Sep 04

Record 94 Million Americans Not In The Labor Force; Participation Rate Lowest Since 1977 (ZeroHedge, Sep 4, 2015):

While the kneejerk headling scanning algos are focusing on the seasonally-adjusted headline monthly NFP increase which came in a worse than expected 173K, the presidential candidates – especially the GOP – are far more focused on another data point: the labor force participation rate, and the number of Americans not in the labor force. Here, they will have some serious ammo, because according to the BLS, the main reason why the unemployment rate tumbled to the lowest since April 2008 is because another 261,000 Americans dropped out of the labor force, as a result pushing the total number of US potential workers who are not in the labor force, to a record 94 million, an increase of 1.8 million in the past year, and a whopping 14.9 million since the start of the second great depression in December 2007 while only 4 million new jobs have been created.

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Sep 04

20150904_eod

Dow Drops To 17-Month Lows As Hope-Filled Dead-Cat-Bounce Dies (ZeroHedge, Sep 4, 2015)

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Sep 04

House-Of-Cards

The IMF Just Confirmed The Nightmare Scenario For Central Banks Is Now In Play (ZeroHedge, Sep 4, 2015):

The most important piece of news announced today was also, as usually happens, the most underreported: it had nothing to do with US jobs, with the Fed’s hiking intentions, with China, or even the ongoing “1998-style” carnage in emerging markets. Instead, it was the admission by ECB governing council member Ewald Nowotny that what we said about the ECB hitting a supply brick wall, was right. Specifically, earlier today Bloomberg quoted the Austrian central banker that the ECB asset-backed securities purchasing program “hasn’t been as successful as we’d hoped.

Why? “It’s simply because they are running out. There are simply too few of these structured products out there.” Continue reading »

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Sep 04

New Record In Waiters And Bartenders Masks First Manufacturing Drop In Over 2 Years (ZeroHedge, Sep 4, 2015)

Since the start of the Second Great Depression, the US economy has lost 1.4 million manufacturing workers, but has more than made up for this with the addition ff 1.5 million waiters and bartenders.

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Sep 04

Kuroda

Losing Faith? Traders Dump Japanese Stocks At Fastest Pace In History (ZeroHedge, Sep 3, 2015):

The narrative of the omnipotent central banker continues to be questioned with China’s inability to save its own market the latest incarnation of investors losing faith. Nowhere has the religious zealotry been more fervent than in trading Japanese stocks where Abe and Kuroda have broken every independent rule in their manipulation of wealth-giving stocks. However – it appears their time is up, as Bloomberg reports, foreigners dumped 1.43 trillion yen of Japanese equities in the three weeks through Aug. 28, Tokyo Stock Exchange data updated Thursday show. That’s the most for any three-week span on record, overtaking the period when Bear Stearns Cos. collapsed in 2008.

Global investors are pulling money out of Japan’s equity market at the fastest pace since at least 2004, according to Mizuho Securities Co. As Bloomberg details, Continue reading »

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Sep 04

Lira Plunges To Record Lows As Turkish Minister Addresses G20 (ZeroHedge, Sep 4, 2015)

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Sep 03

JPM Head Quant Is Back With New Warning: “Only Half The Selling Is Done; Expect More Downside” (ZeroHedge, Sept 3, 2015):

“… we estimate that only about half (or slightly more than half) of total technical selling was completed to-date (mostly completed by VT funds, half by CTAs, and a smaller fraction by RPs). We estimate that a further ~$100bn of selling remains to be completed over the next 1-3 weeks. As a result, we expect elevated volatility and downside price risk to persist.”

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Sep 03

bear

This Is Not A Retest—-Its A Live Bear! (David Stockman’s Contra Corner, Sep 3, 2015)

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Sep 03

challenger by state

Total 2015 Job Cuts To Be Biggest Since 2009: Challenger (ZeroHedge, Sept 3, 2015):

Moments ago Challenger reported August job cuts, which at 41,186 were a 60% drop from the 115,730 reported last month (the highest since September 2011), which however was driven by a one-time mass layoffs last month in military staffing. Putting August in its correct perspective, the number was 2.9% higher than the same month a year ago, when 40,010 planned job cuts were announced.

What is troubling is that this marks the seventh month this year that the job-cut total was higher than the comparable month from 2014.

What is worse is that for all the euphoria about initial claims printing at or near record lows, the reality as measured from the bottom-up, is far different and as Challenger notes, so far in 2015 employers have announced 434,554 job cuts: that is up 31 percent from the 332,931 planned layoffs in the first eight months of 2014. Continue reading »

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Sep 03

marc-faber1

“It’s A Tipping Point” Marc Faber Warns “There Are No Safe Assets Anymore”  (ZeroHedge, Sept 2, 2015):

Markets have “reached some kind of a tipping point,” warns Marc Faber in this brief Bloomberg TV interview. Simply put, he explains, “because of modern central banking and repeated interventions with monetary policy, in other words, with QE, all around the world by central banks – there is no safe asset anymore.” The purchasing power of money is going down, and Faber “would rather focus on precious metals because they do not depend on the industrial demand as much as base metals or industrial commodities,” as it’s now “obvious that the Chinese economy is growing at nowhere near what the Ministry of Truth is publishing.”

Faber explains more… “I have to laugh when someone like you tries to lecture me what creates prosperity”

Some key exceprts… Continue reading »

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Sep 03

Egypt gas find sparks panic in Israel about Israeli reserves (AP, Sept 1, 2015):

Egypt’s new natural gas bonanza is causing an uproar in Israel, with energy stocks plummeting and recriminations over indecisiveness and infighting that have delayed production from the country’s own gas fields.

The government is currently struggling to get parliament to approve its natural gas business plan, but observers fear Israel may need to reassess everything now that Egypt, which had been cast as both an export destination and a partner, may have found its own independent solution. Continue reading »

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Sep 03

Continue reading »

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Sep 02

In Dramatic Escalation, China Sends Five Navy Ships Off Alaska Coast For First Time Ever

Just as China celebrates the 70th anniversary of the end of World War II with an extravagant parade designed to showcase the country’s military prowess and project Xi Jinping’s power to nervous onlookers in the West, the Pentagon says it has spotted five Chinese Navy ships in the Bering Sea, just off the coast of Alaska.

Here’s WSJ:

Five Chinese navy ships are currently operating in the Bering Sea, off the coast of Alaska, the first time the U.S. military has seen such activity in the area, Pentagon officials said Wednesday. Continue reading »

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Sep 02

Meanwhile, In Sweden, Banks Are Refusing To Open Savings Accounts

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Sep 02

H/t reader sqoudgy:

“I really believe the debt burdened financial system is unsustainable, is collapsing and its final death throes will be smoke screened by an event to be used to for increased state control of the ordinary sheeple.”


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Sep 02

China Scrambles To Enforce Capital Controls (Which Is Great News For Bitcoin):

China is imposing fresh controls to prevent too much money from leaving the country, in an effort to keep badly needed funds at home to battle a deepening slowdown in the world’s No. 2 economy.” This is undsiputedly bad news for China, but Blythe Masters would be the first to admit, escalating Chinese capital controls would be just the thing bitcoin needs to surge, and surpass, it previous all time highs…

 

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Sep 02

Just When You Thought It Couldn’t Get Worse For Brazil…:

After last Friday’s GDP print which confirmed that Brazil slid into recession during Q2 – a quarter in which Brazilians suffered through the worst inflation-growth outcome in at least a decade – and after July’s budget data which confirmed that the country’s fiscal situation is a veritable nightmare, we got a look at industrial production today and boy, oh boy was it bad. So bad in fact, that it missed even the lowest analyst estimate.

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Sep 02

US Recession Looms As Factory Orders Plunge 9th Month In A Row

 

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Sep 02

Uploaded on Feb 12, 2010

Mish’s website:

Mish’s Global Economic Trend Analysis

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Sep 02

“If I Don’t Come Home, Look After My Wife”: What Happens In China If You Sell Stocks

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