Futures are currently unchanged, but the E-mini was down as much as 12 points less than two hours earlier after the European open when this time it was up to the PBOC to intervene in global markets by pushing the Yuan higher (selling USDCNY via intermediary banks) sending global stocks sharply higher off session lows and leaving the S&P futures virtually unchanged. As Bloomberg reported, there has been increasing USD/CNY selling in afternoon session as Dollar Index edged lower. This is the PBOC entering the building and levitating stocks.
There Are Economic – As Well As Military – False Flag Attacks
“Truth is treason in the empire of lies.” – Ron Paul
While The Donald may come across as 'shooting from the hip', it appears based on this 1990 interview with Playboy that Trump has been thinking about the decline of America, the weakness and corruption of government, and the impact of foreign (Chinese, Mexican, and Japanese) trade practices on the average joe. As he says, "I don’t want to be President. I’m one hundred percent sure. I’d change my mind only if I saw this country continue to go down the tubes."
Just as we predicted, it seems - despite the "everything is awesome" jobs data - that auto sales exuberance has hit the wall of credit saturation. Despite a surge in incentives in Q1, GM US auto sales rose just 0.6% (drastically lower than 6.0% rise expectations) and Ford rose 7.8% (missing expectations of a 9.4% surge). As J.D.Power notes "there are worrisome trends below the surface" of auto sales and with inventories at levels only seen once in the last 24 years (and tumbling used car prices), the automakers have a major problem if this is anything but 'transitory'.
Those who forget that “liberty is the mother not the daughter of order, will be tempted to favor state-imposed order. How ironic since the state is the greatest creator of disorder of all.”
"...the GOP establishment’s putative “jobs” candidate from 2012 was never really a businessman at all. Willard M. Romney is no expert on shiny things on a hill. The country would be far better served if he would get his dimming light back under a bushel where it belongs."
It happens at the top of every tech cycle – everyone wants to be a tech company. We’re there now. Tech is clubby - if you’re not inside, you’re outside. But before you try to argue for a higher valuation for a public company just because it claims to be 'Tech', consider our seven point checklist – "You might be a tech company if..."
- January Jobs Report Closely Watched for Momentum, Wages (WSJ)
- Oil prices steady, weak fundamentals weigh after volatile week (Reuters)
- How Much Global Oil Output Halted Due to Low Prices? Just 0.1% (BBG)
- Congress Tweet 'Unfortunate,' Lawyer Says as Shkreli Goes Online (BBG)
- Syrians Flee Aleppo to Escape Damascus Offensive Against Rebels (WSJ)
- Dollar Set for Biggest Weekly Loss Since 2009 Before Jobs Data (BBG)
- Crude sinks 4 percent as market braces for more Iranian oil (Reuters)
- Plunge in crude oil prices send stock futures sliding (Reuters)
- Oil Slides, Deepening Gloom in Stocks as Bond Buyers Celebrate (BBG)
- China Stocks Enter Bear Market, Erasing Gains From State Rescue (BBG)
- Friendly no more: Trump, Cruz erupt in bitter fight at Republican debate (Reuters)
- Dollar in Best Run Since July on Haven Bid Even as Fed Odds Fall (BBG)
European shares tumbled, wiping out gains from a two-day rally, Asian stocks slid and the cost of insuring corporate debt rose as investor concern over global growth prospects resurfaced. U.S. equity-index futures pared gains of as much as 0.9 percent. Government bonds rose, with yields falling to records in Japan and China amid anxiety over the world economy. U.S. crude prices stabilized after dropping below $30 a barrel on Tuesday to touch the lowest since 2003 as Iran moved closer to boosting exports.
With more financing in place, the world’s tallest skyscraper is moving forward. Saud Arabia's Kingdom Tower in Jeddah is only the latest phase in an enormous boom that began setting new records in 2014, raising another 'skyscraper alert' as the completion of record-setting skyscrapers has long seemed to indicate the beginning of economic crises.
“To the intelligent man or woman, life appears infinitely mysterious, but the stupid have an answer for everything.” ~Edward Abbey
- Futures down sharply as oil hits seven-year low (Reuters)
- Oil slides to new seven-year low as IEA warns of worse glut (Reuters)
- But... but... they all said... Cheap Oil Gives Little Help to U.S. Spending (WSJ)
- Disappearances in China Highlight Ruling Party Detention System (BBG)
- China’s Credit Rebounds as Stimulus Helps Boost Loan Demand (BBG)
- Junk Fund’s Demise Fuels Concern Over Bond Rout (WSJ)
The Energy names in the S&P 500 haven't broken their August lows in the recent downdraft for the group. That’s surprising for two reasons: first, spot crude prices certainly have – $36.52 today versus a $39.65 low on August 24th; and second, December is typically the month where investors harvest tax losses by selling losing positions and the Energy sector has a bumper crop of such candidates.