Today the man who has become legendary for his predictions on QE, historic moves in currencies, and major global events warned King World News that the next 2-3 months will shock the world as a “super-bubble” begins to bring down the U.S. and the rest of the globe.
Egon von Greyerz: “Eric, Thursday we had another one of these ridiculous moments when the whole world was focusing on what the Fed would do. Nobody seems to understand that the Fed hasn’t got a clue what to do about the desperate situation they face…
“Whatever the Fed does will make absolutely no difference to a bankrupt United States and a bankrupt financial system.
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 - 13:08 The technical pattern for S&P 500 and many other US and global equity market indices is sell rallies, according to BofAML's Stephen Suttmeier, who notes that the market is as overbought now as it was in July. Current price action suggests “dislocation” rather than “capitulation” and we continue to see the risk of retest / undercut of the August 2015/October 2014 lows of 1867-1820.
Financial writer Bill Holter contends the recent announcement of the Federal Reserve not to raise rates means the “Fed has Lost Control.” Holter explains, “Whatever the Fed does is wrong. The reason I say that is because no matter what they do, they can’t fix what they have already done. There is no policy at this point that can repair where we are at this point as far as debt ratios, derivative outstanding and the money supply exploding. Nothing that they do now can fix it. The only thing that remains is a reset.”
In the reset, Holter contends, “All debt will be impaired. . . . A reset is going to be a shutdown of the system. Everything will stop. When you are talking about bonds being impaired, you are probably going to see that start or begin in the derivatives market. The derivatives is the tail that has been wagging the dog for years. Derivatives are leverage, and you can use that leverage to control prices. If they can put $1 down and control $100, you can pretty much control the price of an asset, and that’s what they have done. They have supported stocks. They pushed interest rates down and supported bonds. They have suppressed gold and silver prices. They were able to paint a picture using derivatives with 100 to 1 or more of leverage, and when they lose control, that derivative chain between bank A, B, C and D is going to snap. When it snaps, the music stops and everything is going to stop. Once something does break, I don’t think it will take much more than 48 hours for you to wake up in the morning and find that nothing works. Your credit card doesn’t work. Your debit card doesn’t work. You go to your bank and the ATM doesn’t work, and nothing is going to work. The entire financial system will shut down. The reset will be the reopening. It’s not the closure that will kill you, it’s going to be the reopening. In the reopening, everything is going to be revalued. How long will it take to reopen? I have no idea. It could be a week, two weeks, one month, two months or six months. Who knows, but the financial landscape is going to look different, and values will be unrecognizable.”
This is not going to just be a financial problem, but a problem getting things you need to live. Holter says, “These big stores get stocked up every single night. . . . The average store only has food for about two or three days. So, this is not going to just be an issue about you paying your bills. It’s going to break down so badly it is going to be an issue about whether or not you can get food.”
On gold and silver, is this the bottom? Holter says, “To answer your question, yes, I think this is the bottom. Can they push the price down again? It’s possible, but like you say back in 2009, silver on the COMEX was trading just under $9, and to buy retail metal, you could not get anything under $15. . . . The physical market has hit a hard bottom.”
Submitted by Tyler Durden on 09/21/2015 - 12:20 Last week was the watershed for central banking and for the illusion that the current disposition of things has a future.
Submitted by Tyler Durden on 09/21/2015 - 12:11 For a brief shining moment this morning, the lack of a total bloodbath in Asia, some desperate spin about how China is not collapsing, and a hawkish Bullard provided just what the market wanted - higher USDJPY and thus soaring stocks. Once Europe closed, the mysterious bid for the dollar (EUR offered) disappeared... and so did Nasdaq gains...
Submitted by Tyler Durden on 09/21/2015 - 12:47 "When central bankers start talking like FX strategists, it can signal something important"...
Submitted by Tyler Durden on 09/21/2015 - 10:56 Below we show the latest monthly data from CAT which is once again in negative territory across the board, but more importantly, the global headline retail drop (down another 11% in August) has been contracting for 33 consecutive months! This is not a recession; in fact the nearly 3 year constant contraction - the longest negative stretch in company history - is beyond what most economists would deem a depression.
Submitted by Tyler Durden on 09/21/2015 - 12:45 So who is the most powerful woman in the world now?
Submitted by Tyler Durden on 09/21/2015 - 11:50 As Benjamin Netanyahu visits Moscow to discuss the possibility that Russian arms delivered to Syria could end up being funneled to Hezbollah, the action on the ground heats up with the Russian embassy in Damscus coming under mortar fire. The Kremlin has condemned the attack as "criminal" and is now calling for "action."
Submitted by Tyler Durden on 09/21/2015 - 11:40 When bailout-darling GM 'fessed up to an intentional ignition-switch defect, tied to at least 174 deaths, The Justice Department fined them $900 million (and no employees faced criminal charges). So, in this consequence-less world in which we live, when Volkswagen admits to literally cheating emissions-standards tests, it faces up to $18 billion in fines from The EPA, one has to wonder whether "we" have our priorities right?
Submitted by Tyler Durden on 09/21/2015 - 11:15 If you were trying to put together a global all-star team of the most authoritarian, human rights abusing nations on earth, not only would Saudi Arabia be at the top of the list, it would be captain of the squad. In a move as embarrassing, laughable and tragic as Barack Obama receiving the Nobel Peace Prize just as he was about to embark upon several overseas wars and drone countless civilians to death without due process, the United Nations has, remarkably, named Saudi Arabia head of it’s human rights panel.
Bullard Slams "Unsavory" Jim Cramer's "Permanent Cheerleading," Admits "Fed Can't Support Stocks Forever"Submitted by Tyler Durden on 09/21/2015 - 10:50 When The Fed's own cheerleader-in-chief (see October 2014) slams you for cheerleading, you know it's gone too far. In a stunning 30 second clip on CNBC this morning, St.Louis Fed head Jim Bullard sent a message to "your friend Cramer", saying "The Fed cannot permanently raise stock prices," adding, rather astonishingly to the anchors, "to have [Cramer] cheerleading for lower rates 24 hours a day is unsavory."
Submitted by Tyler Durden on 09/21/2015 - 10:44 It appears Jim Bullard's words (since his deeds are of no use as he is not a voter) were just enough to reassure the world that Yellen was "just kidding" about the whole global growth worries and market turmoil and is quiote ready to raise rates as soon as possible (even if FF futures say "nein"). EURUSD is now down over 250 pips since Friday highs, battered back near a 1.1100 handle...
Submitted by Tyler Durden on 09/21/2015 - 10:32 Update: Rumor confirmed- *PANDORA WINS PRELIMINARY CRB DECISION, SUSQUEHANNA’S CLAPS SAYS (market disappointed)
Pandora is now up 11% on the day after twice being halted (on absolutely no news)...
Submitted by Tyler Durden on 09/21/2015 - 10:29 This long-term erosion of earned income and household finances does not enable "growth" that is based on rising spending and borrowing. If these are no longer possible, the status quo has no Plan B.
Submitted by Tyler Durden on 09/21/2015 - 10:09 After an almost incessant rise since January, Existing Home Sales in August plunged 4.8% (the most since January and dramatically worse than the -1.65 drop expected). This is the 3rd biggest monthly collapse since the financial crisis. While the Northeast saw no change, The West (down 7.8% MoM) and South (down 6.6% MoM) saw the biggest plunges in sales as median home prices fell for the 2nd month in a row. It appears the one brightspot in the economy (according to mainstream media) has burned out as affordability and excitability come to a turning point.
Submitted by Tyler Durden on 09/21/2015 - 09:50 The Saudis must alter course, seek a consensus on prices and volumes with their fellow OPEC members, coordinate with Russia, and reduce output from 2015’s average (approx. 10.5 mmbbl/d) to signal their commitment. Why? Crude prices staying lower for longer will rapidly devastate the Saudi economy.
Submitted by Tyler Durden on 09/21/2015 - 09:29 The chart below shows the annual change in 12-month forward S&P 500 EPS expectations. This series is based on forward consensus expectations and therefore excludes many of the write-downs and exceptional items that are currently pushing down actual reported profits. It is more akin to operational profits and has never been this negative outside of a recession!
Shortly after Ronan Manly released its epic post on 7 September 2015 about how much gold there is left in London, an email exchange started circulating among a small group of bloggers in a joint effort to figure out the apportionment between monetary and non-monetary gold in the capital of England. This investigation is no different than others conducted by the BullionStar research team, often aimed at the alleged whereabouts of physical gold around the world, in anticipation of an economic shock that will make this subject to be the primary one: how much physical gold in whose possession at what location.
The Koch brothers, Pat Stryker, Governor Hickenlooper and many of the Colorado Front Range mayors are all spearheading a movement to enslave the people of Colorado under the dictates of the United Nations created and inspired Agenda 21. Colorado, along with a 15 county area in Northern California and Southern Oregon comprise the beta test for Agenda 21 control over our most precious resources, namely, our water and our farmland.
The Koch Brothers Spearhead the Agenda 21 Takeover of Colorado
The Koch brothers have accomplished nothing. The brothers inherited their immense wealth from their father, Soviet oilman Fred Koch. Yet, these entitled Koch brothers feel that should have the right to dictate to everyone else how they should live.
Obama’s so-called war to degrade and destroy it is a complete fabrication. Defeating it is simple. Stop recruiting, arming, funding, training and directing its elements.
Stop using terrorists as US proxy foot soldiers. Wage peace, not war. Isolated on its own, it’ll wither over time and disappear, or be too impotent to rampage like now.
Washington bears full responsibility for human floods fleeing war ravaged areas for safe havens anywhere. Bashar al-Assad told RT International the crisis is “not about that Europe didn’t accept them or embrace them as refugees. It’s about not dealing with the cause. If you are worried about them, stop supporting terrorists.”
There is not a peaceful person among the Republican candidates. Even the female is heartless. Carly Fiorina positioned herself along side the macho men as a warmonger. She let the military/security complex know that she, too, was for sale. Send in the campaign donations, and she will see that the money flows back to the military/security complex in the buildup of fleets and armaments that will send the Russians a message.
Alas, the only message US politicians want to send to the Russians is a war message. The Pentagon has upgraded the newly orchestrated “Russian threat” to “potentially aggressive” and is updating its plans for war with Russia.
TThe idea that human life subdivides rather naturally into stages is based on our natural progression from childhood into adulthood and eventual (if we’re lucky) old age.
Confucian thought views life as a developmental process with seven stages, each roughly corresponding to a decade: childhood, young adulthood (16-30), age of independence (30-39), age of mental independence (40-49), age of spiritual maturity (50-59), age of acceptance (60-69), and age of unification (70 – end of life).
Each stage has various tasks, goals and duties, which establish the foundation for the next stage.
The Obama Administration wants Congress to vote on the Iran nuclear agreement, but is refusing to answer questions about Iran’s past history of killing Americans and Israelis.
Sen. Marco Rubio, R-Fla., asked Secretary of State John Kerry questions regarding how many Americans and Israelis have been killed by Iran forces since the country’s 1979 revolution, but has yet to receive a concrete answer. Rubio asked the question, in various forms, on three occasions and received written replies that danced around the issue.
At the same time that Monsanto’s corruption is infiltrating every corner of U.S. academia, government regulators and corporate-controlled media, Russia has just announced a total ban on the cultivation of GMO crops.
“A senior Russian government member told reporters the cabinet decided that any food production in the country will completely exclude any genetically-modified organisms or parts thereof,” reports RT.com.
According to official statistics the share of GMO in the Russian food industry has declined from 12 percent to just 0.01 percent over the past 10 years, and currently there are just 57 registered food products containing GMO in the country. The law ordering obligatory state registration of GMO products that might contact with the environment will come into force in mid-2017.