Submitted by Tyler Durden on 01/17/2016 - 18:50
With the price of protecting against dramatic downside in equities soaring to record highs, it appears market participants are turning to a cheaper alternative in size...
Submitted by Tyler Durden on 01/17/2016 - 11:31 "The events of 1929 taught us that the absence of any rise in prices did not prove that no crisis was pending. 1937 has taught us that an abundant supply of gold and a cheap money policy do not prevent prices from falling."
Submitted by Tyler Durden on 01/17/2016 - 22:00 Throughout history government has served as a vehicle for the organization of hatred and oppression, benefitting no one except those who are ambitious and ruthless enough to gain control of it. That’s not to say government hasn’t, then and now, performed useful functions. But the useful things it does could and would be done far better by the market.
Submitted by Tyler Durden on 01/17/2016 - 20:40 Anyone who thinks the adversarial relationship between Washington and Tehran has turned into “détente” due to the nuclear deal is living in Never-Never Land. Your bullshit-ometer should be making an awful racket in response to the shifting explanations given for the twenty-four-hour Iranian hostage scare involving two US Navy boats intercepted in the Gulf. The signing of the Iran deal means that we are in for a long series of provocations in the Gulf, and this is only the beginning. In order to keep all this in perspective, just remember that the long dance between Washington and Tehran involves at least four partners, including their hard-liners and ours.
Submitted by Tyler Durden on 01/17/2016 - 20:27 On the heels of new reserve ratio regulations and the biggest strengthening in the Yuan fix in 4 weeks, offshore Yuan has strengthened notably (despite Chinese default/devaluation risk surging in the CDS markets). Chinese stocks are weaker in the early going but corporate bond yields continue to slide to new record lows as the "last bubble standing" stands ignorant of the risks around it.
Submitted by Tyler Durden on 01/17/2016 - 20:00 The Saudis are explicitly conserving their own resources at home, while exploiting land and water supplies here in America. “We’re letting them come over here and use up our resources. It’s very frustrating for me, especially when I have residents telling me that their wells are going dry and they have to dig a lot deeper for water. It’s costly for them to drill new wells."
Submitted by Tyler Durden on 01/17/2016 - 18:37
>: What percent of the $17 billion is not investment grade?
>: I would say most of it. Most of it.
: So most of the $17 billion is non-investment grade.
Submitted by Tyler Durden on 01/17/2016 - 19:28 "While we are taking what we believe to be the appropriate reserves for that, I'm just not prepared to give you a specific number right now as far as the amount of reserves that we have on that particular book of business."
Submitted by Tyler Durden on 01/17/2016 - 19:19 "It’s difficult to see the fall stopping today," warned one Japanese equity strategist and rightly so as Japan's broad TOPIX idnex just entered a bear markets (down 20% from the August 2015 highs). With the Nikkei well below 17,000, Kuroda is due to speak at the Diet today as Japanese corporate bond risk surges to 20-month highs.
Foreign Central Banks Furiously Dump US Treasuries: Record $47 Billion Sold In First Two Weeks Of 2016Submitted by Tyler Durden on 01/17/2016 - 18:58 According to the latest Fed data, after a drop of $12 billion in the first week of the year, another $34.5 billion in Treasurys held in custody was sold in the week ended January 13, bringing the total to just $2.962 trillion, below the previous recent low recorded in early November, and at levels not seen since April 2015. Adding up the flows from the first two weeks of the year reveals the worst and most custody holdings "outflowing" start to the year in history.
Submitted by Tyler Durden on 01/17/2016 - 18:30 “As chair of the G7, I need to seek solutions regarding the stability of the region as well as the whole world. I believe appropriate dialogue with Russia, appropriate dialogue with president Putin is very important.”
Submitted by Tyler Durden on 01/17/2016 - 18:05 February WTI Crude futures have plunged to new cycle lows at $28.60 (down 2.7%) as Iran supply looms over an already over-glutted global crude market. Brent is down even more (-3.7%). Dow futures are down 60 points at the open.
Submitted by Tyler Durden on 01/17/2016 - 17:53 What has been going on lately? Well if there is a common theme, it is that China banks seem to be doing whatever they can to avoid paying anyone in dollars. We are hearing the following...
AP, Jan 12, 2016 (emphasis added): “It was pretty horrifying,” [Seabird biologist David Irons] said… An estimated 8,000 of the black and white birds were found dead on the Whittier beach, said [USGS’s] John Piatt… “That’s unprecedented, that sheer number in one location is off the charts,” he said… “The length of time we’ve been seeing dead birds, and the geographic scope, is much greater than before in other die-off events,” said Kathy Kuletz, a biologist for the U.S. Fish and Wildlife Service. “We’re looking at many times that. So possibly a good chunk of the population.”… Many females in 2015, however, were too weak to breed, Kuletz said.
from AP, via Christian Science Monitor:
HONOLULU — December usually marks the start of humpback whale season in Hawaii, but experts say the animals have been slow to return this year.
The giant whales are an iconic part of winter on the islands and a source of income for tour operators. But officials at the Humpback Whale Marine Sanctuary said they’ve been getting reports that the whales have been difficult to spot so far.
“This isn’t a concern, but it’s of interest. One theory was that something like this happened as whales increased. It’s a product of their success,” said Ed Lyman, a Maui-based resource protection manager and response coordinator for the sanctuary.
A mountain lion with a second set of teeth growing out of its head has been killed in Idaho. Radiation from the Fukushima nuclear disaster causing mutations in USA!
The big cat was killed by an unidentified hunter last week in Weston, Idaho who then reported the animal’s bizarre deformity to the authorities, Idaho State Journal reports.
Idaho conservation officers, who were sent a photograph of the kill, were shocked to find the year-old lion had a separate set of teeth growing out the left side of its forehead. This lion was born several years AFTER Fukushima radiation began arriving in the USA from Japan.
In his last months in office, President Obama continues to pursue his policy of appointing industry insiders and lobbyists to important posts within the federal government.
A glaring example is his recent nomination of Dr. Robert Califf to become the new head of the FDA when current commissioner Margaret Hamburg steps down in March.
Califf has just received the support of a Senate committee, and is now expected to receive full senate approval of the appointment – despite revelations that he has close ties to the pharmaceutical industry.
Even mainstream media outlets have voiced concerns over the appointment.
Monsanto is trying to evict a bevy of protesters who have gathered in an agricultural province of Cordoba, Argentina. The protesters aim to stop a massive GMO seed plant which would spew vast clouds of toxic fumes and leave regular spills of the neonics, fungicides, and numerous other poisons that would be applied as seed coatings.
A Monsanto-friendly judge armed the monopolizing company with permission to evict the group, so now goons from Monsanto are trying to drive off the camp which is blockading further progress of the plant.