Is The SEC Telling Us Something? Schapiro To Cut Global Circuit Breaker Thresholds By 33%

Remember the below chart which we are so fond of posting on Zero Hedge occasionally? Well, it will have to be redone very soon, because the SEC has just submitted a proposal for public comment to cut market-wide circuit breakers in half from the current thresholds of 10%, 20% and 30%, by 33%. And if the SEC is actually proactively looking at something such as marketwide circuit breakers, a glaring admission that vol is about to surge, but not quite enough to actually trigger the 30% market collapse needed for a full day market halt, then all hell must be about to break loose.

Are We Headed Into A Recess/Depress-ion? The Answer In 9 Simple Charts

For some odd reason, even though it is by now very, very clear that the world is back in a depressionary state, some are still fascinated by the inflection point of the global economy, and wonder: "are we headed for a recession?" (which obviously is the wrong question). Anyway, to help with the answer is this set of 9 interactive charts from Reuters which should remove any last bit of doubt as to what is about to unfold, at least in the perception of conventional wisdom. Furthermore, since most of these data sets are coincident or lagging, it is safe to say that the NBER will shortly announce that the recession started some time in H1.

European Equity and Bond Correlation Indicates Growth Fears Highest In 40 Years

In a brief note this morning from Goldman, the correlation between European equities and bond yields is noted at a 40-year high - above the levels reached in the initial credit crunch period of '07/'08. They find that the rolling correlation is highly dependent on the absolute level of bond yields and at current levels is very indicative of significant growth concerns (much more so than any inflation fears) and furthermore that the relationship is starting to look a lot like the lost twin-decades in Japan.

If you find useful information, please consider making a small donation, to help cover some of the labor and cost for this blog.

Thank You

I'm PayPal Verified
 

Europe As A Whole Is Not Nearly As Deep In Debt As The U.S.

Admin at Jim Rogers Blog - 4 minutes ago

Europe's got some bad problems but the entity as a whole is not nearly as deep in debt as the U.S. They don't have a huge balance of trade deficit, like we do. - *in CNBC europe* *Jim Rogers is an author, financial commentator and successful international investor. He has been frequently featured in Time, The New York Times, Barron’s, Forbes, Fortune, The Wall Street Journal, The Financial Times and is a regular guest on Bloomberg and CNBC.* 

 

 

 

  more »

When Fear Permeates A Market Everybody Sells

Admin at Jim Rogers Blog - 23 minutes ago

When fear permeates a market, everybody sells, especially the last ones in, frequently have to jump out. They have raised margin requirements for both silver and gold. So that makes it more and more difficult for people to hold on. I barely pay attention to the price, but I know a lot of people do and that is why you have these sudden spikes up and down. *Tickers: Ishares Silver ETF (SLV), SPDR Gold ETF (GLD)* *Jim Rogers is an author, financial commentator and successful international investor. He has been frequently featured in Time, The New York Times, Barron’s, Forbes, Fortun... more » 

 

 

 

 

Gold Futures Advance As Biggest 3-Day Decline Since 1983 Spurs Purchases

Eric De Groot at Eric De Groot - 1 hour ago

This "long-term bull but short-term bearish" rationale never fails to boot the majority of investors from gold train. The secular trend for gold and silver looks good despite the headline fear and apparent "reputational damage." A retest of the channel breakout represents normal technical action. Gold, London P.M. Fixed (Gold) and Z Scores of Secular Trend Silver, London P.M. Fixed (Silver)... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] 

 

 

 

  more »

Case Closed. We are surrounded by Idiots. "the dollar is backed by the US Govt and no matter what happens is backed by the Fed and that's much more safe"

silvergoldsilver at silvergoldsilver - 1 hour ago

 

 

 

 

more »

September 27 2011: Leveraged Stability? Excuse me?

Ilargi at The Automatic Earth - 1 hour ago

Walker Evans French Drip December 1935"New Orleans, downtown street" Ilargi: The latest greatest plan to save Europe, or the Eurozone, or the Euro, whichever sounds better, involves taking the present legal authority and financial clout of the EFSF (European Financial Stability Facility), which due to become the ESM (European Stability Mechanism) in 2013, and expand them greatly, something like

 

 

 

  more »

Paging Blythe...Asians cleaned out the physical shops on your discount...paging Blythe.....

silvergoldsilver at silvergoldsilver - 1 hour ago

BTFD? huh... "We've seen a lot of buy-on-dip type on the physical market, *said Dick Poon * (*LOL*), manager of precious metals at Heraeus in Hong Kong" Click here for entire article... 

Guest Post: It's A Long, Hard Road

If there has been one consistent theme since day one at CI, it has been our perhaps near myopic focus and focal point highlight of importance that is the macro credit cycle.  Does this play into long wave and perhaps Kondratieff cycle or Austrian economics type of thinking?  Call it what you will, but elements of all of these schools of thought very much overlap.  Right to the point, we believe THE key thematic construct to keep in mind as a macro cycle decision making overlay and character point dead ahead is the now more than apparent collision of the generational long wave credit cycle with the current short term business cycle of the moment.  Without trying to reach for melodrama, this is the first time a multi-decade long wave credit cycle has collided with the short-term business cycle since the late 1920’s/early 1930’s.  Most decision makers and Street seers of the moment have absolutely no experience with this type of a generational collision.  Moreover, our illustrious academician Fed Chairman has never even considered long wave or credit cycle based Austrian economics thinking in his and the broader Fed’s policy making – absolutely key and crucial mistake.  Although it’s just our perception, this will be Bernanke’s legacy Waterloo.  It also tells us directly that his only policy tool ahead will be more money printing. 

Market Snapshot: Europe Closes With Credit Decidedly Negative

The onslaught of denials appears to have met its denouement in credit markets while equities find it harder to turn on 'real' news. The drivers of the strength from early Friday have been financials, particularly European financials, and while the rally has been persistent on both sides of the pond, the last few hours have seen a dramatic disconnect between the reality perceived by credit market participants and the machines/traders in equity markets with the former notably weaker.