The Donald Can’t Stop It

Divine Powers
The Dow’s march onward and upward toward 30,000 continues without a pause. New all-time highs are notched practically every day. Despite Thursday’s 31-point pullback, the Dow is up over 15.5 percent year-to-date. What a remarkable time to be alive.
President Donald Trump is pumped! As Commander in Chief, he believes he possesses divine powers. He can will the stock market higher – and he knows it. For example, early Wednesday morning he blasted out the following Tweet:
‘Stock Market has increased by 5.2 Trillion dollars since the election on November 8th, a 25% increase.’

This post was published at Acting-Man on October 14, 2017.

Remember This Friday The 13th – Americans Are More Optimistic About The Stock Market Than They Have Ever Been Before

Happy days are here again for the U. S. economy – at least temporarily. On Friday, U. S. stocks hit another brand new record high. It seems like we are saying that almost every day lately, and most investors are absolutely thrilled by this seemingly endless surge. Global stocks are surging too – today world stocks hit a new record high for the 4th consecutive day in a row. But of course it isn’t just stock prices that are rising. As the week ended, pretty much everything was up, and we also got some good news about consumer sentiment. According to the new University of Michigan survey that was just released, U. S. consumers are the most optimistic about the economy that they have been since 2004…
The consumer sentiment index, a survey of consumers by The University of Michigan, rose to 101.1 in October, far ahead of the 95 economists polled by Reuters anticipated.
‘Consumer sentiment surged in early October, reaching its highest level since the start of 2004,’ Richard Curtin, chief economist for the Surveys of Consumers, said in a statement.
And according to that same survey, we have never been more confident that the stock market will continue to go up than we are right now…
Americans have never been more confident that that stock market will rally further in the next 12 months…

This post was published at The Economic Collapse Blog on October 13th, 2017.

Weekend Reading: $7 Trillion To Manipulate Prices

Authoreed by Lance Roberts via,
As the stock market continues to press new highs, the level of optimism climbs with it. I discussed yesterday Richard Thaler’s, a recent recipient of the Nobel Price in Economics, comments about not understanding the current ‘irrationality of investors relating to their investing behavior.’
What is interesting is that Thaler’s received his Nobel Prize for his pioneering work in establishing that people are predictably irrational – that they consistently behave in ways that defy economic theory. For example, people will refuse to pay more for an umbrella during a rainstorm; they will use the savings from lower gas prices to buy premium gasoline; they will offer to buy a coffee mug for $3 and refuse to sell it for $6.
The fact that a man who studies the ‘irrationality of individuals’ is stumped by current investor behavior should be alarming at the least.
But as earnings season gets underway we once again return to quarterly Wall Street ‘beat the estimate game,’ in which companies are rewarded by beating continually lowered estimates. Of course, the primary catalyst used to beat those estimates was not a rise in actual revenue, or even reported earnings, but rather ongoing accounting gimmickry and stock buybacks. As shown below, through the second quarter of this year, reported EPS, which includes ‘all the bad stuff,’actually declined in the latest quarter and has remained virtually unchanged since 2014. (But, even that is an illusion as shares have been aggressively bought back in order to sustain that same level of EPS.)

This post was published at Zero Hedge on Oct 13, 2017.

This Is What Americans Heard During The Mysterious Cuban Sonic Attacks, And Why Experts Don’t Buy It

Multiple neurologists and experts have told The Guardian that the mysterious ‘sonic attacks’ upon US diplomats in Cuba are likely just a case of mass hysteria. The extensive Guardian report is based on research and interviews with top neurologists and medical experts explaining that the likeliest explanation for the strange and inexplicable symptoms reported by US embassy staff in Cuba which have led to a breakdown in relations between the two countries has nothing to do with some kind of Cuban sonic device or high tech conspiracy.
The neurologists say that the most plausible explanation is that the diplomats’ high stress environment is leading to neurological abnormalities and disorders which are causing psychosomatic (or self-induced) symptoms. If true it would be a shocking revelation that such a “natural cause” phenomenon could result in the US removing most of its embassy staff from Havana. The Guardian report was issued on the very day that the Associated Press published what it purports to be an audio recording of high pitched undulating sounds which some embassy workers in Havana claim made them sick. Reports indicate that 22 US victims have suffered mysterious ailments after working at the embassy, including hearing, visual, cognitive, balance, sleep and other problems.

This post was published at Zero Hedge on Oct 13, 2017.

The Endgame of Financialization: Stealth Nationalization

This is the new model of nationalization: central banks control the valuation of private-sector assets without actually having to own them lock, stock and barrel. As you no doubt know, central banks don’t actually print money and toss it out of helicopters; they create a digital liability and use this new currency to buy assets such as bonds and stocks. Central banks have found that they can take control of the stock and bond markets by buying up as much as these markets as is necessary to force price and yield to do the central banks’ bidding. Central Banks Have Purchased $2 Trillion In Assets In 2017. This increases their combined asset purchases above $15 trillion. A trillion here, a trillion there, and pretty soon you’re talking real money–especially if you add in assets purchased by sovereign wealth funds, dark pools acting on behalf of monetary authorities, etc.

This post was published at Charles Hugh Smith on FRIDAY, OCTOBER 13, 2017.

Trump, the Chaos President, Adds Cruelty to His Brand

Donald Trump, the President of the United States, who took his companies through bankruptcy six times, picked the three-week anniversary of Hurricane Maria delivering an epic humanitarian crisis to Puerto Rico to shame the U. S. territory for its financial troubles and to traumatize the struggling residents by suggesting he may yank Federal workers from Puerto Rico.
The President, whose key job is to rally people in the time of crisis, posted the following, insanely cruel Tweet yesterday to a region where 84 percent of the residents still lack electrical power; one-third lack clean running water; and only 8 percent of the roads are passable according to government statistics: ‘We cannot keep FEMA, the Military & First Responders, who have been amazing (under the most difficult circumstances) in P. R. forever!’ Trump posted to his Twitter page. That post came shortly after Trump retweeted a statement suggesting that Puerto Rico’s ‘financial crisis looms largely from their own making.’
The three-week time frame for Trump’s patience to be running out in the midst of a humanitarian crisis contrasts with the three-year time frame, from 2007 to 2010, in which the Federal government’s patience and money were lavished on Wall Street to the tune of $16 trillion. Wall Street’s crisis was not the product of Mother Nature but a thundering herd of greed-obsessed banksters hell bent on looting the investing public and the public purse. (See Puerto Rico Relief Efforts Pale to that for Just One Wall Street Bank.)

This post was published at Wall Street On Parade By Pam Martens and Russ Marte.

Bridgewater Unveils New $700 Million Short

While in recent days Bridgewater has been in the news not for its investing acumen (or lack thereof), or the outspoken, contrarian views of its founder Ray Dalio, but rather the recent spirited attack by Jim Grant who in not so many words hinted, if not explicitly stated, that there is something very rotten in the state of (Westport) Connecticut, it is still the case that any major investing move the hedge fund… pardon the algo-driven investing hedge fund with no prime brokers and lots of ETFs, makes is sure to result in headlines, and today was no exception, because as Bloomberg reports, Bridgewater has amassed a “$713 million wager against Italian financial stocks, its biggest disclosed bearish bet in Europe.”
In addition to shorting five banks and one insurer, public filings disclose that the $160 billion hedge fund is also betting on a decline in the stock price of Milan-based Prysmian SpA, the world’s largest cable maker.
Bridgewater’s biggest short is against Intesa Sanpaolo, followed by UniCredit and insurer Assicurazioni Generali, all names very familiar to anyone who covered the endless European crisis from 2010 until the launch of QE by the ECB, and which were constantly on the verge of collapse.

This post was published at Zero Hedge on Oct 13, 2017.

Racketeering: America’s Business Model

Let’s face reality folks: In an honest society Amazon would be literally out of the media business this morning, and their stock price would crash by half.
Why? Because Rose McGowan, one of many women who have accused Weinstein of sexual assault, also claims that Amazon optioned a series from her and then killed it when she discovered they were effectively covering up the Weinstein scandal and demanded they cut that crap out.
In other words she is accusing Amazon and Jeff Bezos, it’s CEO, of intentionally enabling Weinstein’s continued abuse of women and children and financially damaging her when she pushed back on their covering up allegations of criminal sexual assault.
May I remind you that central to Amazon’s business model is Prime Video original shows?
Of course Amazon isn’t the only firm that would be hacked to death in the market this morning if anyone gave a damn. A huge percentage of media studios and affiliated firms would be literal zeros.
Look folks, everyone is entitled to the presumption of innocence, but can we cut the crap? You have already demonstrated over the last 30 years that you will sit still while the entire medical industry buttrapes you to within an inch of your life on a daily basis, stealing $3 trillion a year from consumers through their price-fixing. It’s not just the big stuff, it’s the little stuff too, like advertising a $15 price and then charging someone $25. Worse, it’s not posting a price at all and then charging someone five times that $15 after you already took their order and they’re obligated to pay. It’s charging someone $800 for 20 minutes of a doctor’s time, again, only after the person in question is committed to pay because the service was already performed.

This post was published at Market-Ticker on 2017-10-13.

Hotel California and the Federal Reserve

In 1977 the Eagles spoke to us about ‘Hotel California.’ Lyrics are here.
A few lines from the song …
‘On a dark desert highway, cool wind in my hair…
Up ahead in the distance I saw a shimmering light…
Then I was thinking to myself this could be Heaven or this could be Hell
Welcome to the Hotel California
Some dance to remember, some dance to forget
They’re living it up at the Hotel California
We are all just prisoners here of our own device
Relax, said the night man, We are programmed to receive,
You can check out any time you like but you can never leave.’
The lines have been rewritten to fit the Federal Reserve – the hypothetical ‘Hotel Marriner Eccles:’ ‘On a dark digital highway, QE rewarding my pals
Up ahead in the distance I saw a burning pyre of debt
I was thinking to myself this should be Heaven but it’s Hell
Welcome to the Hotel Marriner Eccles
Some pontificate to remember, some lie to forget

This post was published at Deviant Investor on October 12, 2017.

Fake v Real News – A Turf Battle

Donald Trump launched his Real News to combat the Fake News. Interesting turf battle. What I can say is that many people in Florida are very upset with CNN and their whole coverage. The frightened people so much that they were paying $7,000 for a flight out of town. There was no 15-foot wall of water and make see it now as FAKE NEWS not just with respect to politics, but everything is exaggerated to get people to watch.
Armstrong Economics

This post was published at Armstrong Economics on Oct 13, 2017.

Americans Prove They Don’t Give A Cluck About “Cage-Free”; They Just Want Cheap Eggs

“Cage-free” eggs were supposed to be the next big thing in America. Over the past several years everyone from McDonalds to Wal-Mart has promised to convert to cage-free eggs on the premise that millennial consumers would demand at least 144 square inches of space for the layers of their morning omelettes to frolic in freedom. As it turns out, Americans couldn’t seem to care less whether chickens have 144 square inches of freedom or the hisotrical 67 square inches…they just want cheap eggs, hold the bullshit.
As Bloomberg points out this morning, egg producers all over the country are scrapping plans for cage-free projects as people simply don’t seem to be interested in paying 7.5x more for their “humane” products compared to the same ole eggs they’ve purchased their whole life.
A dozen cage-free large browns cost as much as $2.99 in the Midwest last week, for example, while a carton of Grade AA white conventionals went for as little as 39 cents, according to the U. S. Department of Agriculture. That ‘higher-price gap,’ as Cal-Maine Foods Inc. CEO Dolph Baker called it, has cut into specialty-egg demand. The company, the largest U. S. egg producer, said earlier this month it is adjusting its cage-free output accordingly.

This post was published at Zero Hedge on Oct 13, 2017.


GOLD: $1302.35 up $10,15
Silver: $1739 up 22 cents
Closing access prices:
Gold $1303.90
silver: $17.42
PREMIUM FIRST FIX: $9.05 (premiums getting larger)
Premium of Shanghai 2nd fix/NY:$8.65(PREMIUMS GETTING LARGER)
LONDON FIRST GOLD FIX: 5:30 am est $1293.90

This post was published at Harvey Organ Blog on October 13, 2017.

The Rally’s Relentless Bid Is “Unprecedented”

Via Dana Lyons’ Tumblr,
The persistence of the recent stock rally is nearly unprecedented in the past 50 years.
Perhaps the most impressive aspect to the stock market rally over the past several months has been its relentlessness. Much to the bears’ chagrin, it has felt as if the market is on a one-way ticket higher. If you have observed this reluctance on the part of stocks to go down, you are not imagining things. By some quantitative measures, the recent bid is among the most relentless the market has seen in the past half century.

This post was published at Zero Hedge on Oct 13, 2017.