As always happens after shocking events like yesterday which "nobody could have possibly predicted", watching the Penguin gallery reel in its humiliation is absolutely worth the price of admission.
Update: DRAGHI SAYS ECB DISCUSSED A FURTHER LOWERING OF DEPOSIT RATE
Draghi hints at December QE expansion, noting that "the degree of monetary policy accommodation will need to be re-examined at our December monetary policy meeting."
Watch the LYING BITCH in action...
The Fed has created permanent housing crisis from which there is no escape.
When someone is right over and over and over, eventually people start paying attention. Personally, I have learned to tune out the “forecasts” of most “economic experts” out there. As an attorney, I was trained to be skeptical, and I have found that most forecasts about what the financial markets are going to do are not worth the paper they are printed on. However, once in a while something comes along that really gets my attention. Over the past few days, I have seen a number of references to the remarkable forecasts of Bo Polny of Gold 2020 Forecast. In recent months he has correctly predicted that U.S. stocks would begin to drop in July, that there would be a huge plunge in August and that that the month of September would be rather uneventful. Now he is saying that he expects “November to be a complete meltdown on the U.S. and world markets”. Just because he has been right in the past does not guarantee that he will be correct this time around, but lots of people (like me) are starting to pay attention.
The Money GPS:
Deflation is the best thing you could wish for...I mean really... who wishes for higher prices...except for Bastard Bankers...
As long as politicians and media keep talking about disinflation and central bank inflation targets, and all they talk actually about is consumer prices, we will all fail to acknowledge what’s happening right before our very eyes. That is, the system is imploding. Deflating. Deleveraging. And before that is done, there can and will be no recovery. Indeed, this current trend has a very long way to go down. So far down that you will have a very hard time recognizing the world, and its economic system, on the other side of the process. But then again, you have a hard time recognizing the world for what it is on this side as well.
"Proxy" War No More: Qatar Threatens Military Intervention In Syria Alongside "Saudi, Turkish Brothers""Anything that protects the Syrian people and Syria from partition, we will not spare any effort to carry it out with our Saudi and Turkish brothers, no matter what this is. If a military intervention will protect the Syrian people from the brutality of the regime, we will do it."
Moments ago the US Treasury promptly removed any latent optimism that this latest debt ceiling crisis will somehow be magically fixed on its own after it announced that it would postpone the two-year note auction previously scheduled for Tuesday, as the impasse over the debt limit constrains the nation’s borrowing. “Due to debt ceiling constraints, there is a risk that Treasury would not be able to settle the two-year note”
Submitted by Tyler Durden on 10/22/2015 - 09:11 Bitcoin has recovered all the losses from the volatility surrounding China's currency devaluation and Black Monday equity weakness as implicit capital controls drive the Chinese into alternative currencies (as we warned would happen). However, the last few days have seen the cryptocurrency surge to $280 - the highest in 12 weeks - as The EU's top court ruled bitcoin and other virtual currencies can be exchanged tax-free, putting them on a more equal footing with traditional cash.
Surprise! A central banker promises moar of the same... and once again the goldfish-like-memory of market particpants forgets that this has all been priced in a thousand times and buys his bullshit. EUR dumped 150 pips to a 1.11 handle, 2Y German notes tumbled 6bps to -32bps, European and US stocks are surging (as USDJPY rises) and US Treasuries have reversed early gains amid equity gains.
With a very modest rise from -0.39 to -0.37, The Chicago Fed National Activity Index is holding at its lowest since January 2014's weather-blamed collapse. September's negative print is the 7th (of 9) this year, the worst grouping since 2012. For the first time since June, the 3-month average (which most watch) has dropped negative again. This merely confirms the six-out-of-six regional fed surveys that shout recession.
Having hit new 42-year lows last week, initial jobless claims once again beat expectations but rose very modestly from a revised 256k to 259k this week. This continues to diverge drastically from Challenger job cuts data, from weakening payrolls data, and from collapsing ISM survey employment indicators... so who is lying?
Submitted by Tyler Durden on 10/22/2015 - 08:01 We hoped yesterday's preview would soften the blow from today's CAT Q3 earnings which were clearly going to be ugly, and surely worse than consensus estimates. Moments ago we got said earnings and as expected, they were indeed far worse than expected, with CAT reporting adjusted EPS of $0.75 ($0.62 GAAP), below consensus estimate of $0.77, while revenue of $11.0 billion also missed expectations of $11.33.This takes place even as CAT repurchased $1.5 billion in stock in Q3, or about 75% of the total $2.0 billion in buybacks it conducted in all of 2015 (compared to $8 billion in the past three years).
Submitted by Tyler Durden on 10/22/2015 - 07:47 At today’s meeting, which was held in Malta, the Governing Council of the ECB decided that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0.05%, 0.30% and -0.20% respectively.
After yesterday's dramatic late day market rout catalyzed by the tumble in the biotech sector in general, and Valeant in particular, and foreseen in its entirety by Gartman who went bullish just hours before, this morning US equity futures and European stocks have recouped some losses on the recursive, and traditional, hope that Mario Draghi will say something to push risk higher when he speaks in 2 hours at the ECB's press conference in Malta. And yet, just like Yellen a month ago, Draghi faces the paradox of reflexivity that after years of being ignored, is the "new thing" in town: how does he intervene and demonstrate he is readier than ever to set up stimulus, without panicking investors over euro area’s health.
America is not Greece, but judging from the Obama administration's just-unveiled plans to bailout Puerto Rico's disastrous debt situation, the American territory may have to sacrifice a little more sovereignty to get some relief. Obama is pressing for Congress to give Puerto Rico (PR) sweeping powers to reduce its $73 billion debt burden through a form of bankruptcy protection not now available to American territories and will also ask lawmakers to establish an independent body to monitor the island’s fiscal affairs (a la Troika).
With Vice President Joe Biden formally announcing that he is not going to run for president in 2016, Matt Drudge raced to report the news with a main page photo to alert readers to Biden’s decision. But how Drudge illustrated the news has liberals furious.
On Wednesday afternoon, in a news conference in the White House Rose Garden where he was flanked by his wife, Jill, on one side and President Barack Obama on the other, Biden announced that he felt it was too late for him to mount an effective run for the Democratic nomination for president.
Then came Matt Drudge to alert his readers to the breaking news on the Drudge Report news site.
It looks as if 2015 will turn out to be a record year for silver investment demand. Not only will total silver bullion demand be the highest in many decades, it will account for nearly one-third of total fabrication demand. This is a huge increase when we consider less than 1% of investors are buying silver.
We can thank the huge surge of physical silver investment in 2015 from record Indian (Silver Bar) and North American (Official Silver Coin) purchases. According to ETF Securities Q3 2015 Precious Metal Report, India is now on track to import a stunning 350 million oz (Moz) of silver in 2015:
That Destroy The Republican Party’s Other Core Principles Of Championing Liberty, Maintaining A Constitutional Republic And Limited Government W/ Lower Taxes (You Pay For The Empire) While Making America Less SecureIt’s high time grass roots activists within the Republican Party ditch the “strong defense” mantra that masquerades as a party core principle. It’s time to replace it with the principle of a “smart defense.” American national security is being destroyed by policies that have nothing to do with ensuring the best interests of the American people.
Banks, when reporting earnings, are saying a few choice things about their oil-and-gas loans, which boil down to this: it’s bloody out there in the oil patch, but we made our money and rolled off the risks to others who’re now eating most of the losses.
On Monday, it was Zions Bancorp. Its oil-and-gas loans deteriorated further, it reported. More were non-performing and were charged-off. There’d be even more credit downgrades. By the end of September, 15.7% of them were considered “classified loans,” with clear signs of stress, up from 11.3% in the prior quarter. These classified energy loans pushed the total classified loans to $1.32 billion.
But energy loans fell by $86 million in the quarter and “further attrition in this portfolio is likely over the next several quarters,” Zions reported.
Good evening Ladies and Gentlemen:
Here are the following closes for gold and silver today:
Gold: $1167.60 down $10.40 (comex closing time)
Silver $15.70 down 21 cents.
In the access market 5:15 pm
First, here is an outline of what will be discussed tonight:
At the gold comex today, we had a very good delivery day, registering 13 notices for 1300 ounces Silver saw 2 notices for 10,000 oz.
First of all, credit to Simon Black (The Sovereign Man) for finding this extremely valuable/important picture. I’m a “digital” thinker: words and numbers. That’s how I process information, and do most of my presentation of information.
But a large chunk of the population is “wired” differently. They process information more efficiently via “spatial” thinking — i.e. pictures (like charts). So here is the proverbial picture-that-is-worth-a-thousand-words. Indeed, I will undoubtedly soon write a commentary which incorporates this picture, and that commentary will (undoubtedly) be more than a thousand words long.
First, the picture itself:
A huge hat tip goes to Sallie O Elkordy, who asked if anyone has contradicting information about E. coli being an ingredient in two meningococcal vaccines, for bringing this to my attention.
As readers can see from the below CDC Pinkbook of vaccine excipients and media, the two 2015 Meningococcal B vaccines Bexsero and Trumenba contain E. coli, so what can be expected from that ingredient being injected into the human bloodstream?