Nominal GDP

Citi's Sentiment Indicator Crashes, And Four Other Things That Scare The Bank

Citi's "news implied sentiment indicator" has plunged sharply into bearish territory in the latest print, to its lowest level in 18 months since January 2016. According to Citi, the latest print in NISI suggests "renewed skew towards pessimistic sentiment and thus looking at past correlations to the NISI, Citi warns that the SPX may fall relative to trend for a period on this measure."

BofA: "Central Banks Are Now In A Desperate Dilemma"..."Start Buying Volatility"

"Central banks, the reason behind high asset prices and low vol, are now in desperate dilemma: politically unacceptable for bubble on Wall St, but central banks will be tightening into deflation; inflection point for volatility is upon us and we recommend investors buy volatility....Fed tightening in 2017 could easily be followed by easing in 2018, in our view."

Credit Card Defaults Surge Most Since Financial Crisis

The steep increase in credit card defaults in 1Q’17 and 4Q’16 was the largest since 2009, according to a report by Moody's, which suggests that the US consumer is getting progressively weaker and is unable to support the spending needed to keep the US economy afloat.

"How Does This Ever End?" An Interview With Lacy Hunt

"...our results will mirror Japan over time... They've tried to solve an indebtedness problem by taking on more debt... the secular low in long treasury bonds is not at hand.. [rates] are not going to be able to stay up. The economy is too fundamentally weak..."

After 47 Years, Stephen Lewis Calls It Quits In A Scathing Critique Of Modern Markets

"The post-2008 growth in global credit massively raises the risk of a future crisis, despite official measures requiring more stringent bank capital requirements. Even these strengthened defences would prove flimsy in the event of any future collapse in confidence, a collapse that is all too likely to occur in view of the aforementioned misallocation of capital."

Stockman: Trump's Tax Plan Never Had A Chance

"...there’s going to be no Obamacare repeal, there’s going to be no tax cut, there’s going to be a massive political conflagration. What’s happened in the last few days with Comey and this crazy inquisition on Russia is going to take the government into complete dysfunction and partisan ranks."

David Rosenberg: "This Is A Bubble Of Historic Proportions"

"This bubble is on par with what we had in the States back in ’05, ’06, ’07. We have to actually take a look at the situation. The housing market here is in a classic price bubble. If you don’t acknowledge that, you have your head in the sand."