en What Do Markets Want More: A Good Or Bad Jobs Report <p><strong>Answer: it's a trick question.</strong> </p> <p>The S&amp;P jumps on both a good and a bad jobs report... </p> <p><span style="text-decoration: underline;"><strong>&nbsp;</strong></span> </p> <p><a href=""><img src="" style="width: 600px; height: 1262px;" /></a></p> <p>&nbsp;</p> <p>What happens one day later is a different question!</p> Fri, 06 May 2016 20:13:27 +0000 Tyler Durden 530709 at Stocks Slump Most In 3 Months As Commodities & Credit Crash <p>Seriously...</p> <p><iframe allowfullscreen="" frameborder="0" height="315" src="" width="560"></iframe></p> <p>&nbsp;</p> <p><a href=""><u><strong>First things first - it&#39;s payrolls day so stock ramp no matter what... </strong></u></a>But gold topped stocks post-payrolls and bonds were sold as crude rallied most...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 400px;" /></a></p> <p>&nbsp;</p> <p>It&#39;s been a volatile week...</p> <ul> <li>S&amp;P 500 Down 2.3% - Worst 2-week drop in 3 months</li> <li>Dow Transports Down 5.5% - Worst 2-week drop in 4 months</li> <li>&quot;Most Shorted&quot; stocks Down 4.6% - Worst week in 4 months</li> <li>AAPL Down 16.6% - Worst 3-week drop since Nov 2008</li> <li>Treasury Bonds - Best 7-Day rally in 3 months</li> <li>European Bank Credit (Subs) Rose 44bps - Worst 2-week spike in 3 months</li> <li>High Yield Bonds (HYG) Down 1.75% - Worst week in 3 months</li> <li>USD Index Up 1.4% - Best week in 6 months</li> <li>Copper Down 5% - Worst week in 4 months</li> <li>China Rebar Down 9.6% - Worst week in 10 months</li> <li>China Iron Ore Down 4% - Worst week in 4 months</li> </ul> <p>And finally, the last 4 weeks have been the worst for US Macro data since March 2015...</p> <p><a href=""><img height="301" src="" width="600" /></a></p> <p>&nbsp;</p> <p>But Stocks managed to rally - as we noted above - but ended the week in the red...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 405px;" /></a></p> <p>&nbsp;</p> <p>S&amp;P bounced off unch for the year and its 50DMA...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 419px;" /></a></p> <p>&nbsp;</p> <p>VIX tailed immediately as payrolls hit and then as we went red for 2016, VIX was hammered once again to a 14 handle!!</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 353px;" /></a></p> <p>&nbsp;</p> <p>But this was not a squeeze - as &quot;Most Shorted&quot; stocks suffered their worst (or best if you&#39;re short) week in 4 months...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 309px;" /></a></p> <p>&nbsp;</p> <p>Biotechs were battered thanks to AGN and ENDP...IBB down 8 of the last 10 days...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 339px;" /></a></p> <p>&nbsp;</p> <p>Meanwhile over at the &quot;no brainer&quot;... <strong>AAPL is unchanged since April 2012...</strong></p> <p><a href=""><img alt="" src="" style="width: 600px; height: 300px;" /></a></p> <p>&nbsp;</p> <p>Chesapeake collapsed on collateral call headlines (is there anyone left in managemnt to die?)</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 337px;" /></a></p> <p>&nbsp;</p> <p>Bonds ain&#39;t buying it - Credit markets had a realy ugly week (and day) even as stocks dead cat bounced...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 351px;" /></a></p> <p>&nbsp;</p> <p>And here is why...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 369px;" /></a></p> <p>&nbsp;</p> <p>Treasury yields fell on the week (but rose today after the dismal jobs data - which makes perfect sense to sell bonds when economic data that has maintained the &#39;everyting is awesome&#39; narrative is completely destroyed...)</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 314px;" /></a></p> <p>&nbsp;</p> <p>The USD Index rose for the 4th day in a row - despite the apparently dovish crap jobs news...note that commodity currencies (CAD/AUD) were the worst hit...</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 316px;" /></a></p> <p>&nbsp;</p> <p>Commodities rallied on the day despite USD strength with Gold best of all (managing tio get green briefly before being pushed red)... Copper bounced off its 100DMA today</p> <p><a href=""><img alt="" src="" style="width: 600px; height: 313px;" /></a></p> <p>&nbsp;</p> <p><em>Charts: Bloomberg</em></p> <blockquote class="twitter-tweet" data-partner="tweetdeck"><p dir="ltr" lang="en">Sorry, almost forgot<a href="">#BREXIT</a> <a href=""></a></p> <p>&mdash; Rudolf E. Havenstein (@RudyHavenstein) <a href="">May 6, 2016</a></p></blockquote> <script async src="//" charset="utf-8"></script> Copper CRAP Crude headlines Twitter Twitter Fri, 06 May 2016 20:03:01 +0000 Tyler Durden 530708 at Weekend Reading: Should I Stay Or Should I Go <p><a href=""><em>Submitted by Lance Roberts via,</em></a></p> <p>It has been interesting as of late reading the numerous views&nbsp;espousing the value of <em>&ldquo;indexing&rdquo;</em> and lamenting the short-term underperformance of some fund manager. What is more interesting is a large majority of these individuals have only been involved in the markets post-financial crisis. <strong>In other words, many of these individuals have never lived through a 2000 or 2008 type financial market event.</strong></p> <p>It is only during these periods where true investment <em>&ldquo;metal&rdquo;</em> is tested as the battlefield becomes a vast wasteland of bodies and failed ideas. <strong>Despite strategies that promote the value&nbsp;of long-term investing and the benefits of indexing, it is the realization of <em>&ldquo;loss&rdquo;</em> that derails even the most well-intentioned of individuals.</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><span style="color: #993300;"><em>&ldquo;Everyone&rsquo;s got a plan, until they get punched in the face.&rdquo; &ndash; Mike Tyson</em></span></p> </blockquote> <p>But that is a realization that only occurs <em>&ldquo;after the fact.&rdquo;</em> Like the prey being hypnotized into immobility by the gaze of the snake as it slowly tightens its coils, investors are lulled into sense of complacency by a market, and the ongoing commentary, that seemingly <em>&ldquo;can&rsquo;t go down.&rdquo;&nbsp;</em></p> <p>Maybe, I have just been around too long. Over the past 25-years, I have seen just about everything that happens to investors fiscally and psychologically and the market environment that drove those outcomes. The current market environment of back-and-forth action is not unlike that seen just prior to the major market corrections in 2000 and 2008. As shown in the chart below, there are too many similarities to simply be coincidence.</p> <p><a href=""><img alt="SP500-MarketUpdate-050316-3" class="alignnone size-full wp-image-14741" height="449" src="" width="600" /></a></p> <p><em><strong>Could this time be different? Sure. Is it likely? Probably not.</strong></em></p> <p>The only question in my mind is <em>&ldquo;timing.&rdquo;</em> Which brings me to<em> &ldquo;The Clash&rdquo;</em> and the reading list for this weekend.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><em>Should I stay or should I go?</em></p> </blockquote> <hr /> <h2><strong>CENTRAL BANKING</strong></h2> <ul> <li><strong>Drain No More: Fed Funds RIP</strong>&nbsp;<a href="" target="_blank">by Danielle DiMartino-Booth via Money Strong</a></li> <li><strong>Interview: Danielle DiMartino-Booth&nbsp;</strong><a href="" target="_blank">by Lance Roberts Show via Real Investment Advice</a></li> <li><strong>NY Fed Quietly Replaces Fed Funds Rate</strong> <a href="" target="_blank">by Matt Boesler/Liz McCormick via Bloomberg</a></li> <li><strong>The FOMC Wants It To Be About Inflation&nbsp;</strong><a href="" target="_blank">by Jeffrey Snider via Alhambra Partners</a></li> <li><strong>Yellen Drives The Dollar Bus</strong>&nbsp;<a href="" target="_blank">by Roger Blitz via FT</a></li> <li><strong>The Fed&rsquo;s Risky New Mandate</strong>&nbsp;<a href="" target="_blank">by Alexander Friedman via Project Syndicate</a></li> <li><strong>Before Negative Rates</strong> <strong>&ndash; </strong><strong>QE4</strong> <a href="" target="_blank">by David Keohane via FT</a></li> </ul> <hr /> <h2><strong>THE MARKET&nbsp;&amp; ECONOMY</strong></h2> <ul> <li><strong>The Global Growth Funk&nbsp;</strong><a href="" target="_blank">by Nouriel Roubini via Project Syndicate</a></li> <li><strong>The Global Economy At Stall Speed</strong> <a href="" target="_blank">by David Stockman via Contra Corner</a></li> <li><strong>Economy Will Rebound From False Dusk</strong> <a href="">by Roger Bootle via The Telegraph</a></li> <li><strong>Americans: No Raise In 16 Years</strong> <a href=";rct=j&amp;q=&amp;esrc=s&amp;source=newssearch&amp;cd=2&amp;cad=rja&amp;uact=8&amp;ved=0ahUKEwiIiNrLp8TMAhXHJCYKHQ6VBaEQqQIIHygAMAE&amp;;usg=AFQjCNG5Dd2yCVVlVrnUrPFgP5POwJ7lFQ&amp;sig2=t08MSqGfwHwYghBwXGS_3Q&amp;bvm=bv.121421273,d.eWE" target="_blank">by John Crudele via New York Post</a></li> <li><strong>Why Is Wage Growth So Slow</strong> <a href="" target="_blank">by Pam Villereal via Nat. Ctr. For Policy Analysis</a></li> <li><strong>Stock Pickers Beware</strong>&nbsp;<a href="" target="_blank">by Ellie Ismailidou via MarketWatch</a></li> <li><strong>It&rsquo;s May&hellip;Now What?&nbsp;</strong><a href="" target="_blank">by Macro Man</a></li> <li><strong>Market Will Go Down Double Speed&nbsp;</strong><a href="" target="_blank">by David Merkel via Aleph Blog</a></li> <li><strong>Odds Still Favor Bulls Over Bears</strong>&nbsp;<a href="" target="_blank">by Michael Gayed via Market Watch</a></li> <li><strong>Mind The Stock/Bond Gap</strong>&nbsp;<a href="" target="_blank">by Ellie Ismailidou via MarketWatch</a></li> <li><strong>Dollar Bulls &ndash; Nothing Left But Hope</strong>&nbsp;<a href="" target="_blank">by Michael Kahn via Barron&rsquo;s</a></li> <li><strong>Today&rsquo;s Market Makes No Sense</strong>&nbsp;<a href="" target="_blank">by Ken Brown via Unhedged</a></li> <li><strong>Markets Cut Against Consensus</strong>&nbsp;<a href="" target="_blank">by Erik Swarts via Market Anthropology</a></li> <li><strong>Risk On/Risk Off Market&nbsp;</strong><a href="" target="_blank">by David Keohane via FT Alphaville</a></li> <li><strong>The Charts Support Both Bulls &amp; Bears</strong>&nbsp;<a href="" target="_blank">by Michael Kahn via Barron&rsquo;s</a></li> </ul> <hr /> <h2>MUST READS</h2> <ul> <li><strong>How Much Are Those Dividends Costing You&nbsp;</strong><a href="" target="_blank">by Meb Faber via Faber Research</a></li> <li><strong>10 Things I Learned From Tony Hawk</strong>&nbsp;<a href="" target="_blank">by James Altucher</a></li> <li><strong>Lies, Damn Lies &amp; Statistics&nbsp;</strong><a href="" target="_blank">by Rob Arnott via Research Affiliates</a></li> <li><strong>Seeds Of Next Housing Crisis</strong>&nbsp;<a href="" target="_blank">by Michael Brush via MarketWatch</a></li> <li><strong>Justifying Current Market Levels&nbsp;</strong><a href="" target="_blank">by John Hussman via Hussman Funds</a></li> <li><strong>Investors Should Be Very Concerned&nbsp;</strong><a href="" target="_blank">by Buttonwood via The Economist</a></li> <li><strong>How Gundlach Is Preparing For Trump&nbsp;</strong><a href="" target="_blank">by Tyler Durden via Zero Hedge</a></li> <li><strong>Can Momo Regain It&rsquo;s Mojo</strong>&nbsp;<a href="" target="_blank">by Dana Lyons via Tumblr</a></li> <li><strong>The Misadventures Of Fannie &amp; Freddie&nbsp;</strong><a href="" target="_blank">by George Will via National Review</a></li> <li><strong>Druckenmiller: Get Out Of The Market</strong>&nbsp;<a href="" target="_blank">by&nbsp;Jesse Felder via The Felder Report</a></li> <li><strong>Risks Interbred With Atrocious Math</strong> <a href="" target="_blank">by Salil Mehta via Statistical Ideas</a></li> </ul> <hr /> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div> <p><span style="color: #993300;"><strong><em>&ldquo;Bull markets bail you out of your mistakes. Bear markets make you pay for them.&rdquo;</em></strong>&nbsp;</span>&ndash;&nbsp;Dick Russell</p> </blockquote> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="708" height="417" alt="" src="" /> </div> </div> </div> Bond Global Economy Gundlach John Hussman Momo Nouriel Nouriel Roubini Tyler Durden Fri, 06 May 2016 19:55:00 +0000 Tyler Durden 530699 at "What Are You Laughing At?" <p>'re next!</p> <p>&nbsp;</p> <p><a href=""><img src="" width="600" height="418" /></a></p> <p>&nbsp;</p> <p><a href=""><em>Source:</em></a></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="1087" height="757" alt="" src="" /> </div> </div> </div> Fri, 06 May 2016 19:35:00 +0000 Tyler Durden 530695 at California Fault Lines Are "Locked, Loaded, & Ready" For The Big One, Expert Warns <p>The San Andreas fault is one of California&#39;s most dangerous. While the last big earthquake to strike the southern San Andreas was in 1857, <a href="">as LA Times reports </a>Thomas Jordan, director of the Southern California Earthquake Center, explained this week <strong><em>&quot;the springs on the San Andreas system have been wound very, very tight. And the southern San Andreas fault, in particular, looks like it&rsquo;s locked, loaded and ready to go.&quot;</em></strong></p> <p><strong>Have you noticed that the crust of the Earth is starting to become a lot more unstable?&nbsp;</strong></p> <p><a href="">As The End of The American dream blog&#39;s Michael Snyder explains</a>, <strong><em>over the past couple of months, major earthquakes have shaken areas <a href="" title="all over the planet">all over the planet</a> and major volcanoes <a href="" title="have been erupting">have been erupting</a> with a frequency that is more than just a little bit startling.</em></strong>&nbsp; Here in the United States, the state of Oklahoma absolutely shattered their yearly record for quakes last year, we just saw a very disturbing earthquake <a href="" title="right along the New Madrid fault">right along the New Madrid fault</a> just recently, and as you will see below one scientist is telling us that the San Andreas fault in southern California &ldquo;looks like it&rsquo;s locked, loaded and ready to go&rdquo;.</p> <p><a href=""><img height="360" src="" width="600" /></a></p> <p>The name of the scientist that issued that very ominous warning is Thomas Jordan, and he is the director of the Southern California Earthquake Center.&nbsp; The following quote from Jordan comes from a&nbsp;<a href="" target="_blank" title="Los Angeles Times article">Los Angeles Times article</a> that was published this week that is getting a huge amount of attention right now&hellip;</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>&ldquo;The springs on the San Andreas system have been wound very, very tight. And the southern San Andreas fault, in particular, looks like it&rsquo;s locked, loaded and ready to go,&rdquo; Jordan said in the opening keynote talk.</p> <p>&nbsp;</p> <p>Other sections of the San Andreas fault also are far overdue for a big quake. Further southeast of the Cajon Pass, such as in San Bernardino County, the fault has not moved substantially since an earthquake in 1812, and further southeast toward the Salton Sea, it has been relatively quiet since about 1680 to 1690.</p> <p>&nbsp;</p> <p>Here&rsquo;s the problem: Scientists have observed that based on the movement of tectonic plates, with the Pacific plate moving northwest of the North American plate, earthquakes should be relieving about 16 feet of accumulated plate movement every 100 years. Yet the San Andreas has not relieved stress that has been building up for more than a century.</p> </blockquote> <p>Jordan went on to say that when the tension that has been building along the San Andreas fault is finally relieved, it could potentially produce a magnitude 8 earthquake. What a Magnitude 8 quake would look like...</p> <p><iframe frameborder="0" height="315" src="" width="560"></iframe></p> <p>&nbsp;</p> <p><strong>Back in 2008, the U.S. Geological Survey concluded that just a magnitude 7.8 earthquake along the southern San Andreas fault would cause more than 1,800 deaths, 50,000 injuries and 200 billion dollars in damage.</strong></p> <p>So we are talking about a truly historic event.</p> <p>Many people out there believe that someday large portions of California will fall into the ocean as the result of an absolutely massive earthquake, but the USGS is convinced that is not likely to happen.&nbsp; However,&nbsp;<a href="" target="_blank" title="of the U.S. Geological Service">they do openly admit</a> that someday the cities of Los Angeles and San Francisco will be located right next to one another&hellip;</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>Will California eventually fall into the ocean?</strong></p> <p>&nbsp;</p> <p>No. The San Andreas Fault System, which crosses California from the Salton Sea in the south to Cape Mendocino in the north, is the boundary between the Pacific Plate and North American Plate. The Pacific Plate is moving northwest with respect to the North American Plate at approximately 46 millimeters per year (the rate your fingernails grow). The strike-slip earthquakes on the San Andreas Fault are a result of this plate motion. The plates are moving horizontally past one another, so California is not going to fall into the ocean.</p> <p>&nbsp;</p> <p><strong>However, Los Angeles and San Francisco will one day be adjacent to one another!</strong></p> </blockquote> <p>But of course it isn&rsquo;t just California that we need to be concerned about.</p> <p>According to&nbsp;<a href="" target="_blank" title="the Daily Mail">the Daily Mail</a>, one team of scientists has concluded that <strong>giant chunks of the Earth&rsquo;s mantle are &ldquo;breaking off and sinking into the planet&rdquo; under the North American plate</strong>, and that this is what has caused some of the unusual earthquakes in the eastern part of the country in recent years&hellip;</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p class="mol-para-with-font">The&nbsp;southeastern United States has been hit by a series of strange unexplained quakes &ndash; most recently, the 2011 magnitude-5.8 earthquake near Mineral, Virginia that shook the nation&rsquo;s capital.</p> <p class="mol-para-with-font">&nbsp;</p> <p class="mol-para-with-font">Researchers have been baffled, believing the areas should be relatively quiet in terms of seismic activity, as it is located in the interior of the North American Plate, far away from plate boundaries where earthquakes usually occur.</p> <p class="mol-para-with-font">&nbsp;</p> <p class="mol-para-with-font">Now, <strong>they believe the quakes could be caused by pieces of the Earth&rsquo;s mantle breaking off and sinking into the planet</strong>.</p> </blockquote> <p>I don&rsquo;t know about you, but that sounds rather ominous to me.</p> <p><strong><em><a href=""><img height="403" src="" width="600" /></a></em></strong></p> <p>The crust of our planet already somewhat resembles a giant cracked egg, and to hear that pieces may be breaking off and sinking into the interior is not exactly comforting.</p> <p>And those same scientists are telling us that the process that has been causing this is ongoing and&nbsp;<a href="" target="_blank" title="will continue to produce more earthquakes">will continue to produce more earthquakes</a>&hellip;</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p class="mol-para-with-font">The study authors conclude this process is ongoing and likely to produce more earthquakes in the future.</p> <p class="mol-para-with-font">&nbsp;</p> <p class="mol-para-with-font">&lsquo;Our idea supports the view that this seismicity will continue due to unbalanced stresses in the plate,&rsquo; said Berk Biryol, a seismologist at the University of North Carolina at Chapel Hill and lead author of the new study.</p> <p class="mol-para-with-font">&nbsp;</p> <p class="mol-para-with-font">&lsquo;<strong>The [seismic] zones that are active will continue to be active for some time</strong>.&rsquo;</p> </blockquote> <p>Those that follow my work closely know that I have been writing about seismic activity a lot lately, and that I believe that major earth changes are coming to the North American continent.&nbsp; I am deeply concerned about&nbsp;<a href="" target="_blank" title="the New Madrid fault seismic zone">the New Madrid fault</a>, the <a href="" target="_blank" title="Cascadia Subduction zone">Cascadia Subduction zone</a>, the major faults in southern California and <a href="" title="Mt. Rainier">Mt. Rainier</a> up in Washington state.</p> <p><em><strong>In the end, I don&rsquo;t believe that we will see just one or two major seismic events in the years ahead.</strong></em></p> <p><em><strong>For those of us that are fortunate enough to live long enough, I believe that all of those areas that I just mentioned will experience major events.</strong></em></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="781" height="412" alt="" src="" /> </div> </div> </div> Oklahoma Fri, 06 May 2016 19:20:00 +0000 Tyler Durden 530687 at Ohio Teen Excited About His Older Unemployed Brother's Return Home After College <p><span style="text-decoration: underline;"><strong>Fact or Fiction?</strong></span></p> <p>GAHANNA, OH - Talking about how fun it will be to &ldquo;hang out like old times,&rdquo; local 13-year-old Joey Watkins expressed excitement Thursday upon learning <strong>his older brother, who in the current job market has found no prospects for employment, has no choice but to move back home after college.</strong></p> <p><strong><a href=""><img height="331" src="" width="600" /></a></strong></p> <p>The eighth-grader was reportedly overjoyed by the news that his 22-year-old brother, Derek, will return to live in his parents&rsquo; house after his graduation from Ohio State University, <strong>where he has spent much of his senior year researching companies and applying for jobs and internships, but to no avail.</strong></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><em><strong>&quot;Man, it&rsquo;ll be great having Derek around all the time,&rdquo;</strong></em> Joey said of the depressed and frustrated economics major, who, despite expanding his job search far beyond his areas of interest and sending applications all over the country, <strong>cannot find even part-time work among the present supply of entry-level positions</strong>. &ldquo;I haven&rsquo;t seen him in so long. He was really busy this semester, so he hasn&rsquo;t been around much since Christmas.&rdquo;</p> <p>&nbsp;</p> <p>&ldquo;I can&rsquo;t wait to help him unload all his stuff and move back into his room,&rdquo; Joey continued. &ldquo;We&rsquo;re gonna have so much fun!&rdquo;</p> </blockquote> <p><span style="text-decoration: underline;"><strong>Sources confirmed Derek will be staying indefinitely in his old childhood bedroom, which was converted into a home office when he left for college in 2012.</strong></span> According to reports, while Derek was investigating the steps to procuring a real estate license last weekend in a desperate bid to find any source of employment, Joey was helping his parents clean out the room and move his brother&rsquo;s furniture back in, with the younger sibling reportedly noting how he wanted to make everything look just as it did four years ago so Derek would feel at home.</p> <p>Joey also conveyed his hopes that Derek&mdash;<em><strong>who in his fruitless attempts to find work contacted at least a dozen recruiters online, met with three different career counselors, and attended numerous networking events</strong></em>&mdash;will return to his old summer job at the local cineplex so the two brothers can go see movies together for free the way they used to.</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>&ldquo;We&rsquo;ll be able to go to the batting cages every day&mdash;it&rsquo;ll be awesome,&rdquo; </strong>said Joey, whose older brother reportedly has only $500 to his name and hopes to save as much as he can to cover travel expenses to potential job interviews, should he be fortunate enough to land one anytime soon. &ldquo;There&rsquo;s so much cool stuff we&rsquo;ll finally get a chance to do once Derek is home and doesn&rsquo;t have a bunch of work to do all the time.&rdquo;</p> <p>&nbsp;</p> <p><strong>&ldquo;He&rsquo;ll even be able to drive me to the mall on days when Mom doesn&rsquo;t need the car,&rdquo;</strong> Joey added.</p> </blockquote> <p><strong>Reports indicate that while the younger Watkins has already compiled a long list of things to do with his brother,</strong> one that includes watching baseball games, going to McDonald&rsquo;s, and swimming at a local pool, <em><strong>the college graduate is expected to spend most of his time hunched over a computer scrolling through job listings and sending out résumés in search of any freelance or temp position he can possibly take as a stopgap until something more permanent comes along.</strong></em></p> <p>Sources added that upon learning of Derek&rsquo;s return, Joey immediately texted &ldquo;See you soon!&rdquo; to the graduating senior, who,<strong> though he has had trouble sleeping recently due to his constant anxiety,</strong> continues to research last-ditch job prospects while also writing term papers and preparing for final exams.</p> <p><em><strong>&ldquo;I just got the new FIFA, which is perfect because we can play all weekend after his graduation,&rdquo;</strong></em> said Joey, whose brother will within weeks grow discouraged by his unsuccessful job search and sink into a state of deep, debilitating despair that will cause him to give up looking altogether.<em><strong> &ldquo;It&rsquo;ll be so cool. I hope he stays for a really long time.&rdquo;</strong></em></p> <p><a href=""><em>Source: The Onion</em></a></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="632" height="349" alt="" src="" /> </div> </div> </div> Ohio Real estate The Onion Fri, 06 May 2016 19:15:00 +0000 Tyler Durden 530694 at Americans Unleash Epic Debt-Fuelled Spending Spree As Credit Card Debt Jumps Most On Record <p>While one of the recurring complaints about the US consumer has been the willingness to dig into their savings which recent matched the highest level since 2012, something unexpected was revealed today when the March Consumer Credit data showed that not only did total consumer credit soar by $29.7 billion, or almost double the $16 billion expected, and the highest in series history...</p> <p><a href=""><img src="" width="600" height="393" /></a></p> <p>... <strong>but that this was driven by a record $11 billion surge in revolving (aka credit card) debt</strong>, as it appears in March US consumers unleashed a historic debt-fuelled spending spree, one which as the chart below demonstrates is either a misprint, a huge outlier, or something has dramatically changed in US consumer psychology. </p> <p><a href=""><img src="" width="600" height="335" /></a></p> <p>&nbsp;</p> <p>We are confident the March surge will be promptly unwound (or corrected away), however a far more troubling trend remains: the even more distressing explosion in consumer debt owned by the US government - mostly student and auto loans - as shown in the chart below.</p> <p><a href=""><img src="" width="600" height="332" /></a></p> <p><a href=""><em>Source</em></a></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="1058" height="590" alt="" src="" /> </div> </div> </div> Consumer Credit Fri, 06 May 2016 19:12:40 +0000 Tyler Durden 530703 at Trump Super PAC Chief Strategist Convicted Of Bribery <p>Remember when Donald Trump said he was going to completely self fund his campaign so that he wouldn't be beholden to anyone other than the American people?</p> <p><iframe src="" width="560" height="315" frameborder="0"></iframe></p> <p>* * *</p> <p>Those were good times. On Wednesday The Donald did a complete 180 and announced that he will be actively raising money for his campaign in order to compete with Hillary; <em>"<strong>I'll be putting up money, but won't be completely self-funding</strong>"</em> <a href="">Trump said</a>.</p> <p>Trump has since launched a fundraising operation, and just as ironic as going back on his self-funding promise, has selected<a href=""> </a><em><strong><a href="">former Goldmanite </a>and current CEO of hedge fund Dune Capital Steven Mnuchin </strong></em>as his Finance Chairman. </p> <p>Trump will now be relying on donors and super PAC's to help fend off Hillary <em><strong>(presumably, if she doesn't get<a href=""> indicted before then</a>)</strong></em> this fall. The same super PAC's he called his opponents' "puppets" for relying on throughout the GOP primary. </p> <p><a href=""><img src="" width="600" height="52" /></a></p> <p>The effort of one major pro-Trump super PAC - that the Trump campaign will be relying on in the new post-self-funding-world - has already hit a speed bump. </p> <p>The newly hired chief strategist of The Great America PAC (formerly TrumPAC until Trump made them change the name back when he cared about staying true to his word), <strong>Jesse Benton, was just found guilty on felony charges for buying former Iowa state senator Kent Sorensen's vote for Ron Paul.</strong> </p> <p>Benton has ties to Ron and Rand Paul, as well as Mitch McConnell throughout his previous stints.</p> <p><a href=""><img src="" width="600" height="357" /></a></p> <p>It's unclear what impact the conviction will have on Benton's role with the Great America PAC, but what is clear is that this entire ordeal has just made Hillary's job a little bit easier. Clinton will now be able to point to the fact that Trump not only isn't self-funding, but those who support him are crooked (not that the same couldn't be levied against her of course).<em><strong>&nbsp;</strong></em></p> <p>In the aftermath of Trump's announcement that he is hiring a hard-core Wall Street legacy fundraiser,<em><strong> it does lead some to question whether voters even pay attention to such apparent hypocricy, </strong></em>or if the narrative of Donald as a true outsider who is only interested in the average American - instead of the banks and wealthy individuals - will continue to hold.</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="436" height="257" alt="" src="" /> </div> </div> </div> Donald Trump Ron Paul Fri, 06 May 2016 18:55:00 +0000 Tyler Durden 530700 at Trump's Election Should Cause US CDS Spreads to Spike, and for Good Reason <p>Exceprted from the <a href="">NY Times</a> and a Google search.</p> <p> 'Nuff said!</p> <p><img src="" width="581" height="1200" /></p> CDS Google Fri, 06 May 2016 18:49:51 +0000 Reggie Middleton 530701 at About Those Record Auto Sales... An Insider's View <p><a href=""><em>Submitted by Mike Shedlock via,</em></a></p> <p>On May 3, industry analysts are pumped as April 2016 is the best April in history for car sales. <strong>Some analysts expect record sales for the entire year.</strong></p> <p>I doubted that then and I doubt that even more now.</p> <p>Please consider an email from &ldquo;FW&rdquo; a 15-year electrician at Ford who chimes in with some relevant anecdotes and a more recently, a communication bulletin from the plant where he works.</p> <p>On April 27, &ldquo;FW&rdquo; pinged me with these comments...</p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p>Hi Mish</p> <p>&nbsp;</p> <p><strong>Like I stated in my last email, I work for Ford. I work in a high volume assembly plant. </strong>We build Ford Escape and Lincoln MKC. We build over 700 vehicles a shift and work two 10 hour shifts a day. We also work a lot of Super Sundays (weekend extra production)</p> <p>&nbsp;</p> <p>About month ago we went through model change. After the model change it is normal for the volume to go down in order to work out all unexpected problems. Also for the first 3 weeks of the new model we don`t ship any new cars to the dealers in case there is some issues discovered.Just now we starting back our normal volume and normal shipping.</p> <p>&nbsp;</p> <p><u><em><strong>I expected that once things go back to normal we will be working a lot of Super Sundays to make up lost production. I knew of at least 13 Super Sundays that were schedule in next few months. However I just learned from production manager that all 13 had been cancelled.</strong></em></u></p> <p>&nbsp;</p> <p>Maybe it is just the normal slow down and it will pick right back but I am not very confident.</p> <p>&nbsp;</p> <p>Sincerely</p> <p>FW</p> </blockquote> <p><strong>Letter From Plant Manager</strong></p> <p>Yesterday, FW forwarded me this.</p> <p><a href=""><img alt="Let's Communicate" class="alignnone size-large wp-image-37521" height="359" src=";h=359" width="529" /></a></p> <h2><u><strong>Let&rsquo;s Communicate!</strong></u></h2> <p>Indeed, let&rsquo;s communicate.</p> <p><u><em><strong>Sales are so hot, we need to cancel second and third quarter scheduled overtime.</strong></em></u></p> <h2><u><strong>US Auto Sales Back on Track? Another Record Year?</strong></u></h2> <p>On May 3, I reported <a href="" target="_blank">US Auto Sales Back on Track? Another Record Year?</a></p> <blockquote><div class="quote_start"><div></div></div><div class="quote_end"><div></div></div><p><strong>Motor Vehicle Sales</strong></p> <p><a href=""><img alt="Car Sales" class="alignnone size-large wp-image-37425" height="395" src=";h=602" width="529" /></a></p> <p>&nbsp;</p> <p>&nbsp;</p> <p>&ldquo;<em>North American-made vehicle sales for April are running a little higher than March, at a 13.5 million annualized rate vs 13.3 million.&rdquo;</em></p> <p>&nbsp;</p> <p>Given that April had five full weekends, an extra selling day, and Easter came in March, is a 0.2% pickup over March for the big three such an amazing feat?</p> </blockquote> <h2><u><strong>Record Sales?</strong></u></h2> <p><strong>Forget about it. GM sales were lower and Ford is canceling scheduled overtime shifts.</strong></p> <p>By the way, sales are recorded not when consumers buy cars and truck. Rather, sales are recorded when cars and trucks are shipped to dealers.</p> <h2><u><strong>Inventory Piling Up</strong></u></h2> <p>The lots are a cram packed with inventory piling up.</p> <p><strong>Not only are new car lots stuffed to the max, so are used car lots.</strong></p> <p>In case you missed it, please consider <a href="" target="_blank">Peak Preowned: Used Car Inventory Hits Record Level; Congratulations, You Are Qualified</a>.</p> <p>To tie everything together, reader &ldquo;FW&rdquo; is the person who emailed me on April 10 asking <a href="" target="_blank">How do I Short the Subprime Auto Sector?</a></p> <p><em><strong>Addendum</strong>:</em></p> <p><em>I was not familiar with the term &ldquo;door marmac losses&rdquo;.</em></p> <p><em>Here is the explanation: &ldquo;It was a break down of the equipment that caused 8 hour shut down of the production.&rdquo;</em></p> Auto Sales Ford Fri, 06 May 2016 18:35:00 +0000 Tyler Durden 530688 at