The IMF Is Warning Governments About Rising Discontent Among The People – Episode 1074a

The following video was published by X22Report on Sep 13, 2016
US think tank warns that the Australian real estate market has about 6 weeks before it collapses. The facts are in the US consumer is completely tapped out, the economy will not be able to be supported by spending. FBN warns buy the dead cat bounce at your own risk. IMF Chief worried about the people rising up because of the huge wealth inequality the central banks created. IMF blaming government for the problems around the world and that the TPP must be passed

Janet And Gold: Does History Rhyme?

Good things come to those who wait, because patience is a virtue. Over the past few days, various Fed presidents and governors have made both hawkish and dovish statements. The US stock market and gold stocks have reacted violently to these statements. It’s important for all gold stock investors to understand that anything can happen at next week’s critically important FOMC and BOJ meetings. Ahead of those meetings, it’s clearly a time for patience. Once the meetings have been completed, institutional investors will begin to apply large amounts of liquidity to the markets, and a new intermediate trend will be underway. On that note, please click here now. Double-click to enlarge this daily bars gold chart. I annotated this chart a week ago, predicting a rally to the trend line in the $1355 area, and then a pullback from there to $1325. To view what actually occurred, please click here now. Double-click to enlarge. Gold followed the exact trajectory I predicted. All that’s left now is for gold to stage an upside breakout from the drifting rectangle pattern, and begin the rally to my $1392 and $1432 target zones. That is unlikely to occur until next week’s FOMC/BOJ meetings are completed.

This post was published at GoldSeek on 13 September 2016.

Wells Fargo CEO Throws Employees Under The Bus: “There Was No Incentive To Do Bad Things”

Earlier today we reported that as a result of the public (and market) outrage following news that Wells Fargo rewarded Carrie Tolstedt, the head of the group that was recently exposed as creating some 2 million fake credit card and bank accounts so it could churn late fees, and was in charge of what the bank’s employees called “sandbagging”, was leaving the bank with a $125 million package, this morning a panicked Wells Fargo said that it would eliminate all product sales goals in retail banking, starting next year.
That, however, was as far as CEO John Stumpf was willing to go. As the WSJ reported, the CEO of what until today was America’s largest bank by market cap, but is no more after a 4% drop in its stock price that sent JPM to the top position, spoke publicly Tuesday for the first time since the bank was slapped with a $185 million fine last week over its sales practices, defending the firm and the work he said it had already been doing to weed out bad behavior.
However, the one question everyone wanted answered – who did the buck stop with at Wells Fargo – remained unanswered as Stumpf “deftly” redirected. In his WSJ interview, Stumpf wouldn’t comment on who was ultimately responsible for the practices and sales-driven culture that led employees to open as many as two million accounts without customers’ knowledge. Mr. Stumpf said that at the bank, ‘There was no incentive to do bad things.”

This post was published at Zero Hedge on Sep 13, 2016.

13/9/16: U.S. business investment slump: oil spoil?

Credit Suisse The Financialist recently asked a very important question: How low can U. S. business investment go? The question is really about the core drivers of the U. S. recovery post-GFC.
As The Financialist notes: ‘Over the last 50 years, there has usually been just one reason that businesses have slashed investment levels for prolonged periods of time – because the economy was down in the dumps.’

This post was published at True Economics on September 13, 2016.

European Civil War Looms: French Professor Fears Growing “Jihad Generation” Among Unemployed Muslims

“The long-term goal of the Jihad Generation is to destroy Europe through civil war and then build an Islamic society from the ashes…” warns Professor Gilles Kepel, who is a specialist on Islamic and contemporary Arab world.
As The Sun reports, Kepel, from the Sciences Po in Paris, claims a growing number of Muslims with poor job prospects are forming a ‘Jihad Generation’ to continue to commit acts of terror across Europe.

This post was published at Zero Hedge on Sep 13, 2016.


Gold:1321.10 down $9.10
Silver 18.91 down 37 cents
In the access market 5:15 pm
Gold: 1319.20
Silver: 18.86
Today, the big mover globally was the advance in yield on all bonds. This is quite something since 2/3 of the world still have negative interest rates and QE to boot.
No doubt this caught the attention of investors and they decided that it was not worth it to keep their money in the stock market.
Keep in mind that a rapid rise in yields will cause a huge hardship to our underwriting derivative banks.
The Shanghai fix is at 10:15 pm est and 2:15 am est
The fix for London is at 3 am est (first fix) and 10 am est (second fix)
Thus Shanghai’s second fix corresponds to 45 minutes before London’s first fix.
And now the fix recordings:
Shanghai morning fix Sept 13 (10:15 pm est last night): $1333.72
Shanghai afternoon fix: 2: 15 am est (second fix/early morning):$1331.23
London Fix: Sept 13: 3: am est: $1328.50 (NY: same time: $1328.80: 3 AM)
London Second fix Sept 8: 10 am est: $1323.65 (NY same time: $1323.70 , 10 AM)
It seems that Shanghai pricing is higher than the other two , (NY and London). The spread has been occurring on a regular basis and thus I expect to see arbitrage happening as investors buy the lower priced NY gold and sell to China at the higher price. This should drain the comex.
Also why would mining companies hand in their gold to the comex and receive constantly lower prices. They would be open to lawsuits if they knowingly continue to supply the comex despite the fact that they could be receiving higher prices in Shanghai.
For comex gold:The front September contract month we had 20 notices filed for 2000 oz
For silver: the front month of September we have a total of 27 notices filed for 135,000 oz
Let us have a look at the data for today

This post was published at Harvey Organ Blog on September 13, 2016.

The App Store Renders Government Irrelevant

Many Americans have received more telemarketing and scam calls than usual over the past few months, and they are wondering what their number is doing on the National Do Not Call Registry, maintained by the FTC.
Some of the calls are clearly only meant for the most gullible, like those from some generic ‘card services’ who somehow represent Visa, Mastercard, and all of the major banks and want to increase credit limits.
Tom Woods may be having the same trouble. Two weeks ago, he received calls purportedly from the IRS about back taxes he owed, but would settle out of court with a $2,000 Target gift card, obviously. Woods eventually offered zoo animals as payment and the scammer realized the gig was up.
Where the government’s Do Not Call Registry has failed, a free phone app has come to the rescue. Mr. Number, made by Hiya, blocks potential scam calls based on user reports.
Mr. Number blocks calls when enough of the app users flag it as a scam. It’s a very simple and effective process.
It’s a great example of the use of decentralized knowledge, and with over 10,000,000 downloads, there’s plenty of knowledge to be shared.

This post was published at Ludwig von Mises Institute on Sept 13, 2016.

Gold Daily and Silver Weekly Charts – Central Bank Blather and Stock Option Expiration

“People of privilege will always risk their complete destruction rather than surrender any material part of their advantage. Intellectual myopia, often called stupidity, is no doubt a reason. But the privileged also feel that their privileges, however egregious they may seem to others, are a solemn, basic, God-given right.”
John Kenneth Galbraith
“Countries such as Great Britain and the United States became rich because their citizens overthrew the elites who controlled power and created a society where political rights were much more broadly distributed, where the government was accountable and responsive to citizens, and where the great mass of people could take advantage of economic opportunities.”
Daron Acemoglu and James Robinson, Why Nations Fail
“I don’t think there’s any doubt that quantitative easing enabled the rich and the quick. It was a massive gift… I hope that we do indeed succeed in being able to say in the end the wealth effect was more evenly distributed. I doubt it.’
Richard Fisher, former Dallas Fed President
Freedom is not an objective to be reached, but is rather a way of life.
Gold and silver were lower today, largely on a stronger dollar and what I like to think of as stock market option expiration for September which is this Friday. The options on miners are lucrative enough to warrant the attention of some of the junior pigmen.
It is fashionable but fatally myopic to blame everything on government manipulation when the regulatory bodies are as ideologically and financially compromised as they are today, and the moneyed interests buy and sell politicians almost openly and quite brazenly.

This post was published at Jesses Crossroads Cafe on 13 SEPTEMBER 2016.

U.S. flies nuclear strategic bombers over South Korea in stark warning to North Korea

September 2016 – SOUTH KOREA – Two U. S. supersonic B-1 Lancer strategic bombers flew over South Korea on Tuesday morning in a show of force and solidarity with its ally amid heightened tension following North Korea’s fifth nuclear test on Friday.
The two bombers conducted a low-altitude flight over Osan Air Base in South Korea, which is 77 km (48 miles) from the Demilitarized Zone border with the North and about 40 km (miles) from the South’s capital Seoul. The scheduled fly-over was delayed from Monday due to weather conditions in Guam, where the bombers are stationed. South Korea’s Yonhap news agency said heavy crosswinds prevented the jets from take off. -Reuters
Philippines president tell U. S. Special Forces to leave: President Rodrigo Duterte on Monday called for the withdrawal of U. S. Special Forces troops from a group of islands in the southern Philippines, saying their presence could complicate offensives against Islamist militants notorious for beheading Westerners.

This post was published at UtopiatheCollapse on September 13, 2016.

“It’s Not As Though We Can Keep Lowering Rates Forever,” A BOJ Official Said

As we reported earlier, moments ago the USDJPY spiked on the latest Nikkei market trial balloon, which as we also reported, was old news, according to which Kuroda is now considering conducting a reverse Operation Twist, where it forces a selloff in the long end, while push short-ends even more into record negative territory courtesy of another rate cut.
As we explained last week, it won’t work (read here for the details). But what attracted our attention was the quote by a BOJ official, which once again demonstrates the farce that passes for “clear, lucid” central banker thought in the “new normal” (from Nikkei):

This post was published at Zero Hedge on Sep 13, 2016.

USDJPY Spikes On Week Old News, Pulling Stocks Higher With It

It’s 2am in Japan and Nikkei has decided – right as the 30Y Treasury auction hits – to unleash a spurious headline – BOJ TO EXPLORE DELVING DEEPER INTO NEGATIVE RATES, with Bloomberg providing the following detail:
Sept. 20-21 review expected to conclude that benefits of -0.1% deposit rate announced Jan. outweighed side effects; BOJ Gov. Kuroda and his deputies are unanimous on this point Some observers had expected negative rates to be scrapped in policy review Further negative rates will require careful consideration: ‘It’s not as though we can keep lowering rates forever,’ report quotes unidentified BOJ official as saying Board to discuss trimming purchases of bonds longer than 25 years to boost yields Purchases of shorter-term bonds could be increased to keep overall purchases at current level To retain 2% price growth target, while considering abandoning two-year time frame Stronger forward guidance may be discussed to demonstrate commitment to easing In other words, a Reverse Operation Twist. There is just one issue, as regular readers will know, all of this is ‘old news’… but don’t tell the algos. As a reminder, another rate cut is precisely what we said would happen last week when we explained how the BOJ would try to force a reverse “Operation Twist.” Recall:

This post was published at Zero Hedge on Sep 13, 2016.

SP 500 and NDX Futures Daily Charts – Stock Option Expiration Week Shenanigans

Stocks have been gyrating the last couple of days, largely on little things like comments from central bankers.
I think much of the ‘action’ and the increased volatility has more to do with the stock option expiration this Friday the 16th as with anything that could be considered fundamental. Stocks are in bubble valuation territory however, and the ‘real’ volumes remain light compared to the algo driven volumes.
This is a corrupt system which you tolerate, so get used to it or seek to change it and make it just for everyone.

This post was published at Jesses Crossroads Cafe on 13 SEPTEMBER 2016.

JPM Explains Why everything Is Dumping: “The Market Has A BOJ Problem”, VaR Shock Returns

Last Thursday, in “Brace For “VaR Shock” – How The Bank Of Japan May Be About To Unleash A Global Selloff” we explained that the catalyst for the next market crash may be an unexpected one: the Bank of Japan and its clueless, “Peter Panish” head Haruhiko Kuroda. We urge readers to reread the article, because moments ago JPM’s trading desk admitted that the reason for Friday’s selloff was not fears about the Fed, and not the Lael Brainard “hawkish turn” risk, as the “dovish Brainard” Monday gains have been wiped out today, but, drumroll, the Bank of Japan.
This is what JPM’s Adam Crisafulli sent out moments ago:
“the SPX is giving back the entire Mon rally due to ongoing yield anxiety ahead of the 9/21 BOJ meeting. The market never had a Fed problem but it does face a BOJ one and unfortunately clarity on Japanese monetary policy won’t come for another week (the comprehensive assessment is 9/21, the same day as the FOMC decision).”
Just as importantly, because it is carbon-copy of what we said last week, Crisafulli writes that “JGBs are driving sovereign yields at the moment and until the next stage of BOJ policy is known anxiety levels will remain elevated (even though sovereign 10yr yields are pretty flat so far Tues).”
There is little else:

This post was published at Zero Hedge on Sep 13, 2016.

Money-Supply Growth Hits 36-Month High

The “true money supply” measure is a measure of the money supply pioneered by Murray Rothbard and Joseph Salerno and is designed to provide a better measure than M2. The Mises Institute now offers regular updates on the TMS metric and its growth.1
Money supply can be a helpful metric in observing economic conditions. Historically, money supply has fallen prior to recessions and economic crises, and has risen during economic expansions.
Since 2014, money supply growth has ranged from about 7 percent to 8.5 percent. In October of last year, money supply growth hit a seven-year low of 6.8 percent, although this proved not to be an indication of any new trend. Overall, money supply growth has been quite stable over the past two years.
In July, however, money supply growth hit a 36-month high, reaching a year-over-year growth rate of 8.6 percent. Growth has not been as high since August of 2013, when growth reached a rate of 8.9 percent.
This data suggests that, in spite of a lackluster economy, the central bank’s reluctance to raise the target interest rate has helped in increasing the money supply, and may even help bring about the Fed’s target price-inflation rate of two percent.

This post was published at Ludwig von Mises Institute on Sept 13, 2016.


‘The fact is that the government, like a highwayman, says to a man: Your money, or your life. And many, if not most, taxes are paid under the compulsion of that threat. The government does not, indeed, waylay a man in a lonely place, spring upon him from the road side, and, holding a pistol to his head, proceed to rifle his pockets. But the robbery is none the less a robbery on that account; and it is far more dastardly and shameful.’ – Lysander Spooner, American abolitionist and legal theorist
If a cop wrongfully attacks you, you cannot fight back.
If a SWAT team wrongfully raids your home, you cannot defend yourself.
If a highway patrol officer wrongfully takes your money or your valuable possessions, you cannot get them back without a lengthy, costly legal battle.
It used to be that the Constitution served as a bulwark against government abuses, excesses and wrongdoing.
That is no longer the case.

This post was published at The Daily Sheeple on SEPTEMBER 13, 2016.

Poor 30 Year Auction Accelerates Bond Market Selloff

After yesterday’s ugly 3 and 10Y auctions, of which the latter is still trading at a record “fails” charge in repo, there were few hopes for today’s 30Y auction, especially in light of the dramatic blow out in yields profiled moments ago. Well, it’s a good thing expectations were low because the just concluded reopening of $12 billion in 29Y 11 Month paper was the latest bond debacle, with the paper tailing the When Issued by 1 bps, printing at 2.475% compared to the 2.465% When Issued.
The internals were even worse: the Bid to Cover to 2.129, down from 2.24 in August, the lowest since February and far below the 6mma average of 2.35. Indirect interest dipped from 61.5% to 57.9%, below the 63.9% average, leaving 37.5% to Dealers, the highest since last August, while Directs ran away, as they did in yesterday’s auctions, taking down just 4.6% of the paper. This was the lowest Direct Bid since 2009.

This post was published at Zero Hedge on Sep 13, 2016.

Gold and Silver Prices Volatile on Opposing Views from FED Members

The FED has made the booms and busts much more exaggerated than they otherwise would be. Their ability to unilaterally dictate interest rates rather than allow the free markets to determine equilibrium, has generated an incredible amount of volatility for investors.
Gold and silver have enjoyed a powerful rally in 2016, which started right after the FED last raised interest rates. Yet, the fear of the FED raising rates by another 25 basis points has paralyzed gold investors. Equity investors are also hanging on every word that comes from our overlord central planners.
Yesterday when Federal Reserve bank president Eric Rosengren said that he thought it might be appropriate for the U. S. central bank to start raising rates, the stock market crashed hard yesterday, having the second worst day of the year behind the BREXIT panic.
Then today, Fed Governor Lael Brainard delivered a dovish speech in Chicago. Of particular note is the fact that she deviated from the FED’s message of needing near-term rate hikes and instead mentioned several reasons that the FED should not raise rates yet. These included low inflation, labor market slack, and volatile foreign markets.
Her opinion is not new, but she re-iterated her stance and the market took notice. Stocks climbed from an morning decline to close the day up 1.5%. Gold and silver also reversed earlier losses to close the day in the green.

This post was published at GoldStockBull on September 13th, 2016.

Atlanta Fed President Lockhart Announces He Is Stepping Down

And so another Fed president has decided to call it a day, when moments ago, Dennis Lockhart, president of the Atlanta Fed, announced he would step down on February 28, 2017. Either Dennis is not too excited with the path the Fed is on, or the Atlanta Fed’s uncanny accuracy in predicting GDP finally forced the copycat NY Fed to demand a scalp.
That said, we doubt the Atlanta Fed will be headless for too long: we are confident the line of (soon to be former) Goldman employees submitting their resumes to fill his slot is already around the block.
From the full release:
Dennis Lockhart, president and chief executive officer of the Federal Reserve Bank of Atlanta, today announced his intention to step down from his position effective February 28, 2017. After nearly 10 years of service at the Atlanta Fed, Lockhart plans to continue to pursue interests in public policy, civic work and private business.

This post was published at Zero Hedge on Sep 13, 2016.

The Economy Is Tanking

The FOMC can raise interest rates any time it desires, without prior approval from anyone outside the Fed. Accordingly, the ncreased hype primarily has to be aimed at manipulating the various markets, such as propping the U. S. dollar. Separately, it remains highly unusual, and it is not politic, for the FederalReserve to change monetary policy immediately before a presidential election. – John Williams,
The March non-farm employment report originally reported that 215,000 jobs were created (ignore the number of workers who left the labor force). But five months later the BLS released ‘benchmark’ revisions which took that original number down by 150,000. However, the BLS reports a 74,000 upward revision to Government payrolls, which means that non-Government payrolls were down 240,000 in March. So much for the strong jobs recovery…
A report out on August 19th that received no attention in the financial media showed that Class 8 (heavy duty) truck orders fell 20% from June and 58% year over year. This is after hitting a four-year low in June. The big drop was blamed on a high rate of cancellations. This is consistent with regional Fed manufacturing reports out two weeks ago that showed big drops in new orders. Again, the economy is starting contract – in some areas rather quickly. Heavy trucking is one of the ‘heart monitors’ of economic activity.
Another datapoint that you might not have seen because it was not reported in the mainstream financial media: the delinquency rate for CMBS – commercial mortgage-backed securities – rose for the 5th month in a row in July. The rise attributed to ‘another slew of balloon defaults.’ Balloon defaults occur when the mortgagee is unable to make payments on mortgages that are designed with low up-front payments that reset to higher payments at a certain point in the life of the mortgage. This reflects an increasing inability of tenants in office, retail and multi-family real estate to make their monthly payments.

This post was published at Investment Research Dynamics on September 13, 2016.