H/t reader squodgy:
“Lies, Damned Lies, Adjusted Lies and DISINFORMATION.
Covering up the reality to hide incompetence. We all know the reality, whether it is Caterpillar, Mercedes, Scania or Boeing. The market is in the doldrums and there is little or no chance of recovery, but the bullshitters who lied about recovery, are now modifying their original predictions to make them more akin to the truth.”
Years of painfully slow growth slashed in one fell swoop!
Something funny happened when I didn’t look: the global trade numbers were adjusted down. By a lot. The post-Financial Crisis recovery in trade is suddenly a heck of a lot less vibrant than it looked. And it has completely stalled out over the past two years.
The CPB Netherlands Bureau for Economic Policy Analysis, a division of the Ministry of Economic Affairs, just released its Merchandise World Trade Monitor for May. It was, in its own right, not very uplifting.
World trade volume shrank 0.4% in May, after shrinking 0.3% in April. The index fell to 133.0, the lowest level since May 2015. It’s back where it had first been in September 2014.
But wait…. Last time we wrote about the World Trade Monitor (WTM) was July a year ago. We’ve kept our eyes on it because it is a valuable and unique tool in trying to gauge global trade. So this time, something jarred us, and we went back to look at the data from a year ago: the entire data series going back to Adam and Eve has been adjusted downward, with the most significant adjustments kicking in after the Financial Crisis. Continue reading »
There was a time when Caterpillar was considered a key bellwether for trends in global heavy industries, and thus a proxy for the manufacturing sector. However, over the past 3 years that has not been the case for one simple reason: if one looks only at trends revealed by CAT’s retail sales the global economy has been mired not in a recession but an unprecedented depression, one which has now lasted some 43 months. That’s how long CAT has gone without a single positive month in global retail sales, well over double the duration of the acute collapse in demand following the financial crisis.
Since there is little we can add to this story that we haven’t sasid for the past 42 months in our monthly monitoring of demand for CAT products, we will just lay out the breakdown: Continue reading »
H/t reader squodgy:
“I think not. The parrots were only doing as they were told. I still believe the populace were herded into Brexit under a false ‘identity/immigration’ banner.
For years now, because the core of the Rothschild dynasty is resident in England, logically, they would want it to be the base for the future of their next economic structure.
This article kind of sets off down that road, but also points to israel becoming more entrenched as a major player than certain forecasts predict.”
I believe London, as well as Frankfurt (former Rothschild residence), will be destroyed.
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H/t reader squodgy:
“The vultures gather….”
It was a perfect gift to a desperate market. All that was needed was a gentle hint that Italy’s troubled banks and their bondholders might not be hung out to dry. A “public backstop” for Italy’s weakest lenders would be a “very useful” measure in these “exceptional times,” ECB President Mario Draghi said.
Most Italian and European bank stocks surged.
The ECB is the second member of the institutional triad formerly known as the Troika to have called for a taxpayer funded bailout of Italy’s banking system. Earlier this month the IMF used its article IV consultation – an annual economic and financial health check – to warn of “global spillovers” from a full-blown Italian banking crisis, “given Italy’s systemic weight.” Continue reading »
Having followed China’s biggest risk with great interest for the past year, which incidentally is not its $36 trillion in debt, nor its defaults, its zombie companies, its ponzi “wealth products”, its currency, its capital outflows, its crony capitalism and corruption, nor its gargantuan capital misallocation, but the threat of a social revolution as a result of a surge in unemployment as entire zombie industries fail, that has always been true biggest risk for Beijing (something the Politburo knows very well), we found it less than surprising when last September a Chinese coal company announced it would fires 100,000.
That was just the tip of the iceberg for China’s insolvent commodity sector, which just happens to employs tens of millions of no longer needed workers. Continue reading »
Some people have impeccable timing. Even if by accident, there are occasions when what they say or write comes out in almost perfect sequence. At the end of August 2014, UC Berkeley economist J. Bradford DeLong wrote an article for Project Syndicate that argued in favor of proper categorization. The lack of recovery was so drastic that the economist community and indeed the world at large needed to come to terms with what was actually taking place; and that was not anything like what was being described especially at that time.
To have such a Keynesian of prominence make such an indictment like that may seem somewhat surprising, as it has been they who have most objected to classifying this economy as anything but robust. Some of it is surely political, or at least loyalty to the good standing monetarist/Keynesians (neo-Keynesian, saltwater-ists, or whatever they call themselves these days) at the Federal Reserve, where no economist shall direct any disparaging comments toward the palace. But to DeLong, the issue had never been about recession at all: Continue reading »
This article was written by Joshua Krause and originally published at The Daily Sheeple.
Editor’s Comment: Few things are more reassuring than certainty. And one certainty you can bet on is that this house of cards won’t last. How much farther can things be stretched thin? How much more can the world take? The looming implosion of the global economy is a question of when, not if.
There is a great deal of anxiety about when and how things will go down, and how the world will react. But no one can really doubt whether or not the system is sound… in fact, it is entirely certain that it isn’t. Too many have taken on way more than they can handle, and the future looks simply disastrous. Beware and be forewarned.
by Joshua Krause
In recent years we’ve seen global debts soar to heights never before seen in human history. Before the financial crisis of 2007 and 2008, public and private debts were already out of control, but when the governments of the world tried to keep the global economy together with all their might, they did so by going into debt, to the tune of over $200 trillion. And that’s just what the numbers looked like the last time anyone checked back in 2014. Who knows how much debt the world is in now. Continue reading »
If there’s nothing supporting this rally but euphoric sentiment arising from orchestrated buying, any eruption of reality will reveal the rally as a head-fake.
Let’s say you wanted to engineer a stock market rally that triggered every technical “buy” signal and wiped out those who are short the market–what would you do? First, you’d engineer a new all-time high to signal “all clear for further advances.” Continue reading »
Seemingly doubling down on his comments in April (following what he called Europe’s “flawed asylum policy”), George Soros has expanded his demands from four to seven fundamental pillars on how to prevent the collapse of the European Union. In an article penned for Foreign Policy titled “This Is Europe’s Last Chance to Fix Its Refugee Policy,” Soros details his plan (over-riding the current “piecemeal approach”) for rescuing Europe before it is too late. Simply put, the billionaire says the EU must take in hundreds of thousands of refugees a year, spend at least 30 billion euros (a minor sum, since he believes it can all be financed by debt and taxes) or Europe faces an “existential threat.”
Soros begins ominously: The EU’s piecemeal solutions are coming apart. Only a surge of financial and political creativity can avoid a catastrophe. Continue reading »
Jul 17, 2016
On the economy crashing this year, investment banker and former Assistant Secretary of Housing, Catherine Austin Fitts says, “Could we turn into a bear market? I think given the commitment to equity markets and given the willingness to debase the currency, I think the chances of that are relatively small this year. Next year, depending on what happens in the election, the gloves are going to come off globally about what’s been going on in the U.S. Anything could happen. That’s the danger if you are an investment advisor or an investor. The swings here is we could be up 30%, or we could be down 50%. A black swan could happen, so if you are an investor, you need to be prepared for very, very wide swings both up and down in prices in the equity markets. Here’s the important thing to remember. . . . We now have $12 trillion sitting in negative interest rates. Where’s all that money going to go? It can’t sit there getting nothing. It will have to go into real estate. It’s going to have to go into equity. It’s going to have to go to precious metals because it can’t sit there getting no or negative yields forever. . . . The debt game is over.”
On gold and silver, Fitts says, “Interest rates coming down makes gold and silver more attractive. I think the number one thing driving precious metals is you’ve still got growth going on in Asia, and they are buyers. People are afraid, and they are looking at what is going on with the leadership, and they are getting scared. They want to hedge their bets, and gold and silver is where you go when you don’t trust the system.”
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Source: The Intercept
When more than 300 protesters assembled in May at the Holiday Inn in Lakewood, Colorado — the venue chosen by the Bureau of Land Management (BLM) for an auction of oil and gas leases on public lands — several of the demonstrators were in fact undercover agents sent by law enforcement to keep tabs on the demonstration, according to emails obtained by The Intercept.
The “Keep it in the Ground” movement, a broad effort to block the development of drilling projects, has rapidly gained traction over the last year, raising pressure on the Obama administration to curtail hydraulic fracturing, known as fracking, and coal mining on federal public lands. In response, government agencies and industry groups have sharply criticized the activists in public, while quietly moving to track their activities. Continue reading »
By Doug Casey of Casey Research.
As some of you know, I’m an aficionado of ancient history. I thought it might be worthwhile to discuss what happened to Rome and based on that, what’s likely to happen to the U.S. Spoiler alert: There are some similarities between the U.S. and Rome.
But before continuing, please seat yourself comfortably. This article will necessarily cover exactly those things you’re never supposed to talk about—religion and politics—and do what you’re never supposed to do, namely, bad-mouth the military.
The closures are set to take place over the next few months , with 188 of Deutsche Bank’s 723 branches nationwide due to close their doors.
On Sunday, Deutsche Bank published a list of the affected branches.
North Rhine-Westphalia is to be hit hardest, with 51 branches in Germany’s most populous state listed for the chopping board. In Bavaria eleven will close, eight of which are in Munich. Continue reading »