Submitted by Tyler Durden on 09/21/2015 - 19:00 Having accurately foreseen the current events instead of just levering up on even more beta and praying the BTFDers return and bail out his underwater positions, John Burbank's opinion actually matters as does his outlook on what happens next. What he foresees is not pleasant.
The Money GPS:
PBOC Devalues Yuan, Injects More Liquidity As China's Banking Regulator Admits "Bad Loan Situation Is More Severe Than 2008"Submitted by Tyler Durden on 09/21/2015 - 21:20 AsiaPac stocks are opening mixed after the US session gains. Perhaps the biggest news of the evening is, as China's bankiong regulator has been meeting with foreign banks to express concerns over lack of risk control around non-performing loans. As CBRC said, rather stunningly honest for a government entity, "the current situation is more severe than the time in 2008 during the financial crisis." With stocks up while commodities (Zinc) limit-down, PBOC injects another CNY50 bn and devalued the Yuan fix for the 2nd day in a row.
Submitted by Tyler Durden on 09/21/2015 - 20:40 Democracy is an incredibly successful long con. It works because of the illusion of consent. People actually believe they are "represented." The 'proof' of American democracy continues to wax. One hundred years ago, we were at what you might call the hard cider, or the beer and wine stage. We are now at the Jack Daniels stage. How much longer before we are at the methanol stage? It depends on how much longer the long con that we are "represented" – and have given our "consent" – holds up.
The Mystery Of The "Missing Inflation" Solved, And Why The US Housing Crisis Is About To Get Much WorseSubmitted by Tyler Durden on 09/21/2015 - 13:32 Forget about a housing recovery: for the vast majority of Americans, the housing crisis is about to get worse. Much worse.
Submitted by Tyler Durden on 09/21/2015 - 20:04 With the global economy sliding into recession, the one strawman repeatedly used by straight-to-CNBC pundits to justify some mythical case for US decoupling has been that US corporate profits are "fine." Here is the truth.
Submitted by Tyler Durden on 09/21/2015 - 18:01 "Possible Actions: Publicize presence of transiting (or externally focused) extremist groups in Syria, not limited to mention of Hamas and PIJ. Publicize Syrian efforts against extremist groups in a way that suggests weakness, signs of instability, and uncontrolled blowback. The SARG,s argument (usually used after terror attacks in Syria) that it too is a victim of terrorism should be used against it to give greater prominence to increasing signs of instability within Syria."
Submitted by Tyler Durden on 09/21/2015 - 19:30 Russia has now confirmed that it is intervening in the Syrian war on the side of the Assad government; and, as Al-Arabiya's Azeem Ibrahim notes, the response of the U.S. betrays its impotent incredulity. Russia is poised to return to the Middle East, from which it was ejected with the collapse of the USSR. The United States seems to be telling Russia to go ahead, because, as Raghida Dergham explains, it is unwilling to engage – though it is not yet ready to fully retreat.
Submitted by Tyler Durden on 09/21/2015 - 18:30 Our current economic policy suffers from a fatal degree of magical thinking: sufficient new resources will emerge if the price is high enough. As any fourth grader will tell you, a finite system will not yield unlimited resources. But that perspective is not shared by those controlling the printing presses. And so they print and print and print, yet remain flummoxed when supply (and increasingly, demand for that matter) does not increase the way they expect. Is this any way to run an economy? Or a finite planet for that matter?
Submitted by Tyler Durden on 09/21/2015 - 17:30 "I do believe that markets ultimately prevail. I do believe that supply and demand will ultimately prevail. I’m confident that we will see that occur... The fact there are some very substantial new players coming into the sector and taking positions in gold and silver... I think that’s showing that things will change and I think things are in the works as we speak."
Submitted by Tyler Durden on 09/21/2015 - 17:00 "We’re not Bolivia for God’s sake"...
Place a sample pill in the microwave and run on high for 1-3 seconds...If it sparks don't ever take any of them...works great on credit cards ID cards etc...
Ever since the 9/11 terrorist attacks the powers that be cannot get enough surveillance on us. The latest in their quest for wanting to watch our every move comes in the form of microchipped pills.
Not happy enough with monitoring our phone calls, computers and having a camera on us everywhere we go outside… the recently FDA-approved microchip in a pill will be the perfect excuse to place surveillance inside our bodies.
(Yes, it’s science-fiction as in the example of the old George Lucas movie THX 1138 now turned into science-fact. The scientific dictatorship is here care of the surveillance state folks.)
Monsanto’s stock did even more poorly than analysts expected last quarter, with its stock taking another 15 percent nose-dive due to ‘a stronger dollar, and weak seed sales.’ The company is warning its investors that profits will not maintain previously suggested levels. Is it time to ditch Monsanto stock?
The company is adjusting its forecasts based on the impact of falling GM corn seed sales, and chemicals that are becoming increasingly expensive for farmers to use. The company is likely to continue to lose money considering that 96 percent of consumers want their food labeled so they know if they are eating health-damaging GM seed.
We all know that medical doctors are in fantasyland when they wear their white coats always hoping they would somehow sprout a halo or radiate some transcendental effulgence to make the process complete.
Unfortunately, we also know that when they come out of medical school, where Big Pharma funds their curriculum, they are entrenched in a cut-it-out or a take-a-pill mentality. Never ever do they get schooled in actual healing because that would eliminate repeat customers for the pimp. It is the take-a-pill mentality that this article deals with.
New research from JP Morgan shows an uptick in confidence in gold and gold equities. Of the investors polled in its latest Gold and Precious Metals survey, 72% expect the gold price to move higher over the next three years.
According to the bank, the vast majority of investors expect the long-term gold price to be between $1,200/oz and $1,300/oz. At the same time, expectations that the price will breach the $1,500/oz mark have been tempered.
Still, the number of investors expected to increase their exposure to gold over the next 12 months ticked up to 36% from 33% last year. Gold equities seem to be the preferred short-term pick as over 71% of respondents see equities out-performing gold. According to JP Morgan, gold fund managers are even more bullish with 88% of precious metals funds expecting higher returns from gold equities than gold.
Let’s look at this proposal….
An Employer of Last Resort, also known as a job guarantee, is exactly what it sounds like. It is a promise by the government through either through private partners in the community or through government institutions to provide a job to any worker who is able and willing to work but cannot find suitable (or any) employment in the private sector.
In December of 2014 Bernie Sanders appointed Stephanie Kelton to be theChief Economist for the Democrats on the Senate Budget Committee.
The International Forecaster:
Want to know the next global hotspot but find that crystal ball gazing isn’t providing any answers? Never fear, there’s a much easier way to determine the shape, form and location of future conflicts. As in so many other fields of investigation, if you want to know where things are heading, just follow the money.
Earlier this year the Stockholm International Peace Research Institute (SIPRI) helped us put some hard numbers on global military expenditures, and the results are quite revealing. Here are five trends in global conflict that we can discern from SIPRI’s annual report on global military expenditure.
With the Fed’s decision not to raise rates, investors are more likely to return their focus to the deflationary forces that have been pushing government bond prices higher, and yields lower, for decades. Look for this trend to continue and possibly even pick up steam in the months ahead, says our good friend Doug Behnfield in the guest commentary below. A Colorado-based financial adviser, Doug’s unconventional and often provocative ideas have been featured here many times in the past. He believes, as we do, that odds of a rate hike are remote and that it might have to await the next recovery cycle, which could feature inflation brought on by protectionism. (What would happen if rates go negative, as now seems quite possible? Click here for a scary rumination on the subject at ZeroHedge.)