Got a Bully Problem? Send in a Bully

Here’s a news flash for you: Donald Trump is controversial and caustic. He says exactly what’s on his mind, no matter how incendiary, and he’s not afraid to make enemies, even with members of his party. ‘Bully’ is a word many people use to describe the 45th U. S. president.
The thing is, no one who voted for Trump – I think it’s safe to say – didn’t already know this about him. His being a bully is baked right into his DNA, and he expertly honed this persona during his stint as the tough-as-nails host of NBC’s The Apprentice.
Remember when Trump received flak a few weeks back for retweeting a gif of himself body-slamming ‘CNN’? The clip actually came from WrestleMania 23 in 2007, when the future president defeated World Wrestling Entertainment (WWE) CEO Vince McMahon – and consequently got to shave his head – in a fight billed as the ‘Battle of the Billionaires.’ Trump’s bombastic style and rough edges were so aligned with the smack-talking world of professional wrestling that he was inducted into the WWE Hall of Fame in 2013.
That’s who Trump is. He’s a bully. But I’m convinced that’s why he was elected – to stand up to even bigger bullies.

This post was published at GoldSeek on Wednesday, 30 August 2017.

California’s Pillage People Still Greedy After All These Years

In 1990, Gilbert Hyatt was awarded the patent for the first single-chip microprocessor. The computer industry welcomed this invention, earning Hyatt a lot of money. He soon moved to Nevada, which has no state income tax. California’s Franchise Tax Board (FTB) claimed Hyatt lied about his residency, and that he owed $7.4 million in taxes for a six-month period from 1991 to 1992. In Nevada, California’s FTB goons ransacked Hyatt’s trash without a warrant, told his business partners and doctors he was under investigation and shared Hyatt’s personal information with the media. Hyatt sued the agency for harassment and violation of privacy. California tried to get the suit dismissed, but in 2003 the U. S. Supreme Court ruled that Hyatt had a right to go to trial.

This post was published at FinancialSense on 08/30/2017.

ADP Employment Surges By The Most In 5 Months

ADP reports the US economy added 237,000 jobs in August, notably more than the expected 185k. This is the biggest addition since March, and follows upward revisions for July. While Services dominated (adding 204k), Goods-producing jobs rose 33k (with manufacturing adding 16k).
Medium- and Large-seized firms added the most jobs in August.
Manufacturing added 16,000 jobs in August….

This post was published at Zero Hedge on Aug 30, 2017.

It’s a Scary World Out There; Gold Is the Safe Haven

Gold finally broke through and held above the $1,300 resistance level this week.
There are a number of factors in place that could help sustain a gold bull run, but the biggest driver right now is fear.
And the fear isn’t unjustified. It’s a scary world out there.

As an article in the Economic Times put it, ‘the surge in the price of gold appears to be more than a ‘technical’ move. Instead, it smacks of fear in the markets.’
A weak dollar has certainly been a factor in the rising price of gold. But as the ET report points out, gold has resisted rallying even though the greenback has been weakening all year. And as Peter Schiff noted in his most recent Gold Videocast, gold is not just rising in dollar terms.
Gold now is not only rising in terms of dollars, but it’s finally rising in terms of everything. Gold is now going up in yen terms. It’s going up in Swiss frank terms, even though those currencies are rising as well. This is a key factor. And I think now that we have cleared out that resistance – there are a lot of people who thought there was no upside in gold. Well, they’re about to find out just how much upside there was.’

This post was published at Schiffgold on AUGUST 30, 2017.

Federal Agency Issues Warning on Reverse Mortgages

The Consumer Financial Protection Bureau (CFPB), the Federal agency created after the 2008 financial crash to protect consumers from predator banks, has issued a warning on what smells like the latest financial blood sport: bank employees selling reverse mortgages to seniors under the guise that it will allow them to reap a larger Social Security benefit down the road by delaying Social Security payments to a later age.
Reading through the CFPB report that accompanied the warning, it reminded us of how the tobacco industry had secretly targeted young people as ‘replacement smokers’ while intentionally hiding the deadly effects of smoking from the public.
The CFPB report advises that ‘nearly five million homeowners will turn age 62 by 2020.’ That’s the earliest age at which one can collect Social Security retirement benefits as well as the earliest age to apply for a reverse mortgage. That creates a big pool of potential new customers to whom banks can peddle reverse mortgages.
The problems with this marketing strategy are multiple explains the report:
‘The CFPB examined different scenarios and found that, in general, the reverse mortgage loan costs exceed the cumulative increase in Social Security that homeowners would receive in their lifetime by delaying Social Security benefits. Furthermore, using this strategy will likely diminish the amount of home equity available to borrowers later in life. As a result of the diminished equity, borrowers that seek to sell their homes after using this strategy may have limited options for moving to a new location or handling a financial shock.’

This post was published at Wall Street On Parade on August 30, 2017.

Big Bank Bosses Are Dumping Their Stocks As “Credit Risk Ricochets Back”

“Credit risk is ricocheting back as a legitimate concern after years of hibernation…” warns David Hendler, founder and principal at Viola Risk Advisors, who considers recent share sales by executives at the big retail banks, in particular, to be smart, as consumer portfolios are showing signs of strain.
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Wall Street analysts have been urging investors all year to buy stocks in the big US banks, but, as The FT reports, Wall Street itself is not listening.
We noted at the start of the year that executives of the biggest TBTF banks were dumping their shares as a post-Trump rally took their stock prices higher…

This post was published at Zero Hedge on Aug 30, 2017.

Harvey Makes Second Landfall In Louisiana After Leaving “Apocalyptic” Flooding, Record Rainfall In Texas

Five days after it first plowed into southwest Texas as a category 4 hurricane, Tropical Storm Harvey has made second landfall west of Cameron on the border between Texas and Louisiana, early Wednesday according to the National Hurricane Center. The storm, which has already pummeled the city of Houston with more than 50 inches of rain – a new record for the contiguous US, according to the Wall Street Journal – has left at least 18 dead, including two Houston police officers, and forced tens of thousands of people from their homes.
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Though the hurricane (now tropical storm) has wreaked widespread devastation on Texas, Reuters says citizens of Western Louisiana have at least one silver lining to cling to: torrential rains are expected to cease later on Wednesday as the storm picks up speed and moves northeast away from the Gulf of Mexico. NOAA was forecasting less than an inch of rain for the Houston area on Wednesday, with a slight chance of sunshine.

This post was published at Zero Hedge on Aug 30, 2017.

US HAS 30 MILLION JOBS THAT PAY $55K A YEAR: NO BACHELOR’S DEGREE NECESSARY

After decades of government propaganda and college universities telling young Americans that in order to be successful, they must get a four-year degree, the data has now proven that to be incorrect. As of right now, there are at least 30 million jobs that will pay $55,000 a year open in the United States, and they don’t require a college degree.
Trades have been the bread and butter of many Americans for centuries. But in the past few decades, the government has been pushing college degrees, getting students to take out more money in the form of government loans for school, and making billions of dollars on the interest. But those jobs don’t pay any more than a trade and a tradesperson won’t start their life off with hundreds of thousands of dollars in government debt for a piece of paper. Students and their parents no longer ask what that college degree is worth anymore – they just do as the society and the government has programmed them to do.
According to PBS, so much effort has been put into encouraging high school graduates to go to college for academic degrees rather than for training in industrial and other trades that many trade fields face worker shortages. Because of the shortage, California is spending $6 million on a campaign to revive the reputation of vocational education, and $200 million to improve the delivery of it.

This post was published at The Daily Sheeple on AUGUST 30, 2017.

DEATH OF THE U.S. DOLLAR RESERVE CURRENCY… Picking Up Speed

The Death of the U. S. Dollar as the world’s reserve currency will have a profoundly negative impact on the lives of most Americans. Unfortunately, 99% of the population has no clue. The only reason 1% of U. S. citizens understand what is going on, is because the Mainstream media and financial networks have distorted the truth and the reality of our present situation.
What happened in the markets today was a perfect example. Zerohedge published an article today titled, ‘Traders’ Panic-Buy Stocks, Shrug Off Nuclear Armaggedon, Debt Ceiling, & Biblical Flood Fears, and stating the following:

This post was published at SRSrocco Report on AUGUST 29, 2017.

America’s Two Democracies

America has two democracies, one political and the other free market. The concept of a political democracy dates back to Plato and his ‘Republic.’
Ludwig von Mises and my mentor Dr. Bill Peterson (a student and colleague of Mises) wrote extensively about our market democracy. Both of these great men are now just a memory but their legacy defines America. The political class dominates the news, while the market provides the solutions chosen by our citizens.
Plato described the political democracy as ‘full of disorder.’ Today, the political democracy provides a spectacle of unpleasant news and often nastiness. Fights endure about historic statues, taxes, wars, foreign influences, and the size and reach of government. Politicians are often brutish, unpleasant, and uninformed individuals who ignore history, cater to special interests, and place selfish motives as their highest values. Only on rare occasions do these politicians reflect the heart of so many great Americans, who are kind, generous, fair, and God fearing.
Thankfully, in spite of the daily circus, our political democracy has largely achieved freedom, order, and the opportunity for our market democracy to prosper, as envisioned by our founders. We all owe an extreme debt of gratitude to our founders for their extraordinary vision, understanding of human nature, and willingness to sacrifice their lives for this amazing country. The United States of America was divinely inspired and our freedoms are embedded into the greatest constitution in the history of the world.

This post was published at Ludwig von Mises Institute on August 29, 2017.

XIV — It’s Happening Again…

After falling 26% from the July 8th high the XIV has seen a retrace and is now trading 15% up off the August 8th low. The smaller degree wave structure of the move up off that low has been very sloppy and has already provided quite a few twists and turns.
This type of action was not entirely unexpected as this is what we expect when we are within what we call in Elliott Wave terms a ‘Fourth Wave’. I noted this last week when I wrote that, ‘Fourth waves are some of the more difficult patterns to project and typically requires traders to be nimble…’
We may, however, be close to the point where we will once again see some clean and tradable setups coming our way in the XIV.
In 2015 I read an article discussing how the XIV was “The #1 stock in the world”. That article was published on June 8th, 2015, and generated quite a bit of interest and discussion at the time of its publication. Fifteen days later, on June 23rd, 2015, the XIV topped and proceed to lose 69% of its value over the course of the next 6 months. During that same time period, the Dow Jones Industrial Average lost just 15% of its value. Furthermore, it took the XIV 1 years and 233% in gains to recover the losses that were incurred during that move lower in the XIV.
On Monday, August 28th of this year, The New York Times published an article highlighting the exploits of a trader who is said to have turned $500,000 into $12 million. It was reported that this was done over the past five years by shorting the VIX through various Exchange Traded Notes. Apparently, this trader is now attempting to start a Hedge Fund to raise $100 million dollars using the same short VIX strategy.

This post was published at GoldSeek on Wednesday, 30 August 2017.

Why Every European Country Has A Trump Or Sanders Candidate

Authored by Richard Drake via TheAmericanConservative.com,
The suicide in the Friuli region of northern Italy earlier this year of a 30-year-old man, identified in the newspapers only as Michele, has become a symbol of the country’s unemployment tragedy, particularly as it affects young people.
Though much worse in the South, the country’s economic crisis also has had a blighting effect on the North. The national unemployment rate now stands at nearly 12 percent. A 40 percent youth unemployment rate nationwide, however, has people speaking of a generational apartheid in Italy. There is no work to be found for young people. In the workplace, comparatively speaking, they have been walled off from the rest of the population.
Friuli is a region of plain and mountain in the northeastern part of Italy, flush against borders to the north with Austria and the east with Slovenia. The annals of Friuli antedate by many centuries the arrival of the ancient Romans, who founded the colony of Aquileia there nearly two hundred years before Christ. The barbarian invasions swept over Friuli in the general wreckage of the Roman Empire. An Aquileian state arose in the Middle Ages, but was absorbed in the 15th century by the expanding Venetian empire. Then Friuli passed through French and Austrian phases of occupation and control before becoming part the newly founded Kingdom of Italy, in 1866.
The Friulani, a highly energetic and resourceful people steeped in the work ethic common to the peasant and artisanal cultures of traditional Europe, tilled the land and also gained a well-deserved reputation for their skill in specialty crafts and the building trades. Typically in such cultures, the work that a man did defined him. The modern world has changed those old ways of life, but the culture they generated persists. More recently, Friuli became renowned for its small businesses and factories, which played a vital role in the national economy. There was still hard work for the Friulani to do.

This post was published at Zero Hedge on Aug 30, 2017.

Systemic Uncertainty, Meet Fragility

That’s the problem with fragility: everything looks fine on the surface until a crisis applies pressure. Then the whole rickety contraption collapses in a heap..
This doubt is fact-based; as the number of retirees swells, as Medicare costs soar ever higher and the number of full-time jobs paying into Social Security/ Medicare stagnates, these pay-as-you-go programs break down; Social Security is already paying out billions more than it collects from employers and employees. Life is inherently uncertain, but systems that were once considered certainties have increasingly become uncertain. Social Security is one example; recent polls reflect widespread doubts among Millennials and Gen-Xers that there will be any Social Security benefits left for them by the time they reach retirement age. Uncertainty is one thing, fragility is another. The socio-economic systems we rely on are also becoming increasingly fragile and prone to failure, for an entirely different set of reasons than those driving uncertainty. Changing fundamentals drive uncertainty. The nation’s demographics and stagnant wages for the bottom 95% are extremely unfavorable for pay-as-you-go programs like Social Security and Medicare; their future is uncertain because the inputs and outputs are changing.

This post was published at Charles Hugh Smith on TUESDAY, AUGUST 29, 2017.

Gold Reset To $10,000/oz Coming ‘By January 1, 2018’ – Rickards

– Trump could be planning a radical ‘reboot’ of the U. S. dollar
– Currency reboot will see leading nations devalue their currencies against gold
– New gold price would be nearly 8 times higher at $10,000/oz
– Price based on mass exit of foreign governments and investors from the US Dollar
– US total debt now over $80 Trillion – $20T national debt and $60T consumer debt
– Monetary reboot or currency devaluation seen frequently – even modern history
– Buy gold eagles, silver eagles including monster boxes and gold bars
– Have a 10% allocation to gold, smaller allocation to silver
Editor: Mark O’Byrne
A new monetary standard which will see the dollar ‘reboot’ and gold be revalued to $10,000/oz according to best-selling author and Pentagon insider Jim Rickards.
A monetary ‘reboot’ is not unprecedented Articles about an imminent return to the gold standard are not exactly infrequent in the gold world and it can be easy to become immune to them and dismiss them without considering the facts and case being made.

This post was published at Gold Core on August 30, 2017.

The US Cities with the Biggest Housing Bubbles

This is how monetary policies have crushed the value of labor. For the good folks who hope fervently that the Fed doesn’t have reasons to raise rates or unwind QE because there isn’t enough inflation, here is an update on one aspect of inflation – asset price inflation, and particularly house price inflation – where the value of your hard-earned dollars has collapsed over a given number of years to where it takes a whole lot more dollars to pay for the same house.
So here are some visuals of amazing house price bubbles, city by city. Bubbles really aren’t hard to recognize, if you want to recognize them. What’s hard to predict accurately is when they will burst. Normally the Fed doesn’t want to acknowledge them. But now it has its eyes focused on them.

This post was published at Wolf Street on Aug 29, 2017.

Anarchists, Big Business and ‘Price Gougers’ Helping Texans Through The Flood

Before I begin, let me say that here at TDV we don’t look to take advantage of emergencies to promote our worldview.
But, when we do see totally wrong information being spread widely we feel an obligation to correct it.
And, the topic of ‘price gouging’ during the Texas flooding is a perfect example.
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The internet, and of course the mainstream TELL-LIE-VISION programming, has been inundated with outrage that people are selling needed items during an emergency at a markup.
Most of those who are complaining likely have no knowledge of economics or if they do, it is an understanding warped by a Keynesian outlook that was taught to them during their 12 years of government indoctrination or the 4 years of college propaganda they received shortly thereafter.

This post was published at Dollar Vigilante on August 30, 2017.

Weird Things Are Happening With Gold

Authored by James Rickards via Daily Reckoning blog,
Last week featured two unusual stories on gold – one strange and the other truly weird. These stories explain why gold is not just money but is the most politicized form of money.
They show that while politicians publicly disparage gold, they quietly pay close attention to it.
The first strange gold story involves Germany…
The Deutsche Bundesbank, the central bank of Germany, announced that it had completed the repatriation of gold to Frankfurt from foreign vaults.
The German story is the completion of a process that began in 2013. That’s when the Deutsche Bundesbank first requested a return of some of the German gold from vaults in Paris, in London and at the Federal Reserve Bank of New York.

This post was published at Zero Hedge on Aug 30, 2017.