The Financial Nightmare Begins After The Election – Episode 1122a

The following video was published by X22Report on Nov 8, 2016
As the economy continues to deteriorates the labor market is showing signs of rolling over. Job hiring and payroll are starting to decline. Consumer credit and student loan debt hits all time highs, the Government is the primary source of consumer credit. After the elections the economic nightmare is going to begin, the economic indicators are showing that the economy will not hold together much longer and we are going to begin to see the economy to start to unravel.

While We Wait, This Is What Millions Of Americans Are Demanding Answers To Right Now

While we wait for the first exit polls, not to mention the first official results, millions of people across America have questions, and there is no better place to visualize who wants to know what than courtesy of this handy widget created by Google Trends, which shows in areas where there is above-average search interest in voting-related problems around the country. When a circle is flashing, it means there’s a spike in searches. Google doesn’t verify any of the problems flagged by its users; it just maps them.
Also courtesy of Google, we can see the real time interest in the head to head race between Trump and Hillary, at least when it comes to public curiosty. As usual, no contest here.

This post was published at Zero Hedge on Nov 8, 2016.

Indirect Bidders Tumble, Bid To Cover Lowest Since 2009 In Poor 3 Year Auction

With the election front and center on everyone’s attention, today’s sale of $24 billion in 3 Year paper was expected to slide under the radar as an afterthought, and perhaps that’s a good thing because it was quite ugly. While the high yield of 1.034% stopped through the When Issued of 1.036%, the result of the notable selloff today across the curve as a result of early polling “data” which shows Hillary in the lead across battleground states, the internals were atrocious.

This post was published at Zero Hedge on Nov 8, 2016.

How Obamacare Could Have Saved the Economy

Some people say Obamacare was designed to fail, a clever attempt to pull us toward socialized healthcare.
I don’t know if that’s true. But it’s a fact that Obamacare is failing.
The so-called reform never worked very well because it didn’t reduce the underlying cost pressures. Now it’s falling apart.
This is sad. You see, Obamacare’s dark cloud had a silver lining that might have sparked economic growth like we haven’t seen in decades.
I’m not kidding. We could have had a magnificent boom that put millions to work and wiped out all our debts. Obamacare had that potential.
Yes, I know this sounds nuts – but it’s true. You’ll see when we connect a few dots.
Dot #1: How an Economy Grows
If you want your country’s economy to grow, you need the right conditions. Some are unchangeable: geography, climate, natural resources. You just try to make the best of them. Others, like education, culture, and government policies you can control or at least influence.

This post was published at Mauldin Economics on NOVEMBER 8, 2016.

“Massive” ‘Smart-Money’ Bond Short Completely Unwound

The massive ‘smart money’ bond short has been completely unwound.
In late June, we wrote a post suggesting why perhaps the long-term, and long-doubted, bull market in bonds could be in jeopardy. The thesis admittedly revolved substantially around anecdotal evidence pointing to a new-found bullish consensus toward bonds. But after at least a decade in which most market participants thought the only possible path for interest rates was higher, the widespread resignation to ‘lower for longer’ seemed to be a watershed change of opinion. And that change of consensus opinion was what we believed could pave the way for a long-term reversal in interest rates.
In the shorter-term, it was an objective piece of evidence that pointed to the upside being the path of least resistance for rates. Specifically, from the CFTC’s Committment Of Traders (COT) report on futures positioning, we noted that Commercial Hedgers had just moved to their largest net short position in Treasury Bond futures in 18 years. And as we continued in the post,

This post was published at Zero Hedge on Nov 8, 2016.

NOV 8/USA ELECTION RESULTS TONIGHT/MANY VOTING IRREGULARITIES/A MASSIVE 46 BILLION USA LEAVES CHINESE SHORES AS THE YUAN WEAKENS: PROBABLY IT WILL BE HIGHER AS MANY DOLLARS ALSO LEAVE VIA THE POB…

Gold closed at $1273.40 down $4.90
silver closed at $18.33: UP 20 cents.
Access market prices:
Gold: 1275.70
Silver: 18.40
THE DAILY GOLD FIX REPORT FROM SHANGHAI AND LONDON
The Shanghai fix is at 10:15 pm est and 2:15 am est
The fix for London is at 5:30 am est (first fix) and 10 am est (second fix)
Thus Shanghai’s second fix corresponds to 195 minutes before London’s first fix.
And now the fix recordings:
Shanghai morning fix Nov 8 (10:15 pm est last night): $ 1287.06
NY ACCESS PRICE: $1284.00 (AT THE EXACT SAME TIME)
Shanghai afternoon fix: 2: 15 am est (second fix/early morning):$ 1290.17
NY ACCESS PRICE: 1284.95 (AT THE EXACT SAME TIME/2:15 am)
HUGE SPREAD TODAY!! 5 dollars
XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
London Fix: Nov 8: 5:30 am est: $1284.00 (NY: same time: $1284.00: 5:30AM)
London Second fix Nov 8: 10 am est: $1282.35 (NY same time: $1282.20 , 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.

This post was published at Harvey Organ Blog on November 8, 2016.

Gold: Vulnerable Until Rates Are Hiked

Gold is vulnerable. It’s technically overbought, and a developing top pattern is a concern. Please click here now. Double-click to enlarge. The $1305 – $1320 resistance zone is significant, and in my professional opinion, the rally to the $1380 area was not big enough to turn that resistance into support. I’m still a seller at $1305 – $1320. If gold reaches $1425, I’ll then be a buyer at $1320, if there is a decline into that level. How vulnerable is gold right now?Well, for some further insight, pleaseclick here now. Commercial traders (aka ‘the banksters’) are carrying a massive short position, as the latest COT report clearly shows. Also, there’s a perception that a Republican victory in today’s US election would be good for gold, but not all economists agree; some believe that a US dollar rally is more likely. Please click here now. Famed investor Jim Rogers has this view, and he is followed by many money managers. Of particular concern to me are the developing head and shoulder top patterns that are in play across the gold sector. On that note, please click here now. Double-click to enlarge. Given the commercial trader positioning in the COT report, which includes significant mine hedging, my technical target in the $1100 area seems realistic.

This post was published at GoldSeek on 8 November 2016.

IMF Warns: Oil Economies Won’t Break Even Anytime Soon

A report from the IMF has warned that the ‘new normal’ in oil will delay the economic recovery in oil-dependent countries. Few would be surprised by this, except perhaps policy-makers in some of these countries who still believe the solution to their problems is an increase in crude oil production, at a time when OPEC is desperately trying to get its members to agree to a freeze.
The report, cited by Nigeria’s Guardian, notes that the factors contributing to the prolonged depression among those who depend on oil for their budgets include not just the persistent glut, but also the constant output from shale in the US, the notable decline in crude oil consumption in developed countries, and the strong greenback, in which international oil futures are priced. Also, demand for crude, although growing, is not growing fast enough to offset the combined effect of the headwinds, the IMF noted.

This post was published at FinancialSense on 11/08/2016.

Does Gold & Silver Care Who Wins?

Short answer: No.
A local financial advisor texted me today asking what I thought gold would do if Hillary wins today. Obviously he’s been reading the pedestrian analysis on the topic that has flooded the mainstream media.
But gold doesn’t care who wins. The United States is beset with unsolvable financial and economic issues that will require a systemic reset. The amount of funded Treasury debt outstanding since Obama took office has doubled to $20 trillion. So much for his claim that he reduced the spending deficit. But the result would have been the same if McCain had won in 2008 or if Romney had won in 2012.
Stocks and bonds are historically overvalued.

This post was published at Investment Research Dynamics on November 8, 2016.

Gold Price at ‘Key Support’ of 200-DMA in ‘Quiet Before Storm’ of Trump-Clinton Result

Gold prices held at $1280 per ounce in London dealing as US voters went to the polls Tuesday to choose between Donald Trump and Hillary Clinton, trading above the moving average of the metal’s last 200 days – a key level according to technical chart analysts.
World stock markets held dead-flat after Monday’s 2.5% surge from a record 9 days of losses in the US S&P500 index.
Government bonds also froze, holding interest rates unchanges in quiet trade, while commodity prices slipped again but silver held firmer, trading at $18.29 per ounce.
Shanghai gold prices slipped again, retreating 1% from Friday’s 6-week high against the Yuan as the Dollar consolidated the last 3 sessions’ strong recovery on the FX market.’

This post was published at FinancialSense on 11/08/2016.

One Day After Biggest Rally Since March, Gartman Covers Shorts

Just hours after the biggest one-day surge in the S&P since March, Dennis Gartman has decided to follow the momentum, and after being bearish and short, he “covered in a great portion of our short derivatives position and we added to our long position.”
From his latest letter:
STOCK PRICES HAVE SOARED IN THE PAST TWENTY FOUR HOURS as the news spread around the world from late Sunday afternoon regarding the now famous ‘letter’ from the FBI’s Director, Mr. Comey, to the members of the US Congress that there was nothing in the several tens of thousands of new e-mails that the Bureau had warned about two weeks ago that would lead to the possible indictment of Ms. Clinton. When that news ‘hit’ Sunday afternoon, stock index futures soared; the Asian markets flew to the upside and when the European and North American markets finally did open they followed suit.

This post was published at Zero Hedge on Nov 8, 2016.

Trump On Whether He Will Concede If He Loses: “We’ll See What Happens”

WATCH: @realDonaldTrump votes for himself in New York earlier this morning. #ElectionDay pic.twitter.com/cUVlCsHfCq
— Fox News (@FoxNews) November 8, 2016

Shortly after 11am, Trump voted for himself in New York Public School 59 on E 56th St. in Manhattan. aAccompanying him were his wife Melania; daughter Ivanka Trump and Ivanka’s husband Jared Kushner and the couple’s young daughter, Arabella.

This post was published at Zero Hedge on Nov 8, 2016.

Gold and Silver Market Morning: Nov-8-2016 — Gold price waiting for results?

Gold Today -New York closed at $1,281.50 yesterday after the previous close of $1,304.20 London opened at $1,284.00.
– The $: was stronger at $1.1043: 1 from $1.1073: 1 yesterday.
– The Dollar index was slightly stronger at 97.76 from 97.54 yesterday.
– The Yen was unchanged at 104.45: $1 from yesterday’s 104.46 against the dollar.
– The Yuan was weaker at 6.7785: $1 from 6.7745: $1 yesterday.
– The Pound Sterling was weaker at $1.2390: 1 from yesterday’s $1.2446 1.
Yuan Gold Fix
Shanghai closed in line with other world gold markets today. No p.m. Fixing was given. The Yuan continues to weaken and will continue doing so. Ironically, its fall is being tempered by the People’s Bank of China which is selling dollars to ensure the fall is not ‘brutal’ and stem accusations of manipulation.
LBMA price setting: The LBMA gold price setting was at $1,284.00against yesterday’s $1,286.80. The gold price in the euro was set higher at 1,162.41 against yesterday’s 1,162.95.
Ahead of the opening of New York the gold price was trading at $1,284.20 and in the euro at 1,162.49. At the same time, the silver price was trading at $18.34.
Silver Today -The silver price fell to $18.22 at New York’s close yesterday from $18.39, Thursday.

This post was published at GoldSeek on 8 November 2016.