Swiss Franc

Global Stocks Drop; Futures Hints At Longest Losing Streak Since December 1980

With yesterday's, 8th consecutive decline for the S&P 500, the US equity market has now posted the longest losing streak since October 2008; and should we close payrolls Friday day with another negative print, it would be the longest negative streak since December 1980. Putting the recent slide in context, stocks are now down compared to a year ago, and are unchanged since December 2014.

RBC: "Be Prepared For Another 'Vol-Control' Deleveraging Wave"

"At this frantic vol buying pace, with VIX +17% on the day, it won’t take much longer until further mechanical deleveraging is triggered from these extremely popular retail and ALM vehicles  Long story short, be prepared for another deleveraging wave (which could be happening ‘real time’ as I send) the longer vols stay at these levels, bc they’ve just been ‘stuck’ so low in recent weeks."

Cashless Society - Is The War On Cash Set To Benefit Gold?

If governments allow banks to shut down bank accounts of individuals or companies without a fair trial and due legal process, it will create a very dangerous situation indeed. In this environment, buying gold is rational behaviour to even the biggest paper-bugs out there. The current monetary experiment of massive QE is no longer the main concern of prudent investors and institutions, it is now combined with negative interest rates and bail-ins.

Kuroda Defends BOJ Credibility, Mocks Fed And IMF Economists

This past Saturday October 8th, Bank of Japan Governor Haruhiko “Peter Pan” Kuroda delivered some prepared remarks on its new QQE with yield control (see here and here) at the Brookings Institute in Washington DC. The conference was attended by "luminaries" like Jeffries’ David Zervos, Princeton economist and Hillary supporter Alan Blinder, as well as many members of the press.

After Warning Of "Selling Cascade" On Friday, Gartman Turns Bullish

"If the great Marty Zweig taught us all decades ago never to fight the Fed, then we are to learn today never to fight the collective force of the central banks in aggregate either, but should instead see this as a wind at the stock market’s collective back."

FX Trading By Hedge Funds And Prop Traders Tumbles 30% Over Past Three Years

What was most striking in the latest Triennial BIS survey, was the shrinkage in FX trading by hedge funds and proprietary trading firms which fell by more than 30% over the past three years. The shrinkage in the share of FX trading by these investors is likely the result of regulatory pressures and FX rigging investigations which caused significant retrenchment by FX prop desks.

Jim Rogers Explains What He Is Doing Before "The Next Time The World Comes To An End"

One week after RealVision brought us the latest Jeff Gundlach interview, in which the DoubleLine bond king explained why he is now "100% net short", on Friday Grant Williams interviewed Jim Rogers, in which George Soros' former partner (the two co-founded the Quantum Fund in 1973), is about as gloomy, warning "the next time the world comes to an end, it's going to be a bigger shock than we expect."

S&P Set For New Record Highs As Futures, Dollar Rise; Oil Slides

In a rerun of yesterday's overnight session, European indexes trade higher while US index futures were modestly in the green, set to propel the S&P 500 to new all time highs. Emerging Market dropped the most in three weeks alongside commodities, as today the market was predisposed hawkishly on a US rate hike ahead of Yellen's Friday speech, pushing the US dollar higher and oil resumed its pre "anonymous sources" headlines slide.

What Alan Greenspan Is Most Worried About

"... it's very difficult to see where the next step is except what I'm concerned about mostly, is stag-flation, meaning I think we're seeing the very early signs of inflation beginning finally to pick up as the issue of deflation fades.... we're in a situation now where looking at the interest rate levels that we're looking at and the inflation rates we're looking at, it's very clear that we're going to be moving reasonably shortly into a wholly different phase."