Market Crash ‘Could Hit Within Weeks


In the wake of the BIS’ official bail-in blueprint, Jim Sinclair has sent an alert to readers urging them to exit the system immediately.
Sinclair states that even though readers are being told daily what is going to happen, 99.9% of even his close friends are in freeze-frame and have yet to move to pre-emptively protect themselves and their wealth from the bankster freight train rolling straight at them.

U.S. labor costs decline at fastest pace since 1947

The sharpest revisions revolved around labor costs, though. Hourly compensation sank 3.8% in the first quarter instead of rising 1.2% as initially reported. That’s the biggest drop since the Labor Department began keeping track shortly after the end of World War Two.

First Quarter Hourly Compensation Plunges 3.8%, Most on Record; Manufacturing Hourly Compensation Plunges 6.9%; What’s Going On?

Inquiring minds are digging into the stunningly bad Quarter-Over-Quarter decline in wages and real wages across all sectors as noted in the Revised First Quarter BLS Productivity and Costs report.

Sector Nonfarm Business Business Manufacturing Durable Nondurable
Productivity 0.5 2 3.5 3.6 3.9
Output 2.1 3.1 5.3 6.4 4.2
Hours 1.6 1.1 1.8 2.8 0.2
Hourly compensation -3.8 -3.1 -6.9 -8.1 -4.9
Real hourly compensation -5.2 -4.6 -8.3 -9.4 -6.4
Unit labor costs -4.3 -5 -10 -11.2 -8.5

Year-Over-Year numbers are still positive but the revised quarterly numbers shown above are an unmitigated disaster.


Worst Month For Mortgage Applications Since 2009 Driving Mass Layoffs

Chart: Bloomberg

Trade Wars: The Chinese Empire Strikes Back

Bank for International Settlements (BIS) Records Startling Collapse of Eurozone Interbank Loans And Warns of Stock Market Crash

When Banks Don’t Trust EACH OTHER, The END Is Near: BIS records startling collapse of eurozone interbank loans

Cross-border lending is falling drastically across the western world as banks slash exposure to Europe and bend to tougher capital rules, according to data from the Bank for International Settlements.

Abenomics failed? Japan Is Getting Pulverized Again

Overnight, Japanese Prime Minister Shinzo Abe introduced the “third arrow” of Abenomics: the structural reforms crucial to the stimulus program’s ultimate success.

Stocks did not respond well. The Japanese Nikkei fell a whopping 3.8% on Wednesday.

After rallying a bit after the close, Nikkei futures are heading lower again in after-hours trading and are close to their lows following the May 22 closing high of 15,670.

Right now, futures are trading at 13,000, down 17% from the peak and only three more percentage points away from officially entering a bear market.


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The Warnings Are Again Accelerating. And So Is The Happy Talk From Wall Street Casino Insiders, About Rallies, Housing Recoveries, Perpetual Cheap Money. Don’t Listen. The Next Crash Will Happen By Year-End.

The Fed Is Overdoing It: The Misallocation of Capital Is Now Too Great And It Has Gone On Too Long, Bad News Soon May Just Become…Bad News


Are central bankers losing control?

The last couple of weeks have been very interesting. Remember that, certain regional differences aside, Japan has, for the past two-plus decades, been the global trendsetter in terms of macroeconomic deterioration and monetary policy. It was the first to have a major housing and banking bubble, the first to see that bubble burst, to respond with years of 1 percent interest rates, then zero rates, then various rounds of quantitative easing. The West has been following Japan each step on the way – usually with a lag of about ten years or so, although it seems to be catching up of late. Now Japan is the first developed nation to go ‘all-in’, to implement a no-holds-barred money-printing regime to (supposedly) ‘stimulate’ the economy. This is called Abenomics, after Japan’s new prime minister, Shinzo Abe, the new poster-boy of policy hyper-activism. I expect the West to follow soon. In fact, the UK is my prime candidate. Wait for Mr. Carney to start his new job and embrace ‘monetary activism’. Carnenomics anybody?

But here is what is so interesting about recent events in Japan. At first, markets did exactly what the central bankers wanted them to do. They went up. But in May things took a remarkable and abrupt turn for the worse. In just eight trading days the Nikkei stock market index collapsed by 15%. And, importantly, all of this started with bonds selling off.

Are markets beginning to realize that all these bubbles have to pop sometime and that sometime may as well be now? Are markets beginning to refuse to dance to the tune of the central bankers and their printing presses? Are central bankers losing control?