– 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.”
– “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 »
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.”
– US Equities Are Crashing Again – Dow Futures Down 430, AAPL -2.75%; NYSE Unleashes Rule 48 (Again) (ZeroHedge, Sept 1, 2015):
*NYSE AND NYSE MKT CASH EQUITIES MARKETS WILL INVOKE RULE 48
US equity futures markets have just pushed to fresh overnight lows, with the last leg down seemingly triggered by the CAD recession print. Let’s hope Cramer and Cook have another email up their sleeves as weakness in AAPL is notable – down 2.75% in the pre-market. Lastly, we noted US equities are rapidly catching back down to the XIV-implied lows as the last few days bounce evaporates.
– In The Month Of September 2015 We Officially Enter The Danger Zone (Economic Collapse, Aug 31, 2015):
Is September 2015 going to be one of the most important months in modern American history? When I issued my first ever “red alert” for the last six months of 2015 back in June, I was particularly concerned with the months of September through December, and not just for economic reasons. All of the intel that I have received is absolutely screaming that big trouble is ahead. So enjoy these last few days of relative peace and quiet. I mean that sincerely. In fact, that is exactly what I have been doing – over the past week I have not posted many articles because I was spending time with family, friends and preparing for the national call to prayer on September 18th and 19th. But now as we enter the chaotic month of September 2015 I have a feeling that there is going to be plenty for me to write about. Continue reading »
– Ron Paul Rages “Blame The Fed, Not China” For The Stock Market Crash (The Ron Paul Institute for Peace and Prosperity, Aug 30, 2015):
Following Monday’s historic stock market downturn, many politicians and so-called economic experts rushed to the microphones to explain why the market crashed and to propose “solutions” to our economic woes. Not surprisingly, most of those commenting not only failed to give the right answers, they failed to ask the right questions.Many blamed the crash on China’s recent currency devaluation. It is true that the crash was caused by a flawed monetary policy. However, the fault lies not with China’s central bank but with the US Federal Reserve. The Federal Reserve’s inflationary policies distort the economy, creating bubbles, which in turn create a booming stock market and the illusion of widespread prosperity. Inevitably, the bubble bursts, the market crashes, and the economy sinks into a recession. Continue reading »
– Video of the Day – Bernie Sanders Says “I Think the Business Model of Wall Street is Fraud” (Liberty Blitzkrieg, Aug 30, 2015):
During a recent interview with CNN’s Jake Tapper, Bernie Sanders exclaimed: “I think the business model of Wall Street is fraud.”
Basically. Unfortunately, it will never change until serious jail sentences are handed out for the serious fraud, as opposed to taxpayer bailouts.
Watch the interview here. Is it really surprising that he’s close to catching Wall Street handler Hillary Clinton?
For related articles, see:
– Nassim Taleb’s Fund Made $1 Billion On Monday; This Is How The Other “Hedge” Funds Did (ZeroHedge, Aug 28, 2015):
You can’t say Nassim Taleb didn’t warn you: the outspoken academic-philosopher, best known for his prediction that six sigma “fat tail”, or black swan, events happen much more frequently than they should statistically (perhaps a main reason why there is no longer a market but a centrally-planned cesspool of academic intervention) just had a black swan land smack in the middle of the Universa hedge fund founded by ardent Ron Paul supporter Mark Spitznagel, and affiliated with Nassim Taleb.
The result: a $1 billion payday, translating into a 20% YTD return, in a week when the VIX exploded from the teens to over 50, and which most other hedge funds would love to forget.
– JPM Head Quant Warns Second Market Crash May Be Imminent: Violent Selling Could Return On Thursday (ZeroHedge, Aug 27, 2015):
“Price insensitive” flows are starting to materialize, and our goal is to estimate their likely size and timing. These technical flows are determined by algorithms and risk limits, and can hence push the market away from fundamentals. The obvious risk is if these technical flows outsize fundamental buyers. In the current environment of low liquidity, they may cause a market crash such as the one we saw at the US market open on Mondaay”
– What If The “Crash” Is as Rigged as Everything Else? (Of Two Minds, Aug 25, 2015):
Take your pick–here’s three good reasons to engineer a “crash” that benefits the few at the expense of the many.
There is an almost touching faith that markets are rigged when they loft higher, but unrigged when they crash. Who’s to say this crash isn’t rigged? A few things about this “crash” (11% decline from all time highs now qualifies as a “crash”) don’t pass the sniff test.
Exhibit 1: VIX volatility Index soars to “the world is ending” levels when the S&P 500 drops a relatively modest 11%. The VIX above 50 is historically associated with declines of 20% or more–double the current drop. Continue reading »
BTFD is as easy as a single click …
… and what could possibly go wrong?
– BTFD? (The Burning Platform, August 25, 2015):
The CNBC bubble headed bimbos and brainless stock touting twits will be in ecstasy today as the ever predictable rebound is under way. The market will soar by over 500 points at the opening as the excuse of the day is China’s desperate interest rate cut to try and stem their downward spiraling economy and markets. The Wall Street captured boob tube brigade will tell their almost non-existent viewership that all is well. The terrifying plunge is in the past. The economy is great. Housing is strong. Stocks are now a bargain. It’s the best time to buy.
Now for some factoids. Six of the ten largest point gains in the history of the stock market occurred between September 2008 and March 2009. That’s right.
During one of the greatest market collapses in history, the market soared by 5% to 11% in one day, six times. Here are the data points: Continue reading »
– AAPL Surges Back To Unchanged, Fills Opening Gap, Loses (& Regains) $75 Billion Market Cap (ZeroHedge, Aug 24, 2015):
Wondering what the lever for this rescue attempt is? Wonder no more…
A $150 Billion market cap roundtrip!
But it appears the machines ran out of stops to run…
– A Few Examples Of Just How Broken The Market Was This Morning (ZeroHedge, Aug 24, 2015):
With 4,500 ‘crash’ events this morning, we thought it worth surveying some of the carnage that ‘liquidity-providing’ high-frequency scapegoats left in their wake at the open…
In some big ETFs:
And some major individual names: Continue reading »
– Panic!! All Major US Equity Indices Halted (ZeroHedge, Aug 24, 2015):
Nasdaq was the first to be halted at 0758ET.
The Dow is now down 850 points from Friday’s close and halted…
The S&P 500 Futures is halted for the first time in history.