18 Signs That Global Financial Markets Are Entering A Horrifying Death Spiral

You can see it coming, can't you?  The yield on 10 year U.S. Treasuries is skyrocketing, the S&P 500 has been down for 9 of the last 11 trading days and troubling economic news is pouring in from all over the planet.  The much anticipated "financial correction" is rapidly approaching, and investors are starting to race for the exits.  We have not seen so many financial trouble signs all come together at one time like this since just prior to the last major financial crisis.  It is almost as if a "perfect storm" is brewing, and a lot of the "smart money" has already gotten out of stocks and bonds.  Could it be possible that we are heading toward another nightmarish financial crisis?  Could we see a repeat of 2008 or potentially even something worse?  Of course a lot of people believe that we will never see another major financial crisis like we experienced in 2008 ever again.  A lot of people think that this type of "doom and gloom" talk is foolish.  It is those kinds of people that did not see the last financial crash coming and that are choosing not to prepare for the next one even though the warning signs are exceedingly clear.  Let us hope for the best, but let us also prepare for the worst, and right now things do not look good at all.  The following are 18 signs that global financial markets are entering a horrifying death spiral... (Read More....)  #1 The yield on 10 year U.S. Treasuries has risen for 5 of the past 6 days, and it briefly touched the 2.90% level on Monday.

#2 Rapidly rising interest rates are spooking investors and causing them to pull money out of bonds at a very rapid pace...

Investors have yanked nearly $20 billion from bond mutual funds and exchange traded funds so far in August. That's the fourth highest pullback ever, according to TrimTabs data. In June, investors took out $69.1 billion -- the highest on record.

#3 The sell-off of U.S. Treasuries is being led by foreigners.  In particular, China and Japan have been particularly aggressive in selling off bonds...

China and Japan led an exodus from U.S. Treasuries in June after the first signals the U.S. central bank was preparing to wind back its stimulus, with data showing they accounted for almost all of a record $40.8 billion of net foreign selling of Treasuries.

The sales were part of $66.9 billion of net sales by foreigners of long-term U.S. securities in June, a fifth straight month of outflows and the largest since August 2007, U.S. Treasury Department data showed on Thursday.

China, the largest foreign creditor, reduced its Treasury holdings to $1.2758 trillion, and Japan trimmed its holdings for a third straight month to $1.0834 trillion. Combined, they accounted for about $40 billion in net Treasury outflows.

#4 Thanks to rapidly rising bond yields, some of the largest exchange-traded bond funds are getting absolutely hammered right now...

• The $18 billion iShares iBoxx $ Investment Grade Corporate Bond fund (ticker: LQD) has fallen 7.94% since May 2, according to S&P Capital IQ. That's including reinvested interest from the fund's bond holdings.

• The 3.7 billion iShares Barclays 20+ Year Treasury Bond (TLT) has plunged 15.9% the same period. Longer-term bonds typically get hit harder when rates rise than shorter-term bonds. For example, the iShares Barclays 3-7 Year Treasury Bond fund (IEI) has fallen 3.2% since May 2.

• PowerShares Emerging Markets Sovereign Debt (PCY), which invests in government bonds issued in developing countries, has fallen 12.7%. The fund has $1.8 billion in assets.

#5 In recent weeks we have witnessed the largest cluster of Hindenburg Omens that we have seen since prior to the last financial crisis.

#6 George Soros has bet a tremendous amount of money that the S&P 500 is going to be heading down.

#7 At this point, the S&P 500 has fallen for 9 out of the last 11 trading days.

#8 Margin debt has spiked to extremely dangerous levels.  This is a pattern that we also saw just before the last financial crash and just before the dotcom bubble burst...

The exuberant mood comes as margin debt on Wall Street hovers near $377bn, just below its all-time high and well above peaks before the dotcom crash and the Lehman crisis.

“Investors have rarely been more levered than today,” said Deutsche Bank, warning that the spike in margin debt is a “red flag” and should be watched closely.

#9 The growth rate of new commercial bank loans and leases is now the slowest that it has been since the end of the last financial crisis.

#10 According to a shocking new report, Fannie Mae and Freddie Mac are masking "billions of dollars" in losses.  Will they need to be bailed out again just like they were during the last financial crisis?

#11 Wal-Mart reported very disappointing sales numbers for the second quarter.  Sales at stores open at least a year were down 0.3%.  This is a continuation of a trend that has been building for years.

#12 U.S. consumer bankruptcies just experienced their largest quarterly increase in three years.

#13 The velocity of money in the United States has hit another stunning new low.

#14 The massive civil unrest in Egypt threatens to disrupt the steady flow of oil out of the Middle East...

After last week’s bloody crackdown by the Egyptian army, fears of a disruption of oil supplies to the West have boosted the oil price. Brent crude prices were propelled to a four-month high of $111.23 on Thursday. If the turmoil gets worse – or unrest spreads to other countries – the risk premium currently factored into the price of crude is likely to increase further.

#15 European stocks just experienced their biggest decline in six weeks.

#16 The Japanese national debt recently crossed the quadrillion yen mark, and many are expecting the Japanese financial system to start melting down at any time.

#17 In Indonesia, the stock market is "cratering".

#18 In India, the yield on their 10 year government bonds has skyrocketed from 7.1 percent in May to 9.25 percent now.

As the coming months unfold, keep a close eye on the "too big to fail" banks both in Europe and in the United States.  When the next great financial crisis strikes, they will play a starring role once again.  They have been incredibly reckless, and as James Rickards told Greg Hunter during an interview the other day, we are in much worse shape to deal with a major banking crisis than we were back in 2008...

What’s going to cause the next crisis?  Rickards says, “The problem in 2008 was too-big-to-fail banks.  Well, those banks are now bigger.  Their derivative books are bigger.  In other words, everything that was wrong in 2008 is worse today.” Rickards goes on to warn, “The last time, in 2008 when the crisis started, the Fed’s balance sheet was $800 billion.  Today, the Fed’s balance sheet is $3.3 trillion and increasing at $1 trillion a year.”  Rickards contends, “You’re going to have a banking crisis worse than the last one because the banking system is bigger without the resources because the Fed is tapped out.”  As far as the Fed ending the money printing, Rickards predicts, “My view is they won’t.  The economy is fundamentally weak.  We have 50 million on food stamps, 24 million unemployed and 11 million on disability, and all these numbers are going up.”

We never even came close to recovering from the last financial crisis and the last recession.

Now the next major wave of the economic collapse is coming up quickly.

I hope that you are taking this time to prepare for the approaching storm, because it is going to be very painful.



Mark Hulbert
Dangerous divergences
Two indicators based on market divergences are flashing caution signs — or worse.
What Great Rotation?




Will Corrupt Obama Be Held Accountable?
By FLOYD BROWN, Chief Political Analyst

As a candidate, Barack Obama offered to govern as the most "open and honest" administration in history. Sadly, we've learned at great expense that these empty words are just another example of the corruption of Obama's tenure.

I was reminded again of Obama's dishonest and fraudulent conduct last week when the Justice department released the details of its case against John C. Beale.

Beale is the disgraced deputy assistant administrator in the Office of Air and Radiation at the EPA. He stands accused of stealing $886,186 between 2000 and 2013. You see, Beale had schemed a way to pay himself the nearly one million he stole in the form of salary bonuses.

Beale most recently worked for Gina McCarthy as her top deputy. This is the same Gina McCarthy who was recently promoted by Obama to run the entire EPA.

But you have to ask yourself why McCarthy wasn't held accountable for her subordinate's criminal activity. Is it now standard operating procedure to promote managers who can't spot theft and crime right under their noses?

Click here to continue reading...


33 Shocking Facts Which Show How Badly The Economy Has Tanked Since Obama Became President

Barack Obama has been running around the country taking credit for an "economic recovery", but the truth is that things have not gotten better under Obama.  Compared to when he first took office, a smaller percentage of the working age population is employed, the quality of our jobs has declined substantially and the middle class has been absolutely shredded.  If we are really in the middle of an "economic recovery", why is the homeownership rate the lowest that it has been in 18 years?  Why has the number of Americans on food stamps increased by nearly 50 percent while Obama has been in the White House?  Why has the national debt gotten more than 6 trillion dollars larger during the Obama era?  Obama should not be "taking credit" for anything when it comes to the economy.  In fact, he should be deeply apologizing to the American people. (Read More....)  And of course Obama is being delusional if he thinks that he is actually "running the economy".  The Federal Reserve has far more power over the U.S. economy and the U.S. financial system than he does.  But the mainstream media loves to fixate on the presidency, so presidents always get far too much credit or far too much blame for economic conditions.

But if you do want to focus on "the change" that has taken place since Barack Obama entered the White House, there is no way in the world that you can claim that things have actually gotten better during that time frame.  The cold, hard reality of the matter is that the U.S. economy has been steadily declining for over a decade, and this decline has continued while Obama has been living at 1600 Pennsylvania Avenue.

It is getting very tiring listening to Obama supporters try to claim that Obama has improved the economy.  That is a false claim that is not even remotely close to reality.  The following are 33 shocking facts which show how badly the U.S. economy has tanked since Obama became president...

#1 When Barack Obama entered the White House, 60.6 percent of working age Americans had a job.  Today, only 58.7 percent of working age Americans have a job.

#2 Since Obama has been president, seven out of every eight jobs that have been "created" in the U.S. economy have been part-time jobs.

#3 The number of full-time workers in the United States is still nearly 6 million below the old record that was set back in 2007.

#4 It is hard to believe, but an astounding 53 percent of all American workers now make less than $30,000 a year.

#5 40 percent of all workers in the United States actually make less than what a full-time minimum wage worker made back in 1968.

#6 When the Obama era began, the average duration of unemployment in this country was 19.8 weeks.  Today, it is 36.6 weeks.

#7 During the first four years of Obama, the number of Americans "not in the labor force" soared by an astounding 8,332,000.  That far exceeds any previous four year total.

#8 According to the U.S. Census Bureau, the middle class is taking home a smaller share of the overall income pie than has ever been recorded before.

#9 When Obama was elected, the homeownership rate in the United States was 67.5 percent.  Today, it is 65.0 percent.  That is the lowest that it has been in 18 years.

#10 When Obama entered the White House, the mortgage delinquency rate was 7.85 percent.  Today, it is 9.72 percent.

#11 In 2008, the U.S. trade deficit with China was 268 billion dollars.  Last year, it was 315 billion dollars.

#12 When Obama first became president, 12.5 million Americans had manufacturing jobs.  Today, only 11.9 million Americans have manufacturing jobs.

#13 Median household income in America has fallen for four consecutive years.  Overall, it has declined by over $4000 during that time span.

#14 The poverty rate has shot up to 16.1 percent.  That is actually higher than when the War on Poverty began in 1965.

#15 During Obama's first term, the number of Americans on food stamps increased by an average of about 11,000 per day.

#16 When Barack Obama entered the White House, there were about 32 million Americans on food stamps.  Today, there are more than 47 million Americans on food stamps.

#17 At this point, more than a million public school students in the United States are homeless.  This is the first time that has ever happened in our history.  That number has risen by 57 percent since the 2006-2007 school year.

#18 When Barack Obama took office, the average price of a gallon of regular gasoline was $1.85.  Today, it is $3.53.

#19 Electricity bills in the United States have risen faster than the overall rate of inflation for five years in a row.

#20 Health insurance costs have risen by 29 percent since Barack Obama became president, and Obamacare is going to make things far worse.

#21 The United States has fallen in the global economic competitiveness rankings compiled by the World Economic Forum for four years in a row.

#22 According to economist Tim Kane, the following is how the number of startup jobs per 1000 Americans breaks down by presidential administration...

Bush Sr.: 11.3

Clinton: 11.2

Bush Jr.: 10.8

Obama: 7.8

#23 In 2008, that total amount of student loan debt in this country was 440 billion dollars.  At this point, it has shot up to about a trillion dollars.

#24 According to one recent survey, 76 percent of all Americans are living paycheck to paycheck.

#25 During Obama's first term, the number of Americans collecting federal disability insurance rose by more than 18 percent.

#26 The total amount of money that the federal government gives directly to the American people has grown by 32 percent since Barack Obama became president.

#27 According to the Survey of Income and Program Participation conducted by the U.S. Census, well over 100 million Americans are enrolled in at least one welfare program run by the federal government.

#28 As I wrote about the other day, American households are now receiving more money directly from the federal government than they are paying to the government in taxes.

#29 Under Barack Obama, the velocity of money (a very important indicator of economic health) has plunged to a post-World War II low.

#30 At the end of 2008, the Federal Reserve held $475.9 billion worth of U.S. Treasury bonds.  Today, Fed holdings of U.S. Treasury bonds have skyrocketed past the 2 trillion dollar mark.

#31 When Barack Obama was first elected, the U.S. debt to GDP ratio was under 70 percent.  Today, it is up to 101 percent.

#32 During Obama's first term, the federal government accumulated more new debt than it did under the first 42 U.S presidents combined.

#33 When you break it down, the amount of new debt accumulated by the U.S. government during Obama's first term comes to approximately $50,521 for every single household in the United States.  Are you able to pay your share?



Buchanan: 'Whites Are Only Group You Can Discriminate Against Legally in America Now'...


Cops: Thief Vandalizes Church, Steals School Supplies For Kids...


'Thug Culture Killed Chris Lane'...


SUMMER 2013: 2,899 Record cold temps vs 667 record warm temps...

LAND OF LINCOLN: State Offers Workers $9/Hour to Sign People up for Obamacare...



*Retains content of emails between citizens...

*Domestic phone calls made via Internet...

'Homeland Security' tests face-scanning BOSS...

Local Cops to Scan Crowds...

Company Posts Ad on CRAISGLIST Seeking 'Surveillance Role Players'...

New Zealand Passes Law Allowing Domestic Spying...

Malaysia Seeks to Expand Spying Powers...

GALLUP: Unemployment Spikes to 8.9%...

18 month high...

'Who will Obama identify with on this one?' { That’s an easy one, even without the hoody … If wobama had a son he’d look like the typical, uncivilized, murderous nigger! }


COPS: 'Bored' Black Teens Kill White Baseball Player 'For Fun'...

'I Pulled The Trigger!'

Killers should 'rot in hell'...

Racist Tweets...

Australian tourists urged to boycott USA...

White House spokesman 'not familiar with' murder...

University dumps spouses from health care coverage...

UPS to drop 15,000 husbands and wives...

40% of companies alter insurance coverage to avoid new health care tax...

Firms turn part-time...

HHS to Host Brown Bag Lunches to Explain Obamacare to Employees...



Monday, August 26, 2013

The Beginning of the End:
Rising Interest Rates

By Harry S. Dent Jr., Senior Editor, Survive & Prosper

Dear Al,

Last Friday, August 23, this shocking number hit the newswires:

New home sales fell by 13.4%, the worst decline since May 2010.

This comes after July’s existing home sales increased.

While this report shocked everyone else, we were not in the least bit surprised. To us, new home sales are the red herring of the so-called “housing recovery.”

Industry experts, commentators, builders and average Joes have been watching this number move up with growing delight. “Things are getting better. Thank God!”

But we didn’t view the number that way. To us, the only thing driving existing home sales were speculators… and they’re NOT the people real estate needs to truly find its legs again…

Look at this chart…

See larger image

To risk sounding like a looped recording, we’ve argued throughout 2013 that the rise in home prices is bogus. That it’s just another impact of the endless Quantitative Easing (QE) and money-printing lunacy.

These reckless policies and practices have kept the economy from melting down again since 2008, yes, but it’s done us no favors. It’s only managed to create a measly 2% real growth in the economy.

About $2 trillion in monetary and fiscal deficits and all we get is 2% growth and 1% to 2% inflation?! That’s pathetic. It’s a sign of how weak the demographic fundamentals are… and how great the pressure is from unprecedented debt at all levels (government, financial, consumer and business).

Regardless, all that QE money must go somewhere. It’s not going into consumers’ pockets. Businesses aren’t using it to increase lending. Instead, financial institutions, from banks to pension funds to hedge funds, are using that money to speculate.

And they’ve been focusing that speculation on the real-estate market, existing homes in particular. Their modus operandi: Buy homes in foreclosure or in short sales… especially those near or below construction costs… and then flip them or rent them out for a positive cash flow.

So real-estate prices have been rising. And people have been getting more and more excited.

But ask yourself this: How long can this last if real buyers aren’t coming into the market?

The answer is simple: Not very long. And now, with steadily rising interest rates, we’re beginning to see the cracks we already knew were there…

Long-term interest rates have risen from 1.38% on the 10-year Treasury bond to 2.92% recently.

Thirty-year mortgage rates are now up from 3.4% to 4.7% and rising.

The average mortgage payment has gone from $566 to $766. That’s a 35% increase.

And this is just the beginning.

We estimate that the 10-year Treasury bond is headed to 3.8% or higher in the next six to nine months. That would raise mortgage rates to near 6%, making the average payment as high as $1,000.

What do you think that’s going to do to the housing “recovery?”

You got it. It’s going to knock all the wind out of it.

Then there’s this: Mortgage applications for purchases have been flat since 2010. That means the young families who buy homes to actually live in and raise their kids in aren’t out on the real-estate dance floor.

All of this tells us – and has told us for months now – that this housing “recovery” is utter B.S. It’s just another perversion from the endless stimulus… another bubble to burst again… just like commodities have done and stocks will do (likely by early 2014).

If home sales are beginning to slow due to rising mortgage rates and diminishing speculation, which we believe is happening, then this is the beginning of the end.

The Fed is losing control over longer-term interest rates as investors anticipate the withdrawal of QE. With the printing press effectively out of the way, we’ll quickly fall back into reality, where home prices crumble and stock valuations deteriorate.

We have been waiting for this sign.

It says that the economy is likely to slow ahead and stocks are likely to peak by early 2014.

Are you ready for the next great crash?




Donald Trump Hits Back on Investment School $40M Suit


Error! Unknown switch argument.Play Video

Trump Calls Attorney General a 'Political Hack'



*   View Photo

Donald Trump Hits Back on Investment …

New York Attorney General Eric Schneiderman has filed a $40 million civil suit against Donald Trump, accusing "The Apprentice" TV star of defrauding thousands of people through Trump University by selling expensive iseminars based on false promises. Trump fired back at Schneiderman today, calling him "political hack from beginning to end."

"We have a school that's a terrific school. It did a fantastic job and I've never even heard of this, it had a 98 percent approval rating from students," Trump told George Stephanopoulos on "Good Morning America" this morning.

The suit, filed Saturday, alleges Trump and other defendants operated an elaborate bait and switch, even advising some students to raise their credit card limits for the next level of programs. Schneiderman claims the real estate mogul helped run a phony university that persuaded 5,000 people that they would become rich using real estate-investing techniques used by Trump himself. Instead, the lawsuit says, they were steered into useless seminars and failed to deliver promised apprenticeships.

"The complaint speaks for itself," Schneiderman told ABC News. "It was a lie from beginning to end. The only person who is guilty of a cheap publicity is America's leading expert on cheap publicity stunts -- Donald Trump."

Schneiderman is suing the program, Trump as the university chairman, and the former president of the university in state Supreme Court in Manhattan. He accuses them of engaging in persistent fraud, illegal and deceptive conduct and violating federal consumer protection law. The $40 million he seeks is mostly to pay restitution to consumers. The suit covers complaints dating to 2005 through 2011.

"They were fleeced. They were taken," Schneiderman says of the people who enrolled in Trump's program. "They were convinced by very persuasive motivational speakers and videos of Trump that they were going learn how to make money in real estate. They didn't get anything."

Trump says the lawsuit has no merit and he blasted Schneiderman.

"He comes up to my office looking for campaign contributions. He tells me lots of unflattering things about Obama. He tells me lots of unflattering things about Gov. Cuomo," Trump said of Schneiderman. "He was very upset with the fact that we didn't help him. He thought we should have helped him much more."

Schneiderman responded, saying Trump is trying to distract from the merits of this case.

"Mr. Trump supported someone against me in 2010. After I won the Democratic primary, he gave me one check. That was it," Schneiderman said in an appearance on CNBC today. "I wasn't asking him for campaign contributions."

State Board of Elections records show Trump contributed $12,500 to Schneiderman in October 2010, when Schneiderman was running for attorney general.

State Education Department officials had told Trump to change the name of Trump University, saying it lacked a license and didn't meet the legal definitions of a university. In 2010, Trump University was renamed the Trump Entrepreneur Institute.

Bob Guillo, 73, borrowed $35,000 to pay for the seminars and a retreat to help his son switch careers.

"They promised me that I would be one of the insiders. That whenever Trump put up condominium or any other type of building in the United States that we would get first crack at getting into it," Guillo said.

Guillo says he never got that opportunity and the closest he came to Trump was getting his picture taken in front of a life-size poster of the TV reality star.

"He took my self-respect and he embarrassed me," Guillo added.

Scheiderman said the three-day seminars didn't, as promised, teach consumers everything they needed to know about real estate.

Kevin Scott said he was also "humiliated" by Trump University. Scott attended a free Trump seminar in May 2008 and ultimately enrolled in a $25,000 mentorship program, which "overpromised and undelivered," Scott claims, when the "hard money lenders" the program advertised did not materialize.

"They had people built up that were interested and motivated and excited to take part in the program, and the return on the investment was certainly not there. It was quite the opposite," Scott told ABC News. "It was a huge, devastating blow."

Scott said he was forced to move out of his childhood home because of the massive debt brought on by Trump University.

"Donald Trump, you brought this on me," Scott told ABC News. "I bought into your program and I did all the right things. And you guys didn't deliver. .... It's time for you to step up and pay us back. Repay the money we paid to you and let's settle this."

The lawsuit claims many of the wannabe moguls were unable to land even one real estate deal and were left far worse off than before the lessons, facing thousands of dollars in debt for the seminar program once billed as a top quality university with Trump's "hand-picked" instructors. Trump did not pick the university's instructors and had not created the curriculums for any of its courses, the lawsuit alleges.

"He's totally wrong. I looked at every resume. I met with some people. I didn't meet with everybody. It's not my main business," Trump said. "We had a wonderful school with a fantastic approval rating. If you go to the Wharton School of Finance or if you got to Harvard, they don't have a 98 percent approval rating."

Trump also had a problem with the timing of the lawsuit.

"Who ever heard of a government agency bringing a lawsuit on a Saturday afternoon? He's been looking into this thing for two years," trump said. "He brings a lawsuit on Saturday afternoon right after he meets with President Obama. I think maybe it's a mini-IRS."

Schneiderman addressed the allegations as another diversion by Trump and pointed to the "overwhelming" evidence in this case.

"You can't run a bait-and-switch defraud 5,000 people out of $40 million and then distract things by saying things like, 'Oh, this is a conspiracy between me and President Obama,' or 'I was soliciting money from people who had some affiliation with him. The case speaks for itself. The documentary evidence is overwhelming," the attorney general said on CNBC.

"We're not going to sit down and let him make false accusations and let him lie about what the case is about. This is a classic bait -and switch scheme. You have to sent a message: no matter how powerful people are, aggressive they are about suing people who sue them -- which is something they does frequently -- they're not above the law. One set of rules for everyone. That's an important message to send."

Trump said he had the opportunity to settle the suit but decided against it despite the bad publicity.

"I don't mind the bad publicity. Who gets more bad publicity than me anyways? I'll take this. No, I don't want to settle this," he said.

The Associated Press contributed to this report.



DR BeN DaRWiN... Posted by: williambanzai7 Post date: 08/23/2013 - And Keynesian Evolution...

DR BeN DaRWiN...




MiCRoSoFT TiTaNiC... Posted by: williambanzai7 Post date: 08/23/2013 - Oh it was said...


MiCRoSoFT TiTaNiC...




NASDAQ Posted by : williambanzai7 Post date: 08/22/2013 - Please standby...







NSA LOVINT Posted by : williambanzai7 Post date: 08/24/2013 - Aren't you LOVINT it?




RaMBoZo BLoWBaCK... Posted by: williambanzai7 Post date: 08/27/2013 - Chess is a violent sport...We've all heard this record before... (here, have another freedom lie)



williambanzai7's picture




























Peter King want's to give you a blow job.





Tony Blair needs to shut his fucking pie hole, Pronto!












The US is prepping for war

Their actions we all should abhor

A nation now dies

As Freedom now lies

We've all heard this record before

The Limerick King





End of Hope, Original painting by George Grosz






WB7: I have a question. How many of those thousands and thousands of highly skilled analysts following FISA procedures metiliculously, are just bored and surfin porn?



U.S. missing 7.4 million jobs, economist calculates


Oil futures end above $109 at 18-month high


“Limited Freedom of Speech” For Japanese Bureaucrats To Cover Up The “Dire Fiscal Condition” Posted by: testosteronepit Post date: 08/24/2013 - "Without realistic figures, a real debate on fiscal reform can’t begin”

Black or White? Posted by: Bruce Krasting Post date: 08/24/2013 - How long will it take for the Black side of the taper to come back home?



The U.S. Has Repeatedly Falsely Accused Others of Chemical and Biological Weapons Use Posted by : George Washington Post date: 08/27/2013 - But the U.S., Britain and Israel have Used Chemical Weapons within the Last 10 Years


Assad: Failure Awaits the USA Posted by: Pivotfarm Post date: 08/27/2013 - Syrian President Bachar al-Assad has warned President Obama not to take military action against his country since: “Failure awaits the United States as in all previous wars it has unleashed, starting...





Americans Would Rather Get a Root Canal or a Colonoscopy than Launch War Against Syria Posted by : George Washington Post date: 08/26/2013 - Americans Are Sick of War


Syriana: Official Tells CNN US Could Strike Within Hours; Russia Warns Against Attack

Breaking911 @Breaking911

WAR DRUMS: An official tells @CNN The U.S. could strike #Syria within hours- @PoliticaILine -Israelis scramble for gas masks- @TimesofIsrael




15 Signs That Obama Has Already Made The Decision To Go To War With Syria

The Obama administration seems absolutely determined to help radical Islamic jihadists that have beheaded Christians, that have massacred entire Christian villages, and that have pledged loyalty to al-Qaeda topple the Assad regime and take over Syria.  Yes, the Assad regime is horrible, but if these jihadist lunatics take control it will destabilize the entire region, make the prospect of a major regional war much more probable, and plunge the entire nation of Syria into a complete and utter nightmare.  It has been estimated that somewhere around 100,000 people have already been killed in the civil war in Syria, and now it looks like the U.S. military and the rest of NATO plan to become directly involved in the conflict.  The Obama administration is actually considering an attack on Syria even though the American people are overwhelmingly against it, Obama does not have Congressional approval to start a war, and he will never get approval for military action from the UN because it will be blocked by Russia.  This is setting up to become a colossal foreign policy disaster for the United States. (Read More....)




Putin Responds To Syria Escalation: May "Reinforce Naval Grouping In Mediterranean" Following US Buildup





The Human Race Is Dying: DNA Degeneration Would Eventually Lead To The Total Extinction Of Humanity  { Not to worry … remember … just decades at best which makes human mutancy as irrelevant as truancy! }

The human race is dying.  It certainly won’t happen this year or even this decade, but the steady degeneration of human DNA would eventually lead to the total extinction of humanity given enough time.  The reason that we are heading toward extinction is the increasing number of mutations that are being passed down from generation to generation.  According to Dr. John Sanford of Cornell University, every one of us already carries tens of thousands of harmful mutations, and each of us will pass on approximately 100 new mutations to future generations.  Humanity is degenerating at an accelerating pace, and at some point the number of mutations will become so great that we will no longer be able to produce viable offspring.  This is not going to happen in the immediate future, but already signs of DNA degeneration are all around us.  Despite all of our advanced technology, genetically-related diseases are absolutely exploding.  Our bodies are weak and frail, and with each passing generation it is getting even worse.

Most people don’t understand this.  Most average people on the street just assume that the human race will be able to go on indefinitely.

But the geneticists that carefully (Read More....)  But the geneticists that carefully study these things understand this stuff.  Each generation is successively becoming more “mutant”, and if given a long enough period of time it would mean our end.  Dr. Sanford puts it this way…

“We are a perishing people living in a dying world.”

In school and in the movies, we are taught that mutants are “cool” and that mutations can be a very good thing.  But that simply is not solid science.  The following is how Alex Williams describes the incredibly damaging role that mutations play in our biology…

However, directly contradicting mutation’s central role in life’s diversity, we have seen growing experimental evidence that mutations destroy life. In medical circles, mutations are universally regarded as deleterious. They are a fundamental cause of ageing, cancer and infectious diseases.

Even among evolutionary apologists who search for examples of mutations that are beneficial, the best they can do is to cite damaging mutations that have beneficial side effects (e.g. sickle-cell trait, a 32-base-pair deletion in a human chromosome that confers HIV resistance to homozygotes and delays AIDS onset in heterozygotes, CCR5–delta32 mutation, animal melanism, and stickleback pelvic spine suppression). Such results are not at all surprising in the light of the discovery that DNA undergoes up to a million damage and repair events per cell per day.

So no, we are not going to “evolve” into bigger and better creatures.  Instead, the human race is steadily breaking down and our time is running out.

In essence, the blueprint of human life is being systematically destroyed, and there is not a thing we can do to even significantly slow it down.  The following is from a paper by Gerald H. McKibben and Everett C. McKibben

Geneticists have long worried about the impact of mutations on the human population, and that at a rate of one deleterious mutation per person per generation, genetic deterioration would result. Earlier reports were based on estimates of mutation rates considerable lower than what we now know to be the case. Findings going back to 2002 show that the human mutation rate is at least 100 mistakes (misspellings) per person per generation. Some scientists believe the rate is closer to 300.

Even a rate of 100 has profound implications, and the mutation rate is itself increasing. Furthermore, most, if not all, mutations in the human genome must be deleterious.  “And nothing can reverse the damage that has been done during our own generation, even if further mutations could be stopped.” (P. 40). It would appear that the process is an irreversible downward spiral that will end in “mutational meltdown”.

So how long do we have until “mutational meltdown”?

Well, according to McKibben and McKibben, Dr. Sanford estimates that the human race has a total lifespan of approximately 6,000 years…

The author cites research showing that the human race is currently degenerating at 1 – 2 % per generation due to accumulation of mutations. At a 1% decline in fitness per generation, there is a sharp reduction in fitness after 300 generations (about 6,000 years). One of the most interesting revelations in Genetic Entropy is Dr. Sanford’s and other workers’ analysis of the Biblical account of life expectancies. In a statistical regression analysis of declining life spans since Noah (lived 950 years), after 32 centuries since Noah the life expectancy has declined to about 70. The remarkable aspect is that this curve, which shows a sharp drop-off after Noah and a more gradual decline about 1,000 years ago, is that it is very similar to theoretical curves presented by other researchers that show genetic degeneration. Either Moses faithfully recorded the events (and ages) recorded in Genesis, or he was a skilled statistician who made up data with a remarkable fit to an exponential curve!

Other scientists put the lifespan of the human race significantly higher, but without a doubt there is a growing awareness in the scientific community that the human race is slowly heading toward extinction.

This is how Alex Williams puts it…

“Like rust eating away the steel in a bridge, mutations are eating away our genomes and there is nothing we can do to stop them.”

Dr. Sanford makes the same point a little bit more eloquently…

“The extinction on the human genome appears to be just as certain and deterministic as the extinction of stars, the death of organisms, and the heat death of the universe.”

For more on this, check out the excerpt from a video interview with Dr. Sanford posted below…

So what do you think?

Is time running out for the human race or do we have plenty of time left?

Please feel free to share what you think by posting a comment below…

About the author: Michael T. Snyder is a former Washington D.C. attorney who now publishes The Truth.  His new thriller entitled “The Beginning Of The End” is now available on Amazon.com.




BanZai7's WoRLD oF CoNSPiRaCY 3.0 Posted by : williambanzai7 Post date: 08/26/2013 - Infiltrate these thoughts Sunstein!

BanZai7's WoRLD oF CoNSPiRaCY 3.0





Following the announcement of Thoughtstapo Captain Major Cass Sunstein's appointment to Jim Crapper's Magical Mystery NSA Tour,

I thought it would be appropriate to release an annual update of Banzai7's WoRLD oF CoNSpIRACY...

Infiltrate these thoughts Sunstein!



German Government CONFIRMS: Key Entities Not To Use Windows 8 with TPM 2.0, Fearing Control by ‘Third Parties’ (Such As NSA) Posted by: testosteronepit Post date: 08/26/2013 - German Federal Office for Security in Information Technology: "Loss of Control Over the Operating System and the Hardware"

Is Fukushima Radiation Contaminating Tuna, Salmon and Herring On the West Coast of North America? Posted by: George Washington Post date: 08/26/2013 - Demand that Fish Be Tested for Radiation (Or Buy a Geiger Counter)




Western Warplanes Begin Arriving In Cyprus

Remember what the 2012 leaked Stratfor memo said about the focal point of western airborne power? Here it is again: "Syrian air defenses are a lot more robust and are much denser, esp around Damascus and on the borders with Israel, Turkey. THey are most worried about mobile air defenses, particularly the SA-17s that they've been getting recently. It's still a doable mission, it's just not an easy one. The main base they would use is Cyprus, hands down. Brits and FRench would fly out of there. They kept stressing how much is stored at Cyprus and how much recce comes out of there. The group was split on whether Turkey would be involved, but said Turkey would be pretty critical to the mission to base stuff out of there. EVen if Turkey had a poltiical problem with Cyprus, they said there is no way the Brits and the FRench wouldn't use Cyprus as their main air force base." (sic) Well, it has begun. Guardian reports that "Warplanes and military transporters have begun arriving at Britain's Akrotiri airbase on Cyprus, less than 100 miles from the Syrian coast, in a sign of increasing preparations for a military strike against the Assad regime in Syria."





It Is Illegal To Feed The Homeless In Cities All Over The United States

What would you do if a police officer threatened to arrest you for trying to share a sandwich with a desperately hungry homeless woman that really needed it?  Such a notion sounds absolutely bizarre, but this is actually happening in major cities all over the United States.  More than 50 large U.S. cities have adopted "anti-camping" or "anti-food sharing" laws in recent years, and in many of these cities the police are strictly enforcing these laws.  Sometimes the goal appears to be to get the homeless people to go away.  Apparently the heartless politicians that are passing these laws believe that if the homeless can't get any more free food and if they keep getting thrown into prison for "illegal camping" they will eventually decide to go somewhere else where they won't be hassled so much.  This is yet another example of how heartless our society is becoming.  The middle class is being absolutely shredded and poverty is absolutely exploding, but meanwhile the hearts of many Americans are growing very cold.  If this continues, what is the future of America going to look like? (Read More....)




Public School Is One Of The Most Dangerous Places You Could Possibly Put Your Children

Would you willingly send your kids into a war zone?  No way.  Would you willingly send your children into a federal prison?  Of course not.  So why would you send them to a public school?  In America today, kids are being killed on the way to school, at school and on the way home from school.  Mass shootings are becoming increasingly common, the influence of gangs in our schools is on the rise and sometimes the biggest threat of danger comes from the teachers and the security officials that are supposed to be there to “protect” our children.  But violence is not the only thing for parents to be concerned about when it comes to our public schools.  The truth is that public schools in the United States have become government indoctrination centers, and many teachers are constantly looking for opportunities to inject as much propaganda as they possibly can into classroom instruction.  After a dozen years of this, many students leave high school virtually brainwashed and nearly incapable of thinking for themselves.  This is one of the reasons why so many high school students seem like they are dumb as a rock.  Our young people spend most of their young lives in prison camps where they are constantly being told what to think instead of being trained how to think.  Why would anyone want to subject their children to that? (Read More.....)



72 Types Of Americans That Are Considered “Potential Terrorists” In Official Government Documents

Are you a conservative, a libertarian, a Christian or a gun owner?  Are you opposed to abortion, globalism, Communism, illegal immigration, the United Nations or the New World Order?  Do you believe in conspiracy theories, do you believe that we are living in the “end times” or do you ever visit alternative news websites (such as this one)?  If you answered yes to any of those questions, you are a “potential terrorist” according to official U.S. government documents.  At one time, the term “terrorist” was used very narrowly.  The government applied that label to people like Osama bin Laden and other Islamic jihadists.  But now the Obama administration is removing all references to Islam from terror training materials, and instead the term “terrorist” is being applied to large groups of American citizens.  And if you are a “terrorist”, that means that you have no rights and the government can treat you just like it treats the terrorists that are being held at Guantanamo Bay.  So if you belong to a group of people that is now being referred to as “potential terrorists”, please (Read More....)   Below is a list of 72 types of Americans that are considered to be “extremists” and “potential terrorists” in official U.S. government documents.  To see the original source document for each point, just click on the link.  As you can see, this list covers most of the country…

1. Those that talk about “individual liberties”

2. Those that advocate for states’ rights

3. Those that want “to make the world a better place”

4. “The colonists who sought to free themselves from British rule”

5. Those that are interested in “defeating the Communists”

6. Those that believe “that the interests of one’s own nation are separate from the interests of other nations or the common interest of all nations”

7. Anyone that holds a “political ideology that considers the state to be unnecessary, harmful,or undesirable”

8. Anyone that possesses an “intolerance toward other religions”

9. Those that “take action to fight against the exploitation of the environment and/or animals”

10. “Anti-Gay”

11. “Anti-Immigrant”

12. “Anti-Muslim”

13. “The Patriot Movement”

14. “Opposition to equal rights for gays and lesbians”

15. Members of the Family Research Council

16. Members of the American Family Association

17. Those that believe that Mexico, Canada and the United States “are secretly planning to merge into a European Union-like entity that will be known as the ‘North American Union’”

18. Members of the American Border Patrol/American Patrol

19. Members of the Federation for American Immigration Reform

20. Members of the Tennessee Freedom Coalition

21. Members of the Christian Action Network

22. Anyone that is “opposed to the New World Order”

23. Anyone that is engaged in “conspiracy theorizing”

24. Anyone that is opposed to Agenda 21

25. Anyone that is concerned about FEMA camps

26. Anyone that “fears impending gun control or weapons confiscations”

27. The militia movement

28. The sovereign citizen movement

29. Those that “don’t think they should have to pay taxes”

30. Anyone that “complains about bias”

31. Anyone that “believes in government conspiracies to the point of paranoia”

32. Anyone that “is frustrated with mainstream ideologies”

33. Anyone that “visits extremist websites/blogs”

34. Anyone that “establishes website/blog to display extremist views”

35. Anyone that “attends rallies for extremist causes”

36. Anyone that “exhibits extreme religious intolerance”

37. Anyone that “is personally connected with a grievance”

38. Anyone that “suddenly acquires weapons”

39. Anyone that “organizes protests inspired by extremist ideology”

40. “Militia or unorganized militia”

41. “General right-wing extremist”

42. Citizens that have “bumper stickers” that are patriotic or anti-U.N.

43. Those that refer to an “Army of God”

44. Those that are “fiercely nationalistic (as opposed to universal and international in orientation)”

45. Those that are “anti-global”

46. Those that are “suspicious of centralized federal authority”

47. Those that are “reverent of individual liberty”

48. Those that “believe in conspiracy theories”

49. Those that have “a belief that one’s personal and/or national ‘way of life’ is under attack”

50. Those that possess “a belief in the need to be prepared for an attack either by participating in paramilitary preparations and training or survivalism”

51. Those that would “impose strict religious tenets or laws on society (fundamentalists)”

52. Those that would “insert religion into the political sphere”

53. Anyone that would “seek to politicize religion”

54. Those that have “supported political movements for autonomy”

55. Anyone that is “anti-abortion”

56. Anyone that is “anti-Catholic”

57. Anyone that is “anti-nuclear”

58. “Rightwing extremists”

59. “Returning veterans”

60. Those concerned about “illegal immigration”

61. Those that “believe in the right to bear arms”

62. Anyone that is engaged in “ammunition stockpiling”

63. Anyone that exhibits “fear of Communist regimes”

64. “Anti-abortion activists”

65. Those that are against illegal immigration

66. Those that talk about “the New World Order” in a “derogatory” manner

67. Those that have a negative view of the United Nations

68. Those that are opposed “to the collection of federal income taxes”

69. Those that supported former presidential candidates Ron Paul, Chuck Baldwin and Bob Barr

70. Those that display the Gadsden Flag (“Don’t Tread On Me”)

71. Those that believe in “end times” prophecies

72. Evangelical Christians

The groups of people in the list above are considered “problems” that need to be dealt with.  In some of the documents referenced above, members of the military are specifically warned not to have anything to do with such groups.

We are moving into a very dangerous time in American history.  You can now be considered a “potential terrorist” just because of your religious or political beliefs.  Free speech is becoming a thing of the past, and we are rapidly becoming an Orwellian society that is the exact opposite of what our founding fathers intended.

Please pray for the United States of America.  We definitely need it.

About the author: Michael T. Snyder is a former Washington D.C. attorney who now publishes The Truth.  His new thriller entitled “The Beginning Of The End” is now available on Amazon.com.



An Attack On Syria Would Be the Most Unpopular War Ever

Paul Joseph Watson | Three times more Americans supported US involvement in Vietnam at war’s lowest ebb.


Obama’s Cruise Missile Attack Will Not Topple Assad

Kurt Nimmo | “Boots on the ground” only effective way to remove Bashar al-Assad from power in Syria.


US Attempts to Sabotage UN Chemical Weapons Investigation

Paul Joseph Watson | Decision to attack Syria already made over a year ago.


Skull and Bones Kerry Prime Suspect in Syria Attack

Infowars.com | Alex Jones exposes how war provocations throughout history have been staged.


Western Warplanes Begin Arriving In Cyprus

Zero Hedge | Remember what the 2012 leaked Stratfor memo said about the focal point of western airborne power?


Americans Would Rather Get a Root Canal or a Colonoscopy than Launch War Against Syria

Washington’s Blog | Americans Are Sick of War.


Evidence: Syria gas attack work of U.S. allies

Jerome Corsi | Contrary evidence arises as U.S. considers punishing Assad regime.


Inspectors In Syria Forbidden From Finding Out WHO Used Chemical Weapons, Only IF They Were Used

Washington’s Blog | The Fix Is In.

Dow falls 100 amid mounting worries over Syria, all S&P sectors lower

CNBC | Stocks were sharply lower Tuesday, with all key S&P sectors in the red, amid building worries over potential U.S. military action in Syria.

Facebook friends could change your credit score

CNN | Choose your Facebook friends wisely; they could help you get approved – or rejected – for a loan.


Larry Summers and the Secret “End-Game” Memo

Greg Palast | The memo is authentic.

Obama’s Cruise Missile Attack Will Not Topple Assad

Kurt Nimmo | “Boots on the ground” only effective way to remove Bashar al-Assad from power in Syria.


Military strikes on Syria ‘as early as Thursday,’ US officials say

NBC News | Missile strikes against Syria could be launched “as early as Thursday,” senior U.S. officials said Tuesday.


Syria opposition handed Western powers lists of targets for strike

Voice Of Russia | Western countries have received the list of targets for air strikes in Syria from the Syrian opposition, reported sources.


Syria strike due in days, West tells opposition – sources

Reuters | Western powers have told the Syrian opposition to expect a strike against President Bashar al-Assad’s forces within days.


‘US to release report in coming days justifying Syria strike’

Reuters | Iran warns foreign intervention will “engulf the whole region.”


Syria crisis: Russia and China step up warning over strike

BBC News | Russia and China have stepped up their warnings.


US Attempts to Sabotage UN Chemical Weapons Investigation

Paul Joseph Watson | Decision to attack Syria already made over a year ago.


Western Warplanes Begin Arriving In Cyprus

Zero Hedge | Remember what the 2012 leaked Stratfor memo said about the focal point of western airborne power?


Gold Is Having A Huge Day, And It Just Went Straight Vertical

Business Insider | Another sign of the market volatility.



{ The final nail in america’s global coffin! Really! }

BUCHANAN: Congress should veto...
Strike within days...
Warplanes begin arriving in Cyprus...
Armed forces 'making contingency plans' for military action...
Russia evacuates 90 people ...
Says West Acting Like 'Monkey With Hand Grenade'...
Top Syrian Official: Obama 'Completely Wrong'; 'Produce The Evidence'...

Cory Booker: So What If I'm Gay? { Wobama’s a gay nigger too! }


COPS: Black teen girls assault white woman; charged with 'ethnic intimidation'...

PAPER: Black man attacks elderly white male, tells him he 'shouldn't be in his park'...

Report: SC restaurant refused to seat black patrons...

SCHOOL: Black student sent racist texts to himself...


Jesse Jackson: 'Tea Party is Resurrection of the Confederacy'...  { Riiiiight, jesse the typical nigger jackson … go join your son in jail, where the niggers have proven by every factual crime stat they belong … indeed, they’ve proven they can’t live in this or any other nation as anything but slaves or inmates, so inherently uncivilized they are! Time to require work for their welfare … to occupy their otherwise misspent time getting high, partying, listening to their rap s***, and committing crimes. I’m quite serious! }






Meet (And Follow) The US Naval Forces Breathing Down Syria's Neck

With a US attack on Syria now seemingly inevitable, it is useful to get familiar (and in some cases follow in real time using their "social networking" sites) the US Naval forces amassing around Syria, ready to deliver either a lethal payload of Tomahawk cruise missiles (carried by the four destroyers listed below), a deployment of marines (located in the USS Kearsarge big-deck amphibious warfare ship), or one or more squadrons of airplanes sitting on the deck of the Truman and Nimitz aircraft carriers.



Real-Time East Mediterranean Marine Traffic Tracker

Right now, ship traffic around Syria, and especially around the port city of Latakia and Tartus (where the Russian naval base is located), is normal as can be seen on the real-time map of naval traffic in the Mediterranean courtesy of Marine Traffic. If and when (supposedly Thursday if NBC is to be believed) the US finally launches the Tomahawks, expect a prompt evacuation of the triangle between Lebanon, Turkey and Cyprus. Or maybe in advance, especially if some of the more "strategic" tankers get advance notice things are going down. Keep an eye on real-time Mediterranean traffic courtesy of the map below.




Treasury Sells $34 Billion In 2 Year Notes In Lackluster Auction

There was some anticipation heading into today's 2 Year auction, which as disclosed previously, represented the first drop in nominal issuance by $1 billion from the prevailing 2 Year size over the past several years, when as a result of reduce budget funding needs "only" $34 billion was auctioned off instead of the $35 billion recent average. Yet despite the tiny reduction in nominal, the auction was hardly a blockbuster, and if anything it was rather lackluster, with the high yield pricing at 0.386%, better than the 0.389% When Issued but certainly above July's 0.336%. The Bid to Cover also posted a modest improvement, from 3.08x last to 3.21x, however this was well below the TTM average of 3.53x. As can be seen on the chart below, auction BTC levels have been declining consistently since peaking in late 2012. Finally, the internal breakdown was generally as expected, with Directs taking down 26.1%, higher than post last month's 16.37% and the TTM average of 21.2%, Dealers holding on to 54.6% of the auction and Indirects ending up with just 19.30%, the lowest such allocation since January of this year.




Entire Treasury Belly Now Trading "Special"

Between a renewed demand for the relative geopolitical 'safety' of US Treasuries and the dismal US macro data starting to renew 'hopes' that the Taper will be delayed, the scarcity of high-quality collateral and plunging liquidity (thanks to the Fed's ongoing envelopment of the US bond market) has once again driven the 'belly' of the US Treasury market to trade 'special'. As Stone & McCarthy notes, repo has been tightening up overall, and the 2-year, 5-Year, 7-year, and 10-year are all also trading with negative handles this morning, with the 7-year getting more special ahead of this week's auction. This 'specialness' will once again raise concerns about the Fed having 'broken' the market (and as we noted here) may be further ammo to scare Bernanke straight (encouraging some degree of Taper in the Treasury buying even if the consensus believes economically we can't withstand it).



On The Global QE Exit Crisis

The global economy could be in the early stages of another crisis. Once again, the US Federal Reserve is in the eye of the storm. As the Fed attempts to exit from so-called quantitative easing (QE) – its unprecedented policy of massive purchases of long-term assets – many high-flying emerging economies suddenly find themselves in a vise. The Fed insists that it is blameless – the same absurd position that it took in the aftermath of the Great Crisis of 2008-2009. As in the mid-2000’s, there is plenty of blame to go around this time as well. The Fed is hardly alone in embracing unconventional monetary easing. Moreover, the collapsing 'developing economies' all have one thing in common: large current-account deficits. A large current-account deficit is a classic symptom of a pre-crisis economy living beyond its means – in effect, investing more than it is saving. The only way to sustain economic growth in the face of such an imbalance is to borrow surplus savings from abroad. That is where QE came into play...



VIX Jumps To 9-Week High

It seems not everyone is so confident that this market drop is dip to be bought. With most of the Treasury complex trading 'special' and the S&P 500 back below its 50DMA, investors are grabbing protection where they can. Credit indices are notably wider but it is VIX at 16.56% that is in great demand as it hits nine-week highs.



Bob Shiller Warns "None Of This Is Real; The Housing Market Has Become Very Speculative"

With the Case-Shiller 20-City index up double-digits for the 4th straight month, Bob Shiller has some choice words for the CNBC interviewers about the 'housing recovery'. "Housing is a market with momentum," he notes, "and right now, the momentum is up;" but he adds that while house prices are 'recovering', he remains much less sanguine about this recent move. But it is once he has explained the potential concerns that may weigh on the housing market that Shiller comes into his own as he explains "none of this is real, the housing market has gotten very speculative."
Must see clip as Shiller scoffs at the current sentiment, the resurgence of 'flipping', and that the housing market is "driven by irrational exuberance."



Assad Warns: "Syria Will Never Become A Western Puppet State" - Full Interview

President Bashar al-Assad stressed that "Syria is a sovereign country that will fight terrorism and will freely build relationships with countries in a way that best serves the interests of the Syrian people." As Syrian TV reports, in an interview with the Russian newspaper of Izvestia, President al-Assad stressed that "the majority of those we are fighting are Takfiris, who adopt the al-Qaeda doctrine, in addition to a small number of outlaws." On the alleged use of chemical weapons, President al-Assad said that the statements by the US administration, the West and other countries were made with disdain and blatant disrespect of their own public opinion, adding that "there isn’t a body in the world, let alone a superpower, that makes an accusation and then goes about collecting evidence to prove its point." Al-Assad stressed that these accusations are completely politicised and come on the back of the advances made by the Syrian Army against the terrorists.


June Case Shiller Misses, Y/Y Growth Posts First Slowdown Since December 2011

While Case Shiller is about as backward looking an indicator as they come (June housing data when it is almost September is pretty much completely useless), today's release showed yet another miss relative to expectations, with the 20 City Composite posting a monthly increase of 0.89%, missing expectations of 1% (for the second month in a row), was the third consecutive month of a slowing growth, and the lowest sequential growth since November 2012.



The Quote Blasts That Killed The NASDARK Caught On Tape

With AAPL plunging below the critical $500 level and equity markets slumping this morning, it seems appropriate to reflect once again on the cause of last week's NASDARK debacle. As Nanex so obviously points out in these charts, digging into market data before the Nasdaq blackout at 12:20 EDT on August 22, 2013, we came across several significant periods of extremely high quote volumes. By plotting the number of messages for each of the 6 multicast lines used by the Tape C SIP (Securities Information Processor), we discovered the quote blasts map directly to individual multicast lines. The 'line' carrying AAPL's ticker saw the largest and most egregious quote volumes (spamming perhaps) that eventualy ovehwlemed NASDARK's creeking infrastructure.



Comments: 45

Market "Glitches" Begin Early: CBOE Reports Streaming Market Data System "Experiencing Issues"


Loud War Drums Send Gold Into New Bull Market, Oil Soaring

A flurry of Reuters headlines climaxing with:


has sent investors scrambling for cover and added war premia to risk assets. Gold is now up over 20% from its 6/28 lows to $1,418.90; WTI jumped to over $108.50 - its highest since early March - collapsing the Brent-WTI spread back to $4. S&P futures are at their overnight lows -12pts (as all-important AAPL loses the $500 level and Icahn's dreams); 10Y yields have slid to 2.76%; and the JPY is surging back to 97.50 as carry-unwinds escalate.



Japan's 2014 Debt Interest Costs Rise 14% To Record $257 Billion, Same As Singapore GDP

While the world is gripped in yet another great distraction over the great "will he, won't he" start World War III debate, things that are unsustainable remain unsustainable. Such as Japan's debt, and specifically the amount of cash interest that the nation with the 230% debt/GDP (and rising interest rates) will have to pay to service its gargantuan balance sheet. According to a document seen by Reuters, Japan expects to spend a record $257 billion to service its debt during the next fiscal year. The amount to be allocated for debt-servicing for the year that will begin on April 1 is nearly as large as the gross domestic product of Singapore, which the World Bank put at $275 billion at the end of 2012. More disturbing, this is a 14% increase in the debt interest cost in just one year. And yes, it is unsustainable absent an epic inflationary episode to "inflate away the debt", something that Abenomics has so far failed in achieving despite some hopeful early glimmers in crushing the Yen.


Frontrunning: August 27

*   Opposition figure: major decisions on Syria expected within hours (Al Arabiya)

*   Syria challenges U.S. to "produce the evidence" that Assad regime launched chemical attack (CBS)

*   British PM says world must act on Syria, weighs response (Reuters)

*   U.S. Treasury to Hit Debt Limit in Mid-October (WSJ)

*   U.S. could look beyond U.N. Security Council in any Syria strike (Reuters)

*   Nasdaq, NYSE at odds on outage cause as SEC seeks facts (Reuters)

*   Ackman’s J.C. Penney Sale Ends Failed Saga to Agitate for Change (BBG)

*   Zandi, LaVorgna, Blinder, Rattner all is one con puff piece (BBG)

*   Best Buy Founder Schulze Plans Stock Sale to Diversify Assets (BBG) - "diversify assets" = dump overpriced junk

*   Zero Worship: Credit-Card Firms Compete With No-Interest Transfers (WSJ)

*   Len Blavatnik wins $50m in JPMorgan lawsuit (FT)

*   Danone Finds Yogurt’s All Greek as Oikos Chases Chobani (BBG)



Beached Scapewhale: JPMorgan's Javier Martin-Artajo Arrested In Madrid

As previewed extensively previosuly, Javier Martin-Artajo, one of the two JPMorgan scapewhales resulting from the London CIO prop-trading fiasco in which JPM used some $400 billion in deposit funding to corner the HY and IG CDS markets and then proceed to liberally redefine what a mid-market mark means, has been arrested.




Driving On Portugal's Ghost Roads: Traffic Crashes By 68% In First Quarter

While Portuguese bond spreads suggest all-is-well, stocks rally, and the nation's leaders proclaim the worst is over, there is a hard-to-manipulate statistic that should shock many about the truly dismal state of the troubled nation. As The FT reports in the brief clip, Portuguese road-traffic fell 50% in 2012, and a stunning 68% in Q1 2013... and the detail are even worse.


"No Debate" At White House That Military Response Against Syria Necessary, CBS Says



Scandal Erupts Between Russia And Belarus Following Arrest Of Uralkali CEO, Nationalization Threat

Less than a month ago, potash stocks around the world cratered overnight following news that Russian potash producer OAO Uralkali announced its decision to break up a 'marketing venture' that controlled around 43% of global potash exports in the process ending the cartel that many US fertilized companies enjoyed for years. The end of the cartel was also a big hit for former partner Belarusian Potash Company (BPS) and the host nation Belarus, a country of 9.5 million people, where revenue from its potash industry accounts for almost 20 percent of the budget.  Everyone, Goldman Sachs, included were confounded by the move: Such behavior by Belaruskali in a structurally oversupplied potash industry should push for stricter competition for end customers and result in a significant swift decline in pricing... " What was most surprising is that Uralkali would voluntarily engage in this move, knowing full well that the Belarus government would retaliate. The only question is how severely. Turns out the answer is "very."



The New 'Cloud' Normal - "Glitch" Brings Down Vine, Instagram, And Netflix

It seems "glitch" is rapidly becoming the new normal for our cloud-based world as last week's epic fail on the NASDARK (and Amazon's 30-minute 'dark' period) has now been followed up by a "glitch" at one of Amazon's data centers last night knocking out users of Vine, Instagram, and Netflix. While NASDAQ remains tight-lipped over the source of its glitch, Amazon has narrowed the search for the vindictive bug to a 'partial failure of a network device' in a northern Virgina data center. As The BBC reports, the problems began around 1600ET and continued for several hours. We await news from EUREX on what 'glitch' caused their systems to fail epically this morning also.



Guest Post: Trying To Stay Sane In An Insane World - Part 3

In Part 1 of this article we documented the insane remedies prescribed by the mad banker scientists presiding over this preposterous fiat experiment since they blew up the lab in 2008. In Part 2 we tried to articulate why the country has allowed itself to be brought to the brink of catastrophe. There is no turning back time. The choices we’ve made and avoided making over the last one hundred years are going to come home to roost over the next fifteen years. We are in the midst of a great Crisis that will not be resolved until the mid-2020s. The appearance of stability is illusory, as the civic fabric of the country continues to tear asunder. Record high stock markets do not trickle down. The masters of propaganda seem baffled that their standard operating procedures are not generating the expected response from the serfs. They have failed to take into account the generational mood changes that occur; propaganda loses its effectiveness in proportion to the pain and distress being experienced by the citizenry.



Hitler Is Short Tesla

Just what does Hitler have to do to catch a break?



Ackman Folds

29 months after ramping his initial stake to over 39 million shares (and witnessing a collapse of the stock from Over $40 to under $13), Ackman has decided that enough is enough. Through a just filed Citi-sole managed prospectus, Pershing Square is set to sell his entire 39,075,771 share stake in the beleaguered firm. The stock price's initial plunge on the news was immediately met by an avalanche of algo-driven buying to enable those that can to escape quick but as we post, JCP is heading back to its lows. With an overall cost-basis in the mid $20s, this one will sting a bit.




Market Close: The War Rotation

All was well in the world early on. Dismal durable goods orders were terrible enough to provide the index-watching-muppets with the bad-news-that-is-good-news to pump stocks higher. Other markets reacted in a pro-Taper-off mode (aside from Gold and silver which were man-handled back down from the $1,400 level). Volume is/was terrible in stocks but they clung to earlier highs as homebuilders surged (seeming to ignore Friday's data entirely). Then Kerry spoke... first WTI broke higher (catching up Brent), then gold (and silver), the USD sold off (as JPY strengthened as a million carry traders were suddenly silenced), and US equity markets fell out of bed with a thump. The dow lost 15,000; S&P futures tested down to their 50DMA; gold traded up to $1,403; silver well over $24; VIX snapped 1 vol higher to 15.0%; and AAPL tumbled from early highs (holding above $500 though). An ugly close at the lows of the day for stocks...



Will 8th Time Be The Charm For $1,400 Gold?

UPDATE 2: the valiant $1400 defense failed. Gold at $1405 now

UPDATE: Dow lost 15,000. AAPL $502 (from $510), Gold $1399

It seems defending the critical levels we highlighted on Friday remains the market's mission today. AAPL over $500, check! Dow over 15,000, check! Gold under $1,400, check... for now (oh and Silver under $24, check). We can't help but wonder who the magnificently positioned 'trader' is that keeps wiping away the bid-stack every time we touch $1,400 - especially as the contrarian in us notes that more than half the analysts in Bloomberg's survey expect price to fall (the most since just before gold bottomed nine weeks ago)... With Kerry's briefing appearing to raise the chances of war, it will be tough for 'them' to defend this push...



A "Clear, Staggering And Compelling Attack" - Full Kerry Transcript

"Anyone who could claim that an attack of this staggering scale could be contrived or fabricated needs to check their conscience and their own moral compass. What is before us today is real, and it is compelling."



Guest Post: Detroitification - It’s The Government, Stupid

No matter how hard the Washington crowd tries to sell an economic recovery, inconvenient and contrary facts keep rearing up to shatter their mythmaking. Few people any longer believe the claims of declining unemployment or low inflation at least based on purchases they make. The fable of a housing recovery is now crumbling. The recession, declared over in June 2009, never ended. Some wonder how bad the recession/depression might have been had government not acted. Others worry that we will find out when the Fed tapers. For lack of a better term, the process the entire country is headed for is “Detroitification.” At this stage, the damage is done and cannot be undone quickly enough to avoid this crisis. Even if there were time, there is no way that politicians would willingly address the problem.



Israel Claims To Have Intercepted "Syrian Regime Chatter" Confirming Assad Behind Attack

The planting and harvesting of false flags in Syria will need a crop rotation following the latest "revelation" by Germany's Focus magazine (on Saturday), subsequently reported by the Times of Israel, that Israeli Defense Forces had listened in on senior Syrian officials discussing a chemical attack last Wednesday. TOI reports that "according to the report Saturday in Focus magazine, a squad specializing in wire-tapping within the IDF’s prestigious 8200 intelligence unit intercepted a conversation between high-ranking regime officials regarding the use of chemical agents at the time of the attack. The report, which cited an ex-Mossad official who insisted on remaining anonymous, said the intercepted conversation proved that Bashar Assad’s regime was responsible for the use of nonconventional weapons."



Secretary Kerry "Syria / Taper" Briefing - Live Webcast (Delayed To 1430ET)

UPDATE 3: He speaks... and it's over



Following the weekend's escalations (and today's intelligence intercepts, inspections, and attacks), US Secretary of State John Kerry is back from vacation and takes to the teleprompter (and hopefuly some Q&A) to brief us on which red line is next and when the US goes back to war (removing the Taper fears)...

‘IDF intercepted Syrian regime chatter on chemical attack’ - Times of Israel

Pre-Kerry: S&P 500 (Fut) 1663.25, 10Y 2.8055%, USD 81.45, WTI $106.15, Gold $1393.55


Soybean, Corn, And Wheat Prices Are Surging

Just two weeks ago, agriculture commodity-watchers were celebrating: “we are in for an exceptionally good year, perhaps one of the best in the last four or five years in terms of crop production,” as prices for corn, wheat and soybeans were falling amid global relief of the escalating inflation of food prices. So much for that... as SocGen notes, prices will be at or above current levels as hot, dry weather threatens U.S. Midwest crops. In addition, a shift in Chinese policy (following corruption concerns) is having a positive impact on price. Sure enough, Corn, Wheat (impacted by Brazil's frosts cutting forecast by 26%), and Soybean prices are screaming higher today as crops appear to be "decidely not in good shape." Corn is having its biggest gain since July 2012, Soybeans up most since 2010 and limit-up, and Wheat up its most since June 2012.






Chemical weapons 'undeniable'...

Obama 'undecided'...

Press corps blurs president's 'red line'...

Middle East alliances cracking...

POLL: 9% support military action...

Israel distributes gas masks...

Damascus, Tehran issue stark warning to Jerusalem...






Sec. State Kerry Prepares WMD Pretext Ahead of Syria Attack

Kurt Nimmo | Obama and his partners in crime set stage of another murderous attack.


History Repeats: CIA Docs Reveal US Aided Saddam’s Chemical Attacks

Anthony Gucciardi | History repeats as CIA files reveal the US aided Saddam’s historic chemical attacks in the 80s.


Remembering 9/11 Truth Scholar Dr. Bob Bowman

Julie Wilson | “The most unbelievable of all the wild conspiracy theories is the one our government has told us.”


Young Deputy Sheriff Guns Down Air Force Vet in His Own Garage

Kit Daniels | 22-year-old deputy kills 68-year-old vet who was inspecting damage done to his property.


Conservative ‘Extremists’ Force Twitter Trend

Adan Salazar | People using social media to propagate ‘extremist’ views.


Syria: We’ll Strike Israel If US Attacks

Steve Watson | Syrian government has “strategic weapons aimed at Israel.”


Syrian Rebels Behind Sniper Attack on UN Inspectors?

Paul Joseph Watson | Opposition militants previously kidnapped multiple UN peacekeepers.


Demand For Gas Masks in Israel Soars as Syria Attack Nears

Paul Joseph Watson | Hordes of Israelis flock to distribution centers.



Larry Summers and the Secret “End-Game” Memo

Greg Palast | The memo is authentic.



First Signs of Hyperinflation Have Arrived

JS Kim | US national debt can travel from the earth to the sun and back a stunning 83 times.

Pentagon Prepping For ‘Large Scale Economic Breakdown’

Anthony Gucciardi | High level government documents reveal that the Pentagon is preparing in full force for ‘large scale economic meltdown’ and massive revolt via the US public — exactly what we are criticized for doing.




Syria: We’ll Strike Israel If US Attacks

Steve Watson | Syrian government has “strategic weapons aimed at Israel.”


Syrian Rebels Behind Sniper Attack on UN Inspectors?

Paul Joseph Watson | Opposition militants previously kidnapped multiple UN peacekeepers.


Remembering 9/11 Truth Scholar Dr. Bob Bowman

Julie Wilson | “The most unbelievable of all the wild conspiracy theories is the one our government has told us.”


Former Jabhat al-Nusrah Member admits Chemical Weapons Use

nsnbc | A former member of the al-Qaeda associated, foreign-backed Jabhat al-Nusrah front has admitted that Jabhat al-Nusrah is in possession of chemical weapons, to be used in attacks in Syria.


CIA Files Prove America Helped Saddam as He Gassed Iran

Foreign Policy | The U.S. knew Hussein was launching some of the worst chemical attacks in history — and still gave him a hand.


Demand For Gas Masks in Israel Soars as Syria Attack Nears

Paul Joseph Watson | Hordes of Israelis flock to distribution centers.


Top Dem: We Will Ignore Congress on Syria Attack

Paul Joseph Watson | Rep. Eliot Engel calls for cruise missile assault.


KUDLOW: My Source Says Tim Geithner Is Leading The Search For The Next Fed Chair

CNBC | Wait a second … Geithner? Did someone say Geithner? We thought he retired from government to go home to New York.


Gold, Crude Spike On Pre-War Jitters

Zero Hedge | Events over the past 48 hours have shown beyond a reasonable doubt that the US may have the most confused, conflicting foreign policy of any western nation.

US government seized $5 million from Bitcoin behemoth Mt. Gox

The Verge | Things keep looking worse for Mt. Gox, by far the largest company in the nearly four-year-old economy that has sprung up around the virtual currency Bitcoin.


“Hello Scotia Mocatta, It’s JPMorgan… Yes, Again… We Need More Gold”

Zero Hedge | It happened again.







Guest Post: Up Against Hard Limits - Food And Finance

For roughly forty years (since the report was published in 1972), technology has pulled one magic rabbit after another out of the hat, making a mockery of the claims that there were limits on consumption and resource extraction: the green revolution and fossil-fuel fertilizers expanded food production, new supergiant oil fields and improved drilling technologies opened up vast new energy reserves, and improved technologies led to more efficient use of resources. The success of the past four decades in pushing back looming limits has created a widespread confidence that technology can solve any apparent limits. For example, if the seas have been stripped of fish, then aquaculture will fill the desire for fresh fish. Presto-magico. But what if the technological improvements are entering a terminal phase of diminishing returns? What if the "solutions" don't really replace what has been destroyed? For example, the ecology of the open ocean is not restored by aquaculture; rather, it is further harmed by poor aquaculture practices.


Internet Architects Plan Counter-Attack On NSA Snooping

"Not having encryption on the web today is a matter of life and death," is how one member of the Internet Engineering Task Force - IETF (the so-called architects of the web) described the current situation. As the FT reports, the IETF have started to fight back against US and UK snooping programs by drawing up an ambitious plan to defend traffic over the world wide web against mass surveillance. The proposal is a system in which all communication between websites and browsers would be shielded by encryption. While the plan is at an early stage, it has the potential to transform a large part of the internet and make it more difficult for governments, companies and criminals to eavesdrop on people as they browse the web. "There has been a complete change in how people perceive the world," since Snowden exposed the NSA's massive surveillance efforts, and while "not a silver bullet," the chief technologist at security firm RSA notes, "anything that improves trust in this digital world is a noble aim."



"There’s No Free Market In Money Today" And Other Observations By Howard Marks

"When things are going well people become greedy and enthusiastic, and when times are troubled, people become fearful and reticent. That’s just the wrong thing to do. Another mistake that people often make is that they compare themselves with others who are making more money than they are and conclude that they should emulate the others’ actions ... after they’ve worked. This is the source of the herd behaviour that so often gets them into trouble... As long as human nature is part of the investment environment, which it always will be, we’ll experience bubbles and crashes.... People talk about the wisdom of the free market – of the invisible hand – but there’s no free market in money today. Interest rates are not natural. They are where they are because the governments have set them at that level. Free markets optimise the allocation of resources in the long run, and administered markets distort the allocation of resources. This is not a good thing..." - Howard Marks


The IMF's "Containment Strategy" For Europe: Fingers Crossed

"The latest numbers that we have received, in particular from Germany, are encouraging, whether it's manufacturing, whether it's service activity, whether it's exports. That is heading in the right direction, but it needs to be sustained over time. And I'm crossing fingers for the eurozone..."


What's Driving Treasury Yields?

The 10Y Treasury yield has jumped nearly 130bp from its low point in early May. Given the tight ranges and low volatility of yields during the most of QE era, this kind of move in just over 3 months seemed stunning to some investors. Consequently, the question that has come up often recently is: what has been driving Treasury yields? As UBS' Boris Rjavinski notes, several years ago a rate strategist would give you a straightforward and predictable answer: inflationary expectations, economic growth projections, and current and future monetary policy. But now, as Rjavinksi notes, central banks and politics in the driver seat. Volatility will remain elevated as we await key messages from the Fed in September, and U.S. political calendar will start to heat up as we approach the “drop-dead” dates to fund the government and extent the dent ceiling.


NSA Agents Used Company Resources To Spy On Former Spouses

Remember when Obama said it is impossible for the NSA to spy to American citizens? Well, at least one guy didn't get the memo. As AP reports, two U.S. officials said one analyst was disciplined in years past for using NSA resources to track a former spouse. The officials spoke on condition of anonymity because they were not authorized to speak publicly. Not that we blame him of course: if one has every capability to spy on anyone, certainly including exes, and there are absolutely no checks and balances to any violating behavior, then why not? Which of course goes to the root of the problem. And the other problem: if one guy has done it, all others have done it too. They just haven't been caught yet.


Slower Asian Growth + Weaker Funding Conditions = ?

The challenge to the world's credit cycle comes from both ends. An increasingly sluggish growth outlook creates downward pressures on earnings and internal cash generation. The slowdown is fairly widespread. In addition, the cost of funding is on the rise. Downside skews begin to emerge in the later stages of a cycle when leverage has already increased and the cycle turns more adverse, and that is happening in Asia right now.  This is critical in our current benign default environment because the combination of highly leveraged firms, slowing GDP and rising real rates was exactly what created the spike in defaults in 2007-2009 (that only the largest monetary policy bailout in history was capable of kicking down the road).



The Pentagon Is Preparing A Cruise Missile Attack Against Syria



Detroit Has Gone To The Dogs... Literally

Detroit may be on its way to becoming a ghost town, but the disappearance of homo sapiens from the streets just means the largest US bankrupt city is about to have a new master - man's formerly best friend, in the form of tens of thousands of stray dogs most of which happen to be a particularly vicious breed of pit bulls. Step aside Motown, and say hello to Dogtown.


Report: DHS At Active Shooter Drill In Texas?

Infowars.com | We don’t expect that question to be answered truthfully any time soon.


DoD Training Manual: ‘Extremist’ Founding Fathers ‘Would Not Be Welcome In Today’s Military’

Adan Salazar | Material lists people concerned with “individual liberties, states’ rights, and how to make the world a better place” as potential extremists.


Flashback: Yahoo Uncovered Syria Chemical Weapon False Flag in January

Anthony Gucciardi | There has much been talk of the recent chemical attack in Syria, yet there appears to be virtually no mention of this piece in the mainstream news.


Syrian Girl Reports on The Orchestrated Syrian Conflict

Infowars.com | Syrian Girl gives an update on the escalating crisis in Syria with new allegations of chemical attacks.


Experts Doubt Syrian Chemical Weapons Claims

Washington’s Blog | Preliminary Evidence Indicates that the Syrian Government Did NOT Launch a Chemical Weapon Attack Against Its People.


DoD Training Manual Suggests ‘Extremist’ Founding Fathers ‘Would Not Be Welcome In Today’s Military’

Adan Salazar | Material lists people concerned with “individual liberties, states’ rights, and how to make the world a better place” as potential extremists.


The Pentagon Is Preparing A Cruise Missile Attack Against Syria

Zero Hedge | We are meant to believe that the Syrian leader launched the biggest nerve gas attack in the history of the Qatari, Al-Qaeda and CIA-funded and organized Syrian rebellion.


US military updates list of potential targets in Syria as pressure mounts on Obama

Reuters | Updated list includes mobile targets that would disrupt Assad’s ability to conduct chemical weapons attacks.


Flashback: Yahoo Uncovered Syria Chemical Weapon False Flag in January

Anthony Gucciardi | There has much been talk of the recent chemical attack in Syria, yet there appears to be virtually no mention of this piece in the mainstream news.


Al Qaeda blames Hezbollah for Lebanon bombings

Reuters | Al Qaeda’s North African branch blamed Lebanese Shi’ite Muslim militant group Hezbollah for twin bombs that hit the northern city of Tripoli on Friday.


Rebels smuggling Syria chemical weapons strike evidence to U.N. experts

Reuters | Syrian activists say they are smuggling out body tissue samples from victims of an alleged chemical weapons attack outside Damascus and are trying to get them to a team of United Nations inspectors.


NSA Admits: There Have Been A Bunch Of Intentional Abuses, Including Spying On Love Interests

Techdirt | Late on Friday (of course) the NSA finally put out an official statement admitting to an average of one intentional abuser per year over the past ten years.


UK’s Suppression Of Freedom Of The Press Drives Guardian To Partner With NYT On Snowden Reporting

Techdirt | The Guardian made it clear that the reporting on the leaks would continue, but out of its NY offices.


Hastings Family Member Slams Coroner as “Irresponsible”

David J. Krajicek | “The LAPD has done a really sloppy job investigating his case.”


Video Footage of ‘Chemical Weapons Attack’ Uploaded Before it Happened?

Paul Joseph Watson | Russia: Provocation was “pre-planned”.


The Coming Fukushima Global Disaster with Dr. Christopher Busby

Infowars.com | “New Leaks” have been discovered, 240 megatons of potentially explosive radioactive material on site, mutations of local plants and wild life, etc.

Taxpayer cost of housing NYC prisoners last year: $167,000 per inmate

NY Post | “Jail is an expensive proposition, which is why you want to use it only when you have to use it.”

The Confidential Memo At The Heart Of The Global Financial Crisis

Greg Palast | When a little birdie dropped the End Game memo through my window, its content was so explosive, so sick and plain evil, I just couldn’t believe it.

“Hello Scotia Mocatta, It’s JPMorgan… Yes, Again… We Need More Gold”

Zero Hedge | It happened again.


They Actually Expect Us To Have Faith In These Financial Markets After This Week?

Economic Collapse | What in the world is happening to our financial markets?


Nasdaq outage resembles hacker attacks

USA Today | The incident had all the earmarks of the three waves of denial-of-service attacks.

They Actually Expect Us To Have Faith In These Financial Markets After This Week?

What in the world is happening to our financial markets?  Trading on the Nasdaq was halted on Thursday for more than 3 hours, and the only formal explanation that we got was that it was a "technical issue".  On Tuesday, Goldman Sachs made thousands of "erroneous trades" that are now being canceled.  If those trades had not been canceled, it could have cost Goldman "hundreds of millions of dollars" according to the Wall Street Journal.  How nice for them that they get a "do over".  When Knight Capital made a similar "trading error", they were not so fortunate.  Our financial system has become completely and totally dependent on computers, and that means that it is extremely vulnerable.  After what we have witnessed this week, how can they actually expect us to have faith in these financial markets?  And what happens if these "technical issues" get even worse? (Read More....)




"Hello Scotia Mocatta, It's JPMorgan... Yes, Again... We Need More Gold"

It happened again.



*   Comments: 220

*   Reads: 17,665

China's Unprecedented Demographic Problem Takes Shape

Chinese society is on the verge of a structural transformation even more profound than the long and painful project of economic rebalancing, which the Communist Party is anxiously beginning to undertake. As we recently discussed, Stratfor warns China's population is aging more rapidly than it is getting rich, giving rise to a great demographic imbalance with important implications for the Party's efforts to transform the Chinese economy and preserve its own power in the coming decade. In fact, as BofAML notes, China's working-age population peaked last year (3 years ahead of demographers' schedule) representing a major turning  point for the world's economy.



*   Comments: 6

*   Reads: 613

Detroit Has Gone To The Dogs... Literally

Detroit may be on its way to becoming a ghost town, but the disappearance of homo sapiens from the streets just means the largest US bankrupt city is about to have a new master - man's formerly best friend, in the form of tens of thousands of stray dogs most of which happen to be a particularly vicious breed of pit bulls. Step aside Motown, and say hello to Dogtown.



*   Comments: 67

*   Reads: 4,165

Is The US In A Recession?

We recently discussed the possibility that the US is "worse than Japan in the 90s" but, against all consensus, we wonder, will the US soon enter a Recession or is it actually in a Recession? Is there a possibility the US is in a Stealth Depression?



*   Comments: 75

*   Reads: 5,521

Today's Stock Ramp Caught On Tape

At 15:45:31 on a quiet Friday afternoon in August, someone decided that they needed to buy 7,000 e-mini contracts (or $582 million notional of equity exposure). By the end of that minute, 23,679 contracts had traded as 'someone' needed $2 billion notional expsoure to the S&P 500 as it traded up to its highs of the day (and didn't care about phishing the entire order book). What is perhaps just as intriguing is the patterns seen in the options complex as VIX futures and ETFs were the first to crack as 330RAMPCAPITAL LLC stepped in, and then again as the mystery TWO-BILLION-BUYER came to play at 345ET. All of which makes perfect sense to any rational human asset manager or trader who cares not one bit about best execution, fiduciary duty, or simply whether they win or lose... Here is the very visible hand in all its glory...



*   Comments: 50

*   Reads: 6,836

The Week That Was: August 19th - 23rd 2013

Succinctly summarizing the positive and negative news, data, and market events of the week...



*   Comments: 5

*   Reads: 2,186

Plunging Home Sales Send Stocks Higher, But Dow Drops For Third Week

Despite the best efforts of the efficient and idiotic things we call the US equity markets - which exhibited the kind of epic VIX smashfest into the close - the Dow was unable to be rescued from its 3rd red week in a row (the first in 9 months). The S&P closed above its 50DMA (at the highs of the week) with a late-day scramble (but Nasdaq ends the week +1.7%). So a very mixed bag for stocks and the USD (thanks to today's post-home-sales dumpfest) ends the week unchanged. The real story of the day (and week) though is precious metals and bonds. The 30Y bond's best week in a month and best day in 5 months wa snotable but perhaps more so, while the entire complex ripped lower in yield as the un-taper un-housing-recovery data hit, the flattening of the 5s30s spread is extreme. Gold and Silver spiked on the home-sales data ending the week up notably. The VIX-compression into the close ended at 14.00% for the biggest 2-day drop in 2 months.



*   Comments: 15

*   Reads: 4,173

Guest Post: 1987 Redux

Let’s see. Consumers are carrying more debt than they did in 2007. Corporations are carrying more debt than they did in 2007. The Federal government is carrying 60% more debt than it did in 2007. Cities and States are carrying more debt than they did in 2007. Interest rates have jumped by 80% in the last three months. The economy is clearly in recession, as retailer after retailer reports horrific results. Stocks are as overvalued as they were in 1929, 2000, and 2007. China is experiencing a real estate collapse. Japan is experiencing a cultural/economic/societal collapse. The Middle East is awash in blood. The European Union is held together by lies, delusion and false promises. What could possibly go wrong?



*   Comments: 70

*   Reads: 9,959

Happy Beardday Humor: Spot The Original



*   Comments: 126

*   Reads: 8,566

Gold Breaks Above $1,400

It seems the crossing of the Maginot 100-day moving average combined with Jackson Hole chatter and the dismal new home sales data has set the precious metals ablaze once again. For the first time since early June, gold has crossed the psychological $1,400 level (up 18.5% from its 6/18 lows). We suspect the still-unprecedented short-interest in COMEX gold futures may well be feeling more heat here (having fallen 40% in the last 5 weeks)...



*   Comments: 151

*   Reads: 11,250

Fact Or Fiction: Goldman Sachs Is Blowing Up A Nursing Home (And No One Can Stop Them)

While none other than Meredith Whitney warned this morning (mere weeks after her most-bullish-on-banks-ever call) that big US banks' revenue model is unsustainable, we discover that the NYSE Amex Options exchange has decided to DK all of Goldman's "erroneous" trades from Tuesday morning's debacle. As The WSJ reports, this is quite a boon to the venerable Goldman Sachs who faced hundreds of million in losses had the trades stood. The fact that no one can ever touch the bank-that-shall-not-be-named should come as no surprise (unsustainable business model or not) and as the following 'story' suggests, perhaps they truly are 'untouchable'.



*   Comments: 49

*   Reads: 9,273

US Equity Funds Post Largest Weekly Outflow Since November 2011

Curious how the US retail investor is reacting to the surprising inability to BTFATH? Bank of America explains how: by yanking the most cash from equity funds since November 2011.



*   Comments: 15

*   Reads: 4,735

NASDAQ Claims "No Evidence Of An Attempted Intrusion Or Of An Unusual Burst Of Quotation" ... Except For This

Perhaps the most curious part from the just released and detailed Nasdaq post-mortem is the following, which appears to be an attempt to answer our remaining question from yesterday:  "At approximately 12:03 p.m., Eastern Time (ET), the UTP SIP ceased dissemination via all outbound UTP Quote channels. The UTP Trade feeds were not impacted by this outage and continued to remain operational. The UTP SIP has no evidence of an attempted intrusion into SIP systems or of an unusual burst of quotation or trading messages in connection with yesterday's events." No evidence, except for these (and many more) locked bids and asks and the associated Nasdaq trading radio silence.



*   Comments: 53

*   Reads: 7,427

Sell-Side To Fed "Don't Leave Us Now"

In spite of the prime-dealers seeming agreement that SepTaper is most likely; judging by the plethora of talking-heads and research pieces hitting in the last few days, the idea that a Taper was a good thing (Tepper) and in fact indicates 'health' appears to be on the back-burner as almost every sell-side shop is out with a discussion of just how potentially bad things are macro-economically and that a taper should be off the table. Below is BofAML's Ethan Harris' seven reasons to delay the taper following today's "punch in the stomach for the economic recovery story" (and our 4 reasons why they can't or won't).



*   Comments: 27

*   Reads: 6,289

Yield Rise "Blessing in Disguise" To Some, Nomura Says

While many begrudge the rise in interest rates and their concomittant tightening of financial conditions, Nomura's George Concalves notes that the move has been a "blessing in disguise" for most long-only bond investors. Insurance companies and pension-funds, who need 'yield' to cover long-term liabilities, have been underweight since the Fed began Operation Twist (on the basis of the yield became too compressed) but the recent sell-off in Treasuries (which does not reflect any asset-allocation or great rotation since stocks have been just as weak) enabled these funds to put money to work. This helps to explain the very notable flattening in the yield curve (5s30s -17bps in the last week) as duration extension is more economically attractive. Concalves suggests Taper fears are overdone and that should rates back up another 25bps, there is more dry-powder to put to work in bonds.




WWII vet, 88, beaten to death by black teens...

Beat him with flashlights...

Buchanan: 'Interracial violence is overwhelmingly black-on-white'...

Police: Man doused with gasoline, set on fire in vacant lot...

Hot Dog Vendor Beaten With Hammer, Robbed of Cell Phone... { Yes … the uncivilized niggers strike again! }



Dead souls of a cultural revolution

Pat Buchanan: 'Interracial violence is overwhelmingly black-on-white'


Patrick J. Buchanan About | Email | Archive

Pat Buchanan was twice a candidate for the Republican presidential nomination and the Reform Party's candidate in 2000. He is also a founder and editor of The American Conservative. Buchanan served three presidents in the White House, was a founding panelist of three national TV shows, and is the author of nine books. His latest book is "Suicide of a Superpower: Will America Survive to 2025?"


Last Friday, Christopher Lane, a 22-year-old Australian here on a baseball scholarship, was shot and killed while jogging in Duncan, Okla., population 23,000. He died where he fell.

Police have three suspects, two black and one white. The former said they were bored and decided to shoot Lane for “the fun of it.”

As Lane was white and the shooter black, racism has surfaced as a motive. Thursday came reports that killing a white man may have been an initiation rite for the black teens in joining some offshoot of the Crips or Bloods.

What happened in Oklahoma and the reaction, or lack of reaction to it, tells us much about America in 2013, not much of it good.

Teenagers who can shoot and kill a man out of summertime boredom are moral barbarians, dead souls.

But who created these monsters? Where did they come from? Surely one explanation lies in the fact that the old conscience-forming and character-forming institutions – home, church, school and a moral and healthy culture fortifying basic truths – have collapsed. And the community hardest hit is Black America.

Black mobs routinely terrorize cities across the country, but the media and government are silent. Read the detailed account of rampant racial crime in “White Girl Bleed a Lot: The Return of Race Riots to America”

If we go back to the end of World War II, 90 percent of black families consisted of a mother and father and children raised and disciplined by their parents. The churches to which these families went on Sundays were stronger. Black schools may have been largely segregated, but they were also the transmission belts of patriotism and traditional values rooted in biblical truths and a Christian faith.

Though such schools graduated hardworking, law-abiding and productive citizens, today they would be closed as unconstitutional.

Indeed, all of those character- and conscience-forming institutions of yesterday are in an advanced state of decline today.

Seventy-three percent of black kids are born to single moms. Black kids who make it to 12th grade may often be found reading at seventh-, eighth- or ninth-grade levels. In some cities the black dropout rate can hit as high as 50 percent.

Drugs are readily available. And among black males ages 18 to 29, in urban areas, often a third are in prison or jail, or on probation or parole, or walking around with a criminal record.

Where do the kids get their ideas of right and wrong, good and evil? In homes where the father is absent and the TV is always on. From radios tuned in to rap and hip-hop. From films where Hollywood values prevail and the shooting never stops. From street gangs that sometimes form the only families these kids have ever known.

Still, crime has fallen since 1990, we are told.

And so it has. But that is only because the baby boomers, the largest population cohort in our history, passed out of the high-crime age group a quarter of a century ago, and because the jail and prison population in America has tripled.

Order Pat Buchanan’s brilliant and prescient books at WND’s Superstore.

What kind of leadership do we see today in Black America?

What can be said for an NAACP that was lately demanding a Justice Department investigation of a rodeo clown running around a bull ring in rural Missouri in an Obama mask, but cannot find its voice to address a black-on-white atrocity in Middle America?

When Trayvon Martin was shot to death in a murky incident in Sanford, Fla., Jesse Jackson rushed there to declare: “Blacks are under attack. … Killing us is big business.” Trayvon was “shot down in cold blood by a vigilante … murdered and martyred.”

After Chris Lane’s cold-blooded murder, Jesse tweeted: This sort of thing is to be “frowned upon.”

If I had a son, said President Obama, he would have looked like Trayvon; 35 years ago, I could have been Trayvon. Can the president not find his voice to speak to the parents of Chris Lane?

Since Lyndon Johnson took office, 50 years ago, we have spent trillions on his programs for health care, housing, education, food stamps, welfare and civil rights. Are we living in that Great Society we were promised?

In that same decade, we were told that the social, cultural and moral revolution bursting forth on the campuses would rid us of the repressive old-time morality and Old Time Religion, and lead to a more equal, just, humane and better America, a beacon to mankind.

Yet, are not the killers of Chris Lane who shot him for the fun of it the “do-your-own-thing!” children of that cultural revolution?

The death of Trayvon was said to be reflective of the real America, a country where black folks live in constant fear of white vigilantes and white racist cops. What nonsense.

In the real America, interracial violence is overwhelmingly black-on-white. Even if the media will not report it, everybody knows it.

And journalists will not dig into the numbers that prove it, for the truth would undermine their ideology and contradict the narrative that governs and gives meaning to their lives.

For liberals, America is always “Mississippi Burning.” It just has to be that way.



If You Could Make More Money By Going On Welfare Instead Of Working, Would You Do It?

If you could stay home and relax all day and actually make more money than you do at your current job, would you do it?  That sounds crazy, but this is actually a very real dilemma for millions upon millions of Americans.  According to a shocking new study that was just released by the Cato Institute, people on welfare are actually better off than minimum wage workers in 35 U.S. states.  And in 13 states, those on welfare actually do better than those making $15 an hour.  So why bother?  It is very difficult to find a job in this economy, especially a good one.  As I mentioned yesterday, seven out of every eight jobs that have been "created" since Barack Obama has been president have been part-time jobs.  Why slave away flipping burgers, stocking shelves for some retail giant or working for some temp agency when you could just sit home and make more money collecting government checks?  Yes, there is definitely a minority of Americans that hate the idea of becoming dependent on the government and would never want to take advantage of the system like that, but that minority seems to be shrinking.  At this point, about half the country gets money from the government each month anyway, so why not collect "your share"?  If someone is offering to give you something for free, it is only human nature to be at least a little bit tempted.  And right now the federal government is making it extremely tempting to give up on work entirely and become a permanent welfare check collector. (Read More....)



Chris Lane shooting was 'gang initiation'...

PAPER: Threatened to kill teen who wouldn't join offshoot of Crips...

Racist tweets: '90% of white ppl are nasty. #HATE THEM'...

'Chilling' 911 call...

HS of charged teens receives threats...

TIME: 'Don't Ignore Race'...

White House spokesman 'not familiar with' case...


More than half of world's exchanges hacked last year...

Cramer: We need a disaster plan!

UPDATE: Chris Christie's opponent to campaign in Jersey Shore tent city...

OBAMA WARNS: 'Some point, the government will run out of money'...

Campaign blames Congress for school shootings...

DUNKIN' DONUTS worker beaten, pistol-whipped over botched coffee order... { Niggers, of course! }


Doctor: 'Sleep Texting' Becoming Common Problem For Smartphone Owners...


Video Footage of ‘Chemical Weapons Attack’ Uploaded Before it Happened?

Paul Joseph Watson | Russia: Provocation was “pre-planned”.


Chicago Police Implement Precrime Tactics

Kurt Nimmo | Preemptive arrest and detention characteristic of authoritarian and totalitarian governments.


Leaked Document Reveals Government Paid Millions to PRISM Participants

Julie Wilson | Government offered millions to tech companies in exchange for unlimited consumer data access.


Is the Media Covering Up the Beginnings of a Race War?

Paul Joseph Watson & Alex Jones | No national debate over spate of black on white crimes.


Wash. City Sued Over ‘Peeping Tom’ Hidden Surveillance Cameras in Jail Cells

Adan Salazar | Footage captured “attractive” females changing clothing and urinating.


Snowden: UK Government Intentionally Leaking Harmful Information To Blame Whistleblowers

Steve Watson | Those at centre of surveillance scandal say government is running a false flag operation.


U.S. Sets Syria Invasion in Motion Following Reported Chemical Attack

Kurt Nimmo | Obama’s “red line” allegedly crossed, U.S. and allies can now prepare to finally unseat al-Assad in Syria.


US-Trained Rebels Moved Towards Damascus Days Before ‘Chemical Attack’

Paul Joseph Watson | Lawmakers who opposed arming FSA militants “reconsider intervention”.




Nowhere to Hide Posted by: Capitalist Exploits Post date: 08/22/2013 - The war against privacy is ultimately being fought to make sure you don't keep anything hidden when the global government funding crises comes to a head.

Post-China 16 Posted by: Pivotfarm Post date: 08/22/2013 - There’s always someone waiting to dethrone the one in the position at the top of the roost, isn’t there?



American, Israeli And Jordanian Troops And CIA Agents Have Entered Syria, Le Figaro Reports

We have yet to see secondary confirmation of the following breaking news from the second largest French newspaper, Le Figaro, but if accurate, it means the Nobel Peace Prize winning president has just engaged in yet another unsanctioned by Congress war.



Five Hours Later NASDARK Speaks: Twas But A "Glitch"










The Grand Experiment: Offloading Risk Onto The State

From the historical perspective, concentrating virtually all systemic risk into the state is a Grand Experiment. Cheap, abundant oil, expanding working-age populations and rapidly increasing productivity conjured the illusion that the state was large enough and powerful enough to absorb infinite risk with no real consequence. The problem is the state's ability to tax/print/borrow money to cover payouts and losses is not infinite. Having transferred virtually all systemic risks to the state, we presume the state is so large and powerful that a virtually limitless amount of risk can be piled onto the state with no consequences. Offloading risk onto the state does not make the risk vanish; it simply concentrates the risk of collapse into the state itself.


Hitler Finds Out About The NASDAQ Halt

Well, that was fast.



The Line Every Gold Trader Is Watching

From Indian leases to negative GOFOs, from Chinese physical demand to Western bank paper gold deleveraging, and from practical mining cost floors to the ongoing playing out of the grandest experiment of monetary policy in history; there are a plethora of drivers for the price of the precious metal. But, for now, the only thing that counts is the 100-day moving average as gold prints its first positive closing breakout of 2013.


Market Soars On NASDARK Day

The Dow has its best day since August 1st but its the NASDARK that takes the biscuit with a 1.4% gain - its best day in 6 weeks. S&P 500 futures ramped all the way to recent highs, snagging stops all the way to its 50DMA once again. Trannies were the big short-squeeze high-beta muppet-killers today though +2%!! While the topic du jour will be the total farce that US equity markets have become, there was action away from stocks that bears noting. The refunding news sent the Treasury market diverging with the belly getting smacked higher in yield as the long-end rallied (the forward curve's biggest drop in 4 months). That won't help NIM but, of course, financials didn't care as the so-called 'market' lifted stocks with abandon. Commodities in general rose with WTI best breaking back above $105 (and Gold above $1375 - closing above its 100DMA). The USD ended modestly higher as JPY pushed weaker all day. AAPL had quite day, losing $500 and then regaining on the back of Icahn's save (perfactly tagging VWAPs all the way). BTFH!!!!



Wondering why the ES is soaring? Because the NYSE just broke too.




And BATS too:



An absolute circus meant only to preserve confidence in a rigged, manipulated system based on incorrect electronic trades.


The NBBO Breaks: AAPL Offers Are Below Bids

The Nasdaq was so desperate to rush and "fix" itself, somehow in the process it forgot all about the NBBO and that the bid has to be below the ask.


And... We Reopen

Markets are 'turmoiling'...but stocks are mostly opening green green green... even as bonds hit new high yields... The market mist be fixed though - AAPL is back above $500...



The Primary Dealers Have Spoken: Taper Begins September With $15 Billion Trim; QE Ends June 2014

Back on July 17, the New York Fed, which as always operates based on the decisions and inputs of its Primary Dealer superiors, asked the Dealer community for their thoughts on the Taper, specifically when and how much. The survey has come back and the PD community has spoken. The answer: Taper is announced, and begins, September with the first reduction in monthly purchases of $15 billion ($10Bn cut in TSY purchases, $5BN cut in MBS), eventually tapering to nothing in June 2014 when the Dealers believe QE formally ends.


Icahn Tweets The AAPL Rescue Orders




NASDAQ Will Try To Resume Trading Between 2:45 PM And 3:10 PM

NASDAQ intends to re-open trading in all Tape C securities with a 15-minute quote only period. All stale quotes have been cleared from the UTP SIP at this time and halts have been disseminated with a reason code of T6. NASDAQ will first re-open trading in symbols ZVZZT and AAIT with a 15-minute quoting period beginning at 14:30, with trading beginning at approximately 14:45. All other securities will then be released at 14:55 with a 15-minute quote only period with trading resuming at approximately 15:10. NASDAQ will not be cancelling open orders on the book prior to a re-open. Customers who wish to cancel their orders may do so and any customer who wishes to not participate in the re-opening should cancel their orders prior to the resumption of trading.



(Almost) Everything Halted Due To "Extraordinary Market"

The entire Bloomberg news feed has been overtaken with "Regulatory Halt - Extraordinary Market" messages for the last few minutes... it would seem agood time to drop that 'lowered outlook' PR or invade Syria?



Designing A Better Fed/Market/Smartphone/Whatever

The world of Industrial Design is often useful to assess everything from the Federal Reserve's current monetary policy to equity market structure (particularly timely given today's total SNAFU) to the timeless debate over the real value of gold.  As ConvergEx's Nick Colas reminds, good design is innovative, useful, aesthetically pleasing, honest and durable, whether those attributes relate to a new electronic gadget or any 'Product' in the world of high finance or economics.  Examples of "Good design" include stocks, bonds, and options – all simple, durable constructs.  "Bad design" would be the Fed’s "Taper" and current equity market structure.


Did AAPL Breaking $500 Cause The Nasdaq To Implode?

While we somewhat ironically tweeted of the possibility that AAPL breaking back below the mythical $500 level was indeed responsible for the NASDAQ breaking...

Well a glance at the following charts shows from Nanex that may well have been the case as the chaos in the market during that time was extreme to say the least...



Guest Post: The Source Of Systemic Crisis: Risk And Moral Hazard

There are all sorts of candidates for the root cause of the systemic global financial crisis, but if we separate the wheat from the chaff we're left with risk and moral hazard. Pointing to human greed and cupidity as the cause doesn't identify anything useful about this era's crisis, as human greed, self-interest and opportunism are default settings. Programs that backstop banks and social insurance systems like Medicare are not like fire or life insurance because they are effectively open-ended in terms of costs and in exposure to risk. A system which pools risk without distributing it to the participants and eliminates the causal connection between risk and consequence introduces moral hazard on a grand scale.



BLS, We Have A Problem: Polled Unemployment Soars To March 2012 Levels

Gallup tracks daily the percentage of U.S. adults, aged 18 and older, who are underemployed, unemployed, and employed full-time for an employer, without seasonal adjustment. Due to the lack of Arima-X 'magic' the results are specifically not comparable to the BLS data, but, as the chart below suggests, the correlation is high. What is most worrying about the latest data is the rapid rise in both unemployment and underemployment that the Gallup poll finds (to 8.9% unemployment and 17.9% underemployment. Unemployment rates have jumped notably in the last month to their highest in 13 months. Will the Fed 'allow' this data to filter into the BLS data and 'avoid the Taper' or are there non-economic reasons (G-20, deficits, technicals, sentiment) that the Fed needs to SepTaper.




So Far 1.3x Greeces Have Been Bailed Out... And More Is Coming

Schaeuble and Merkel have very recently confirmed what was leaked a month ago - that Greece will likely get yet another 'helping hand' aid program. Some have noted that this may be financed using EU funds instead of additional loans from EU-area countries (or the IMF) yet Merkel's comments (perhaps playing to her electioneering needs) appeared to dismiss this - prompting talk of a 'bail-in' based on the new normal 'template' applied to Cyprus. Greece has so far received two bailout packages totaling EUR240 billion (with about EUR22 billion still to be released) which is 130% of Greece's GDP (which stands at EUR186.2 billion) and while the thord package appears smaller (for now) at EUR10.9 billion (based on IMF funding gap forecasts), this covers only the period through 2015 (and we know how accurate the IMF has been in the past with its hockey-sticks). Greece remains  mired in the sixth year of a recession with more than 6 out of 10 young people unemployed.



Initial Claims Rise To Highest Since July 19, Biggest Miss In 6 Weeks

While largely noise in the context of the big picture, last week's multi-year low in initial claims of 320K (revised upward as usual to 323K), driven in big part by the specific furlough situation at the automakers, reversed and rose by 13K to 330K, or 6K higher than expectations. This was the highest claims number since July 19, the biggest miss to expectations and also the largest weekly jump in 6 weeks. Notably, the entire move was due to seasonal adjustments: the unadjusted claims number declined even more, dropping from 283K to 279K, although with the market at a point where bad news is desperately needed to provide even the tiniest bounce to risk, the adjustment is now meant to distort the underlying data lower not higher.





The Secret Document That Proves China Considers The United States To Be A Mortal Enemy

If you believe that China is our “friend”, then you have been deceived.  While U.S. politicians, the mainstream media and the U.S. military may consider China to be a “friend” and a “partner”, the Chinese see things very, very differently.  As you will see below, documents produced at the highest levels of the Chinese government make it abundantly clear that China considers the United States to be a mortal enemy.  Unfortunately, in the west we have naively assumed that if we opened up trade with China that they would want to be more like us.  Instead, opening up trade with China has allowed them to severely damage us economically while continuing to loudly denounce “western constitutional democracy” at the same time. (Read More.....)


Why Is The Government Leaving Our Most Critical Infrastructure Wide Open To Terror Attacks?

If the federal government is so concerned about the threat of terrorism, then why is it doing so little to protect our most critical infrastructure?  The control freaks in charge of our “national security” seem to be absolutely obsessed with watching us and taking away our liberties and freedoms, but meanwhile they are leaving many of the most important potential targets virtually unguarded.  It is almost as if they are not even concerned that terrorists might attack them.  For example, as you will see below, not a single one of our 104 commercial nuclear reactors would be able to handle a “maximum credible terrorist attack”.  The federal government also refuses to spend the money necessary to protect our electrical grid from being fried by a massive EMP blast even though the earth had a “near miss” just a few weeks ago.  And the Obama administration continues to leave the U.S. border with Mexico completely wide open even though it has been heavily documented that (Read More....)

When “QE Infinity” Turns Into A Pipedream: Hot Money Evaporates, Rout Follows – See Emerging Markets Posted by : testosteronepit Post date: 08/21/2013 - The Fed and other central banks have accomplished a huge feat: a worldwide tsunami of hot money. Which is now receding.


Indian Death Lock Posted by: Pivotfarm Post date: 08/21/2013 - The Rupee has taken a severe hammering and has lost 44% of its value in the past two years. It was at its lowest point yesterday against the Dollar.


CoNGRaTuLaTioNS FuHReR! Posted by: williambanzai7 Post date: 08/21/2013 - On the occasion of August 21, 2013


*   Fail









Original painting by George Grosz






Here's a societal fail

Our data is now up for sale

A terrible sign

Be cautious online

You're leaving a dangerous trail

The Limerick King






Here is something to ponder folks.

Have you heard so much as a peep about any of these outrages coming from the billionaire self proclaimed Silicon Valley paragons of information and internet freedom?

Do you hear them expressing outrage that truth and liberty are being persecuted on a daily basis?

This is data we are talking about. Hard drives, not hamburgers.

Are they in fighting the good fight for digital liberty?

Of course not.


Because they are wearing the other fucking jack boot that's why.

I am very sorry, but signing a disingenuous letter imploring the government:  "oh pretty please allow us to disclose the myriad of ways everyone is getting data fucked", does not cut it.

Just don't forget the blanket indemnity Bro.

You know what?

They can float all the stratospheric bullshit about ballooning connectivity to the poor, suffering and disadvantaged peoples of the world.

And while they are at it, they can all go and fuck themselves.



There Is No Scenario Where This Ends Well

Luckily, the average American is so bad at math they can’t read this chart and understand the implications.



UPS Drops 15,000 Spouses From Health Plan, Blames Obamacare

The unintended consequences of Obamacare are coming thick and fast (and not just from tin-foil-hat-wearing blogs, mainstream media, or political party ignorance). This time it is UPS, who announced that due to the higher costs under Obamacare will drop 15,000 spouses from its health insurance plan. As CNN reports, an internal document obtained by Kaiser Health News said the policy will apply to non-union US workers (saving what is expected to be a $60 million rise in costs). More 'anecdotal evidence'... UPS justified its move by saying that 35% of companies intend to do the same thing...



Is A Foundering India About To Flood The Gold Market With 200 Tons Of "Leased" Gold

The truth behind the saying "never let a crisis go to waste" transcends both time and space, and it most certainly has no problem crossing the border into India, which over the past weeks has found itself in full monetary crisis, and whose currency is plunging to fresh record lows on a daily basis forcing its central bank to scramble with both tightening and QE at the same time. And if the influential Hindu Business Line, is correct, India's crisis is about to become someone's opportunity. Potentially for that someone which over the past two months has found themselves in a huge physical gold shortage as the now constantly negative GOFO rates confirm. Because according to Royal Bank of India sources cited by the HBL, India is now considering leasing out the 200 tonnes of gold it bought from the International Monetary Fund in 2009.



Goldman's FOMC Post-Mortem: "Tapering Likely In September"

While we found it modestly comedic (and certainly ironic) that CNBC's crack team celebrated the recovery from the initial knee-jerk drop in stocks after the FOMC by top-ticking that suspension of reality; we suspect the following post-mortem from Goldman on the minutes is what confirmed concerns across the street... "Minutes from the July 30-31 FOMC meeting were generally consistent with our view that tapering of asset purchases is likely to occur at the September meeting, coincident with an enhancement of the forward guidance."



NSA Admits It "Acquires" Your Internet Data From These Redacted Internet Service Providers


Dow Slumps To 6-Day Losing Streak As Cramer Top-Ticks Fed Reaction

UPDATE: S&P futures are sliding modestly lower after-hours approaching the 100DMA at 1627

As Cramer, Liesman, and Terranova circle-jerked over stocks' algo-driven reaction to the knee-jerk dump after the Fed minutes were released, it was clear that bonds had not drank the same JPY-weakness-from-USD-safety-flow-based carry exuberance that stocks had. After ramping on the back of a VIX/JPY squeeze - all the way to yesterday's late-day cliff-dove levels, stocks collapsed back towards the day's lows (and are below them in the after-market). The Dow is down 6 days in a row - the worst run in almost 14 months (and the biggest 6-day drop in 9 months). Bonds were slammed and really never looked back after the minutes (with the belly +10bps or so!) offering a reality check for anyone gazing dream-like at stocks. Post-minutes, the S&P is -8points, 10Y yields +7bps, USD +0.2%, WTI -0.1%, and gold down a mere $2.



Private Banker: "Is There Any Good News?"

“Is there any good news?”

You bet.

The good news is that this fraudulent system of unchecked, unbacked paper currency is finally coming to an end.



Meanwhile, Back In The World Of Big Barack Brother...



The 'Alternative' Fed Minutes Word Cloud

Presented with no comment...


Chart Of The Day: The E-Mini (With A Bon(d)us Chart)

Behold a binary market in all its stop-hunting glory.


Post-FOMC Minutes Update: Stocks Confused; Bonds Not!

UPDATE: It appears all that mattered to the algos was to get the S&P green... (run those stops) S&P now +6pts, 10Y +5bps, USD unch, WTI unch Gold +$5... now watch USDJPY to see where stocks go next...

The initial reaction to the Fed minutes was to sell first and ask questions later - in everything. Of course, after plunging 10 points, the S&P bounced algorithmically up to its balance point at VWAP (and unch from FOMC) only to glance across at the carnage in the bond market (which didn't bounce) and sell back down. Bonds are trading at their post-FOMC minutes high yields (dominated by weakness in the 5Y/7Y belly), the USD is pushing higher, gold and silver oscillating slightly lower (and copper up). The USD strength is flopping over into JPY weakness and confusing algos that are once again pumping stocks up to VWAP... as we post, from pre-minutes: S&P 500 is unch, Gold is unch, USD is up small, but the 10Y Yield is up 5bps!



"What The Fed Really Said" - Hilsenrath's FOMC Cliff Notes (In Under 4 Minutes)













The "Unwinding Of Unsustainable Speculative Positions", Or How The Fed Welcomes The Popping Of Its Own Bubble

"Some participants also stated that financial developments during the intermeeting period might have helped put the financial system on a more sustainable footing, insofar as those developments were associated with an unwinding of unsustainable speculative positions or an increase in term premiums from extraordinarily low levels."



"Broad Support For Bernanke Tapering Timeline" FOMC Minutes Say

While some read the FOMC statement in July as more 'dovish' than expected - even though the market's performance since suggests otherwise -, it appears the actual conversations from the minutes point in a more 'Taper'-on direction (though clearly uncertainty remains high):







Pre-minutes: S&P (Fut) 1646, 10Y 2.8125%, USD 81.2, WTI $104.11, Gold $1371



Spot The Odd One Out Since The FOMC Statement

Presented with little comment aside to ask - is this what 'consensus' would have expected?

S&P 500 -40 points, 10Y Yield +17bps, USD Index -0.75%, WTI Crude -0.9%, and Gold +$60



As Predicted, Chis Lane Murder Was Gang Initiation Yet No Calls for ‘Justice’

Anthony Gucciardi | Obama and other talking heads who were screaming from the rooftops over the Trayvon Martin case do not care.


Gunshot Wound to Dzhokhar’s Face Contradicts Original Boston Bombing Narrative

Julie Wilson | Medical report reveals Dzhokhar Tsarnaev suffered from fractured skull due to gunshot wound to the face.


Obama’s Former Information Czar On Panel To Review NSA

Steve Watson | Authoritarian Cass Sunstein previously called for banning opinions that differed from government.


War Propaganda: Bogus “Infant Incubator” Testimony Used to Justify Gulf War

Infowars.com | Prior to Operation Desert Storm, 15-year-old Kuwaiti girl gives completely fictionalized account of Iraqi treatment of infants.


Syrian Chemical Attack “A Provocation Planned in Advance”

Kurt Nimmo | Disputed email foretells plan to stage chemical attack blamed on al-Assad.


Expert: Chemical Weapons Victim Footage Appears “Set-Up”

Paul Joseph Watson | Behavior of victims not consistent with alleged injuries.


Michael Hastings Feared His Mercedes Had Been Tampered With

Paul Joseph Watson | Day before crash: “He was afraid to drive his own car”.


Presidential Meeting Signals Catastrophic Event

Mac Slavo | Are we on the brink of another global disaster?

The Confidential Memo at the Heart of the Global Financial Crisis

Vice | Memo reveals treasury officials secretly conspired with small cabal of bankers to rip apart financial regulation across the planet.

Wells Fargo to cut 2,300 mortgage jobs as refinancing slows

Reuters | Mortgage refinancing made up more than 70 percent of U.S. home lending volume in the first half of 2013.

Presidential Meeting Signals Catastrophic Event

Mac Slavo | Are we on the brink of another global disaster?

Gunshot Wound to Dzhokhar’s Face Contradicts Original Boston Bombing Narrative

Julie Wilson | Medical report reveals Dzhokhar Tsarnaev suffered from fractured skull due to gunshot wound to the face.


Obama’s Former Information Czar On Panel To Review NSA

Steve Watson | Authoritarian Cass Sunstein previously called for banning opinions that differed from government.


Expert: Chemical Weapons Victim Footage Appears “Set-Up”

Paul Joseph Watson | Behavior of victims not consistent with alleged injuries.


Bad News For Chelsea E. Manning: US Army Won’t Provide Hormones, Sex-Reassignment Surgery

Zero Hedge | Some bad news for Pvt. Bradley Chelsea Manning, who was sentenced to spend 35 years in male prison.


“Tepco Has Lost Control” – What Is Really Happening At Fukushima In Four Charts

Zero Hedge | “Tepco Has Lost Control”.


Vermont completely nullifies federal hemp ban

Michael Lotfi | Vermont has become the most recent state to take a stand against the federal government and nullify the federal ban on hemp cultivation.


Michael Hastings Feared His Mercedes Had Been Tampered With

Paul Joseph Watson | Day before crash: “He was afraid to drive his own car”.


US Has “Strong Indications” Assad Used Chemical Weapons; Russia Says Rebel False Flag

Zero Hedge | The US is back at it again.

Nasdaq outage resembles hacker attacks

USA Today | The incident had all the earmarks of the three waves of denial-of-service attacks.


125 shopping days left: Retailers start Xmas deals

CNBC.COM | Even before the school bells are ringing for many families, retailers are sounding sleigh bells.


Obamacare, immigration reform may make immigrants cheaper to hire than citizens

Washington Examiner | Would it be cheaper for U.S. companies to hire newly legalized immigrants instead of Americans, as immigration-reform legislation pending in Congress would allow?


Is A Foundering India About To Flood The Gold Market With 200 Tons Of “Leased” Gold

Zero Hedge | The truth behind the saying “never let a crisis go to waste” transcends both time and space.



Syria gas attack story has whiff of Saudi war propaganda

William Engdahl | We are well-advised to leave reports in category of war propaganda, in league with others such as the Gulf of Tonkin.


Corporate Media Portrays Michael Hastings as Meth User

Kurt Nimmo | Media also reports Hastings’ use of medical marijuana.


Cricket Protein Bars Coming to a Store Near You?

Adan Salazar | “People are ready to hear about how they can eat insects.”


Corporate Media Begins Chemical Attack Propaganda Ahead of Syrian Invasion

Kurt Nimmo | Establishment media sources base conclusions on information by CIA’s FSA and terror organizations al-Nusra and al-Qaeda.


Greenwald Slams “State-Loyal” Meek Journalists For Defending “Empire”

Steve Watson | “They believe in subservient journalism; curtseying to the Queen”.


Air Force Master Sergeant Reassigned for His Religious Views Opposing Gay Marriage

Julie Wilson | “People of faith don’t have a place in the military anymore.”


Gun Confiscation Begins in California

Kit Daniels | Agents perform full-blown home raids for legally-purchased firearms.


Author Of Terror Law: UK Authorities Acted Illegally By Detaining Miranda

Steve Watson | “Publication in the Guardian is not instigating terrorism.”


Study: Welfare pays more than work in 35 states

The Daily Caller | In 13 states, welfare pays more than $15 an hour.


33 Shocking Facts Which Show How Badly The Economy Has Tanked Since Obama Became President

Economic Collapse | Barack Obama has been running around the country taking credit for an “economic recovery”, but the truth is that things have not gotten better under Obama.


Bill Clinton foundation has spent more than $50M on travel expenses

New York Post | The former president spent an eye-opening $12.1 million on travel in 2011 alone.


NSA collected thousands of US internet communications ‘with no terror connection’

RT | The NSA collected huge amounts of data passing through fiber-optic cables in the US.


Air Force Master Sergeant Reassigned for His Religious Views Opposing Gay Marriage

Julie Wilson | “People of faith don’t have a place in the military anymore.”


Greenwald Slams “State-Loyal” Meek Journalists For Defending “Empire”

Steve Watson | “They believe in subservient journalism; curtseying to the Queen”.


Author Of Terror Law: UK Authorities Acted Illegally By Detaining Miranda

Steve Watson | “Publication in the Guardian is not instigating terrorism.”


Experts: Syria Chemical Weapons Attack “Suspicious”

Paul Joseph Watson | Impartial analysts cast doubt on timing of story.


Russia suggests Syria ‘chemical attack’ carried out by rebels, provocation not ruled out

RT | Reports by “biased regional media” about alleged chemical weapons use near Damascus might be “a provocation planned in advance.”


UK Prime Minister Was Behind Guardian’s Hard Disk “Pulverization”

Zero Hedge | UK Prime Minister Cameron was behind the decision to ‘pulverize’ The Guardian’s hard-drives in an effort to suppress more leaks.


NSA Has Ability to Illegally Spy On 75% of All Internet Traffic

Kurt Nimmo | More evidence NSA surveils American people, not foreign terrorists.


Dubious Chemical Weapons Attack In Syria Coincides With UN Visit

Paul Joseph Watson | Red line? Past evidence shows western-backed rebels were behind biological attacks.


Get Ready For The Death Of The Petrodollar

Brandon Smith | Where is dollar heading?


JPMorgan Chase Hit With China Bribery Probe

New American | JPMorgan Chase & Co., one of the Big Four banks of the United States, is facing yet another scandal — and another federal probe for possible crimes and improprieties.


Fed fight: Will Rand Paul make a stand?

Politico | If you thought the debates over drones and surveillance were tailor-made for Kentucky Sen. Rand Paul, just wait until President Barack Obama picks a new Federal Reserve chair.


$2,001,093,000,000: Fed’s Ownership of U.S. Debt Breaks $2T for First Time

CNS News | The Federal Reserve’s holdings of publicly traded U.S. Treasury securities—federal government debt—pushed above $2 trillion for the first time last week.






Obama Administration Makes Secret Deal With Mexico To Help Illegal Immigrants In The Workplace

Instead of making sure that U.S. employers are not hiring illegal immigrants, the Obama administration has actually signed a secret deal with Mexico to protect “the rights” of illegal immigrants in the workplace.  According to this “memorandum of understanding”, the Equal Employment Opportunity Commission will spend U.S. taxpayer dollars to educate illegal immigrants about their civil rights, workplace safety, and minimum wage laws.  This is yet another example of how the Obama administration is openly flouting the law and doing all that it can to promote even more illegal immigration.  We are rapidly becoming a lawless nation that has absolutely no regard for the rule of law, and it all starts with the horrendous example that is being set at the very top. (Read More.....)


11 Facts About The Ongoing Fukushima Nuclear Holocaust That Are Almost Too Horrifying To Believe

Is Fukushima the greatest environmental disaster of all time?  Every single day, 300 tons of radioactive water from Fukushima enters the Pacific Ocean.  The radioactive material that is being released will outlive all of us by a very wide margin, and it is constantly building up in the food chain.  Nobody knows for sure how many people will eventually develop cancer and other health problems as a result of the Fukushima nuclear disaster, but some experts are not afraid to use the word “billions”.  It has been well over two years since the original disaster, and now they are telling us that it could take up to 40 more years to clean it up.  It is a nightmare of unimaginable proportions, and there is nowhere in the northern hemisphere that you will be able to hide from it.  The following are 11 facts about the ongoing Fukushima nuclear holocaust that are almost too horrifying to believe…

#1 It is estimated that there are 1,331 used nuclear fuel rods that need to be removed from Fukushima.  Because of all of the damage that has taken place, computer-guided removal of the rods will not be possible.  Manual removal is much riskier, and it is absolutely (Read More....)


US Consumer Sentiment: Telling Tales Posted by : Pivotfarm Post date: 08/20/2013 - Numbers, Numbers Everywhere...are any true?


Biting Our Tongues Doesn’t Keep Us Safe … It Only INCREASES Danger In the Long Run Posted by: George Washington Post date: 08/19/2013 - First They Came …


FRaNKeNDoDD CaBaReT... Posted by: williambanzai7 Post date: 08/19/2013 - Life is is a f*cking cabaret my friends...




Gold Is Flooding Out Of London To Switzerland At An Alarming Rate

This is one of those stories about the gold market that almost seems too wild to be true since the numbers are so extraordinary. According to a Reuters article from earlier today, Australian bank Macquarie has reported that gold is flooding out of London and into Switzerland at a mind-boggling rate. Specifically, 240 tons were exported in May alone and 797 tons during the first half of 2013. That means gold is being exported at a annualized run rate of 17x the 92 tons exported for all of 2012. That’s insane. Moreover, it seems a lot of that gold is being sent to Switzerland so that the 400oz bars can be melted down into different sizes that are more amenable to Asian sensibilities.




INFoRMaTioN IS NoT FRee... Posted by : williambanzai7 Post date: 08/20/2013 - “Faith moves mountains, but only knowledge moves them to the right place”--Joseph Goebbels

INFoRMaTioN IS NoT FRee...










By: @blumaberlin



“Faith moves mountains, but only knowledge moves them to the right place”--Joseph Goebbels


COPS: 'Bored' Black Teens Kill White Baseball Player 'For Fun'...
'I Pulled The Trigger!'
Were Accused Killers Really 'Bored?'
Australian tourists urged to boycott USA...

CHICAGOLAND: 5 Shot in Front of Church While Meals Being Handed Out to Homeless...

REVEALED: New Jersey's Homeless 'People Of The Woods'...


Tuesday, August 20, 2013

An Update to My Crash Forecast:
Watch Out for Early 2014

By Harry S. Dent Jr., Senior Editor, Survive & Prosper

Dear Al,

When I came out with The Great Depression Ahead in late 2008, I had no idea central banks around the world would pull out all the stops and commit to endless Quantitative Easing (QE) and a money printing policy.

Of course, I did expect a strong stimulus program and a rally that could last into early 2010. After all, central banks and governments had to do something.

I did NOT expect five years and over $10 trillion in money printing globally. Or the resultant stock rebound that has lasted into 2013. Even more liberal economists would not have expected that back then.

Such central bank activities, taken to such extremes, have never happened before. The only time we saw something remotely close was when the government printed money to keep bond rates down so it could finance World War II.

But central bankers are typically more conservative and responsible than they’ve been in the last five years. Their change in behavior has forced me to continue to update my forecast over the last few years to the upside again.

Here’s what you need to know…

As long as inflation doesn’t rear its ugly head, most central bankers think it’s okay to endlessly print money. What they don’t realize is their behavior kills the innovative power of free markets. It twists and perverts them, creating more bubbles that will ALWAYS burst.

Quantitative Easing and stimulus money in this environment of demographic slowing in spending and excessive debt doesn’t flow directly into lending or expanding productive capacity and jobs. It spills directly into speculation, and suddenly every financial institution and bankster (and their dogs) are blowing up bubbles like there’s no tomorrow.

The commodity bubble first burst in mid-2008 and then started to burst again after April 2011… and the gold bubble started to burst in mid-2013. Stocks are now making new highs in the worst global economy since the 1930s. And real estate has surged higher again after the worst burst since the 1930s. All of these bubbles are due for a painful bust ahead.

I use a hierarchy of cycles to forecast long-term scenarios. The Geopolitical Cycle turned the corner in 2001 with an 18-year downward trend until 2019. The Spending Wave Cycle started its downturn in 2008 and will follow that trend into 2020 to 2023. And the Commodity Cycle began its trip down in 2008 as well. It, too, is only due to turn around in 2023 or so.

All three cycles point down between mid-2008 and late 2019! Nothing in my forecast has changed on that front – which means the worst is still ahead!

But I also use two medium-term cycles. The Decennial Cycle (from Ned Davis) typically sees the worst crashes in the first two or three years of each decade. However, I’ve found a flaw in that cycle when it didn’t work well for the first time since the 1960s.

Ned Davis developed the cycle by averaging stock markets over the last century. It turns out that the actual cause is sunspot cycles that move in 10-year cycles (on average) but that vary between eight and 12 years. NASA and other scientific groups are good at predicting this cycle, and they’ve noticed that the current cycle is irregular. Instead of peaking around late 2009 or early 2010, this cycle is projected to peak in late 2013, and then turn down into around late 2019.

Then there’s the four-year Presidential Cycle that points down into 2014 and 2018. Ahead, that warns that those years are likely to be the triggers for the next crashes.

In short, all the major cycles I track point down between very late 2013 and late 2019. They all support my forecast of financial turmoil and crisis ahead. During the next six years, a depression will hit and we’ll see a sharp debt-deleveraging period. And I expect the next major crash to unfold starting in very early 2014.

You see, since the 1950s, only one out of 10 bull markets has lasted longer than five years (late 1987 to early 2000), without a 20% plus correction. The average has been more like 3.7 years and the average correction after has been 36%. This bull market will be five years old by early 2014.

The last major bull market top between 1965 and 1972 saw a series of higher highs and lower lows until the 50% crash in 1973 to 1974.

And the increasing volatility in the last decades of higher highs and greater crashes – 51% in 2000 to 2002 and 58% in 2008 to 2009 – suggests the next crash will be larger. I’m talking 65% here!

Unless, of course, governments find a way to forever get away with their irresponsible stimulus activities.

Fat chance! Personally, I don’t think they’ll be able to pull that off.

That’s why I am working feverishly to get my next book, The Demographic Cliff, out by January 2014, when I think the next great crash is likely to begin.


P.S. As soon as I have confirmation from my publisher that The Demographic Cliff will be available in January, I’ll let you know.


How Sinister is the State? Posted by: Pivotfarm Post date: 08/20/2013 - Just how far have our countries gone in the so-called fight against terrorism that they have been waging every single second since 9/11?

The Line Bernanke is Praying Won't Break Posted by: Phoenix Capital... Post date: 08/20/2013 - This isn’t just any trendline. This is THE trendline. Take it out and the 10 year will likely be yielding 5-6% in no time… which by the way is where it was for most of the...




"Buyer Of Last Resort": Guess The Mystery Buyer X

As we previously reported, using TIC data, in the month of June the international community did something it has not done in years - it sold US Treasurys with passionate zeal and reckless abandon. In fact, in that one month alone, $57 billion in total Treasury holdings (from $5.657 trillion to $5.601 trillion) was dumped in order to avoid major and accelerating losses. And yet there was one entity that was buying, on a virtually matched dollar-for-dollar basis, all that the foreign entities had to sell. The distribution of June sales among the select largest holders of US paper, and the sole, solitary buyer, is shown on the chart below. Guess who this Mystery Buyer X is, who boldly bought everything that no other man, woman or child wanted to buy in the month of June.



Spanish Bad Loans Re-Spike To 50-Year High

The surge in Spanish (in fact broadly European) equity and bond markets of the last few weeks has been suspiciously one-way and based (seemingly) on the hopes-and-dreams of the world's liquidity-based marginal investor finding another new normal momentum 'clean shirt' to pile into. However, despite the uptick in some data in Europe, the structural problems remain entirely unfixed and nowhere is that more evident than in the chart below. As European stock and bond markets suffer their worst 2 days in 2 months, Spanish bad loans (after a very brief pause in the exponential surge that also provided hope that the worst was over) have re-surged to a new all-time record high. At 11.61% of total lending, bad loans are now at their highest since records began in 1962.



18 Signs That Global Financial Markets Are Entering A Vicious Circle

The yield on 10 year U.S. Treasuries is skyrocketing, the Dow has been down for 5 days in a row and troubling economic news is pouring in from all over the planet.  The much anticipated "financial correction" is rapidly approaching, and investors are starting to race for the exits.  We have not seen so many financial trouble signs all come together at one time like this since just prior to the last major financial crisis.  It is almost as if a "perfect storm" is brewing, and a lot of the "smart money" has already gotten out of stocks and bonds. Of course a lot of people believe that we will never see another major financial crisis like we experienced in 2008 ever again.  A lot of people think that this type of "doom and gloom" talk is foolish.  It is those kinds of people that did not see the last financial crash coming and that are choosing not to prepare for the next one even though the warning signs are exceedingly clear.  The following are 18 signs that global financial markets are heading for a vicious circle...



Has It Been A Year Since You Filed For Bankruptcy? Then This Mortgage Is For You

There was a time when those who defaulted on their debt, especially mortgages, had to wait 3-5 years before they became eligible for any form of new credit, let alone a brand new mortgage. That, however, was in the Old Normal. In the New one things are different: so different, that for anyone who filed a bankruptcy on or before July 2012, we have good news for you - the FHA (subject to an explanation and several almost painless conditions) will be happy to provide you with a brand new mortgage.



150 Years Of Inflation (And Counting)

The Twentieth century may be remembered as the century of excess.  In every area, more things were done in the Twentieth century than in any other century in history, and in many cases, more than in all previous centuries combined.  The Twentieth century saw some of the most destructive wars in history, the development of the Atomic Bomb, the beginning of air and space travel, the colonization and decolonization of the Third World, the rise and fall of Communism, dramatic improvements in the standard of living, the population explosion, the rise of the computer, incredible advances in science and medicine, and hundreds of historically unprecedented changes. The Twentieth century also produced more inflation than any other century in history.




How Phil Falcone Won The Battle Against Goldman, But Lost The War (Or How Not To Manipulate Bonds)

As part of the SEC's consent order with Harbinger's Phil Falcone, we learned that in addition to the previously well-known stuff Falcone was engaging in (using the fund as his taxpaying piggybank, giving preferential gating terms to "friends and family", etc), perhaps what really scuttled the once legendary hedge fund manager is what ended up being an outright war with Goldman, when back in 2006 Harbinger tried to not only take the other side of a short bet put on by Goldman, but literally squeezed Goldman and its clients into absolutely misery with the result millions in profit to Falcone and unknown losses to Goldie. And as one knows, you never fight Goldman and win, without ultimately losing everything.



JCP Plunges 10% From Open After Cramer's "Amazing Quarter" Blessing, Back To Red

When a sophisticated hedge fund manager takes a position in the most senior segment of a failing retail form's capital structure, it is not a bet on recovery: it's a bet on being long the fulcrum security in an upcoming chapter 11, or at worst, on having collateral coverage to cover your exposure in a liquidation Chapter 7... And for anyone who spent more than 2 minutes deciphering this morning's JCP results will know, the cash burn is immense and outweighs any glib PR-strewn headlines that support a positive future. In fact, even the CFO noted he did not see any major trend change in the short-term (i.e. more of the same downtrend?) Of course, that didn't stop CNBC's Jim Cramer from talking it up pre-market (to a 8.9% gain before the bell) as he exclaims in the clip below "this is an amazing quarter... I am positive, the stock will go higher." Well, 60 minutes after retail got their first chance to buy, JCP is down 9% from its open, in the red for the day, and reflecting more closely the dismal reality that credit markets remain convinced of.



Fed POMO Page Offline



Meanwhile, Europe Is Collapsing

So much for the European growth meme (see CAT's bellwether sales to the region) or the cleanest dirty shirt moving across the pond. Even as the EUR soars (breaking above 1.3450), European bond and stock markets (most notably the peripherals that have soared recently on nothing but air and rotating momo liquidity), are collapsing. Spain and Italy are down 4.2% on the week, Greek stocks have dumped 6.8% and even the core are down almost 3%. Peripheral bonds (which actually outperformed in the rally) are sliding fast with Spanish and Italian bond spreads snapping 15bps wider. Europe's VIX has surged to its highest in a month (near 20%) and credit spreads for financials and corporates continued to blow wider, with stocks catching down. This is the biggest 2-day drop in 2 months for most assets.



DJIA Dips Under 15,000 And Market Breaks: CBOE Declares Self-Help Against AMEX



A Non-Tweeted Out Bill Gross Slams The Death Of Free Speech



No Dead CAT Recovery On This Sales Chart (Where Caterpillar Asia Sales Post Biggest Drop Since November 2009)

There was some hope two months ago when CAT global retail sales posted a modest uptick between February and May, rising from a recent low of -13% Y/Y to "only" declining -7%. Alas, it turned out to be nothing but a dead CAT bounce, as a month ago hopes the global recovery would continue were dashed after the -7% global dealer retail sales dipped once again to -8%. Moments ago, the downward trend continued its acceleration, when the company reported global retail sales at -9%. And while it was not all bad news, with the US retail sales drop slowing and in July posting an almost flat print at -1%, it was the key market of Asia/Pacific (read China) that plunged by 28% from past year, far worse than the 21% drop in June, and the ugliest Y/Y comp since November 2009. Any day now, though, the third cat bounce will take place.



Federal Student "Aid" Demand Soars

A stunning 57% of undergraduates used federal student aid to help pay for college in 2012; dramatically higher than the 47% in the pre-crisis 2007 year. As the WSJ reports, an average of $8,200 per recipient is paid out by the government coinciding with climbing tuition costs (credit fuels growth?). The report, via the Education Department, noted that "even students from households we would consider middle-income are increasingly eligible and are increasingly taking advantage of Pell grants," as the number of full-time students who received Pell grants in families with incomes between $60,000 to $80,000 shot up to 18% in 2011-12 from 2% in 2007-08. Just another wealth transfer scheme or moar better bargains for the middle class.



RANsquawk Preview: FOMC Minutes - 21st August 2013



Schaeuble Admits Greece Will Need Another Bailout

In the biggest non-news of the day, Germany's Finance Minister Wolfy Schaeuble finally admitted, officially for the first time, what everyone knows: Greece will need a third bailout. His exact words, as cited by Reuters, "There will have to be another programme in Greece," Wolfgang Schaeuble told a campaign audience in northern Germany, in comments that raised prospect of a step that could be deeply unpopular domestically just five weeks before national elections.



The BTFD Mentality Is Back... In Precious Metals

Just as Japan's department store sales hit overnight (plunging at their fastest level in 13 months), gold and silver prices were shellacked lower almost instantaneously (admittedly in thin markets). We haven't seen this kind of morning smack-down in a little while but this time was different... the dip was bought aggressively and has now been retraced.



JCP Burns Gargantuan $2.1 Billion In First Six Months: The Only Chart That Matters

One can look at the just reported JCPenney Q2 results and compare them to expectations, which as "expected" missed across the board, with Revenues coming at $2.66bn below expectations of $2.78bn, EPS missing consensus of $1.07, printing at $2.16 per share, comparable store sales sliding 11.9%, a profit margin of 29.6% lower than last quarter's 30.8%, and 33.2% a year ago, and so on, but that would be ignoring the forest for the tress. The only data point that summarizes the epic, no recovery catastrophe at the company is the cash burn. As the following tell all chart shows, the company burned a ridiculous (and record) $1.146 billion in free cash flow (Cash from Ops less CapEx) in just one quarter, Q2, and when adding the $948 billion in cash burn in Q1, JCP burned a monstrous $2.1 billion in the first six months of 2013. At this point the only question is when the bankruptcy filing comes.



Frontrunning: August 20

*   So no great rotation into EM? Capital Flows Back to U.S. as Markets Slump Across Asia (BBG)

*   Muslim Brotherhood leader arrested in Egypt (Reuters)

*   Allies Thwart America in Egypt: Israel, Saudis and U.A.E. Support Military Moves (WSJ)

*   Dear Bloomberg: when you buy the loans of a distressed retailer, you are not betting on a rebound, you are betting on being the fulcrum security in a bankruptcy: Kyle Bass Said to Bet on J.C. Penney Comeback With Loan Purchase (BBG)

*   Bubbles Bloom Anew in Desert as Buyers Wager on Las Vegas (BBG)

*   Britain rejects Spanish request for Gibraltar talks (Reuters)

*   U.K. Mortgage Lending Rises to Highest Since Lehman Collapse (BBG)

*   Pension Funds Dispute Math in Detroit Bankruptcy (WSJ)

*   Christie Says Gayness Inborn as He Signs Therapy Measure (BBG)



Overnight Safety Bid For 10 Year TSYs Offsets USD Weakness, Keeps Futures Rangebound

Following yet another rout in Asia overnight, which since shifted over to Europe, US equity futures have stabilized as a result of a modest buying/short-covering spree in the 10 Year which after threatening to blow out in the 2.90% range and above, instead fell back to 2.81%. Yet algos appear confused by the seeming USD weakness in the past few hours (EURUSD just briefly rose over 1.34) and instead of ploughing head first into stock futures have only modestly bid them up and are keeping the DJIA futs just above the sacred to the vacuum tube world 15,000 mark. A lower USDJPY (heavily correlated to the ES) did not help, after it was pushed south by more comments out of Japan that a sales tax hike is inevitable which then also means a lower budget deficit, less monetization, less Japanese QE and all the other waterfall effect the US Fed is slogging through. Keep an eye on the 10 Year and on the USD: which signal wins out will determine whether equities rise or fall, and with speculation about what tomorrow's minutes bring rife, it is anybody's bet whether we get the 10th red close out of 12 in the S&P500.


UPDATE: Maine Gov. Declares: 'Obama Hates White People'...

Clinton foundation spent $50M on travel expenses...


Esquire Publishes Shockingly Fair Profile of Alex Jones

Paul Joseph Watson | Turning point for mainstream media?


Obama Supporters Sign Petition to Put Carcinogens in the Water Supply

Paul Joseph Watson | “That’s a good cause.”


18 Signs That Global Financial Markets Are Entering A Horrifying Death Spiral

Economic Collapse | You can see it coming, can’t you?

Biting Our Tongues Doesn’t Keep Us Safe … It Only INCREASES Danger In the Long Run

Washington’s Blog | First They Came …


Obama Administration Makes Secret Deal With Mexico To Help Illegal Immigrants In The Workplace

American Dream | The Obama administration has actually signed a secret deal with Mexico to protect “the rights” of illegal immigrants in the workplace.


TEPCO admits leakage of 300 tons of water with monstrous radiation level

RT | Another tank with highly radioactive water at the devastated Fukushima nuclear power plant has leaked.


US Official: Greenwald’s Partner Was Detained to Send a Message

Reuters | Britain forced Guardian to destroy copy of Snowden material.


Growing Up In America

Paul Craig Roberts | Things Are Bad And Getting Worse.


Bill Clinton foundation has spent more than $50M on travel expenses

New York Post | The former president spent an eye-opening $12.1 million on travel in 2011 alone.


18 Signs That Global Financial Markets Are Entering A Horrifying Death Spiral

Economic Collapse | You can see it coming, can’t you?


Those That Are Not Preparing For The Coming Economic Depression Are Going To Bitterly Regret It

Economic Collapse | The next great economic crisis is rapidly approaching, and most people are going to be totally blindsided by it.


U.K. government thought destroying Guardian hard drives would stop Snowden stories

Washington Post | The British government raided the Guardian’s offices in order to destroy hard drives containing information provided by Snowden.


$2,001,093,000,000: Fed’s Ownership of U.S. Debt Breaks $2T for First Time

CNS News | The Federal Reserve’s holdings of publicly traded U.S. Treasury securities—federal government debt—pushed above $2 trillion for the first time last week.

The Atlantic Magazine Downplays America’s Debt Burden

New American | A combination of false assumptions, simplistic reasoning, and frivolous complacency.

Wall Street’s Mortgage Fraud Scandal with David Kreiger

Prison Planet.com | The fraud is wide spread and millions of Americans have been affected.


It’s Official: 2012 Deficit Was $1.087T; $1T+ All 4 Yrs of Obama’s 1st Term

CNS News | The Congressional Budget Office last week released updated historical budget data for the federal government, reporting a deficit of $1.087 trillion in fiscal 2012.



Oklahoma police: Australian baseball player killed by 'bored' teensToledo Blade OKLAHOMA CITY - An Australian baseball player out for a jog in an Oklahoma neighborhood was shot and killed by three “bored” teenagers who decided to kill someone for fun, police said.

Police: College baseball player victim of random killingUSA TODAY

Highly Cited:Three teens accused of murder of baseball player Chris Lane identifiedNEWS.com.au  { Yes … the perps are typical uncivilized niggers … as if you couldn’t have easily guessed! }

From Australia:Melbourne baseball star Christopher Lane shot dead in US Herald Sun

"They saw Christopher go by, and one of them said: 'There's our target,' " Ford said. "The boy who has talked to us said, 'We were bored and didn't have anything to do, so we decided to kill somebody.'

Murdered Australian baseballer's girlfriend devastated by his deathABC Online

Australian college baseball player shot and killed by 'bored' Oklahoma teensThe Guardian

From Australia:Chris Lane's girlfriend Sarah Harper speaks of shock after shootingMerredin Wheatbelt Mercury

‘OKLAHOMA CITY  — An Australian baseball player out for a jog in an Oklahoma neighborhood was shot and killed by three “bored” teenagers who decided to kill someone for fun, police said.Christopher Lane, who was visiting the town of Duncan, where his girlfriend and her family live, had passed a home where the boys were staying and that apparently led to him being gunned down at random, Police Chief Danny Ford said Monday. A 17-year-old in the group has given a detailed confession to police, but investigators haven’t found the weapon used in last week’s shooting, the chief said.That teen and the others — ages 15 and 16 — remain in custody, and Ford said the district attorney is expected to file first-degree murder charges today. It wasn’t known if the three will be charged as adults or juveniles. They are to appear in court later today.“They saw Christopher go by, and one of them said: ‘There’s our target,’” Ford said. “The boy who has talked to us said, ‘We were bored and didn’t have anything to do, so we decided to kill somebody.’”He said they followed the 22-year-old Lane, a student from Melbourne attending college on a baseball scholarship, in a car and shot him in the back before driving off. Ford told the television station KOCO in Oklahoma City that one of the teens said they shot Lane for “the fun of it.”…’




Top 10 Most Expensive Colleges in America

CBS MoneyWatch

During the 2012-13 school year, 149 colleges and universities in the U.S. charged at least $50,000 per year for tuition, fees, and room and board, according to the latest edition of The Chronicle of Higher Education's "Almanac of Higher Education." That represents an additional 26 schools to cross that mark compared with the previous year.

In a sign of the soaring costs of higher education, one school became the first college in the nation to top $60,000. Following are the 10 priciest schools in the U.S.

10. University of Chicago
The University of Chicago cost $57,711 in tuition, fees and room/board in 2012-13, according to The Chronicle of Higher Education's "Almanac of Higher Education," the latest edition of which was released this week.


9. Johns Hopkins University
Johns Hopkins University in Baltimore cost $57,820 during the 2012-13 school year.


8. New School Parsons School of Design
The New School Parsons School of Design in New York City cost $57,910 for tuition and room/board in 2012-13.


7. Dartmouth College
Dartmouth College in Hanover, N.H., cost $57,996 for tuition and room/board in 2012-13, according to the latest edition of The Chronicle of Higher Education's "Almanac of Higher Education."


6. Claremont McKenna College
Claremont McKenna College, a liberal arts college in Claremont, Calif., cost $58,065 for tuition and room/board in 2012-13, according to the latest edition of The Chronicle of Higher Education's "Almanac of Higher Education."


5. Wesleyan University
Wesleyan University, a liberal arts college in Middletown, Conn., cost $58,502.

Joe Mabel/Flickr

4. Columbia University
Columbia University in New York City, one of the Ivy League schools, cost $58,742 for tuition and room/board in 2012-13.


3. Harvey Mudd College
Harvey Mudd College, a hybrid liberal arts and engineering school in Claremont, Calif., cost $58,913 for tuition and room/board in 2012-13.


2. New York University
New York University in New York City, which typically makes the list of the most expensive universities, cost $59,337 for tuition and room/board in 2012-13.


1. Sarah Lawrence College
Sarah Lawrence College in Bronxville, N.Y., again ranks as the most expensive college in America, costing $61,236 for tuition and room/board in 2012-13, according to the latest edition of The Chronicle of Higher Education's "Almanac of Higher Education."

Courtesy of Sarah Lawrence College/AP