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David Tepper Blesses The Market And Awaits "Manufacturing Renaissance"
While every other hedge fund manager is bashing Bernanke, we finally found one who loves the Chairman, unabashedly. The last time the outspoken hedge fund manager appeared on CNBC it was to pump financials into his asset sale in Europe (and here). Today he could not have been more upbeat about the US economy, US banks, and US manufacturing as he is "overwhelmingly bullish," adding that "the numbers are truly amazing". Sure enough the 'Tepper rally' market responded with its ubiquitous lemming like surge as the Appaloosa manager (with $17.9bn AUM) says: The Economy is getting better; he is bullish On Japan; does not worry about Fed tapering - but does not like bonds (adding that the end of QE2 was bullish (though if you care about facts, it wasn't); his biggest holding is Citigroup; sees a great US manufacturing renaissance; and while the Middle East is a concern, expects only a 5% drop if there is war. If that's not enough for you to back up the truck, he believes the US budget deficit will shrink "massively' and housing will rise. The only thing he is not buying with both hands and feet - Apple. As he said - the numbers are truly amazing, though we suspect we are looking at different numbers.
David Tepper makes "overwhelming case for stocks"
"The economy shows early signs of recovery"
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FUCK YOU TEPPER, YOU SCUMBAG.
David Tepper Blesses The Market And Awaits "Manufacturing Renaissance"
While at the same time he sacrifices a child to Baal.
Indeed. Riddle me this; let's be optimistic and assume that the earth has a manufacturing renaissance. Precisely who would the planet being selling these goods to and what would they be offering us in exchange for our labor and resources. fucking morons, humanity isn't just another ponzi folks, it's the ponzi.
Green shoots = Early sign of recovery.
Same BS different clothing.
Green shoots been going on for 5 years now.
Recovery? Well, so long as the "mark to fantasy" accounting rules are still being used, then yes. If mark to market and the rule of law were restored, well then, not so much. Quadrillions in paper fucking promises, so little physical assets of real value...
... a great US manufacturing renaissance?!
I guess I'd better get long 3D printing...
so long as they can print anything out of thin air, then yes, a good idea. Manufacturing a real product requires real inputs. even on a 3D printer.
In the immortal words of Harry Hoo: "Amazing"!
LoP
Your postings may offend some "mavericks" on this site.
Doubt it. Any real maverick is familiar with fight club.
Green shoots = Early sign of recovery. Not really, but there has been a massive recovery in stocks/paper markets. I haven't bought or traded hardly any paper assets in the last couple of years and missed out on a good percentage of (fiat profit). The question is, how many more record highs are in the market? If central banks keep printing like no tomorrow, then stocks will likely rise (nominally). Not sure what could bring the markets down in the near term. As far as Tepper is concerned, I will not follow what he says, but what he does. Probably talking his book, getting a few more retail investors in for the slaughter.
Why to a rapidly aging society living on cat food of course.
Is this society living on mars? Again the question is who is the earth selling to? The society on earth will be eating soylent green soon enough.
This guy is completely full of shit. He can't even put a sentence together without reading off a piece of paper with his BS talking points. What a joke. Who the hell has any crediblility and has to read off of a note card to remember the fed is printing $85 billion? This guy is a complete fraud.
What a slug - he looks like Lumpy Rutherford from "Leave it to Beaver."
He talks about the weight room in his office? That fat ass doesn't lift weights. You would think with all his billions he could hire a personal trainer.
He is an ugly mother fucker!
Vitamin rebalancing is often helpful when reptilian symbionts start attacking the host body like that.
Alllrighty then!
JoKermen talked Deiverance on look of Dave's lips and pushed the young Sorkin's head in it as well.
you just showed the readers how pathetic you are. seems like you're really livid for missing out on one of the greatest stealth bull markets in history. sorry for you moron ROFL
Someone needs to introduce Tepper to US Manufacturing reality. It's a miracle if anything is manufactured in the US beyond financial engineering.
Is Koolaid even made in the US anymore?
No, but they are preferred customers.
Tepper should visit America's former mecca of manufacturing, Detroit.
I guarantee that this is being staged. As I've noted for quite some time, it'll be some stupid "bring jobs back" campaign, one in which labor will back (irrespective of the fact that most "jobs" will end up as they always do, whenever there's a big move, automated) and the Chamber of Commerce crowd will promote knowing they'll see more money flowing through their hands (Congress will pass a law that will provide direct relocation funding and or tax incentives).
The rats make out scurrying from and then BACK to the ship...
Oh it's not all bad here in Detroit. We have more prairie land than ever!
Do they allow homesteading?
If you thought old-time homesteading on the prairie fighting off Injun attacks was hazardous try Detroit. Sorry Tyler, not meant to be racist.
Crackheads are like Crow indians or zombies. They just keep coming at you. The Crow indians only want to scalp you and then kill you, but the zombies want to eat your brains. Just like Bernanke.
If a Crow Indian hadn't learned to take the scalp, and leave the brains, it would be-coming a zombie or a ZIRP-like the Ber Nank. Thanks for thinking three (3) generations ahead, instead of quarter to quarter, like dead men walking in fouled nest and poisoned brothers and sisters.
we sure do make a shit load of bombs
When did pain and misery become a US GDP metric???????????? Tepper licks the balls of the oligarchs for any scent of fiat he can find. Balllickers unite! follow your leader to the BALLS.
Lick Bitchez!
Tepper looked down and to the left when asked if markets melt up. Lying.
when tepper speaks it would be better for you to listen - the guy is rarely wrong. sure, the market will crash one day (we're all dead in the long run lol)- but you sure can make a lot of money meanwhile. in the last 5 years, you could've made a ton of money despite the prevalence of zerohedge perma-bears throughout that time - and they were out in numbers too. the most hated rally in recent history looks set to continue - you can't argue with the facts staring at your face zerohedge morons: S&P500 1650
dude
you've been drinking your own stool smoothie for too long but don't stop long enough to smell the halitosis,
Drink, Drink, Drink
it
UP
he believes the US budget deficit will shrink "massively'... :snark:
Because he knows this government can do anything and will do anything to get their way. Ben and the bankstas have the green light to do what it takes. Bloomberg and CNBS have been told to carry the water and pass the koolaid or they will be treated like the AP and be audited ad nauseaum.
And we can pay down the $450,000 per person debt and unfunded liabilities that are only growing at $26,000 per year per citizen.
Looks like he's bullish on Twinkies and Ding Dongs. I'd rather be lower middle class and thin than rich and fat.
Definitely never going to happen in any of these peoples lifetime. 'Manufacturing renaissance'...LOL so let me get this straight....for 25 years we've sold all our manufacturing overseas for EZ loans...now that we're bankrupt we're supposed to somehow rebuild from scratch now? Well, Tepper and anyone else expecting me to go do that can go fuck themselves.
It's all part of the propaganda campaign to solicit tax subsidies for "returning" businesses (from China): never fucking mind that they'd likely be tossed out of China when the trade wars heat up; if they attempted to stay they'd likely loose everything, so... big WIN for appearing to be doing what's best for "America" while having your relocation expenses paid for (and promises for reduced taxes).
This shit is SO easy to spot/figure.
Dave's new Man Men facturers will have apps for dat manufacturing ding with more duhs and doses than the brooklyn navy yard. How can Lucy Ricardo make the chocolates when she's tweeting Ethyl?
Manufacturing is not going come back in a significant way. Even if it did it will never be like it was in the past. People will be forced to work for dirt wages and automation will continue to put a squeeze on labor.
A lot of the knowledge has been lost. It would take a long time to make a comeback.
40 years ago there were a lot of Americans who knew how to fix things and operate machinery. Tractors, cars, pumps, etc, etc. Kids took things apart and put them back together. Today, we live in a disposable society where it is cheaper to throw things away than fix them. The only skill most younger American workers have is operating a cash register at a fast food restaurant, or blasting the enemy in HALO. Manufacturing will not come back unless the dollar collapses to the point where $20 an hour IS slave wages.
$20 an hour is already a slave wage. It puts you in a bracket too high to qualify for any government program, and make too little to afford anything.
yep.
Yeah, what are we going to make in this mfg. renaissance and who is going to buy it?
What, no confidence in America's greatness, it's ability to manufacture demand?
With 7+ billion (and growing) people all competing for a better quality of life, there is plenty of demand.
A buying renaissance?
"and automation will continue to put a squeeze on labor."
Which will result in less volume (can't make people buy products when they're unemployed), which will mean that the law of diminishing returns is going to pop up sooner rather than later.
Economies of scale in reverse, bitces!
You know what I just found out? Do you guys know what David Tepper does for a living? You are never going to believe this....
"and that 400 billion is now in your hands, your hands, my hands"
LOL
let me guess...
BTW, how much is 2 and 20 of 18 billion?
When they have Tepper on like this and he is flailing around desperately trying to sell this bullshit they should give him a bat and have him beat a homeless former middle class person to death while he his yelling and flailing around.
"$400 billion looking for a home" (in stocks?) is utter bullshit - record or near-record margin debt plus record low cash/net assets in the funds and 70% bullish concensus for 14 straight weeks is NOT any reason to go "ALL IN" E/S and NFLX. I am 25% short today and long Sept $20 VIX calls. I'm betting Tepper is a seller into any rip and this morning's CNBS peptalk is "booktalk".
Fuck Tepper. Fuck CNBS.
Wow! Everything is A-OK. Thank goodness. I was beginning to worry.
Equity futures across the entire globe turned green on that sad interview...confirming for everyone that "markets" are hopelessly broken. Welcome to the giant Pachinko machine.
The way I look at it all now? Just like Chief Dan George, 'If it's so good, then YOU drink it!'
"Welcome to the giant Pachinko machine." - Bah ha ha! Don't give up your age so easily C-dad, halarious though.
"Goldilocks" bitchez!
'OK wheel out that Tepper guy to go wildly bulllish on stawks! Have him say that if you don't buy stawks hand over fist you must be a damn idiot!'
Must. Pass-Off. Pump.
they see the top approaching and desperately need to unload to grandma and uncle billy
bloody amazing, diabolical recovery
"Manufacturing renaissance" ... I'm gonna be rich! Yeah! Here's to stinkin' rich! :-)
"lying sack of SH*T - pretty well sums it up!"
the ever relentless pump and dump - although with cnbc's NON - RATINGS makes one wonder as to the ultimate REACH of 'tepper's balls to the walls' [algos notwithstanding]
my hobbies require machinery (watchmaking, woodworking). the US doesn't even make the stuff anymore. the china/taiwan stuff is throwaway garbage. the best equipment in the world is made in Europe...germany, switzerland, austria, and italy (yes, italy). the US is no where near those places in manufacturing of QUALITY goods. i don't know, or care, if the US can churn out garbage...the chinese do that for pennies a day in labor, it's a losers game.
OK, doing a thorough parsing of all of this I think I've discovered the hidden message: he's actually discovered a REAL unicorn, and when one sniffs unicorn shit this is how one talks!
What a clown, talking his book, which is the reverse of what is being spouted there.
He only had 1% of holdings in industrials in Dec 2012. Who's he kidding (and why)?
I didn't think it was possible for anyone to be more manic than Cramer!
Added bonus: Cramer's Sound Board!
http://www.cnbc.com/id/100000942
Renaissance has become the new buzz word and it is popping up in articles concerning Greece, US, Japan and even African countires. So, I guess the the credit bubble that has been growing since Nixon and brought so much material prosperity were the "Dark Ages" .
What an American renaissance might look like.
Damn it Rex you outed me.
If that is not the sign of an impending top I do not know what is.
"he believes the US budget deficit will shrink "massively'"
this will likely prove true as US becomes net energy exporter. However I don't think this is bullish at all ...
When the u.s. becomes a net energy exporter, it will be because Americans can no longer afford it for themselves.....
Already happening...
do exporting fission and fusion generators count as exporting energy?
Show me a functioning fusion reactor first. One that is actually delivering power without creating a any fucking toxic waste.
Appaloosa S&P short-squeeze proven by 1966 le mans rear end throw-down!
Night of the Living Dead call for shovels to get out of graves movement proclaimed.
Bring popcorn to fuel your muscle cars!
The guy can hardly keep from laughing at his own sales bullshit. Why doesn't he make use of that huge forehead of his and post a big jackass sign on it.
The economy feels better? You fucking moron. Ask the 48 million people on food stamps if they feel like the economy is getting better you cock sucker!
Doc he mean the economy in East Hampton.
notice the Tepper's tell-tale body language at the beginning of the first video...he's getting ready to LIE and can't hide the fact: furtively looking around, hiding mouth with hand
What a turd. I wish one day most of these hedge fund idiots get what they deserve - they are neither brilliant nor smart - just gamblers.
Anyone who "invests" in Citibank has no idea of accounting, finance, banking, real estate, basic math...
Do you care if a gambler is making money for your pension fund even charging 2/20?
CNBC ratings are just "off the lows" and Squawk Box has flat-lined.
If Tepper is bullish on CNBC, and no one watches CNBC - is Tepper bullish?
Basically, he is bullish because of QE while the budget deficit is shrinking. That could work short-term.
THEY WANT ALL YOUR MONEY.
And will say and do anything to get it.
THEY WANT ALL YOUR MONEY. YUP...that's exactly what's going on. they want it all. sucker those suckers into the stock market & BAM! pull the rug & transfer all that wealth to them. sucker all those suckers into the bond market & BAM! collapse that bond market. it started in 1913! THE BIGGEST SCAM & SCHEME IN THE HISTORY OF THE WORLD TO TRANSFER THE WEALTH OUT OF AMERICA TO THOSE WHO OWN THE CENTRAL BANK .......it's a damn criminal syndicate. get the hell out of the system, i heard Felix Zulauf say this in an interview a few years back : 'everything you own needs to be held outside of the banking system, because that's where the problem is.' good luck to all in your extrication.
are you grumpy because he makes money and you loose? come on, cheer up, there is still some juice left in the markets until this shit explodes.
So, do you look in the mirror when you're fucking your mother?
Sorry, but there's no way I'm going to lie and cheat and steal from others. Anyone "playing" in the markets is pretty much fucking someone's mother...
You mean it's a 'zirpo sum game' as opposed to 'win win'?
The CNBS bullshit machine just re-printed Tepper's "outstandingly bullish" headline twenty-eight times in the past thirty-eight minutes. Kinda like the perpetual headline a month ago "GOLD DOWN $52" which lasted most of that morning - all bankster bullshit brought to us by the least-trusted, least-watched financial news channel on the planet. Sell everything that ain't nailed down.
The market is a scale or indicator that shows us how the economy is doing.
But it’s all fake! With out QE this house of cards will collapse.
A false scale is an abomination to the lord!
And this is what David Tepper blesses!!!!!!
Look real close - can't you see the tips of his horns poking thru that rubber head cap?
But they have their thumb on the scale and that's called 'profit' for these butchers.
I'm beginning to think that about 50% of rich people are either criminals or morons or both.
When one bases one's "value" on paper money, on "money," it's kind of hard to say how one's mind is really operating. I'm kind of thinking that ultimately Mother Nature is going to slap it all down...
Oh she will. She always always does. Corruption is always the highest at the end of long booms. And its really high today. We don't have long to wait. COMEX June deliveries will be very interesting. Maybe that's the motivation for the emergency G7 meeting this weekend.
I can't listen to this guy any longer...we slowed global warming? What an idiot.
And as much as I'd like to kick him in the nuts I'd be afraid that it would be a waste of time, not to mention an insult to my shoes...
Didn't get the memo in '08 ?
The waters are receding and the Earth began to heal...
No shit.
1894 prediction of London in 9 feet deep horse manure returns as ZIRP by QExfinity.
Nice morning fill CNBC.
And how are those ratings doing again CNBC?
Right, that's what I thought.
Citigroup .... LOL. !!!!!!
And of course the Middle East is a concern to Tepper.
I couldn't watch longer than a minute. He looks like a jackass eating sauerkraut.
A jackass eating sauerkraut?
That did not go unnoticed. I just laughed my ass off.
Senile or shadow goverment employee.
History will not be kind to people like this and these types of interviews
Didn't the current administration say we were going to DOUBLE our manufacturing base in 4 years, 4 years ago? As Maxwell Smart would say "missed it by that much", and just a thought but do they have an EMMY category for infomercial channels? CNBC ain't got shit on QVC
TBH, it's pretty fucking sweet to be a rich person right now.
"Manufacturing Renaissance"Yeah, by robots. More robots will be employed than humans by 2024.
Cheer up, Brian!
I don't know what he is taking, but it looks like it is incredibly powerful stuff!
The $16trn deficit growing at $1trn a year will shrink massively,and manufacturing to have renaissance??? WTF????
I bet all those US workers currently unemployed are relishing the prospect of competing with Chinese concentration camp like conditions of work for similar wages, a low wage economy will then pay down a multitrilion dollar deficit with what exactly?
Is it just me or have the lunatics taken over?
He just neglected to mention that those new manufacturing jobs will be in FEMA camps using slave labor.
They can pay down the deficit when they use your whole paycheck instead of just part of it.
It's a great way to transform those 47% into taxpayers instead of tax consumers.
Parchman Farm Blues goes nationwide.
Well, it IS Tuesday. Time to jack off the algos for another big day. I love how he read his whole spiel off of a sheet of paper handed to him just before he went on. Can you say, conviction.
lol, i could not stop laughing at his bullshit.
first, he is invested in japan. what kind of fucking idiot what invest in that shithole? that thing is going to come crashing down so fast. its up 40 percent in 2013 and we are not even 5 months into the year. if it kept up that pace, it would surpass the amount of time it took for the u.s to print it ways back from its all time lows during 2008 crisis.
economy is getting better? really tepper, really? tell that to the 48 plus million people on food stamps, or the millions of people who are unemployed in this country, etc. this country is going to shit.
also tepper, explain why volumes are at all time lows on the markets, meaning no one either trusts these markets to put money to work, or they dont have any money to invest in them, because this economy stinks.
i hope citigroup goes bankrupt since that is teppers biggest holding, fuck this shit, another scumbbag touting how good things are, when in reality, its all shit
He is selling into the rally...to all who buy his bullshit
Gee, look at that, everything, including treasuries, are getting bought. < Shocker >
It's already here. The US is manufacturing plenty debt.
I think you're on to something here, there MUST be a way to sell our debt as some sort of valuabe product to someone. *wink wink*
with the YEN having been devalued does he think jobs and manufacturing will go to the USA or Japan ????
More manufacturing of SNAP cards, welfare centers and Social security disability cards. The US has pretty much dumped the space program.
This is the typical CNBS guest. Why didnt someone ask Jabba the Hutt why if the economy is so rosy, doesn't Chairman Ben take the 85 billion dollar training wheels off today? Lets see how this bad boy would do on its own!
COPPER performing well today on his comments??? sarc
here's a chart you guys will get a kick out of
The Food Stamps - Quantitative Easing Correlation
http://chartistfriendfrompittsburgh.blogspot.com/2013/05/the-food-stamps-quantitative-easing.html
$17B AUM. Amazing. We are so f*****!!
I like guys like this, it tells me I'm on the right track when I'm doing the exact opposite.
As my grandmother would have said, David Tepper is a CUNT.
Wow. I would seriously love to meet his clients. My pitch to them would be: "I'm not the smartest guy in the room, but I am smarter than him (points to Tepper)".
"The most "hated" rally in history" - I can't for the life of me understand why anyone would hate this perfect world rally that these wonderful bankers have created (for themselves). Its truly miraculous. They've fabricated an economic and social nirvana (for themselves) by stealing our jobs, money and freedoms, then make you feel like a loser idiot for not liking it!!
He needs the dumb money to buy in so he can sell his stocks. These people only tell you to buy in right before they sell. Same with Soros and Buffett.
It's simple -just go back and watch My Cousin Vinnie -it has all the answers.
Why would any smart person go into building a manfacturing company when you can just push money around and make millions like Tepper.
started watching the clip but stopped it a few seconds in. what a big dush bag. pompous moron. 17+billion is entrusted to this fuck? WTF WTF WTF.................................
thats whats wrong with this system and economy.....................
Do you realize what you could make from this economy-in-crisis if you were an insider with connections such as Goldman? David Tepper shows us how.
From Wikipedia:
David Tepper: Net worth US$ 7 billion (March 2013)
David Alan Tepper (born on September 11, 1957) is an American hedge fund manager and the founder of Appaloosa Management. His investment specialty is distressed companies. In recent years he's become known as a philanthropist, his largest gift going to Carnegie Mellon University, whose Tepper School of Business is named after him. He earned his BA in Economics from the University of Pittsburgh in 1978 and his MBA (then known as an MSIA) from Carnegie Mellon in 1982. For the 2012 tax year, Institutional Investor’s Alpha ranked Tepper No. 1 for earning a $2.2 billion payday.[2]
Tepper was raised in a Jewish family in the East End of Pittsburgh, Pennsylvania in the Stanton Heights neighborhood. (according to the Carnegie Mellon Tepper School of Business: "Meet the Man Behind the Gift" November 17, 2004)… In 2006, Tepper donated $1 million to United Jewish Communities of MetroWest New Jersey toward their Israel Emergency Campaign (according to New Jersey Jewish News: "Seven-figure donation fuels emergency campaign: September 7, 2006.)
He graduated with honors, receiving his Bachelor of Arts degree in economics. He also dabbled in the markets during college.
After graduation he entered the finance industry, working for Equibank as a credit analyst in the treasury department. In 1980, unsatisfied with this position, he enrolled at Carnegie Mellon University's business school to pursue its version of an MBA at the time, a Master of Science in Industrial Administration (MSIA).
After earning his MBA in 1982, Tepper accepted a position in the treasury department of Republic Steel in Ohio.
In 1984, he was recruited to Keystone Mutual Funds (now part of Evergreen Funds) in Boston, and in 1985, Tepper was recruited by Goldman Sachs, which was forming its high yield group. He joined the firm in New York City as a credit analyst. Within six months, Tepper became the head trader on the high-yield desk at Goldman where he worked for eight years. His primary focus was bankruptcies and special situations. He left Goldman in December 1992 and started Appaloosa Management in early 1993.
In 2001 he generated a 61% return by focusing on distressed bonds, and in the fourth quarter of 2005 he pursued what he saw as better opportunities in Standard & Poor's 500 stocks.[4] He makes significant gains year after year by “investing in the diciest of companies,” such as MCI and Mirant. Investments in Conseco and Marconi also led to huge profits for the company’s hedge funds while Tepper “keeps the market on edge.” [5]
In 2009, Tepper's hedge-fund earned about $7 billion by buying distressed financial stocks in February and March (including Bank of America common stock at $3 per share), and then profiting from the recovery of those stocks later that year.[6] $4 billion of those profits went to Tepper's personal wealth. In March 2010, the New York Times reported that Tepper's success made him the top-earning hedge fund manager of 2009.[7] Then again in 2013, Forbes ranked him as top hedge-fund earner of 2012, elevating his status to the 166th wealthiest person in the world.[1]
http://en.wikipedia.org/wiki/David_Tepper
http://www.safehaven.com/article/29800/bubbles-inflating-faster-than-gdp
Global central banks have clearly demonstrated the ability to re-inflate stock and real estate bubbles. Global stock markets are roaring ahead of their economies and real estate prices are quickly rebounding from their recent collapse. However, rock-bottom interest rates and massive money printing have yet to show an aptitude for creating sustainable GDP growth.
There has been a lot of talk about a rebound in the equity and real estate markets helped along by the Fed's free money. That much is for sure the truth; but the evidence of a viable and sustainable recovery built on free-market forces just isn't there.
For example, the percentage of consumers who own their own home continued to fall during the first quarter of 2013, dropping to a national level that hasn't been seen since the fall of 1995. The Census Bureau reported that the nation's homeownership rate slipped to 65% in Q1 2013, a decline from 65.4% posted in the last quarter of 2012. The rate of home ownership now stands at a 17-year low!
But if the housing market was gaining ground on stable footing then why is it that first-time home buyers and owner occupiers aren't participating. Instead, it has been hedge funds and speculators that are sopping up all the foreclosures. One has to wonder if these "investors" will hold onto their rental properties if the economy tanks once again and home prices take another steep drop.
In addition, the labor market isn't rebounding as the Fed had hoped and projected it would. Last month's NFP report showed that despite $85 billion per month of QE, 9k goods-producing jobs were lost. And even though you here the MSM talk about resurgence in the manufacturing sector, there were zero manufacturing jobs created in April. What's even worse is that aggregate hours worked fell by 0.4% in April over March. Therefore, despite the fact that the Labor Department says that 165k net new jobs were created, the actual total number of labor hours worked was in decline.
There is a reason why the Fed and other central banks have been unable to achieve a healthy and viable economy even after five years of trying to manufacture one from a printing press. The truth is an economy that is soaked in debt just doesn't grow because it is always marked by at least one, if not all three, of the following growth-killing conditions; high interest rates, rampant inflation and onerous tax rates.
Any country with outstanding debt that is equal to or greater than its GDP is forced into sucking an exorbitant amount of capital out of the private sector due to burdensome rollovers and interest payments on that debt. In addition, rising tax rates act as a disincentive to increase productivity and whatever money that is taken from the private sector is always redeployed in an inefficient, GDP-destroying manner. Rising interest costs also discourage borrowing and lead to capital shortages. And finally, inflation destroys the purchasing power of the middle class by eroding the value of the currency and leaving consumers with an inability to make discretionary purchases.
But central bankers don't acknowledge this truth and are instead seeking to increase their efforts in pursuit of ever-increasing money supply growth. Of course we are all familiar with the counterfeiting undertakings of the Fed and BOJ. Now Australia's central bank is joining the crowd of inflation lovers and cut its key interest rate by 25 basis points on Tuesday, to a record low of 2.75%.
I haven't had TV for years. Nope. I'm still not missing anything. Ha, and I kept all that money and invested it in booze and hookers. I blew the rest.
Sounds like a good index to short.
Tepper is like little Lorelei picking up daises, unaware of the rampaging bull coming up behind her.
He did say however, that the FED can't keep this up. He is just staying on the dancefloor, like the man said.
A lot of naive people have made a lot of money in the past 6 months and before. They will lose it with the same vacant look on their faces, and 10 times as quickly.
Meantime we have to accept that they are temporarily correct.
I think with the dollar continuing to increase in value, it's hard to imagine a manufacturing renaissance. A strong dollar isn't good for any of our domestic manufacturers. However, I'm still bullish on the overall market. We continue to go higher from here. Fighting this rally is not just fighting the FED anymore but every central bank on the planet. I mean jesus, even Kenya is doing quantitative easing. With that said, GO LONG! Also, hedges are cheap (nikkei puts,vix puts,etc)
Lemming: A person who unthinkingly joins a mass movement, esp. a headlong rush to destruction.
"overwhelmingly bullish" translation "Overwhelmingly Short"
There is just one problem with bashing Malthus, if hte world population grows at the rate of the last past century, in 1,200 years the body mass of humanity is larger than the weight of all world oceans.
There is a law of diminishing return and we are teasing it everyday with more population to check when we are going to get smacked.