"It's disastrous. All my life I've been a tour guide, most of us have come to a turning point where we don't know if we can go on. It's tragic." In the aftermath of the tragic suicide bomber attacks at Istanbul's Ataturk Airport, Turkey's biggest city now feels like a ghost town.
“The government is allowing speculation by providing cheap financing,” Andy Xie exclaimed, China “is riding a tiger and is terrified of a crash. So it keeps pumping cash into the economy. It is difficult to see how China can avoid a crisis.”
A war of words broke out between Italy's Prime Minister Matteo Renzi and the ECB's Mario Draghi, after the Italian premier dared to criticize Draghi for not having done more to resolve Italy's banking woes when he held a key Treasury job in Rome in the 1990s. "And if people had the strength and intelligence to keep politics out of the banking system a bit before we did it ... we would not have had cases like Monte dei Paschi di Siena." Slowly but surely, the facade of coolness and calmness if rapidly coming off...
While states reported downward pressure in pricing, but has seen it steady over the past couple of months. Foot traffic is starting to pick up as we carry forward into summer, as the industry benefits from tourism. Colorado and Washington posted double digit growth in sales relative to 2015 every month of this year. Make no mistake, this is a fast growing industry with massive upside potential with as many as nine states possibly voting on marijuana-related measures this fall. Including California...
Far from being fixed, China's capital outflow and FX intervention (and resultant reserve depletion) problems are only getting worse by the month. Only now, the PBOC is actively covering them up. Conveniently Goldman has disclosed precisely how the PBOC has covered up as much as $170 billion in FX outflows in the first quarter, more than 100% of the officially reported $123 billion. In other words, instead of $330 billion in Chinese FX outflows since October, the real number is 50% greater, or half a trillion. Here's the math.
Pretend, for a minute, that your country responds to the bursting of a credit bubble by borrowing unprecedented amounts of money and using it to prop up banks and construction companies. This doesn’t work, so you create record amounts of new money and push interest rates into negative territory in an attempt to devalue your currency. But this - amazingly - doesn’t work either. Your currency soars and the inflation you’d hoped to generate never materializes. Now what? Is there even anything left to try, or is it simply time to stand back and let the current system melt down?
The first bank to admit that it engaged in massive manipulation of the LIBOR rate was Barclays back in 2012, and traders are still being scapegoated tried in court to this day. As Bloomberg reports, five traders learned their fate recently, nearly four years since the bank admitted to the charge. Three traders were convicted, while the jury was unable to reach a verdict on the final two.
"I believe times are about to get quite rough economically and politically. But, at the same time, I’m very optimistic about what’s happening in science and technology. So let me hazard some predictions..."
The Russian aircraft carrier Admiral Kuznetsov will be deployed to the eastern eastern part of the Mediterranean Sea in the latter part of 2016 in order to "participate in delivering strikes against militants in Syria." That's the official reason. The unofficial one: to respond to US escalation in the region, where recently the US navy deployed two aircraft carriers of its own to "send a clear message to Russia." Russia's response to this message: we hear you loud and clear, and here we come.
It never ceases to amaze how vastly different the investment styles of gold paper vs physical traders are: while we have documented previously how the latter tend to buy progressively more the lower the price, "investors" in paper-derivatives such as ETFs and ETPs are quite the opposite, where only momentum matters. Once a reflexive buying spree is unleashed, paper buying begets even more paper buying. Nowhere is this more evident than in today's daily report of ETF Securities, where "inflows into gold ETPs of US$263mn on Friday 1st July were at their highest since inception."
Nigel Farage, UKIP leader and passionate advocate for the UK to leave the European Union, announced unexpectedly today that he is stepping down as party leader, just days after he led a successful, and historic, campaign to Leave the European Union. Speaking in Westminster, Farage said the Brexit referendum was about Britons taking their country back, and having succeeded at that, Farage now "wants his life back.” His resignation completes the recent chaos in UK politics which has seen both the Conservative and Labour parties scramble to find new leadership in the aftermath of the Brexit vote.
Why can’t the markets proceed any higher than when QE ended in Oct/Nov of 2014? You know, if this is truly: a fundamentally based bull market that is.Or, is it that – its fundamentally full of bull? I believe it’s a big-ole-pile of the latter, and little to none of the former. Put a different way: Explain why does it take more central banker intervention, or the promise thereof, to stop these falls?If it were all “fundamentally” based on market principles, again, why is there a need or call for even more monetary interventionism? (i.e., negative interest rates, “helicopter” styled moves, etc., etc.)
"The people of the United Kingdom have exercised the sacred right of all free peoples... Come November, the American people will have the chance to re-declare their independence. They will have the chance to reject today’s rule by the global elite, and to embrace real change that delivers a government of, by and for the people. I hope America is watching, it will soon be time to believe in America again."