Archives for August 2012

China, Germany to Settle More Trade in Yuan, Euros; What's That Mean for Gold, the Dollar?

Courtesy of Mish. Inquiring minds note China, Germany Plan to Settle More Trade in Yuan, Euros. Germany and China plan to conduct an increasing amount of their trade in euros and yuan, the two nations said in a joint statement after talks between Chancellor Angela Merkel and Chinese Premier Wen Jiabao in Beijing on Thursday. […]

China, Germany to Settle More Trade in Yuan, Euros; What’s That Mean for Gold, the Dollar?

Courtesy of Mish. Inquiring minds note China, Germany Plan to Settle More Trade in Yuan, Euros. Germany and China plan to conduct an increasing amount of their trade in euros and yuan, the two nations said in a joint statement after talks between Chancellor Angela Merkel and Chinese Premier Wen Jiabao in Beijing on Thursday. […]

The Real Reverse Robin Hood: Ben Bernanke And His Merry Band Of Thieves

Courtesy of Charles Hugh-Smith of OfTwoMinds blog, Away from the stifling media crush, staid Ben Bernanke is dashing Reverse Robin Hood, lackey pawn of the Neofeudalist Financial Lords who shamelessly steals from the poor to give to the parasitic super-rich. Amidst electioneering chatter about a “reverse Robin Hood” who steals from the poor to give to […]

Reprise: Simon Johnson On the Quiet Coup d'Etat in the Anglo-American Financial System

Reprise: Simon Johnson On the Quiet Coup d'Etat in the Anglo-American Financial System Courtesy of Jesse's Cafe Americain This is a reprise of an interview with MIT economist Simon Johnson which was posted here in February, 2009. Have we heeded Simon Johnson's warning? Has he proven to be prescient? Is crony capitalism and the kleptocracy becoming bolder, more […]

Reprise: Simon Johnson On the Quiet Coup d’Etat in the Anglo-American Financial System

Reprise: Simon Johnson On the Quiet Coup d'Etat in the Anglo-American Financial System Courtesy of Jesse's Cafe Americain This is a reprise of an interview with MIT economist Simon Johnson which was posted here in February, 2009. Have we heeded Simon Johnson's warning? Has he proven to be prescient? Is crony capitalism and the kleptocracy becoming bolder, more […]

On The Difference Between Bonds, Equities, and Gold; "No-QE-Without-A-Crash" Or "Flow Vs. Stock"

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. Is the reality of different time-horizons and event discounting really starting to tell on markets? Equities have now sagged back lower while Treasury yields are accelerating lower and Gold higher. It seems that stocks fully comprehend that QE does not come without more pain […]

On The Difference Between Bonds, Equities, and Gold; “No-QE-Without-A-Crash” Or “Flow Vs. Stock”

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. Is the reality of different time-horizons and event discounting really starting to tell on markets? Equities have now sagged back lower while Treasury yields are accelerating lower and Gold higher. It seems that stocks fully comprehend that QE does not come without more pain […]

Brussels Pushes for Another “All Powerful” Banking Committee, Headed by ECB, In Spite of Objections by ECB and Germany

Courtesy of Mish. Once nannycrats grab on to an idea, they never relinquish it. Eurobonds are the perfect example.  Many other idea float around despite numerous objections in key places. Some of these ideas involve creation of more commissions and more working groups. Here is a sampling of commissions and groups that I am aware […]

Everything You Think You Know About China Is Wrong

For the last 40 years, Americans have lagged in recognizing the declining fortunes of their foreign rivals. In the 1970s they thought the Soviet Union was 10 feet tall — ascendant even though corruption and inefficiency were destroying the vital organs of a decaying communist regime. In the late 1980s, they feared that Japan was […]

Bankia Gets 'Pre-Bailout' Bailout "Immediately" As Bad Loans Jump 44%

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. With Spain's new-found belief in its own incompetence omnipotence, they are now throwing bad money after bad in advance of the European bailout by pre-bailing out (bridge recap?) Bankia via the FROB (and it seems like they are in a hurry): *SPAIN'S FROB SAYS […]

Bankia Gets ‘Pre-Bailout’ Bailout “Immediately” As Bad Loans Jump 44%

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. With Spain's new-found belief in its own incompetence omnipotence, they are now throwing bad money after bad in advance of the European bailout by pre-bailing out (bridge recap?) Bankia via the FROB (and it seems like they are in a hurry): *SPAIN'S FROB SAYS […]

Eurozone jobless total hits record 18 mn

Eurozone jobless total hits record 18 mn (via AFP) Jobless numbers across the eurozone hit a record 18 million in July, said grim new figures released Friday as recession takes grip across the debt-stricken 17-nation currency area. The 18,002,000 headline jobless figure released by Eurostat was the highest since records began in 1995 — and […]

Bernanke: US economy 'far from satisfactory'

Bernanke: US economy 'far from satisfactory' (via AFP) US Federal Reserve Chairman Ben Bernanke expressed deep worry over the US economy Friday, calling the situation unsatisfactory and saying labor market stagnation was "a grave concern". In a much-anticipated speech to central bankers in Jackson Hole, Wyoming, the chief of the US central bank offered…

Bernanke: US economy ‘far from satisfactory’

Bernanke: US economy 'far from satisfactory' (via AFP) US Federal Reserve Chairman Ben Bernanke expressed deep worry over the US economy Friday, calling the situation unsatisfactory and saying labor market stagnation was "a grave concern". In a much-anticipated speech to central bankers in Jackson Hole, Wyoming, the chief of the US central bank offered…

Algos Set New Speed Reading Record: 4549 Words In 20 Milliseconds

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. The market is indeed a discounting mechanism it appears. In a mere 20 milliseconds, the world's 'traders' had managed to read Bernanke's 4549-word script, interpret it (as bearish in this case – which apparently is wrong now?) and start to sell down the major […]

Bad News For Super-Models: Computer-Generated Fashion Models Better Than Real Thing; Fashion Questions of the Day

Courtesy of Mish. Here is an easy prediction: Price of fashion models in advertizements is going to collapse, if indeed the industry survives at all. Why should retailers pay for fashion models when an advertizing department can generate models with the perfect height, weight, breast size, nationality, and complexion for whatever designs they want to […]

Mainstream Economists Do Not Understand How Monetary Policy Is Transmitted

Courtesy of Lee Adler of the Wall Street Examiner Barry Ritholtz called attention this morning to a Monetary Policy Transmission flow chart by Bloomberg’s Joe Bruesuelas this morning that purports to show the reason behind “ZIRP’s more modest impact on the broader economy than the outsized impact we see on risk assets.”  I don’t mean […]

When One Hilsenrath Is Just Not Enough, Here’s Another: “Bernanke Signals Readiness To Do More”

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. In the immortal words of the Jackson 5: "I'll Be There" seems to be the meme du jour – which appears to us to be the same message that Bernanke (and his proxy Hilsenrath) have been on for a few years now. However, in […]

Japan Manufacturing PMI Hits 16 Month Low, New Orders Plunge

Courtesy of Mish. Markit reports Japan Manufacturing PMI Hits 16 Month Low Key Points: Output and new orders down at accelerated rates Near-stagnation of employment Purchasing costs fall to greatest extent since November 2009 Markit/JMMA Manufacturing PMI After adjusting for seasonal factors, the headline Markit/JMMA Purchasing Managers’ Index™ (PMI™) posted 47.7 in August, down from […]

Reader Questions On Hyperinflation; Would Printing $50 Trillion Tomorrow Do Anything?

Courtesy of Mish. In response to Economist Fired for Expressing Opinions on Max Keiser Show; Errors in Observation where I stated “The Fed Cannot Realistically Cause Hyperinflation” I received a couple of emails worth reviewing. Reader Philip writes … I do not understand how you could say that the Fed cannot cause hyperinflation. The government […]

The Election: It's the Food-Stamps, Stupid!

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. In November 2008, President Barack Obama won the popular election for President by 9.5 million votes.  A burgeoning financial crisis and weakening economy helped his candidacy at the time, but four years on the sluggish pace of economic recovery is a headwind to his […]

The Election: It’s the Food-Stamps, Stupid!

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. In November 2008, President Barack Obama won the popular election for President by 9.5 million votes.  A burgeoning financial crisis and weakening economy helped his candidacy at the time, but four years on the sluggish pace of economic recovery is a headwind to his […]

Don’t Trust Brokerage Research Reports

Don’t Trust Brokerage Research Reports – Latest Example Courtesy of Dr. Paul Price, Beating Buffett Further Proof:  You Can’t Believe Brokerage Research Brokerage analysts are always looking for an edge to show they offer ‘value-added’ information. If you’re not paying strict attention you might think they did. Here’s yet another example of how the cheating […]

The Federal Bailout That Saved Mitt Romney

By TIM DICKINSON, Rolling Stone Mitt Romney likes to say he won't "apologize" for his success in business. But what he never says is "thank you" – to the American people – for the federal bailout of Bain & Company that made so much of his outsize wealth possible. According to the candidate's mythology, Romney took […]