Just a few things to piss you off even further tonight in my attempt to educate you of the fraud and lies that are being thrust up your rear as they destroy any form of wealth you have left (pay no attention to the market). This is just nutty. Simply unbelievable the shit that goes on behind closed doors without OUR consent as to what means anything. I'm gonna stop this just short of a rant. That comes later this week.
For those of you that do not Visit Zero Hedge on a regular basis, please do so to read How The Federal Reserve Bailed Out The World. this is one of the few uber detailed posts that they do that really blow you away. The final paragraph, "As the DXY continues tumbling ever lower to fresh 2009 lows, the trade de jour is once again the dollar funding one, although unlike before when the Yen was the carry currency of choice, this time it is the dollar itself, positioning banks for the double whammy of not just a dollar funding shock, but one coupled with a potential massive and historic short squeeze. If and when an exogenous event occurs, not even $6.5 trillion in Fed swap lines will be sufficient to bail out the world economy. It is time someone in Congress asks the Chairman all the pertinent questions that evolve from this analysis and how he is prepared to handle its next, much more vicious, and likely terminal, iteration." I have kept harping on an "external" event and then P3. When it hits, it will take us out at the knees and there will be no fix in store. NONE. You really need to read this one.
Mish attempts a rant (well, he rants, but places his words in a more thoughtful and concise manner than I am capable of) in Where The Hell Is The Outrage? Mish presents several timely and accurate articles and at the end posts 22 things he is outraged over. Somehow after reading his rant and comparing it to mine, I now know why you prefer the home team when describing the actions of our government and the Fed.
Karl Denninger at The Market Tickr points out something that should really piss everyone off in ALERT: Nelnet Fraud Allegation. (Note: Zero Hedge Covers this issue in The Nelnet Whistleblower Scandal Hits Wikileaks: JPM, Citi And Nelnet Implicated In Massive Conspiratorial Student Loan Fraud) Karl summarizes, "This is Constitutionally indefensible and amounts to nothing other than preying upon our youth through the use of them as "levers" to both induce them to take on unconscionable debt and, when possible, abuse their parents - all for the benefit of the banksters who, this lawsuit alleges, don't even comply with the thin protections that Federal Law is supposed to provide!" So, we have uncovered another scam that someone in the enforcement arena seems not to care to address or even give a shit that it exists. Simply amazing. Wonder how many other issues like this are simply floating around out there?
Naked Capitalism has Munchau: Next Crisis Coming Sooner Than You Think. This post from the Financial Times is a good one. "Alternatively, central banks might prioritize financial stability over price stability and keep the monetary floodgates open for as long as possible. This, I believe, would cause the mother of all financial market crises – a bond market crash – to be followed by depression and deflation." This article puts the two paths ahead of us in a nutshell and surprisingly neither path has a good ending.
The Pragmatic capitalist reminds us that INSIDER BUYING STILL NEAR RECORD LOWS. "The latest data for the week ending October 16th shows that insiders sold $320.8MM worth of stock while insiders purchased just $32.81MM worth of stock." I'll let you do the math on that one. Pump and dump folks. They are hauling ass with your money! Get a clue.
The Big Picture found this Frontline: The Warning (Brooksley Born) which will be a must watch tomorrow night as Frontline narrates how Greenspan and the Clinton administration shut down the original whistleblower. This one should be a good watch. Set your TiVo's.
GL out there. In case you did not know APPLE CRUSHES ESTIMATES, ANALYSTS CONFOUNDED LOL.
Unmask The Fed
Showing posts with label Riholtz. Show all posts
Showing posts with label Riholtz. Show all posts
Monday, October 19, 2009
Monday, October 12, 2009
Time To Tune In!
Listen up sheeple, it is get a clue day at Shanky's blog. Holiday fun time is over and time for a reality check. Let me be your alarm clock to awaken you from the fed/treasury/government/MSM induced coma you have been in. Right now you should be "mad as hell and you are not gonna take it anymore".
In just what might be my favorite post of the year, Mish comments on Chris Martenson's article in One Hand Clapping Theory Analyzed. I love the whole post. Very enlightening and poignant in its coverage of the LIES and DECEIT that have led to this rally. The cherry on top, "One irony in this mess is that Greenspan and the fed openly criticized Japan for failure to write down debts, telling Japan that write offs were the best way to end deflation. Japan refused to do so. Did it help? All the pretending in the world, along with all its quantitative easing did not halt a deflationary collapse in Japan." This post really encompasses just how friggin ignorant and how disjointed we are from reality. Just floating along believing what our government does will always be in our best interests. WRONG!
OK, not that I have easily determined that everyone in the USofA is an ignoramus and could not give a shot about anything as long as they have their MSM to suckle from, let's read Denninger's Is The Dollar Doomed?. You see in the last article we determined that accounting fraud and outright lies have been a big catalyst to the rally. ready for part two? "This is just another example of "kick the can"; instead of facing our medicine and swallowing, instead of forcing those financial institutions who made bad bets to eat them, we are instead devaluing our currency as a means of trying to "print" our way out of this." Sheeple, WAKE UP! They are taking your money and flushing it down the toilet. This is financial suicide. Ahhh, there lies the key. You see they were dead when they started the battle, so no rules apply anymore. Get it?
OK, sheeple, is the picture coming clear. Need to adjust those rabbit ears on top of your head one more time? Well, OK, try this from Washington's Blog via Naked Capitalism Guest Post: The OTHER Economic Crisis? "Indeed, as Richard Jackson told the White House Conference on Aging in 2005: If demography is destiny, global leadership may pass to the “Third” world… Countries with slowly growing workforces may have slowly growing economies… We live in an era defined by many challenges, from global warming to global terrorism. None is as certain as global aging. And none is likely to have such a large and enduring effect on the shape of national economies and the world order." Shanky, come on, now you are slinging a demographic crisis at us? Yup, in this most excellent post GW delivers something for you to ponder in about 20 years, that being WHO THE HELL IS GONNA PAY FOR ALL THIS SHIT when we don't have enough workers to support the taxes? (Mish or someone else has hit on this recently as well)
Prag Cap has INSTITUTIONS BUY CALL OPTIONS ON THE BANKS BEFORE EARNINGS. "Some big money is moving into the XLF banking ETF before the banks begin reporting their earnings this week. 130,000 calls were purchased today with expectations of a greater than 7% rally in the shares." And you are short. Aren't you? You're short. I know it. Admit it. OK, go back to the beginning and start reading again (read Mish's post twice). You failed. You MUST get in line and A) vote the way you are supposed to and B) invest with the heard.
Ritholtz has a story in picture form that you may understand better. Plummeting Dollars. If you have any questions after reading that post - never come back here again.
Shanky, nothing from your sacred cow ZH today? Hmm, glad you asked. OK - this is a video clip! (I can hear the sighs of relief loud and clear. No more reading I promise. I'm sure you have either fallen asleep or left after the first paragraph (this ain't USA today - oops their having readership issues?) In Chris Whalen Comments On Upcoming Financials' Earnings you'll get some good insight into how the shit will hit the fan soon. They can't hide it forever.
Is that picture tuning in a little better now? If you are a typical sheeple, you lost interest at the first sign of "snow" on your screen, you chunked the rabbit ears and said fuck it by now. Too hard. Too much to deal with. Let the government fix it, I gotta go fishing. BAM! There were the magic words, "Let the government fix it."
Both pictures (they are called charts) below are optimistic representations IMO.
OK - Picture time! 1928 to 1956 - From 1929 it took till 1955 to get it all back. This would represent the "square root" recovery most are hoping for. Bhuahahaha.
One last picture for you. Uh, they ain't got it all back yet. Konichiwa!
Note - I left off topics such as CDS, MBS, RE, CRE, Monetization, California, New York (or any of the 44 states under water) and Unemployment to keep this post at a remedial level. Oh, and the world is about to shit all over its self. Have your wipes ready.
In just what might be my favorite post of the year, Mish comments on Chris Martenson's article in One Hand Clapping Theory Analyzed. I love the whole post. Very enlightening and poignant in its coverage of the LIES and DECEIT that have led to this rally. The cherry on top, "One irony in this mess is that Greenspan and the fed openly criticized Japan for failure to write down debts, telling Japan that write offs were the best way to end deflation. Japan refused to do so. Did it help? All the pretending in the world, along with all its quantitative easing did not halt a deflationary collapse in Japan." This post really encompasses just how friggin ignorant and how disjointed we are from reality. Just floating along believing what our government does will always be in our best interests. WRONG!
OK, not that I have easily determined that everyone in the USofA is an ignoramus and could not give a shot about anything as long as they have their MSM to suckle from, let's read Denninger's Is The Dollar Doomed?. You see in the last article we determined that accounting fraud and outright lies have been a big catalyst to the rally. ready for part two? "This is just another example of "kick the can"; instead of facing our medicine and swallowing, instead of forcing those financial institutions who made bad bets to eat them, we are instead devaluing our currency as a means of trying to "print" our way out of this." Sheeple, WAKE UP! They are taking your money and flushing it down the toilet. This is financial suicide. Ahhh, there lies the key. You see they were dead when they started the battle, so no rules apply anymore. Get it?
OK, sheeple, is the picture coming clear. Need to adjust those rabbit ears on top of your head one more time? Well, OK, try this from Washington's Blog via Naked Capitalism Guest Post: The OTHER Economic Crisis? "Indeed, as Richard Jackson told the White House Conference on Aging in 2005: If demography is destiny, global leadership may pass to the “Third” world… Countries with slowly growing workforces may have slowly growing economies… We live in an era defined by many challenges, from global warming to global terrorism. None is as certain as global aging. And none is likely to have such a large and enduring effect on the shape of national economies and the world order." Shanky, come on, now you are slinging a demographic crisis at us? Yup, in this most excellent post GW delivers something for you to ponder in about 20 years, that being WHO THE HELL IS GONNA PAY FOR ALL THIS SHIT when we don't have enough workers to support the taxes? (Mish or someone else has hit on this recently as well)
Prag Cap has INSTITUTIONS BUY CALL OPTIONS ON THE BANKS BEFORE EARNINGS. "Some big money is moving into the XLF banking ETF before the banks begin reporting their earnings this week. 130,000 calls were purchased today with expectations of a greater than 7% rally in the shares." And you are short. Aren't you? You're short. I know it. Admit it. OK, go back to the beginning and start reading again (read Mish's post twice). You failed. You MUST get in line and A) vote the way you are supposed to and B) invest with the heard.
Ritholtz has a story in picture form that you may understand better. Plummeting Dollars. If you have any questions after reading that post - never come back here again.
Shanky, nothing from your sacred cow ZH today? Hmm, glad you asked. OK - this is a video clip! (I can hear the sighs of relief loud and clear. No more reading I promise. I'm sure you have either fallen asleep or left after the first paragraph (this ain't USA today - oops their having readership issues?) In Chris Whalen Comments On Upcoming Financials' Earnings you'll get some good insight into how the shit will hit the fan soon. They can't hide it forever.
Is that picture tuning in a little better now? If you are a typical sheeple, you lost interest at the first sign of "snow" on your screen, you chunked the rabbit ears and said fuck it by now. Too hard. Too much to deal with. Let the government fix it, I gotta go fishing. BAM! There were the magic words, "Let the government fix it."
Both pictures (they are called charts) below are optimistic representations IMO.
OK - Picture time! 1928 to 1956 - From 1929 it took till 1955 to get it all back. This would represent the "square root" recovery most are hoping for. Bhuahahaha.
One last picture for you. Uh, they ain't got it all back yet. Konichiwa!
Note - I left off topics such as CDS, MBS, RE, CRE, Monetization, California, New York (or any of the 44 states under water) and Unemployment to keep this post at a remedial level. Oh, and the world is about to shit all over its self. Have your wipes ready.
Thursday, October 8, 2009
Sometimes You Just Gotta Say WTF?
I said enough last night ( I feel like I have a post post hangover).
WTF - Zero Hedge - The Fed's 30 Minute Agency Monetization Window. "These shell games are getting tiresome. A half an hour turnaround time between issuance and buyback? Really Ben?". Zero Hedge is the WTF center of the universe.
WTF - Mish - Can We Really Trust The Leading Economic Indicators? "I would agree that a slip back into recession in the 4th quarter is unlikely, assuming of course it is even possible. Bear in mind, we have not had an official end of this recession declared yet." You'll like this one. Mish rips apart the LEI's and pulls the wool back that has been covering the sheeple's eyes.
WTF - Naked Capitalism - Is the consumer really deleveraging? submitted by Edward Harrison of Credit Writedowns. "What do you know, it’s up $7 billion. It is indeed down $4 billion for revolving credit as banks are cutting credit card limits. But, non-revolving credit is up over $11 billion. It was decreasing and is down 4.4% year-on-year (see the section highlighted in green above), but that ended this month." OK, so we all should feel like idiots now as Edward did his homework and we all just took the MSM's report without question. Goodness I feel so stupid right now. They lied to us again.
WTF - FT.com - US jobless claims fall more than expected. "New jobless claims declined by 33,000 to 521,000, official figures showed on Thursday. That was a bigger drop than economists expected and the number of workers continuing to claim benefits also fell, declining by 72,000 to 6.04m." I just don't get it. How is losing more than 500k jobs a good thing? I'll get Mish's REAL employment round up when it comes out.
WTF - The Market Ticker - Corruption: FHA Is Dying, Will Anyone Stop It? "The FHA's claim that it is practicing "conservative" underwriting is both a bad joke and a flat lie. Jeff Skilling went to prison for trying to run this sort of accounting at ENRON, yet we still have "government officials" doing the same thing at federal agencies." LOL, the FHA needs $56b to get above water. What's $56b in today's dollars? Oops, did someone take the actual value of the dollar into consideration here?
And my favorite WTF - The Underground Investor - A Market Rally in Monopoly Money. "As I’ve stated before, as long as Wall Street computers keep using low summer-like trading volumes to manipulate this market higher, the market can continue to melt up on the back of a devaluing dollar before it will eventually melt down. And as long as the US Federal Reserve continues to try to appease public anger by giving the public greater amounts of a worthless currency in a monetary game the public, by and large, fails to understand, I will continue to hold my currencies in forms that have zero counterparty risk." This is a good one.
Have a great evening!
WTF - Zero Hedge - The Fed's 30 Minute Agency Monetization Window. "These shell games are getting tiresome. A half an hour turnaround time between issuance and buyback? Really Ben?". Zero Hedge is the WTF center of the universe.
WTF - Mish - Can We Really Trust The Leading Economic Indicators? "I would agree that a slip back into recession in the 4th quarter is unlikely, assuming of course it is even possible. Bear in mind, we have not had an official end of this recession declared yet." You'll like this one. Mish rips apart the LEI's and pulls the wool back that has been covering the sheeple's eyes.
WTF - Naked Capitalism - Is the consumer really deleveraging? submitted by Edward Harrison of Credit Writedowns. "What do you know, it’s up $7 billion. It is indeed down $4 billion for revolving credit as banks are cutting credit card limits. But, non-revolving credit is up over $11 billion. It was decreasing and is down 4.4% year-on-year (see the section highlighted in green above), but that ended this month." OK, so we all should feel like idiots now as Edward did his homework and we all just took the MSM's report without question. Goodness I feel so stupid right now. They lied to us again.
WTF - FT.com - US jobless claims fall more than expected. "New jobless claims declined by 33,000 to 521,000, official figures showed on Thursday. That was a bigger drop than economists expected and the number of workers continuing to claim benefits also fell, declining by 72,000 to 6.04m." I just don't get it. How is losing more than 500k jobs a good thing? I'll get Mish's REAL employment round up when it comes out.
WTF - The Market Ticker - Corruption: FHA Is Dying, Will Anyone Stop It? "The FHA's claim that it is practicing "conservative" underwriting is both a bad joke and a flat lie. Jeff Skilling went to prison for trying to run this sort of accounting at ENRON, yet we still have "government officials" doing the same thing at federal agencies." LOL, the FHA needs $56b to get above water. What's $56b in today's dollars? Oops, did someone take the actual value of the dollar into consideration here?
And my favorite WTF - The Underground Investor - A Market Rally in Monopoly Money. "As I’ve stated before, as long as Wall Street computers keep using low summer-like trading volumes to manipulate this market higher, the market can continue to melt up on the back of a devaluing dollar before it will eventually melt down. And as long as the US Federal Reserve continues to try to appease public anger by giving the public greater amounts of a worthless currency in a monetary game the public, by and large, fails to understand, I will continue to hold my currencies in forms that have zero counterparty risk." This is a good one.
Have a great evening!
Monday, October 5, 2009
Reality Hurts Everthing (But The Markets)
The bad news is flying fast and furiously as the market ramps up again. So what's new, right? Just when you thought we were out of the woods and some sort of normalcy or realism is setting in, the manipulators show they are not dead yet. Here is a smattering of news that will hopefully emphasize the impending doom that we will eventually be forced to endure courtesy of the elitist, protectionist assholes in charge.
Late last week Zero Hedge provided BLS Discloses It Has Overrepresented Payroll Data By 824,000 Or 15% and backed it up today with Charles Biderman Trashes BLS Flawed Payroll Model. OK, so there is a flaw in the way the government tracks something? Wait a freaking minute, you meant they are screwing around with the numbers and not telling us the truth? LOL, this does not just happen with the BS (excuse me BLS) reports. "These numbers are a joke." I could not agree more Charles.
While on the topic of employment, I'll bring Denninger's Employment: You're SMOKING Green "Shoots" post from Friday to the table. "This is an unmitigated catastrophe, and it did NOT abate during the so-called "economic expansion" of the 2000s. If that was a true economic expansion - that is, driven by people going to work and earning a productive living - then the "NILF" numbers would have contracted on a 12 month trailing basis during that so-called "expansion." They did not, which means the so-called "expansion" didn't come through productive labor." So what Karl is pointing out is that the employment situation has continually worsened wince 1999. Nice!
Mish (in a must read) takes a different angle on proving the BLS numbers are a bunch of bullshit in BLS Owner's Equivalent Rent Numbers From Twilight Zone. Mish concisely takes apart the RE side of the BLS report and exposes more green shoot anomalies that CNBS will undoubtedly be pouncing on soon. Just a thought, do you think the CNBS writers are on a career path from the BLS similar to the ones the GS execs take to the government? Just wondering.
Naked Capitalism exposes some of the more serious issues behind the bullshit that goes on behind the scenes in Why is Goldman allowed to game the system?. "I think eyes should be focused firmly on the government’s responsibility and not Goldman when it comes to these issues. Which is why the issues that Simon Johnson raises are important. They go to the core of the regulation of banks." And to those of you that question my market manipulation theme and why some of my calls (see XLF below) hold a high degree of caution, now you know.
The Pragmatic Capitalist has INSIDERS CONFIRM THAT THE RALLY IS FAKE, ECONOMY IS “GETTING WORSE”. "We’re slowly beginning to piece together the puzzle of insider selling that has been so pronounced throughout the rally. By now we all know that the uptick in the economy has been mostly stimulus based. We also know that businesses are still seeing deteriorating top line growth and unsustainable growth via cost cuts. These have been the primary reasons for our skepticism regarding the sustainability of the rally and the economic upturn. As the market soars higher insider selling has been confounding to say the least, but the recent comments from Ken Langone and the Business Roundtable Survey essentially confirm what we have long thought: the rally is built on quicksand." This one is GREAT! PUMP AND DUMP baby! Congratulations, your 401k has been sucked up, up, up and now without your knowing it is being pick pocketed. But don't worry, you be aware of it soon enough.
FOX News has IG Report Finds Paulsen, Bernanke Misled Public on Bank Rescues. So, why is Bernanke still in charge? Cause he is the grand PooBah. He is the untouchable one. He can say whatever the hell he wants.
I certainly do not think I am crazy, but I am a firm believer that our government is totally screwing us. Not only did they allow all of this to happen via ZERO regulation (and the removal of a few hurdles), but they have the balls to try to tell us to our faces (on a consistent basis) that things are fine and improving. Bullshit! Improving my ass. Not getting worse, maybe in some sectors. Hell it is hard to get lower than low. What is that pond scum joke we all used in high school? The lies will all come out in the wash the way your mom and dad always told you they would. The lies are becoming increasingly harder to cover up. When the truth is known, we will be the joke of the world and our transformation from the world's wealthiest fraud to bankrupt nation will be complete.
Don't miss the XLF post below.
Late last week Zero Hedge provided BLS Discloses It Has Overrepresented Payroll Data By 824,000 Or 15% and backed it up today with Charles Biderman Trashes BLS Flawed Payroll Model. OK, so there is a flaw in the way the government tracks something? Wait a freaking minute, you meant they are screwing around with the numbers and not telling us the truth? LOL, this does not just happen with the BS (excuse me BLS) reports. "These numbers are a joke." I could not agree more Charles.
While on the topic of employment, I'll bring Denninger's Employment: You're SMOKING Green "Shoots" post from Friday to the table. "This is an unmitigated catastrophe, and it did NOT abate during the so-called "economic expansion" of the 2000s. If that was a true economic expansion - that is, driven by people going to work and earning a productive living - then the "NILF" numbers would have contracted on a 12 month trailing basis during that so-called "expansion." They did not, which means the so-called "expansion" didn't come through productive labor." So what Karl is pointing out is that the employment situation has continually worsened wince 1999. Nice!
Mish (in a must read) takes a different angle on proving the BLS numbers are a bunch of bullshit in BLS Owner's Equivalent Rent Numbers From Twilight Zone. Mish concisely takes apart the RE side of the BLS report and exposes more green shoot anomalies that CNBS will undoubtedly be pouncing on soon. Just a thought, do you think the CNBS writers are on a career path from the BLS similar to the ones the GS execs take to the government? Just wondering.
Naked Capitalism exposes some of the more serious issues behind the bullshit that goes on behind the scenes in Why is Goldman allowed to game the system?. "I think eyes should be focused firmly on the government’s responsibility and not Goldman when it comes to these issues. Which is why the issues that Simon Johnson raises are important. They go to the core of the regulation of banks." And to those of you that question my market manipulation theme and why some of my calls (see XLF below) hold a high degree of caution, now you know.
The Pragmatic Capitalist has INSIDERS CONFIRM THAT THE RALLY IS FAKE, ECONOMY IS “GETTING WORSE”. "We’re slowly beginning to piece together the puzzle of insider selling that has been so pronounced throughout the rally. By now we all know that the uptick in the economy has been mostly stimulus based. We also know that businesses are still seeing deteriorating top line growth and unsustainable growth via cost cuts. These have been the primary reasons for our skepticism regarding the sustainability of the rally and the economic upturn. As the market soars higher insider selling has been confounding to say the least, but the recent comments from Ken Langone and the Business Roundtable Survey essentially confirm what we have long thought: the rally is built on quicksand." This one is GREAT! PUMP AND DUMP baby! Congratulations, your 401k has been sucked up, up, up and now without your knowing it is being pick pocketed. But don't worry, you be aware of it soon enough.
FOX News has IG Report Finds Paulsen, Bernanke Misled Public on Bank Rescues. So, why is Bernanke still in charge? Cause he is the grand PooBah. He is the untouchable one. He can say whatever the hell he wants.
I certainly do not think I am crazy, but I am a firm believer that our government is totally screwing us. Not only did they allow all of this to happen via ZERO regulation (and the removal of a few hurdles), but they have the balls to try to tell us to our faces (on a consistent basis) that things are fine and improving. Bullshit! Improving my ass. Not getting worse, maybe in some sectors. Hell it is hard to get lower than low. What is that pond scum joke we all used in high school? The lies will all come out in the wash the way your mom and dad always told you they would. The lies are becoming increasingly harder to cover up. When the truth is known, we will be the joke of the world and our transformation from the world's wealthiest fraud to bankrupt nation will be complete.
Don't miss the XLF post below.
Wednesday, September 30, 2009
ISM, SEC , EEM, China and Super Rally In The News
Yes, I can do more than chart. You see, I have this bi-polar issue where the blog gets chart heavy then news heavy, sorry bout that. It has a lot to do with time available.
The Pragmatic Capitalist has an article that you EEM investors may be interested in, TRADE OF THE DAY: BIG MONEY BETS AGAINST EMERGING MARKETS "A massive chunk of put options purchased on the emerging markets fund this afternoon flies in the face of the 1.5% rally in shares during the session to $39.20. Approximately 95,000 put options were purchased at the November 35 strike for an average premium of 73 pennies per contract." Hmmm, maybe a look at EEV would be worth it.
Barry Rithholtz at the Big Picture comes to the SEC's rescue (as far as blog persecution goes) in Giving the SEC Teeth. So how does one go about fixing the SEC? First there is the soft, almost apologetic, Barry's way...
And then there is the apparently more effective, down to earth, no apologies accepted Zero Hedge Way, More Pain For Humiliated SEC After Disclosure It Ignored Moody's Whistleblower Warnings. "As if the SEC could be humiliated any more, another piece of disclosure now highlights that Mary Schapiro's useless organization was unresponsive to whistleblower overtures by former Moody's employees attempting to warn the regulator "about Moody's weak compliance department and ratings process."" I prefer the ZH manner of addressing the issues with the most inept government subsidized regulatory unit.
Mish does a good job of covering the unexpectedly horrible PMI number this morning (did someone mention unemployment surprise today as well?). Reflections on the Unexpected Negative Surprise in Chicago Purchasing Index PMI highlights some of the rosy, green shoot bullshit reports that try to gloss over the number and then Mish delivers, "Fundamentally and technically the market is prime for a huge correction. Sentiment is extreme and the viewpoint expressed by William Dwyer above is consensus. However, it is important to keep in mind that as long as the corporate bond market stays healthy, stocks will likely have a bid. How much longer that remains is anyone's guess." Tomorrow's national ISM # and the non-manufacturing on Monday may be more fuel for the bear's fire (if you don't get your reports from Liesman on CNBS).
Bloomberg brings us U.S. Stocks Fall, S&P 500 Trims Best Two-Quarter Gain Since ’75. "“We’re in the faith part of the economic cycle,” said Ralph Shive, manager of the $1.3 billion Wasatch-1st Source Income Equity Fund, which has beaten 96 percent of competing funds over the past five years. “All of us to some degree are guessing how strong the recovery is or how long it will take. Market prices have anticipated a decent recovery at this point. At some point we need to see earnings turn.” " Look, I don't need to be messing with Ralph, but he needs to be spilling the beans. Earnings suck and will get worse IMO because they can't squeeze any more blood out of the turnip. Unemployment is getting "better" cause businesses are as lean as they can get. When you have dumped 16% of the workforce on their ass, you can't cut much more. It is only a matter of time before the reflated bullshit recoveryless recovery comes full circle.
The financial Times has a good one on China to cut back industrial expansion. "But over the past three months many government officials have begun to publicly warn that the credit binge could create overcapacity in heavy industry, which could produce a new round of bad bank loans."
Remember, they have built empty malls and bridges to nowhere to no end. LOL, and you thought our reinflation efforts were screwed up? Well, since you can not trust anything coming out of big red (much less here for that matter), I would say they are gunning for implosion #2. The only difference with them is they did not protect their banks in round one. Big trouble in little China lies ahead IMO, and that may have a direct influence on their deposits here.
I'm looking forward to the ISM numbers tomorrow and Monday. The market is topping (or has topped). When they lose the market they lose the public. When the public goes ape, it is all over. That is all that is left. I can't say when this will happen, but both you and I can see the pressure building. They are one slip or one "external" event from this collapsing in a dramatic fashion. If you have not noticed, everything is happening at such a rapid pace and there are so many balls in the air that something will be dropped and the house of cards will come crumbling down. Don't you wonder about the dollar, deflation, the lack of regulatory actions, monetization, TARP transparency, the Fed, and on and on? Tick, tick, tick....
The Pragmatic Capitalist has an article that you EEM investors may be interested in, TRADE OF THE DAY: BIG MONEY BETS AGAINST EMERGING MARKETS "A massive chunk of put options purchased on the emerging markets fund this afternoon flies in the face of the 1.5% rally in shares during the session to $39.20. Approximately 95,000 put options were purchased at the November 35 strike for an average premium of 73 pennies per contract." Hmmm, maybe a look at EEV would be worth it.
Barry Rithholtz at the Big Picture comes to the SEC's rescue (as far as blog persecution goes) in Giving the SEC Teeth. So how does one go about fixing the SEC? First there is the soft, almost apologetic, Barry's way...
And then there is the apparently more effective, down to earth, no apologies accepted Zero Hedge Way, More Pain For Humiliated SEC After Disclosure It Ignored Moody's Whistleblower Warnings. "As if the SEC could be humiliated any more, another piece of disclosure now highlights that Mary Schapiro's useless organization was unresponsive to whistleblower overtures by former Moody's employees attempting to warn the regulator "about Moody's weak compliance department and ratings process."" I prefer the ZH manner of addressing the issues with the most inept government subsidized regulatory unit.
Mish does a good job of covering the unexpectedly horrible PMI number this morning (did someone mention unemployment surprise today as well?). Reflections on the Unexpected Negative Surprise in Chicago Purchasing Index PMI highlights some of the rosy, green shoot bullshit reports that try to gloss over the number and then Mish delivers, "Fundamentally and technically the market is prime for a huge correction. Sentiment is extreme and the viewpoint expressed by William Dwyer above is consensus. However, it is important to keep in mind that as long as the corporate bond market stays healthy, stocks will likely have a bid. How much longer that remains is anyone's guess." Tomorrow's national ISM # and the non-manufacturing on Monday may be more fuel for the bear's fire (if you don't get your reports from Liesman on CNBS).
Bloomberg brings us U.S. Stocks Fall, S&P 500 Trims Best Two-Quarter Gain Since ’75. "“We’re in the faith part of the economic cycle,” said Ralph Shive, manager of the $1.3 billion Wasatch-1st Source Income Equity Fund, which has beaten 96 percent of competing funds over the past five years. “All of us to some degree are guessing how strong the recovery is or how long it will take. Market prices have anticipated a decent recovery at this point. At some point we need to see earnings turn.” " Look, I don't need to be messing with Ralph, but he needs to be spilling the beans. Earnings suck and will get worse IMO because they can't squeeze any more blood out of the turnip. Unemployment is getting "better" cause businesses are as lean as they can get. When you have dumped 16% of the workforce on their ass, you can't cut much more. It is only a matter of time before the reflated bullshit recoveryless recovery comes full circle.
The financial Times has a good one on China to cut back industrial expansion. "But over the past three months many government officials have begun to publicly warn that the credit binge could create overcapacity in heavy industry, which could produce a new round of bad bank loans."
Remember, they have built empty malls and bridges to nowhere to no end. LOL, and you thought our reinflation efforts were screwed up? Well, since you can not trust anything coming out of big red (much less here for that matter), I would say they are gunning for implosion #2. The only difference with them is they did not protect their banks in round one. Big trouble in little China lies ahead IMO, and that may have a direct influence on their deposits here.
I'm looking forward to the ISM numbers tomorrow and Monday. The market is topping (or has topped). When they lose the market they lose the public. When the public goes ape, it is all over. That is all that is left. I can't say when this will happen, but both you and I can see the pressure building. They are one slip or one "external" event from this collapsing in a dramatic fashion. If you have not noticed, everything is happening at such a rapid pace and there are so many balls in the air that something will be dropped and the house of cards will come crumbling down. Don't you wonder about the dollar, deflation, the lack of regulatory actions, monetization, TARP transparency, the Fed, and on and on? Tick, tick, tick....
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