Wednesday, December 17, 2014

MAXIMUM EXPLOSION

The Harvard Ballistic Self-Implosion Is Designed For Maximum "Shock and Awe"

Step 1: Outsource the economy
Step 2: Print money to paper over the damage done in Step 1
Step 3: Close eyes and pretend this is all "business as usual"

Oil and Emerging Markets





Credit Spreads




Global Macro: Gold, Oil, Copper, Canadian dollar, Russian stocks





The crater dug by this "unforeseen" implosion is going to bury Globalization under a mile of rubble, and Wall Street will be somewhere under that...

For good.

When Genius Failed. To Exist

A Sanction Bomb: From Russia With Love


Bloomberg, December 17th, 2014


"Russian trade and financial linkages to the U.S. are small"
"...but Russian linkages to Europe are large"
"Small linkages" visualized, circa 1998
One hedge fund with linkages to Russia, leveraged 25x, monkey hammered the S&P 30%:



Tuesday, December 16, 2014

2:1 Americans Support CIA 'Knowledge Sharing' Techniques

9:1 Americans pretend they're Canadian when they travel abroad

ABC News, December 16th, 2014


"Rectal Feeding and Rectal Hydration are Medieval"

80% of Republicans support the CIA's tactics
[the other 20% are too old to vote]

Obama Says We 'Tortured Some Folks'
["Shit happens man"]

I hope Walmart and Exxon appreciate what "we" do for them.


BTFATH: "There is no dissent on the market's future direction"

...the Necessary and Sufficient Condition for a HALO Crash

MW: Dec. 16th, 2014

OR, it means the Idiocracy just bought one dip too many...


Liquidation

Unfortunately, Skynet was programmed for return on capital, not return of capital. 

Volume 2x normal
Not everyone is waiting for December 31st
Down Volume - Up Volume (100 DMA)


Bagholder:  "a shareholder left holding shares of worthless stocks"

Black Swans Flocking

Middle East Stocks
Saudi, Bahrain, Kuwait, Oman, Qatar, UAE (Holdings weighted by GDP)


Fracking Shellacking:


Humanity Bought, Sold, Bombed, Exploited, "Interrogated", Drone Attacked.

LOST


"Six family members were killed and one was seriously wounded in shootings at three locations in suburban Philadelphia, and a manhunt was underway for a former U.S. Marine"



Three dead in Sydney Hostage Siege




Decades of degrading War and Poverty coming home to roost

Monday, December 15, 2014

Bonus Interruptus

"There is no dissent on the market’s future direction"

Groupthink 
"Is a psychological phenomenon that occurs within a group of people, in which the desire for harmony or conformity in the group results in an irrational or dysfunctional decision-making outcome. Group members try to minimize conflict and reach a consensus decision without critical evaluation of alternative viewpoints, by actively suppressing dissenting viewpoints, and by isolating themselves from outside influences."

BonusThink: 
When a bunch of overpaid clever dunces "collaborate" in assuring investors that stocks can only keep going up, in order to con the sheeple into throwing ever-more money into offshore bank accounts, until there is no one left to con and the entire ponzi scheme collapses with extreme dislocation. Yes, again. 

The only dissent is from Skynet, which controls 75% of the Market
NYSE 52 week highs - lows (weekly)



Globalization Doesn't Do Sanctions

Don't expect Dumb and Dumber to understand that, until well after meltdown

Bloomberg, Dec. 15th, 2014
Russia sees GDP down at least -4.5% with oil at $60

Brent Crude - currently in free-fall - ended the day at $60. One would think that a legitimate "stress test" wouldn't use today's price as the "worst case" scenario. 

Meanwhile...
Russia just raised their key interest rate by 7% to 17%. 
I'm sure that raising the interest rate by 70% on a relative basis will help the economy. 

And...
Eastern Europe: Leading the way down another -9.5% today


We Now Face Harvard Risk: Equivalent to A Hundred Lehmans

Disaster Refinanced
Unfortunately, via 3rd grade logic, the dunces who created this serial clusterfuck can't fix it. Their solution to a disaster caused by three years of 1% interest rates, was to give six years @ 0% interest instead:

Refinancing Disaster, visualized:


Harvard Risk Visualized


...the dunce or the one that follows?

Can't Sell? Call Skynet @ 1-800-Fuck-You-Very-Much

Operators are Standing By

ZH: December 15, 2014: Liquidity Collapsing
"just 768 eMini contracts took out 4 levels of depth"


There's no way out of the Hotel Californication

Bitcoined by Deflation

The Russian Ruble has lost half of its (dollar) purchasing power in one year

Having lost 96% of its purchasing power since 1913, the dollar is now rising against all global assets (albeit w/question mark over the Dow)...


Sunday, December 14, 2014

Houston, YOU Have a Problem: Oil Demand Falling Faster Than Price

Despite the 50% drop in oil prices, the IEA just REDUCED its demand forecast


Occupy the Skynet Illusion: The Idiocracy's Last Lesson

It's the 12 days 'til bonus and Wall Street is ALL IN
The bonus has already been counted for this year...and for next...


Barrons, December 13, 2014
"Born in March 2009, today’s bull market is the fourth longest in history—and it isn’t about to end, despite last week’s shellacking."

"Wall Street’s top strategists expect the Standard & Poor’s 500 stock index to rise 10% in 2015"

"There is no dissent on the market’s future direction"

You don't say...

Saturday, December 13, 2014

The Global Stock Market Rout Began in July

October was merely a failed bounce

Global stocks ex-U.S.:


Denialation: The problem that fixes itself

1929 Deja Vu: Let's Just Pretend This Isn't Happening

"Way back in 1929, no one seemed to notice that commodities had peaked several years earlier. They also didn't pay too much attention to the fact that bonds had peaked a year earlier as well. Stocks continued ploughing ahead, as if they could never go down again"

The year has passed. Credit markets have been "risk off" since January


Emerging Markets Debt


Etraders: Always the last to know

1933 Deja Vu: Depression Disguised by Smoke and Mirrors

"Since 2000, the U.S. lost 33% of its Manufacturing Jobs - Worse than the Great Depression"
"Despite this unprecedented negative performance, most economists, pundits and elected officials are remarkably blasé about what has transpired."

Shock Doctrine Comes Home to Roost
Manufacturing Employment



I think we all see where this is heading



Friday, December 12, 2014

Clever Dunces: The Generation that Laid Itself Off

Higher education turned frat party, interrupted by rote memorization


An Unquestioning Borg
This disaster in broad daylight could only be made possible by history's largest assortment of fakers and posers. A University system that pumps out over-confident buffoons like widgets from an assembly line. A seamless Borg having winnowed life down to an extended high school popularity contest where faking it is all that matters and real work is eschewed for Marketing and Finance chicanery, as the real economy gets monetized for consumption. Even at this late juncture, they're all fully oblivious to their catastrophe unfolding around them. Why? Because they outsourced their "thinking" to leadership buffoons who are even more clueless and fake: Game show hosts masquerading as leaders. The underwear will be mighty stained when everyone realizes that the frat boys who created this disaster, can't manage their way out of a paper bag.

Extrapolating their popularity contest into the indefinite future while putting themselves out of their own jobs. Very clever.

The Denialation is Deafening

ZH: Dec. 12th, 2014

Linear Extrapolation of the Impossible, Into the Indefinite Future

Is the #1 Cause of Self-Implosion



The Best Market Timing Ever

ZH: December 12th, 2014


Who wants more Kool-aid?


Belief in serial Psychopaths is back at subprime levels.

Disposable Workforce

Q: Why Are Some People Reluctant to Embrace Third World Incomes?


New York Times, December 11th, 2014
"The share of prime-age men — those 25 to 54 years old — who are not working has more than tripled since the late 1960s, to 16 percent"

Thursday, December 11, 2014

The Idiocracy's Re-Learning Curve

aka. "Aw fuck, not this again!!!"

Global Macro: Time travel is possible after all...
Russian stocks and oil are back in 2005 (they lost another year overnight)
The Canadian dollar and copper are in 2006, on their way back to the 1990s...




Denialation: The problem that fixes itself

The Daily Meltdown

We've never seen this before: The 8th Hindenburg Omen in two weeks. 


Skynet is getting desperate...

Wall Street Billunaire Blames Fed for Making Him Rich

"In most of the world, inequality in fact is declining."

[Cough] "Bullshit..."

Oxfam, January 2014
"widening income disparities ranked as the second greatest worldwide risk in the coming 12 to 18 months."

"Seven out of ten people live in countries where economic inequality has increased in the last 30 years"

Stocks + Fed Balance Sheet:



And I suppose the Fed caused this disaster as well:
U.S. Manufacturing Employment is at 1940s levels meanwhile the U.S. population grew 140%


No bailouts. No billunaires. No bullshit.

Rome as Usual: Full Faith in Corruption

Forbes, December 11, 2014
Etraders catapulted Lending Club up 60% at its IPO open today

Coincidentally...
ZH: The biggest Futures-driven buying panic in a year, also occurred today, right before the open.

Also, "coincidentally", Wall Street has a staggering 10 IPOs it needs to move over the next two days:

Paul Farrell: A Wise Man in a Sea of Dunces

MW: December 9th, 2014
‘Madness Gene’ in all of us is wrecking the economy, destroying the Earth
"Belief that climate change is a 'hoax', is pushing us to the brink"

Outside is America: 
A fracking industry bukkake whore masquerading as God's messenger
"Oklahoma GOP Sen. James Inhofe’s book, “The Greatest Hoax: How the Global Warming Conspiracy Threatens Your Future,” reveals everything you need to know about the Republican Party’s position on climate change. Bad news."

"Inhofe’s scheduled to regain his old position as Chairman of the Senate Environment and Public Works Committee in January"

"Inhofe makes Americans look like scientific and technological Luddites"

Clearly, collapse can't come soon enough: Maintain status quo
"Surprise" collapse will monkey hammer the serial denialists who believe that their God-ordained shopping mall excursions in gas guzzling SUVs are going to last "forever" i.e. their lifetime.


And as for this "madness gene" - that needs to be systematically bred out of this species via natural selection aka. thinning of the herd

Wednesday, December 10, 2014

Meltdown Update

The 7th Hindenburg Omen. Oil down another 4%
Very likely the last Hindenburg Omen we see in this cycle, since New Highs are dwindling fast...

S&P Fractals: Closed on the lows of the day



Pope Urges Governments, Businesses to End Slavery

ABC News/AP: Dec. 10, 2014
"Francis' annual peace message, released Wednesday, focused on drawing attention to the estimated 35 million people enslaved around the world and efforts to free them."
It listed victims of organ trafficking, exploited miners and farm workers, child laborers, soldiers and beggars, sex slaves, women sold for arranged marriages and even people held captive by terror organizations as all victims of slavery who deserve the world's help.

Even the Pope is in denial about the scope of Ponzinomic slavery
According to the Pope, half of an entire ancient Rome is now enslaved under today's Globalization. That 35 million figure, assumes of course, that the World Bank's $1.25/day Third World poverty line isn't history's largest slavery rationalization - which it is - so the true number is off by a factor of about 100x, not including the millions more in the developed world, who have joined the ranks of the Third World. Basically the equivalent of 50 ancient Romes have now been enslaved to Globalization. And clearly businesses and governments can't solve the problem, because they are the problem - Global Ponzinomics IS de facto slavery, with a lottery clause, in the event of adoption by Angelina Jolie. Without ending the Globalized Ponzi scheme, there can be no freedom for factory slaves and corporatized zombies, who are bought and sold like human cattle.

It would be cynical to assume that the Pope doesn't mean the best - clearly he does - however, de facto slavery is baked into the status quo, so token band-aid programs and UN resolutions, just delay major "reform", until forever. "Let them eat cake" syndrome - Fantastical goals without any viable plan for achieving them.

Only collapse can bring major reform, and fortunately that requires no praying whatsoever - it only requires the vast majority to do what they do best, which is shoving their heads up their asses and pretending that it can't happen to them. 

In order to end slavery, the stoned masses need to be sufficiently motivated