Monday, July 20, 2015
China Crash and the Extinction of Markets / Stock-Markets / Market Manipulation
China's four-week-long stock market rout wiped out nearly 30% off the Shanghai Composite Index since its highs of June. To stem those losses the Chinese government has formulated an interesting hypothesis: stocks won't go down if you ban sell orders.
Working off this proposition Beijing has ordered shareholders with more than a 5% interest to stop selling shares; directors, supervisors, and senior management personnel are also barred from reducing their holdings.
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Monday, July 20, 2015
Markets Big Deflationary Downwave Quick Reference Guide... / Stock-Markets / Financial Markets 2015
We are believed to be on the verge of another deflationary downwave, similar to or more severe than the one which drove the dollar spike - and commodity slump - between July of last year and March, and caused by an intensification of the debt crisis, with increasing capital flight out of Europe and into dollar assets as the EU crumbles. More QE will not save the situation, as it is already discredited and will have no more effect than trying to inflate a tire or rubber boat that has a big hole in it.
It is understood that in this modern age many readers have a very limited attention span, due to time constraints and the tendency to multi-task. For this reason this update is being kept short and to the point. It is intended to make plain in the clearest possible manner the scenario that is expected to unfold in the coming months. So let's get to it.
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Monday, July 20, 2015
China’s Total Gold Holdings Much Higher – Owns Gold In SAFE and CIC / Commodities / Gold and Silver 2015
- China revises up its stated gold reserves in bid for IMF membership and reserve currency status
– China announces a 604 tonne increase in gold reserves
– First public disclosure re reserves in since 2009
- China officially owns around 1,660 tonnes of gold reserves – true total figure is likely much larger
- Playing long game – protecting USD reserves and positioning RMB as global reserve currency
- China true gold holdings much higher as also owns gold in SAFE and CIC
Monday, July 20, 2015
Why Corporate Earnings Season Is the Most Wonderful Time of the Year for Traders Like Us / Companies / Corporate Earnings
MoneyMorning.com If you've traded for more than a few months, you've seen how earnings season can really move share prices – in both directions.
If you hold, say, a blue chip and it hits on earnings, you can book some nice single- or double-digit gains. Or, if there's a miss, you might take a loss.
In fact, earnings season trading is one of the most volatile strategies you can use. It's not for the faint-hearted.
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Monday, July 20, 2015
NISAs – Not that Nice After All / Personal_Finance / ISA's
A year ago George Osborne increased the ISA allowance to a whopping £15,000, enabling savers to stash more money away tax-free.
However, a year on and the ISA market is just as disappointing. In fact, since the launch of the NISA, rates have fallen ever further, with the average ISA rate dropping from 1.57% in July 2014 to just 1.44% today.
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Monday, July 20, 2015
Are the Production or Consumption Drivers of the Gold Price? / Commodities / Gold and Silver 2015
There are many opinions about what factors drive the price of gold. Among the candidates you will find: inflation rates, U.S. dollar exchange rate, real interest rate, geopolitics, oil prices, market volatility and crises, mine production, jewelry demand, speculation, technological demand, central banks’ actions, manipulation, and investment demand. We will deal with them in this and the following editions of the gold Market Overview. We will begin by rejecting production and consumption. It does mean that they do not affect the gold price; however we are interested in factors which drive the gold price.Read full article... Read full article...
Monday, July 20, 2015
Iran Agreement Boosts Peace, Defeats Neocons / Politics / US Politics
Last week's successfully concluded Iran agreement is one of the two most important achievements of an otherwise pretty dismal Obama presidency. Along with the ongoing process of normalizing relations with Cuba, this move shows that diplomacy can produce peaceful, positive changes. It also shows that sometimes taking a principled position means facing down overwhelming opposition from all sides and not backing down. The president should be commended for both of these achievements.
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Monday, July 20, 2015
The Fed’s Confusion Over the "Natural Rate" of Unemployment and Inflation / Economics / US Federal Reserve Bank
In May, the US unemployment rate stood at 5.5 percent against the rate of 5.3 percent for the “natural unemployment,” also known as the Non-Accelerating Inflation Rate of Unemployment (NAIRU).
According to the popular view, once the actual unemployment rate falls to below the NAIRU, or the natural unemployment rate, the rate of inflation tends to accelerate and economic activity becomes overheated. (This acceleration in the rate of inflation takes place through increases in the demand for goods and services. It also lifts the demand for workers and puts pressure on wages, reinforcing the growth in inflation).
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Monday, July 20, 2015
Gold and Silver Flash Crash - Thousands of Futures Contracts Dumped at Market Open / Commodities / Gold and Silver 2015
This was a little enthusiastic even by current standards, or lack thereof.
About seven thousand gold futures contracts, representing about 21.8 tonnes of paper gold, were dumped at market in one minute driving the price down to $1,080.
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Monday, July 20, 2015
Stock Market in Danger of Bear Slide / Stock-Markets / Stock Markets 2015
Last week I was looking for a short term low Monday and a rally into Wednesday, then down into week's end. The short term low occurred on Sunday in the futures market then sky rocketed all the way into Friday, July 17. In the past, whenever I've seen the 8 TD top go 10 TD's on a 16 TD top area, the market got over extended and lead to hard selling the following week.
Clearly, my forecast was a miss, but I don't think the next one will be too far off. We have the 16 TD low due July 22-24 (July 24 if we go 18 TD's like the last top). The next top is the 8 TD top due right on the FED meeting date July 29. The following week sees the 5/40 wk low due around the 5th of August.
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Monday, July 20, 2015
Stock Market Relief Rally and More / Stock-Markets / Stock Markets 2015
Current Position of the Market
SPX: Long-term trend - Bull Market
Intermediate trend - SPX may have started an intermediate correction
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discusses the course of longer market trends.
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Monday, July 20, 2015
Was Greece Debt Crisis Always Part Of Eurozone Master Plan? / Politics / Euro-Zone
Since its inception, critics of the eurozone have been pointing to its incomplete nature — everyone uses the same money but keeps their own national budgets and tax regimes — and speculating that this “fatal flaw” would doom the system. Other observers, however, gave the euro’s creators more (Machiavellian) credit and assumed the initial version was simply what was politically attainable at the time. Future leaders, they predicted, would wait for (or engineer) a crisis and then use it to bully their reluctant citizens into a centralized government.
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Monday, July 20, 2015
Stock Markets "Whistle Past the Graveyard" as Google Gains $65 Billion in Just One Day / Companies / Corporate News
MoneyMorning.com Michael E. Lewitt writes: While markets decided to ignore what are destined to be doomed attempts to cover over intractable debt crises in Greece and China, the real action in the markets last week took place in two high-flying NASDAQ stocks – Netflix, Inc. (NASDAQ:NFLX) and Google, Inc. (NASDAQ:GOOG).
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Sunday, July 19, 2015
The Historical DOW Stock Index / Stock-Markets / Stock Markets 2015
Some are concerned that the stock market is overvalued, and the bull market may end soon with a resounding crash. They have some valid points. US GDP, to date, has underperformed most modern recoveries. Corporate revenues have been soft lately due to the USD’s bull market. Interest rates are at historical lows and can only go higher, eventually. Record corporate stock buy backs have been helping to drive the stock market higher. Nearly everywhere you look Central Bankers are increasing their balance sheets by buying debt, and stocks in some cases. And, there are bubbles forming in the Bond market, Biotech, and Social media sectors.
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Sunday, July 19, 2015
Retail Silver Premiums - The Candle Blowing in the Wind / Commodities / Gold and Silver 2015
Despite the continued technical, paper induced bias to the downside, recent news that the US Mint has stopped silver eagle production is once again is being singled as the likely cause for the premium surges now being observed across all physical silver retail products.
Is this true physical demand bleeding through the paper charade?
The bullion retail trade is a thin margin business to begin with.
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Sunday, July 19, 2015
Canada in Recession Admits Canadian Central Bank, Operation Twist? / Economics / Recession 2015
... The Solution: More Bubbles; Operation Twist Canadian Style?
The Bank of Canada admitted on Wednesday that Canada was in Recession. Well sort of.
Bank of Canada Governor Stephen Poloz is afraid to speak the "R-Word". Instead, Poloz phrased it this way: "Real GDP is now projected to have contracted modestly in the first half of the year."
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Sunday, July 19, 2015
Lies, Damned Lies and Statistics / Economics / Economic Statistics
The government released their monthly CPI report this week. Even though it came in at an annualized rate of 3.6%, they and their mouthpieces in the corporate mainstream media dutifully downplayed the uptrend. They can’t let the plebs know the truth. That might upend their economic recovery storyline and put a crimp into their artificial free money, zero interest rate, stock market rally. If they were to admit inflation is rising, the Fed would be forced to raise rates. That is unacceptable in our rigged .01% economy. There are banker bonuses, CEO stock options, corporate stock buyback earnings per share goals and captured politician elections at stake.
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Sunday, July 19, 2015
BSS Life Sciences Biotech Stock Analysis / Companies / BioTech
An endoscope is the medical device used - by direct insertion - to visualize suspicious masses in the hollow organs of the body such as the gastrointestinal tract, esophagus, lungs, urinary tract and uterus.
In 1805, Philip Bozzini used a rudimentary, light-guiding tube he created (a Lichtleiter - light guiding instrument) to view the urinary tract, pharynx, and rectum.
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Sunday, July 19, 2015
Was Greece Set Up To Fail? / Politics / Eurozone Debt Crisis
I started writing this on my last night in Athens for now, Wednesday, and had no time to finish it then:
On the eve of my temp absence from this great city, a few things. I could simply extend my stay, which might be slightly cheaper, but A) flights to Athens cost less all the time, and B) I have to go see my mom in Holland, who’s not doing well at all. On top of that, Nicole arrived in Holland last week, and we might as well just fly out back here together in a few weeks.
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Sunday, July 19, 2015
Five Ways for Stock Investors to Profit from the Greek Debt Crisis / Stock-Markets / Investing 2015
MoneyMorning.com Michael A. Robinson writes: Today I'm setting you up with five ways to profit from the Greek Debt Crisis and any other sell-offs that come along.
The market swoons and soars we've seen over the past couple of weeks are part of a long-term trend.
Just in the last week, we saw enormous battles between the bulls and the bears as a bevy of market "pundits" tried to factor in what the dramas in Greece and China will mean for the markets.
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