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By Tyler Durden Submitted by Brandon Smith of Alt-Market blog, The foundation of the Soviet model of trade and investment was centralization under the guise of “universal public ownership”. The entire goal of communism in general was not to give more social and political power to the people, but to extinguish alternative options and focus ...
By Tyler Durden The IRS’ Lois Lerner may not be the most proficient when it comes to hiding years of alleged conservative group persecution, or subsequently pleading the fifth and avoiding self-incrimination in what she dubs is a perfectly legal misunderstanding even as she makes on the record statements defending her innocence, but when it ...
By Tyler Durden In an age of economic policy activism, including widespread quantitative easing and associated purchases of bonds and other assets, Amphora’s John Butler reminds us that it is perhaps easy to forget that foreign exchange intervention has always been and remains an important economic policy tool. Recently, for example, Japan, Switzerland and New ...
By Tyler Durden There is a saying that debt can’t buy growth. When it comes to the US, that saying is absolutely correct: only lots and lots of debt can “buy growth.” As the chart below shows, since officially leaving the gold standard in 1971, annual GDP growth has outpaced the growth of federal debt ...
By Tyler Durden If JGB investors ‘believe’ as Richard Koo earlier noted, in the BoJ’s new actions and Abenomics (to double the monetary base and generate inflation), then, Kyle Bass explains, a rational investor is likely to sell a portion if not all of them. The BoJ only has JPY10 trillion cushion (after the JPY60 ...
By Tyler Durden Two years ago it was only gold and silver that saw the CME’s wrath on a daily, and sometimes hourly basis. Back then, however, it was due to soaring prices. Today, it is due to the bone-crushing price collapse in the Nikkei which has just seen the CME hike most Nikkei-related outright ...
By Tyler Durden While the off-the-lows mentality of today’s market performance was heralded by most as a signal that the BTFD’rs are back, we gently remind them that the Nikkei (futures) did not bounce at all… In fact S&P futures bounced to a rather eerily perfect 38.2% Fibonacci retracement of the overnight plunge and then ...
By Tyler Durden Submitted by Simon Black of Sovereign Man blog, Last week when I arrived to Bangladesh, the immigration officials there were positively ecstatic to see a foreign tourist entering the country. I’ve also been to places in Africa and the South Pacific where you’re greeted upon arrival by dancing tribespeople singing songs of ...
By Tyler Durden The only sane central banker in the world, the Bundesbank’s Jens Weidmann, take the prize for today’s quote of the day with the following: ECB’S WEIDMANN WISHES JAPAN `GOOD LUCK IN THEIR EXPERIMENTS’ So do we. They will need it. And some other pearls from his speech: WEIDMANN: JAPAN SHOWS MONETARY POLICY ...
By Tyler Durden One can read “ And full speech (via WaPo): President Obama’s May 23 speech on national security President Obama delivered remarks on national security on May 23, 2013, at National Defense University in Washington, D.C. Here are his full remarks as prepared for delivery. It’s an honor to return to the National ...
By Tyler Durden The surge in Japanese long-term interest rates is likely causing some lost sleep among bond market participants and policymakers (despite their ignorance of the moves in the BoJ minutes) as Nomura’s Richard Koo notes, if this trend continues (now added to by the collapse in stock prices) it could well mark the ...
By Tyler Durden (Milli)seconds after today’s market open, utilities NextEra Energy (NEE) and American Electric Power (AEP) did what most stocks in the New Normal do when there is an unexpected event (like a 4 sigma plunge in the Nikkei): they flash crashed. What is different about AEP and NEE is that unlike most other ...
By Tyler Durden Authored by Duncan Wooldridge via UBS, We totally get why many are excited by the recent cyclical improvement in the Japanese economy. However, just because industrial production is turning up on the back of exports and 1Q GDP grew more than expected doesn’t mean Abeconomics is working. Our colleague, Paul Donovan, correctly ...
By Tyler Durden The biggest story of the early part of the week was the massive 1+ mile-wide Tornado ploughing through a suburb of Oklahoma City leading to dozens of deaths and billions in damage. And while the story has already faded from the 15 minutes of collective random access memory, the following aerial picture ...
By Pivotfarm Originally posted http://www.tothetick.com/the-biggest-market-sell-offs-in-history As stock markets are poised to open or close around the world and we see exactly what damage has been done to the major indexes due to the Chinese fake-data scandals that have come to light coupled with the Federal Reserve’s monetary policy meeting, we are waiting with baited breath: ...
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