Archives for November 2012

Fun and Games and Obvious Manipulation

Fun and Games and Obvious Manipulation Courtesy of Joshua M Brown, The Reformed Broker Friday's close was the most obviously, nakedly manipulated bullshit close I've ever seen. I have no idea who is behind it but this is not what healthy, well-participated-in markets do. There are too many real players to allow for this kind of […]

A Graveyard for Tacticians

A Graveyard for Tacticians Courtesy of Joshua M Brown, The Reformed Broker Whatever the market historians say about the 2012 stock market years from now, they will certainly have to at least mention how difficult it was for those who practice tactical asset allocation. Not just difficult, actually it was a graveyard. I'm going to show […]

Study: American Households Hit 43-Year Low In Net Worth

WASHINGTON (CBS DC) – The median net worth of American households has dropped to a 43-year low as the lower and middle classes appear poorer and less stable than they have been since 1969. According to a recent study by New York University economics professor Edward N. Wolff, median net worth is at the decades-low […]

Ultimate Fiscal Cliff Cheat Sheet Infographic

Courtesy of ZeroHedge. View original post here. Submitted by Tyler Durden. The Fiscal Cliff is the name given for the 2013 increase of Federal Government taxes and budget cuts. The Bush-era tax cuts expire and the 2013 "Budget Control Act" kicks in, among other budget cuts & new taxes. The Fiscal Cliff is set to […]

Business as Usual: The Next Fiscal Cliff

Courtesy of Russ Winter of Winter Watch at Wall Street Examiner More on the fiscal cliff talks: The Presidente’s opening bid – delivered this afternoon by Tim Geithner – calls for a $1.6T tax increase, a $50B economic-stimulus program, and delivering to the WH the power to raise the federal debt limit without congressional approval.  The White House also wants […]

Japan Manufacturing Contracts at Sharpest Rate for 19 Months; New Orders and Output Plunge; Watch the Yen

Courtesy of Mish. In Japan things have gone from Grim to Grimmer. The Markit/JMMA Japan Manufacturing PMI™ shows Japanese manufacturing sector contracts at sharpest rate for 19 months in November. Key points: Output and new orders both continue to decline Capital goods producers register sharpest falls in production and sales Inventories and employment cut amid […]

Important New Legal Principle

Courtesy of Mish. Yesterday the General Court of the European Union ruled ECB right not to disclose Greece-related documents. The European Central Bank was right to refuse access to documents on the economic situation in Greece to a journalist in 2010, because disclosure would have undermined the public interest, the General Court of the European […]

Another Layer of Bureaucracy for Oil and Gas Exploration in the US?

Another Layer of Bureaucracy for Oil and Gas Exploration in the US? Courtesy of Casey Reseach On May 11, 2012, the US Bureau of Land Management (BLM) published proposed regulations governing "Oil and Gas; Well Stimulation, Including Hydraulic Fracturing, on Federal and Indian Lands." BLM is a latecomer to this party. Its belated meddling lacks practical […]

The Benefits of Being Ordinary

Courtesy of Charles Hugh-Smith of OfTwoMinds blog Being extraordinary is a terrific bother, truth be told, so please appreciate the benefits of ordinariness if you are so blessed. Every hour of every day, we are persuaded that the benefits of being extraordinary in some way are equally extraordinary. This has two propaganda components:   1. If you […]

Small Businesses Are Essential to the Economy But How Do They Stack Up As Investments

Courtesy of Pam Martens. Performance of the S&P 500, 1929-2010, With and Without Dividends Reinvested Congress and the President should rightfully be concerned about the dramatic decline in young, small businesses coming to market as initial public offerings. These are, hopefully, the innovative small businesses that will fuel the jobs of tomorrow.  But as investments to […]

Washington: Not Serious About the Deficit

Courtesy of Larry Doyle. Where is Pete Peterson when we really need him? While America is fed a daily diet of fiscal diarrhea from the politicians and their spokesmen, Peterson remains one of the few adults in and around Washington when it comes to the topic of confronting the fiscal cliff and more importantly our […]

Peter Schiff Backs Down from Debate with Mish 3rd Time After Agreeing to Do So

Courtesy of Mish. Peter Schiff was on Capital Account with Lauren Lyster on Tuesday. For that show, he was asked, and he agreed to debate me on hyperinflation. Thus, I semi-expected to be on the show as well. I even received email confirmation from Demetri, the Capital Account producer last Sunday. The headline of the […]

Japan approves $10.7 billion stimulus package

Japan approves $10.7 billion stimulus package (via AFP) Tokyo on Friday approved $10.7 billion in fresh spending to help boost Japan's limp economy, just weeks before an election the ruling party is expected to lose. The 880 billion yen ($10.7 billion) in spending was more than double a package announced in October as the country […]

Hyperinflation and the Pernicious Myth of Modern Monetary Theory: Dollar Vigilantes

Hyperinflation and the Pernicious Myth of Modern Monetary Theory: Dollar Vigilantes Courtesy of Jesse's Cafe Americain "One might argue that when the government has to find a private sector buyer for its debt first, rather than selling the debt directly to the central bank, that imposes a certain degree of market discipline on fiscal policy. But […]

GDPhursday – Fiscal Cliff Progress Good for 200 Points Ahead of GDP

GDPhursday – Fiscal Cliff Progress Good for 200 Points Ahead of GDP By Phil of Phil’s Stock World   Wow, what a move! The Dow opened yesterday and quickly dropped to 12,760 but finished the day at 12,984 as both John Boehner and President Obama made nice noises about the ongoing Fiscal Cliff talks.  Since […]

NY Fed Mortgage Debt Data Says No US Recovery

Courtesy of The Automatic Earth. Let me try to keep this short and still make the point I want to make. Lately, I've seen a huge amount of people talking about an economic recovery, certainly in the US, so much so that people who disagree with that assessment are labeled "doomer" or things like that. […]

First Time Unemployment Claims Drop After Sandy, But Jobs Growth Rate Slows

Courtesy of Lee Adler of the Wall Street Examiner The Labor Department reported that seasonally adjusted (SA) first time claims for unemployment fell by 23,000 to 393,000 from a revised 416,000 (was 410,000) in the advance report for the week ended November 24, 2012. The number was better than the consensus median estimate of 390,000 […]

Doug Casey: The US Is Now the United (Police) State of America

In this interview by Louis James, Doug Casey makes a strong case that the United States has become a police state. Doug Casey: The US Is Now the United (Police) State of America Louis: Doug, after conversations like the one we had last week, we often get letters from angry readers who accuse you of […]

New Meaning of the Word Voluntary; Bond Buyback Balancing Act

Courtesy of Mish. It is a deep stretch of the imagination to twist arms and appeal to “patriotic duty” in an effort to coerce someone to do something they really do not want to, then call the action “voluntary”. It is yet another thing to claim something is voluntary yet tell them it is “required”. […]

In 1929, Deflation Started in Europe Before Overtaking the U.S.

In 1929, Deflation Started in Europe Before Overtaking the U.S.  What Happens in Europe Will Not Stay in Europe  By Elliott Wave International More than 1,500 years after the fact, scholars still debate the causes of the Roman Empire's fall. What historians do agree on is that the crumbling empire's final days were marked by economic contraction, […]

Paul Krugman’s Dangerous Misconceptions

Courtesy of Pater Tenebrarum of Acting-Man blog How to Deal with Economic History In a recent article at the NYT entitled ‘Incredible Credibility‘, Paul Krugman once again takes aim at those who believe it may not be a good idea to let the government’s debt rise without limit. In order to understand the backdrop to this, […]

Tom Cloud: Wholesale Gold Inventories Evaporating

Courtesy of John Rubino. In this week’s interview with gold dealer Tom Cloud of National Numismatic Associates, we cover one very timely topic – the sudden decline in gold inventories – and one perennial question – how can an individual put physical precious metals in an IRA. DollarCollapse: Good to talk to you again Tom. […]

Let’s Revisit: Will Uncle Sam Takeover Your IRA? Part II

Courtesy of Larry Doyle. With so much attention on the fiscal cliff and how Congress might address the issues surrounding our deficit, this commentary from this past April is going absolutely viral throughout the blogosphere today. I welcome reposting it. LD Those engaged in massive strategic maneuvers know all too well that progress is typically […]

ECRI Sticks With Recession Call

Courtesy of Mish. The ECRI is sticking with its “US is already in recession” call based on four coincident indicators. Very few agree, but for what it’s worth (perhaps nothing) I am one of those in agreement. Here is a Bloomberg video to consider. Also consider The Tell-Tale Chart by the ECRI. Following our September […]