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Empire Manufacturing Index Prints At Lowest Since April 2009
Today's horrible piece of news, which at least on the surface was supposed to send the market soaring, comes courtesy of the Empire Fed Manufacturing Index, which printed at -10.41, the lowest print since April 2009, down from -5.85, and well below expectations of -2.0. The Index print confirmed the biggest 6 month drop since records began. The components painted a dire picture for jobs, with the employment index sliding from 16.47 to 4.26, New Orders tumbling from -5.50 to -14.03, while, wait for it, prices rose, from 16.47 to 19.15. Re-stagflation here we come. Market for now seems confused - since QE is priced into infinity, it is unclear if this latest datapoint confirming a recessionary economy, QE can't be more-er infiniter. Best to not respond to this, or any other macro news at all, which is precisely what the market has done. For those who missed it, not only has Bernanke doomed the global economy to stagflation and imminent food riots, while making the richest 0.001% richer than ever, he has completely broken any linkage between the economy and the market.
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YES!
USA USA USA!!!
Major mfg. in US is all Military, directly or other-wise.
Labour rates + Red tape + corrupt unions (sell-out mafia controlled for the most part) killed US Mfg.
That is why US is MFugged.
we are all in the mfugging boat together anyways. Globally Coupled.
ori
Welcome to the recovery QE infinity edition.
I'll gladly trade you a trillion dollar bill for a $20 gold certificate.
I know you can't trade them in anymore.....but still.
Bullish!
QE4 acoming bitchez!
I agree. The Bernak made a mistake with "Unlimited". I would assume he is aware that one of his strongest weapons is rhetoric. With "unlimited" used in his latest policy, how is he going to use rhetric to boost markets 6 months from now? The thought of QE3 for two months gave us a 1000 points. Will it be "double secret" QE4? Like, "yeah, QE3 was unlimited, but QE4 is both unlimited and undirectional..."
QE4 will be Benny in a wizards hat telling the FOMC that he can turn pure unmitigated terror into gold. Thats got to be good for another 1000 points, right?
He will never use the word "gold" in his statement. He will use "unmitigated terro*r into finacial stability through unfocused and randomized money throwing...."
" I keep throwing this money in a randomised and unfocused fashion and it keeps ending up in the mega-banks commodities purchase funds, ain't that the darnedest?"
So far it has not been random. It has been focused on the pockets of the primary dealers and the big banks. We all know the focus will stay there, but it is fun to think about him truely dumping cash from helicopters.
I wouldnt want to be called Mr.Bernanke in a revolutionary America!
Perhaps Marie-Antoinette thought she could get away in her horse carriage if things went bad.
Perhaps the Bernnake thinks he can fly out to some shack in the Andes just before the crowd burns his house down.
It will not be pretty. He should just run now. I would.
he is fully aware! he knows that every bad econ report will now be equity bullish.....what happens when we get a truly good report?.....oh wait that is bullish too since he said ZIRP, NIRP QE etc will continue even after the recovery is mature
In other words....Benrnake's f*cked.
is this why the benake released the kracken?
There has to be some unseen reason for his insanity. His actions drove a stake through the Bernanke Put which gained its power from whispered rumors of 'new QE'. The next time the market corrects how will they turn it around? "I hear the Fed will do an extra MBS purchase next week", how does that turn psyches around. Their only defence is the PPT now.
Still have my short positions.
What insane person needs a reason for his insanity? If you mean the magical unicorn wage inflation argument, see manufacturing sector in third quarter contraction. He did drive a stake through the Bernanke put, which tells me he is desperate. Short positions are all we have left IMO. Long is risk-on bigtime.
Gas prices bitches.. staying home and not working cause can't afford the gas!
Ah, nothing like the smell of stagflation. Time to cull the herd, again.
Not to worry, that $40B of MBS purchases from the Fed will fix everything. It's not like the banks would take the proceeds from the sales, and pump it into salaries and bounses.
Employment index sliding...infinity and beyond.
WB7 - We REALLY need The Bernank in a Buzz Lightyear costume.
Yeah Buzz Lightyear was deluded into thinking he could fly, just like the ChairSatan thinks he can create jobs with QE.
(I know he is only benefitting the banks really and just another covered up bailout for his pals)
At this rate, we will have long grocery lines. The groceries will cost too much and EBT cards will slow down the check-out lanes (only 2 open to keep labor costs down). Security will be posted at the check-outs to deter theft, but most of the problem will be spoilage from items that are left at check-out because the EBT card didn't have the required funds.
Some rifle association group put out a piece on what would happen if the ebt card system was thrown off line, even temporarily. Someone posted the link here a week or two ago. Holy scary crap.
Exactly. S will HTF if the EBT systems were even to burp. Is really a scary thought.
ebt cards,it's the new american express! don't leave home with out it! apply now and get a free case of beer and cig
Looking at the chart, shouldn't it be lowest since 2010?
Quick turn on the Buffet light to signal him to turn this news bullish!BUY,BUY,BUY, stocks,I pads,and big screen tv's! oh yes we can! ha,ha,ha,
Poverty and fewer jobs for the 99%
Well done ChairSatan...
You evil sadistic, genocidal criminal you
Wouldn't know about that...I'm part of the 45%......and we're not too happy about this crap.
Society is increasingly becoming dysfunctional because the level of debt on one hand and the level of expectations on the other are about to exceed the threshold of sustainability in a very visible and ugly manner. Those with massive financial assets need to take a write-off and those with ever increasing wants need to pull away from the government's teet and downsize their expectations.
Unfortunately, neither will happen. In fact, the opposite is what will occur. Is why a crash is inevitable. This time global - with a very fragile supply chain - and populations that have been brainwashed like never before.
they should have asked about their prospects for bigger bonuses and larger stock options instead. [/bitchez]
Isn't there a "3X Inverse General Biz Conditions/Future General Biz Conditions Spread" ETF?
My Bloomberg terminal is only showing 16oz of data right now.... for some reason.
The sheeple are asleep. But when gas goes above $5 (irrespective of war), there may be an awakening. It will be interesting to see how the MSM spins this.
Bloomberg wrote something like "well the economy won't be getting help from this sector." Must be betting on some BS housing numbers and how well the TBTF banks are doing.
Already in motion. Damn that middle east turmoil! And those evil speculators.
They will believe who they are told to believe. And the media will tell the poor slobs that the cause of their $5 gas and $7 milk is "Big Oil" or "The Koch Brothers" or "The Associated Milk Producers" mafia, and the poor slobs will believe it.
Where is this story on the CNBC site?
It's a central bank world now. Manufacturing numbers in the US, Europe, or China do not matter any more. You might as well as where the article for the NHL lockout is. Not relevant.
"Not relevant" Indeed. Still not on their site as far as I can see. Usually it's reported as breaking news with a red banner...it's not on the home page yet.
Update: Up on CNBC site 9:14am is the time stamp on the article. A full 30 minutes after listed on ZH.
On at 9:14. Me thinks they are trying to write algo positive articles. All of the negative numbers are written with the word minus instead of a - sign. Apparently algos don't understand the word minus as being synonymous to negative.
You beat me to it.
Not bullish enough to report. Now if the new iPhone where to suddenly be available in a new color they would stop the world to report it.
CNBC releases are written by Algo's.
Did someone forget to put them on charge overnight ?
This QE nob goes to ELEVEN!
QE11......that's just crazy talk there.
the clown show can lower interest paid on excess reserves, which paradoxically will not force banks to lend but rather cause more volatility in the casino.
wow we are screwed.
separately, I picked up some extra water, salt, flour, rice, and vegetable oil this weekend.
Yeah, I have cycled through my inventory pretty good from late last year till recently. Now building it back up again in earnest. Same stuff.
I don't know what you guys are so worried about? "The jobs are coming", obviously.
"Today's horrible piece of news, which at least on the surface was supposed to send the market soaring,..."
What better way is there to start a new week than by watching the global economic structure continue to unravel...
100% FUBAR.
"The Innocence of Mormons !" , a film by Barack Obama ! Playing now in MENA camp theatres everywhere !
Try not to be distracted by meaningless side-shows of the village carnival's midway.
Keep you eyes on the looting of the world's wealth and your nose sniffing the wind of impending wars. If you allow your mind to be occupied by the lead-in act, or even the emotionally exhausting false flag to follow, you will surely miss the main event.
Ben knew this print was coming. And he knew even the PPT couldn't keep the market from cratering today without the QE announcement. Well played sir, but will it work?
Manufacturing ? what manufacturing ?
In Pittsburgh ? a vibrant happening kind of town.....
en.wikipedia.org/wiki/Union_Station_(Pittsburgh)
Passengers in Y2011 : only 133,885!!!
The ugly little Scottish West highland Old Garrison town of Fort William gets more rail passengers then the City of Pittsburgh !
en.wikipedia.org/wiki/Fort_William_railway_station
Y2009/10 :134,000!!
There is no oil crisis in America.
There is a malinvestment crisis caused entirely by the free banking system using the power of external oil to destroy these former coal based Industial areas and their Labour pools.
Union Station includes the passengers that ride the Mt Washington incline. Most of that 130k probably rode the railcar up and down the mountain, it is a tourist activity.
I actually don't know anyone that rides a passenger train in Pittsburgh. I didn't think they even had a passenger train that leaves Union Station anymore. It is like Quaker Square in Akron, OH. An old train station that is now filled with shops and restaurants.
@ADR
According to Wiki Greensburg station is down to one train a day now........
en.wikipedia.org/wiki/Greensburg_(Amtrak_station) (city pop. 15,000~ , envoirns 70,000~)
down a huge 6.5% in 2011 to a woeful 13,097 passengers.
How can a modern country function without adequate rail passenger travel ?
Everyone says this is a oil crisis.
What oil crisis ?
This is a monetary / malinvestment crisis.
The Muir of Ord station in the far north east of Scotland (village pop. 3000~) served 62,428 people during the march 2010/ march 11 period.
en.wikipedia.org/wiki/Muir_of_Ord_railway_station
Something is very wrong with resourse allocation withen the US.
The greater question is How can Ben un-QE? Does the FED need to un-Ben before it could un-QE?
QE can't be more-er infiniter.
So, what on earth can Ben announce at the next Fed Meeting?
Ben Ben Ben
How can you retire?
My gosh.
Hot damn.
You've lit the world on fire.
Sure it can. QEternity+15. Retroactive QE to 1973. When you are in the central bunker, you can twist numbers however you like.
Every manufaturer I know is cloase to bankrupt. Even the pipe suppliers for the shale gas. They were riding high earlier in the year, but with the nat gas slowdown they have masive inventory overhangs right now. Even with iron ore prices falling through the floor, the finished commodity of steel is still priced very high. Prices have gone up all year thanks to the declining dollar.
When you combine high input costs with absurdly low demand for finished product, it becomes a disaster for any producer. It is impossible to make a profit. At that point it doesn't matter if you get orders. If you can't make money on what you produce, you aren't going to produce anything. Which means you don't need any employees.
Bernanke broke the first gear running the economy. Until it is replaced, the economy can't start. The only thing the Fed can do is completely pull out of the market and let inflated base commodities collapse. That includes, grains, metals, oil, ore, and gas. Once it costs less to produce, we can restart production and allow manufacturing to become profitable. Of course he won't because of the billlions in contracts held by hedge funds and other speculative players. We can't have another MF Global.
Look on the bright side folks. Just wait till the EBT kards are switched off.
You want outright pandomonium and warfare on the streets? Just switch off the EBT kards.
Mayhem on a biblical scale bitchez......
Tylerm stop the bullshit. QE is NOT, I repeat NOT, priced into this rigged market. The idiots can INCREASE the QE amount at any time. The AMOUNT of QE is NOT priced in. So stop your bullshit pleas.
The market can price in QE to 50k, it won't matter because that number will mean 0% employment. QE is destroying earned income in favor of unearned income. You can't have an economy if nobody works.
Production costs are accelerating past the cost of consumption. Very soon it will become unprofitable to produce anything. When we hit that point the only answer is hyperinflation. Retail prices will have to rise faster than wholesale prices. The thing is prices paid will always rise faster than prices received. The end consumer recieves his wage increase long after the rise in the first link of the chain. If it costs you $15 to produce an item, but people only have the cash to pay $10, you have a major problem.
Weimar here we come. I think I'm going to start manufacturing guillotines, I think people will trade me just about anything for one soon.
Manufacturing... Hahaha...
At least the Panthers won yesterday.
I think we are getting pretty close to the endgame.
My weekly Walmart circular featured a Colt Blackhawk AR-15 chambered in 5.56 NATO for $1000.
Or a SigSauer M400 SRP 5.56 NATO for $900.
To help hit your target you can pick up a Bushnell Tactical M&P Red Dot Scope for $180.
This seems a bit overkill for deer hunting.
If I see a P-90 at my Walmart like you do in Wisconsin, I think I'll shit my pants.
Walmart... doing its part to arm Americans!
Probably seems crazy to someone in China......but we like it.
MORE QE , MORE QE...!!!
THANKS BERNI....
Obama.
Amazing print! This should really help The Fed's blasitng of the housing market with QE-FED!!!!!
http://confoundedinterest.wordpress.com/2012/09/17/unintended-consequences-of-the-feds-qe3-mbs-buying-program/