Since I graduated from college in 2009, the economy has remained stagnant and the job market has remained weak, with no sign of improvement. Just last week, the Bureau of Labor and Statistics reported that the unemployment rate hit 7.5 percent.
While the mainstream media and our leaders in Washington want you to believe that the economy is getting better, thanks to more spending, higher taxes, and more regulation, six million [...]
Jim Rogers, who predicted a commodity rally in 1999, said he may buy gold if a bear market deepens and prices fall to $1,300 an ounce or below.
Bullion for immediate delivery tumbled to $1,321.95 on April 16, the lowest since January 2011, stoking a frenzy among coin and jewelry buyers from the U.S. to India and Australia. Rogers, the chairman of Singapore-based Rogers Holdings, hasn’t bought any bullion after the slump, [...]
Recent increases ‘just the tip of the iceberg,’ managing director Mark Price
Poor weather leaves farmers facing another poor harvest
Food inflation could reach 6 per cent this year
Massive rises in food prices will hammer family budgets this year, the boss of one of Britain’s biggest supermarkets warned yesterday.
Waitrose managing director Mark Price said recent increases in the price of bread and vegetables were ‘just the tip of the iceberg’, with prices [...]
Gold is continuing its slide today as futures trade down nearly 2 percent.
The chart is pretty ugly:
These levels mark the lowest price gold has traded for since August.
Read more: http://www.businessinsider.com/gold-price-lowest-level-since-august-2012-12#ixzz2FRcWfXWW
from Mark Hulbert:
A top in the stock market may be closer than you think.
That, at least, is the disturbing conclusion that emerges from an analysis of the relative performance of the market’s various sectors prior to tops. The sectors that typically shine during the last months of a bull market have done quite well in recent months, while at least some of the sectors that typically do poorly have [...]
Given our earlier comments, it is hardly surprising but the Eurogroup meeting just ended and there is no agreement; headlines via Bloomberg:
*FRIEDEN SAYS NO DECISIONS REACHED TODAY ON GREECE BY EUROGROUP
*FRIEDEN SAYS EURO FINANCE CHIEFS TO CONTINUE TALKS ON MONDAY
*SCHAEUBLE SAYS EUROGROUP UNABLE TO REACH CONCLUSIVE AGREEMENT
*LAGARDE SAYS MORE WORK NEEDED FOR GREEK SOLUTION
EURUSD is tumbling (as are S&P 500 futures in their oh-so-correlated manner)
Of course, Juncker has his own [...]
For the third time in a row, a speaker from the Fed has opened their mouth and the market has fallen in. This time, unlike Yellen’s silliness, Bernanke admitted a few ugly truths by removing hopes for an IOER cut and bluntly explaining that the Fed ‘will not go back to work’ to help Schumer and his fiscal cliff buddies:
*BERNANKE SAYS FED ABILITY TO OFFSET HEADWINDS `NOT INFINITE’
*BERNANKE SAYS [...]
And then there’s the SP500.
“The SP500 finished marginally up this week, but this chart doesn’t tell the whole story. The MACD is clearly pointed down – bearish for several weeks to come – as we said last week. We are in the starting gates of primary wave 3 and we should see downside momentum accelerate next week.”
I don’t think the markets are going to wait until after Tuesday – they’ve [...]
The tone is generally risk off to start the week.
US futures are modestly lower. Risk currencies like the Aussie dollar and the euro are lower as well.
And here’s the Nikkei, off 0.33%.
Read more: http://www.businessinsider.com/asian-morning-markets-october-15-2012-10#ixzz29K7Zf8Ez
From Zero Hedge:
Ron Paul will not go quietly into the night – and rightly so, it would seem, given his “truthiness.”
In a recent brief interview on CNBC’s Futures Now, he managed to diss Romney, smash the “belief” in a “two-party” system, and undermine any hope for economic change from the farce of an election.
Summed up simply: “There is essentially no difference between one administration and another, no matter what the platform.”
It seems, just as everyone knew but really did not want to admit, that AAPL is the core (pun intended) of the entire risk-rally. With the re-appearance of the bond-market this morning after their long-weekend, risk-assets everywhere have caught the tech companies’ cold with EURUSD at one-week lows – back under 1.2900, S&P futures tumbling back towards pre-QEternity levels and having wiped out all of last week’s gains, as AAPL [...]
From Zero Hedge:
Despite being told again and again by any-and-every commission-taker and newsletter-vendor that sentiment is terrible, managers will need to high-beta performance-chase, and the ‘money-on-the-sidelines’ is just around the corner; it appears that reality is different.
The Net Long Interest in S&P 500 Futures (the most liquid equity trading vehicle in the world) is now at its highest since December 2008…
Read full article…
It’s global PMI day And Crucial PMI Numbers Coming In WEAK!!!
Japan: Markit/JMMA Manufacturing PMI — 48.0, up from 47.7 in August
China: HSBC Manufacturing PMI — 47.9, up from 47.6 in August
Australia: AiG Manufacturing PMI — 44.1, down from 45.3 in August
Netherlands: NEVI Manufacturing PMI — 50.7, up from 49.7 in August
China: Official PMI — 49.8, up from 49.2 in August
Taiwan: HSBC Manufacturing PMI — 45.6, down from 46.1 in August
Vietnam: HSBC Manufacturing PMI — 49.2, up [...]
Federal regulators have fined Goldman Sachs and JPMorgan Chase for breaking securities and futures rules, respectively.
Goldman Sachs was ordered by the Securities and Exchange Commission (SEC) to pay $12 million to settle pay-to-play charges.
The firm’s troubles stemmed from the involvement of Neil M.M. Morrison, a former Goldman Sachs vice president in Boston, in the political campaign of Massachusetts state treasurer Timothy Cahill while he was a candidate for governor.
Morrison was accused of [...]
From Zero Hedge:
Eight days after the rapturous calls of all-in “Ben’s got yer back” so buy everything, the S&P futures have fully retraced the 40 points of S&P spikeworthiness that Ben’s FOMC QEternity statement provided.
Treasury yields are already notably below pre-FOMC levels, as is oil… and the USD is…
Read full article (with chart)…
Last week’s post-ECB hangover continues as markets in Europe are falling once again.
Italy is down about 0.9%.
Spain is down 1.0%.
Germany is down 0.25%.
This follows a fairly quiet weekend, and a mixed Asian session, which saw Japan fall 0.45%, but Korea and Shanghai come back for nice gains.
US futures are modestly lower.
G. Edward Griffin, the author of the Creature from Jekyll Island, discusses what the futures holds if the cartel known as the Federal Reserve is allowed to remain in power here in the US.
Edward Griffin states that we are headed towards 100% government and totalitarianism, and the devaluation of the dollar will continue to accelerate, with the dollar heading to ZERO.
Griffin explains how the Federal Reserve is not an extension of the [...]
The 1.2% dive in industrial production is the biggest decline since the depths of the financial crisis, though 0.3% of the fall is being attributed to Hurricane Isaac. S&P futures add a bit to gains, now +0.3% – maybe in hope the Fed will double QE to $80B/month?
Industrial production contracted at a greater than anticipated rate in August as Hurricane Isaac shut down mining and utility companies across the Gulf of Mexico, [...]
The dollar weakened to a seven- month low against the yen and Treasuries rose amid speculation the Federal Reserve will unveil more stimulus today. European stocks dropped from a 14-month high as European Aeronautic, Defence & Space Co. and BAE Systems Plc fell on plans to merge.
The dollar depreciated 0.3 percent to 77.63 yen at 8:35 a.m. in New York. The yield on 10-year Treasuries fell three basis points. The yield spread between Dutch and [...]
When your local friendly Too-Big-To-Fail bank needs a ‘helping hand’ loan to get through pay-day or buy some extra S&P futures, it picks up the shiny red phone and asks Ben for unlimited access to free money. When the ‘rest of us’ need a little extra – to get through the next week before our pay-check hits, we call this guy – who charges a 400% APR. The Central Bank [...]
The market was just starting to digest the schizophrenic Durable Goods data when chatter broke of the German FINMIN discussing a ‘temporary’ GRExit. In other words, just like Mario Draghi could transmogrify the twilight zone into reality during Merkel’s vacation, and spread unfounded rumors that Europe is fine, now that the Chancellor has returned, the rumors take on the other side of the equation, and the mice no longer can [...]
The Nikkei fell 0.27%.
Shanghai fell 0.5%.
Hong Kong fell 1.0%.
In Europe, markets are down across the board.
Italy is off 0.5%.
Spain is down over 1%. Same with Germany.
US futures are down modestly as well.
Today in the US we get FOMC minutes and existing home sales.
Read more: http://www.businessinsider.com/morning-markets-august-22-2012-8#ixzz24H4vO2CX
Drought corn shortage and high cost of cattle feed for farms now see livestock fed ‘chocolate’ fattening them right up for slaughter producing consumer ‘caffeinated chocolate-laced beef’ for hamburgers, steaks, roasts, etc. where adults and their children will become even more highly excited at fast food restaurants like McDonald’s if this NBC news ( August 14, 2012 ) video showing mass quantities of chocolate purposely mixed into livestock feed is [...]
here are plenty of things to be fearful of these days: Europe could go back to explode mode at any second. US political uncertainty. A downturn in US data, etc.
But investors are showing plenty of signs of not caring.
From the latest note from BTIG’s Dan Greenhaus comes an important observation about the VIX, the index which measures how much investors are willing to pay for downside protection via options. It’s sometimes [...]
From the swings and lows of historical revisions to beats across the board of GDP data this morning, it seems the market’s pre-occupation with NEW QE is now being faded (modestly for now). Treasuries are 4-5bps higher in yield, S&P 500 futures down around 5pts, Gold down $10, and the USD up modestly. For now, it’s QE-off, though no-one seems convinced as EURUSD falls – which fits better with the [...]
One University of Georgia sophomore has written an insightful article outlining how female students ‘can attain the thing that is most essential in securing our futures.’
Amber Estes is not talking about getting an academic degree but securing a (Tiffany’s) ring on your finger.
In a easy step-by-step guide Estes sets out how to bag the perfect husband and warns girls to ‘stay classy’ as ‘a man won’t get down on one [...]
A fractional miss of estimates for GDP growth (printing at +7.6% vs expectations of +7.7%) coupled with a just-as-fractional beat in Retail Sales (+13.7% YoY vs expectations of +13.4%) seems to be the perfect remedy for a global-depression-expecting and/or massive-stimulus-hungry market. GDP growth was its slowest since March 2009 but it appears the ‘sell the rumor, buy the news crowd’ are disappointed. S&P 500 futures popped a few pts and then [...]
The selling started as Europe opened last night and despite a few pull-backs to VWAP, has continued all morning. S&P 500 futures have crossed the chasm and are heading back to new cycle lows here as the major financials are being sold aggressively on the back of tomorrow’s release of the NY Fed’s Libor report (among other things we are sure) and have given up all their post EU-Summit gains. [...]
Remember, it’s going to be a very quiet week.
As we start, markets are resuming the downtrend that we saw on Friday.
US futures are just modestly lower.
Japan is down about 0.9%, in part due to catch-up to last Friday (reacting to the US jobs report) but also due to a weak machine orders report.
The PBOC, the BOE and now the ECB all cut, and still futures are tumbling. This latest news however will certainly send futures soaring:
KENYA CENTRAL BANK CUTS BENCHMARK RATE TO 16.5% FROM 18%
KENYA INFLATION HAS FALLEN TOWARD SHORT-TERM 9% TARGET
However, the market response so far is remarkably tepid. Hopefully the one bank we are all waiting for: the Bank of Uganda, will follow suit and show everyone who’s boss.
In continuing the quantum physics scramble of the past 48 hours in the aftermath of the potential Higgs Boson discovery which confirms mass exists (and will soon be blamed for America’s obesity epidemic) we ask if three of the world’s largest central banks eased and futures turned red, did three of the world’s largest central banks actually ease? Because if today is any indication, either all the EURUSD-ES algos are being [...]
Update II: Wow. The half-life of a European relief rally is now down to about 15 minutes.
Following last nights Greek election – which saw the pro-bailout establishment party win — markets initially rallied on the preservation of the status quo.
And stocks in Europe opened higher.
But now that’s all gone, as the market carnage continues.
The Spanish market is down over 2%.
Italy is down over 1.6%.
Yields in Spain have shot up to record highs. [...]