201508.30
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Still Not Where We’re Going…

Let’s start this week’s missive off with a disclosure of sorts – I am not Joe Calhoun. Unlike Joe, I have managed to hold on to my hair over the years although the last week has been challenging in that regard.  Joe and his lovely wife, Fay, took an extended weekend off and headed towards…

201508.25
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Broad Domestic Fear Is A Change

I think broad trading today actually confirms yesterday’s hypothesis of the marked appearance of fear. In reversing exactly (or nearly so) almost everything from yesterday, across the board, it seems as if the juxtaposition settles that interpretation. I noted that it wasn’t just gold bid in contrast to the selling and “dollar” frenzy, the Swiss…

201508.25
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Having To Do ‘It’ Again Is All You Need To Know

I know there is tendency for shorthand in media, especially print, but there comes a time when bland or rote description is not just inappropriate but highly misleading. Obviously, all attention is focused on the PBOC not just in turmoil but in how the central bank responds. To say that frustration is brewing is a…

201508.24
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Claws?

Repetition is the signal of the unnatural. With stock prices moving back toward a positive daily trade, such immense volatility in what was surely a junior flash crash will be swiftly discharged as unimportant; the bull must stand. The NASDAQ at one point this morning was down to 4292 and the DJIA off about 1,000…

201508.24
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Into The ‘Dollar’ Run Now More Than Illiquidity?

We have been talking about a global “dollar” run for the better part of two weeks, and at least a major “dollar” disruption looming going back three months. To say that any of the latest chaos is “unexpected” is intentionally obtuse, but it has already happened. As it is, I think we can expect FRBNY…

201508.23
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The Mysterious Selloff

Why was the stock market down almost 6% last week? I know what you’re thinking – has this guy been under a rock somewhere? But I’m serious. I know what all the pundits, commentators and talking heads are saying about the immediate cause. It’s about the China devaluation and the knock on effect in other…

201508.23
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The Loud Party Patron Cannot be Ignored

The volatility and negative price movement in capital markets this week is a symptom of a money system void of principle. The morally bankrupt system ignores the demand for money and just supplies it at continually cheaper levels. Unfortunately, the recipients of the cheap money are not inclined to use it for productive purposes. Idle cash,…

201508.23
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The Weekly Snapshot

Top News Headlines Stocks succumb to gravity. Industrials join transports in official correction, down over 10%. S&P down almost 8%. Emerging markets enter the bear’s lair, down 25% from recent highs. Oil cracks the $40 barrier – to the downside. Tensions high on the Korean Peninsula. Americans foil terror attack on French train. Kazakhstan devalues…

201508.21 0

Risk Appears Seriously Wounded

Stocks aren’t quite as immune to financial disruption in the middle of 2015 as they had been previously. The last major, comprehensive selloff was also in tandem with “dollar” disorder back last October 15. This time, the motion was more erosion than “event”; at least until the past week. Just like crude oil, stocks lost…

201508.16
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Who’s Afraid Of The Yuan?

China apparently shocked some people last week by allowing the Yuan to fall 3.5% against the dollar. I don’t know why in the world they would be shocked since we’ve known for months – heck almost a year now – that capital has been leaving China. I wrote about it back in March so it isn’t…