Wednesday, July 27, 2016
On the Italian and Eurozone Doomsday Scenario / Interest-Rates / Eurozone Debt Crisis
By: Steve_H_Hanke
On June 23rd, the voters in the United Kingdom (UK) turned a collective thumbs-down on the European Union (EU). The Brexit advocates – the ones who had had enough of the EU’s mandates and regulations – won the day. But, this is only the first step on a long and winding exit road. To formally begin its withdrawal from the EU, the UK must trigger Article 50 of the Lisbon Treaty, and the new British Prime Minister, Theresa May, won’t do that before the end of 2016. Once triggered, the UK has two years to negotiate its exit from the EU.The Brexit vote was a surprise that temporarily rocked the markets, sent the pound to a 32 year low, and sent the chattering classes chattering. It also poured fuel on a simmering Italian fire – a fire that could result in an Italian, as well as a Eurozone, doomsday scenario.
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Wednesday, July 27, 2016
Zero Percent Mortgages Debut Setting up the Next Stage for this Stock Market Bull / Stock-Markets / Stocks Bull Market
By: Sol_Palha
Although gold dust is precious, when it gets in your eyes it obstructs your vision.
Hsi-Tang
Economists stated that main trigger for the financial crisis of 2008 was the issuance of mortgages that did not require down payments. The ease at which one could get mortgages in the past is what drove housing prices to unsustainable levels. Post-crisis all banks vowed to end the practice forever, or that is what they wanted everyone to believe. When the credit markets froze, we openly stated that the 1st sign that banks were getting ready to lower the bar again would come in the form of Zero percent balance transfer offers that had all but vanished after 2008. A few years after 2008, banks started to mail these offers out, and now everywhere you look you can find 0 % balance transfer offers ranging from 12 months to 18 months. The next step after that would be for banks to lower the 20% down payment required to something much lower. Currently, Bank of America and a few other banks are offering 3% down mortgages.
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Wednesday, July 27, 2016
Japan's "Helicopter Money" Play: Road to Hyperinflation or Cure Debt Deflation? / Interest-Rates / Quantitative Easing
By: Ellen_Brown
Fifteen years after embarking on its largely ineffective quantitative easing program, Japan appears poised to try the form recommended by Ben Bernanke in his notorious "helicopter money" speech in 2002. The Japanese test case could finally resolve a longstanding dispute between monetarists and money reformers over the economic effects of government-issued money.
When then-Fed Governor Ben Bernanke gave his famous helicopter money speech to the Japanese in 2002, he was talking about something quite different from the quantitative easing they actually got and other central banks later mimicked. Quoting Milton Friedman, he said the government could reverse a deflation simply by printing money and dropping it from helicopters. A gift of free money with no strings attached, it would find its way into the real economy and trigger the demand needed to power productivity and employment.
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Wednesday, July 27, 2016
Are Central Banks Crazy Enough to Think Helicopter Money is the Answer? / Interest-Rates / Quantitative Easing
By: Rodney_Johnson
Central banks around the world have a common problem. They are failures. For the past eight years, central bankers worked tirelessly to generate economic activity. They pushed interest rates below zero and printed trillions of dollars.
And yet, the IMF recently cut its global growth forecast again.
Most economies are stuck in neutral while threats such as the debt crisis in Europe and deflation in Japan keep growing. Now central bankers are talking about a new tool – helicopter cash (free money distributed by a government agency). It won’t work either, but don’t expect that to stop the bankers from trying!
Wednesday, July 27, 2016
SPX, TNX May Finish their Rallies. BKX May lead the Decline / Stock-Markets / Financial Markets 2016
By: Anthony_Cherniawski
Good Morning!
At last there may be some resolution to this rally. The Triangle formation is an introduction to the terminal thrust for this rally. A Triangle formation also suggests this may be the last of the rallies. I drew the upper channel trendline in the same manner as the 2-hour chart. It shows a probable terminus of the last thrust closer to 2185.00. Given the rise in volatility that the Fed meeting may engender, it may be a more likely top than the minimum 2180.00 that I mentioned yesterday.
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Wednesday, July 27, 2016
Consumption and Debt Will Bring Down the System - Video / Interest-Rates / Global Debt Crisis 2016
By: Mario_Innecco
I like to talk about credit consumption and financial bubbles and also
production which is seems to been forgotten for the last note 20 years or
so especially in the Western countries you know the United States Canada Australia
Europe Japan it seems like the problem - all the solutions in terms of the economy is for
the creation of more credit more leverage more bubbles in order to keep people consuming and creating this
artificial wealth and paying taxes to keep a big bloated government going or
you know creating credit to build Matt weapons you know of war and conflict for
profit and i remember i think it was after the financial crisis and hank.
Wednesday, July 27, 2016
Monetary Zika - The Insidious Nature of Credit Expansion / Currencies / Fiat Currency
By: Dr_Jeff_Lewis
The insidious nature of credit expansion under the implicit guise of forced legal tender has worked it’s way (essentially) undiagnosed through many generations.
Viruses work from the inside out. They take over the control center of a cell. They use the existing machinery to proliferate.
Ultimately, the most successful become part of the host. Some become a part of the genome.
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Wednesday, July 27, 2016
Gold and Pork Bellies / Commodities / Gold and Silver 2016
By: Nick_Barisheff
Many investors and their financial advisors consider gold to be a commodity, which makes gold no different than copper, timber, pork bellies or orange juice. They do not understand, or simply are unaware, that gold has been successfully used as money for over 3,000 years. Although some people think it is an archaic relic, the facts don’t support this view. So, what is money?
Gold is traded on the currency desks of all major banks and brokerages, along with dollars, euros, yen and pounds, and not the commodity desks along with other commodities – the FX traders know gold is money.
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Wednesday, July 27, 2016
Silver Is Insurance Against The Worst Part Of This Depression / Commodities / Gold and Silver 2016
By: Hubert_Moolman
The worst part of the world's ongoing financial crisis is still on the way: A crisis that has its roots in the debt-based monetary system. The debt-based monetary system has facilitated the growth of debt, to levels that will inevitably bring total collapse.
Everyday we see more and more events (think Greece, Deutsche Bank, etc.) that suggest that the total collapse is very close. The number of these will increase over the coming months, while their extent will also greatly magnify.
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Wednesday, July 27, 2016
Topsy-Turvy, Volatile Stock Market Session / Stock-Markets / Stock Markets 2016
By: Harry_Boxer
The stock market had a topsy-turvy, volatile session. The indices were up sharply in the morning, came down sharply midmorning, rallied back midday, came down again in the afternoon, made higher lows, and then rallied back at the end of the day, finishing mixed on the day.
Net on the day, the Dow was down 19.31 at 18,473.75. The S&P 500 was up .70 at 2169.18. The Nasdaq 100 was up 6.18 at 4672.11.
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Wednesday, July 27, 2016
Stock Market Should be Going Down And Yet... / Stock-Markets / Stock Markets 2016
By: Ed_Carlson
Everything seems to say this market should be going down... and yet... price is always the final arbiter. July through October is a seasonally bullish period of the year for the VIX. The VIX closed last Friday at 12.02. The last time the VIX was below 13.00 was last August just before the S&P 500 declined over 11.00%... and yet...
Sentiment is at an extreme. The CNN Fear & Greed index is at 83 which is a level described as "extreme greed". The NAAIM Exposure index is at 96 which is as bullish as it has ever gotten... and yet...
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Wednesday, July 27, 2016
Don’t Buy The SPX Hope Stock Market Rally! / / Stock Markets 2016
By: Chris_Vermeulen
All bubbles burst; the question is when? Quantitative Easing (QE) is much like an addiction. One needs more and more to get the initial effect, however, this becomes an asymptotic result, whereas, eventually, one needs an infinite amount that will no longer give a positive effect! So, now that QE has failed, I believe there will now be the introduction of “Helicopter Money”.
Global central bankers constantly continue to spend their way out of their contracting economies, which are now resulting in large budget deficits. The deficits that these policies have produced are unsustainableand have now created a new fiscal crisis within their countries. A second response has been to expand the central banks’ balance sheets as a way of providing liquidity to the private sector. These policies have also sent interest rates into unprecedented historical lows. European countries and Japan have sent their rates into negative territory, thereby reducing returns to fixed-income investors. Low interest rates have encouraged corporations to borrow more money but, in turn, harm the investors savings for their future.
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Tuesday, July 26, 2016
Bitcoin $650 Still in Play / Currencies / Bitcoin
By: Mike_McAra
In short: no speculative positions.
A recent development in the Ethereum ecosystem might turn out to be important for other digital assets, Bitcoin included. On CoinDesk, we read:
The ethereum ecosystem is returning to normalcy following a high-profile hack last month that resulted in nearly $60m worth of investor funds ending up under the control of an unknown group or individual.
The 'theft', as some would label it, was eventually reversed through what's known as a hard fork, a change in the code, 'approved' by an informal community vote, that effectively moved the disputed funds to a new account where investors could withdraw their original investments.
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Tuesday, July 26, 2016
Russia’s UN Envoy Blasts US Mass Murder in Syria / Politics / US Military
By: Stephen_Lendman
All US wars kill many more civilians than combatants - the ugly truth Washington wants suppressed. America considers everyone in war theaters legitimate targets while claiming otherwise.
Since summer 2014, US warplanes illegally bombed Syrian and Iraqi targets on the phony pretext of combating terrorism, killing unknown numbers of civilians, hundreds, maybe thousands - all the while disingenuously claiming to go all-out to avoid so-called collateral damage.
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Tuesday, July 26, 2016
The Spectacle of Sanders in Philadelphia As Hillary Puppet / ElectionOracle / US Presidential Election 2016
By: Stephen_Lendman
Sanders didn’t just fall from grace. He crashed, burned and resoundingly proved politicians can never be trusted.
Nothing they say is credible. For months, supporters believed he was the anti-Clinton, campaigning against what she represents - an agenda of endless wars of aggression, world peace at risk, neoliberal harshness, police state terror, the worst of all possible worlds.
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Tuesday, July 26, 2016
Deutche Bank Stock Price Crash - The EU Has Problems Far Beyond the Brexit / Stock-Markets / European Stock Markets
By: Harry_Dent
The Dow dropped nearly 1,000 points (5%) and the London FTSE dropped 10% after the Brexit vote surprised the markets on June 23. After two days though, markets were marching back up again.That’s just like markets on “crack!” They react to political events, but totally miss the fundamentals.
Yes, Brexit is important. Years from now it will be recognized as the beginning of the end for the great Eurozone experiment.
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Tuesday, July 26, 2016
UK Annuity competition has never been weaker / Personal_Finance / Pensions & Retirement
By: MoneyFacts
The latest analysis of the annuity market by Moneyfacts has highlighted the challenging pricing conditions facing the sector and suggests that competition in the annuity market has never been weaker.
The analysis conducted for the Moneyfacts Personal Pension and Annuity Trends Treasury Report shows a seeming lack of appetite among providers to compete for annuity business, a factor which is contributing to record low annuity rates.
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Tuesday, July 26, 2016
SPX is Flat, Crude is Down / Stock-Markets / Stock Markets 2016
By: Anthony_Cherniawski
Good Morning!
The SPX Premarket is flat this morning. Normally, at the beginning of the Fed meetings, I would expect the SPX futures to be higher. That may be the case prior to the open. If this is a “buy the rumor, sell the news” moment, I would anticipate that all the rumors may have already been played out.
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Tuesday, July 26, 2016
Nasdaq Pulling the Stock Market Up, and Down / Stock-Markets / Stock Markets 2016
By: Gary_Savage
Markets don’t generally go through a major resistance zone on the first try. Notice it took the S&P 5 tries before it could break through the 2015 high.
I think we can expect the same thing when the Nasdaq tests the all-time highs. It should pull back, and I expect it will take the rest of the markets down with it. Nasdaq will likely pull back to the 5,000 level.
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Tuesday, July 26, 2016
Nasdaq Closed Flat Despite Down Day / Stock-Markets / Stock Markets 2016
By: Harry_Boxer
The stock market indices started off the week on a very weak note, and although an afternoon comeback from midday hold of secondary support created a market rally that saw a late afternoon pullback consolidation, and then a strong surge in the last half hour to take back a big chunk of losses back. However, they were unable to get to through to the positive side, although the Nasdaq 100 closed nearly flat on the day after being down as much as 15 points.
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