Monsanto

See For Yourself ...

In 2015, the iron fist of power clamped down on humanity, from warfare to terrorism to surveillance, police brutality, and corporate hegemony. The environment was repeatedly decimated, the health of citizens was constantly put at risk, and the justice system and media alike were perverted to serve the interests of the powers that be. However, while 2015 was discouraging for more reasons than most of us can count, many of the year’s most underreported stories evidence not only a widespread pattern that explicitly reveals the nature of power, but pushback from human beings worldwide on a path toward a better world.

The start of the Fed's most eagerly awaited two-day policy meeting in years has finally arrived with the market expecting Yellen to announce the first 25 bps rate hike in 9 years tomorrow with nearly 80% probability, and so far US equity futures are enjoying a last minute relief rally, while emerging market stocks rose for the first day in ten after the longest losing run since June. Europe's Stoxx 600 Index has also rebounded from a five-day losing streak, the worst in over four months.

After yesterday's rollercoaster session in both the S&P and in oil, where initially stocks soared alongside oil, only to promptly tumble as stops were taken out and as the refiners' inventory strategy was exposed after the DOE's latest weekly numbers were released, it has been a quieter session so far, though maybe not for China where stocks jumped at the open only to fizzle and close at the lows in what appears to be ever less intervention by the market manipulating "National Team."

• Soothing Fed sounds send shares, emerging markets higher (Reuters)
• Belgian Police Conduct Raids in Connection With Paris Attacks (WSJ)
• The Paris Attacks Can’t Lead to a Closed Europe (BBG)
• Alleged Mastermind of Paris Attacks Was ‘Emir of War’ (WSJ)
• U.S. Eyes Russia-Iran Split in Bid to End Syria Conflict (WSJ)
• Despite tensions, Asia-Pacific nations close ranks against terrorism (Reuters)

• Security jitters drive European investors back to safe havens (Reuters)
• Global Anti-ISIS Alliance Begins to Emerge (WSJ)
• Merkel says cancelling soccer match was 'responsible' decision (Reuters)
• Paris attacker may have had accomplice on journey through Balkans (Reuters)
• Drop Assad demands if you want to unite against Islamic State: Russia to West (Reuters)
• Putin sets up commission to combat terrorism financing (Reuters)

If this weekend's gruesome terrorist attack on Paris ended up being hugely bullish for stocks, then two subsequent events, a stadium-evacuation scare in Hannover (where Angela Merkel was supposed to be present) and a raid in north Paris which left several dead in the ongoing manhunt against the alleged ISIS mastermind, appear to have but some question into if not stocks then algos whether a rising wave of terrorist hatred across Europe is truly what central bankers need to unleash more QE. That said, we expect the current weakness to last only until the traditional USDJPY carry ramp pushes stocks traditionally higher.

With the third quarter earnings season almost over, and 90% of companies having reported, here is a quick look at where we stand and what has emerged as the 4 main themes during earnings calls.

The re-enserfment of Western peoples is taking place on several levels...

Bernie Sanders supporters seem to be everywhere. 49% of Democrats now have a favorable view towards socialism. This is scary. And sad. No matter how it is wrapped, socialism is still the belief that we can raise people out of poverty by taking money out of the hands of those who have learned how to produce. And it has never worked. Socialism always fails because at some point people realize they don’t have to work as hard to get the same amount of stuff. It takes all the incentive away to really succeed.

The great buyback manio of the past 3 years may soon be ending, for two key reasons.

"Red meat, under which the IARC includes beef, lamb and pork, was classified as a 'probable' carcinogen in its group 2A list that also contains glyphosate, the active ingredient in many weedkillers."

We expect the ultimate outcome of Carl Icahn's Super PAC will be to make it easier for activists to pressure management teams into buying back even more of their shares - perhaps by granting them a tax amnesty on repatriating some of the $2 trillion in offshore cash if used for shareholder friendly activity - but then again we tend to be cynical.

26 years ago, today was envisioned as day when cars flew, holographic movies were box office hits, hoverboards roamed, and people were fired by fax. None of the happened. Instead the only "back to the future" moment this morning is a deja vu one we have seen every day for the past 7 years: bad economic news leading to surging stocks.

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