Sales To Fall For The First Time Due To "Lukewarm Demand", Shipments To Drop 8.6%

Moments ago Japan's Nikkei warned that Apple will see the first annual decline in iPhone shipments this year since the smartphone's debut in 2007 "due to lukewarm demand for a new model, people familiar with the matter told Nikkei Asian Review." As Nikkei reports citing a person at a major supplier, overall iPhone shipments will total 210 to 220 million this year, falling as much as 8.6% from 2015.

Goldman Warns Of "Upward Shock" To Rates, Hints At Trillions In Losses

According to Goldman, here is the unpleasant choice facing the world: continue slowly sinking into a deflationary singularity, coupled with ever greater systemic leverage which makes escape from the ZIRP/NIRP trap impossible as social unrest builds up and ultimately spills over into the streets, or unleash an inflationary impulse, one which crushes countless debt holders, leads to trillions in losses, and requires yet another consolidated bailout.... oh, and also more social unrest.

"We Don't Have A Wage Problem; We Have A Money Problem"

Minimum wage advocates seek to solve a legitimate problem facing American workers: their dollars buy less and less every year. But simply mandating employers fork over more dollars is a little like putting a band-aide on an amputation. It doesn’t do anything to address the underlying problem. Our money is broken, and we need to fix it.

"China Is Fixed" Narrative Breaks: Yuan Tumbles To 4-Month Lows, European Stocks Plunge Most Since Feb

For the first time since February 3rd, USDCNH traded over 6.60 as trade data suggests both capital outflows are building (see Hong Kong) and the "China is fixed" narrative is breaking. Whether the Yuan turmoil is responsible - as it has been in the past - for Europe's weakness (and US) is unclear but the last two times the Chinese currency markets started to shudder, the ripples didn't stop until The Fed backed right off...

Global Stocks Sharply Lower As Bond Yields Hit New Record Lows; Oil Slides Below $50

Global stocks, U.S. index futures are sharply lower pressured by fears of another day of record low bond yields, as investors start to worry about numerous risk catalysts in the coming weeks, from the Brexit vote to Fed meeting. The Dollar spot index rose for the second day in a row, pushing commodities lower for their first two-day decline since May 24, while WTI has dipped back under $50.

EBT Card Outage? 8 Days Into June And Many Americans Are Still Waiting For Food Stamp Money

Widespread reports continue to pour in from all over the nation of “glitches” with the food stamp system.  It is eight days into the month and large numbers of people still have not received their benefits, and in other instances it is being reported that EBT cards are simply not working correctly. Could this simply be another example of government incompetence, or is something else at work here?

Pity Poor China: There's No Easy Fix To The S-Curve

This decline is inevitable in fast-expanding economies that depended on export growth and investment booms. Everything that worked so well for 30 years is only making the economy more precarious.

With Daily Record Lows, Here Is A Chart OF German Bund Yields Since 1977

Two stunning statistics: according to Commerzbank almost two-thirds of all German sovereign debt outstanding now yields below minus-0.4%, which makes it ineligible for central-bank purchases. Additionally, as DB adds, Bund yield across the whole curve has gone negative for the first time.

Why 'Robbing Peter' To 'Pay Paul Something-For-Nothing' Doesn't Work

Yes, the voters are a nuisance. Still, it pays to let the masses think they are in charge; you can get more out of them that way and the welfare state only really worked as long as people got something for nothing. Nothing-for-something will not be attractive to the voters.

Goldman Turns Downright Gloomy, Warns Market "Despair" Is Coming, Prepare For A Major Drawdown

As Goldman warns in a note overnight, "Large equity drawdowns often mark the end of an equity cycle and tend to coincide with a recession or financial market/geopolitical shock or a combination, which tend to result in a sharp equity correction driven by a decline in both earnings and valuations." As it turns out, Goldman thinks precisely such a "drawdown" is coming...