"...Trump is the desperate “last hurrah” of the old order. I don’t support Trump per se, even though, given the alternative, I hope he wins. It’s clear he has all kinds of dangerous authoritarian tendencies. And has all kinds of really silly economic notions. But the good news is that he may - to at least a degree - upset the Deep State’s apple cart, at least until he’s co-opted into the Deep State. No matter who wins, this election is going to be ugly. So try not to take it very seriously..."
Years of capital consumption have led to peak debt whereby each additional unit of debt reduces economic growth instead of artificially stimulating it. There is only one way out of this, and that is a wholesale admission that current policies of extend and pretend is no longer working; unfortunately only real crisis seem to focus minds enough to implement necessary changes.
"... we recommend in each specific case an individual review of the economic efficiency of a physical delivery. Should an investor’s request for the handover of physical gold not have been complied with immediately in individual cases, this will be reviewed and an individual solution will be found with the client."
As for the incredible realm, one explanation is that the Fed is scared stiff it has nothing left in its toolbox to combat the next recession. Few major downturns have begun with the fed funds rate so perilously close to zero. The ultimate Catch 22 is that the flatness of the yield curve makes any fantasy of a Fed rate hike all too real for a dead breed the world once knew as ‘bond market vigilantes.’ It’s altogether possible that one more hike would be all it takes to invert the yield curve. The rest, as history has never failed to repeat, would be just that – history.
On the verge of running out of bond to monetize, the ECB has engaged in something fed had expected: it is buying bonds from itself. But according to a troubling Reuters "trial balloon" that may be just the beginning: as Reuters writes, the "ECB may soon be forced to follow the Bank of Japan's example and buy equities as part of any expanded stimulus programme."
The much anticipated payrolls day, expected to provide at least some more clarity on future Fed policy, has arrived and heading into today's report both price action and newsflow has been muted. U.S. equity index futures were fractionally higher, as European stocks rise 0.6% while Asia was flat. Gold fell as the dollar rose, while comments by Vladimir Putin which endorsed an OPEC oil production freeze while granting Iran an exemption, have pushed oil higher.
Chancellor Angela Merkel's conservative Christian Democrats, hit by a series of regional election defeats this year, face further losses in a vote in the northeastern state of Mecklenburg-Western Pomerania - the home state of Angela Merkel - on Sunday where if the latest polls are right, Merkel is set to suffer a humiliating defeat.
"Hillary represents everything that has gone wrong in our lives over the last couple of decades...she sees the European Union as a prototype for an even bigger form of world government...what we’ve done is given inspiration to freedom fighters right across the Western World."
The United States and its negotiating partners agreed "in secret" to allow Iran to evade some restrictions in last year's landmark nuclear agreement in order to meet the deadline for it to start getting relief from economic sanctions. Which means Obama lied: the U.S. administration has said that the world powers that negotiated the accord - the United States, Russia, China, Britain, France and Germany - made no secret arrangements.