Loading ...of misery, dollar down a little – no help
Remember those potential breakouts for WPM and MUX? Gone
The FED is creating a WATERFALL ! end the FED ! Stop raising RATES !
It was over three years ago that Ray Dalio first proposed his 1937 analog. After the presidential election, he refreshed it in the context of growing global populism so that it looks like this:
- Debt Limits Reached at Bubble Top, Causing the Economy and Markets to Peak (1929 & 2007)
- Interest Rates Hit Zero amid Depression (1932 & 2008)
- Money Printing Starts, Kicking off a Beautiful Deleveraging (1933 & 2009)
- The Stock Market and “Risky Assets” Rally (1933-1936 & 2009-2017)
- The Economy Improves during a Cyclical Recovery (1933-1936 & 2009-2017)
- The Central Bank Tightens a Bit, Resulting in a Self-Reinforcing Downturn (1937)
And if these fundamental parallels weren’t enough, we now have a rather interesting price parallel to consider. The correlation between the S&P 500 over the past four years (black and white candles in the chart below) and the four years leading up to the 1937 top (blue candles) is roughly 94%. As I have suggested in the past, price analogs are not very valuable on their own but when the fundamentals also parallel closely they become far more interesting.
When they tried this scam with Lyndon Johnson ,he grabbed the Fed Head and threw him up against the wall……
The FED is looking to protect the Money Lenders ..not the public…Thats WHO they ARE !
Sinn: Twilight Of The Euro?
https://www.zerohedge.com/news/2018-07-30/sinn-twilight-euro
Professor Sinn is a monetary God, to many in Germany….his warnings resonate and Merkel deliberately ignores him.
Summer Slump
The Kilauea summit crater continues to slump and cave in, spreading to most of the larger caldera rim. Daily 5.4 earthquakes as more ground subsides. For scale, you can see a road in the lower right that leads up to the USGS Observatory and the Jaggar Museum, now abandoned. There is a three-tier parking lot to the right of the building complex.
This has to qualify as the world’s largest sink hole! Scary because it is falling from underneath. Makes you wonder how large the magma cavity is below this.
FWIW
Hedge Funds’ Big Short Could Be Fool’s Gold
Investors haven’t been this bearish for years. Are they wrong?
For all that, there’s reason to think a corner could be approaching. It’s always darkest before the dawn, and extremely bearish positioning often heralds a turn north: Comex copper broke a six-week falling streak last week, just after funds built their biggest net short since Trump was elected.
It’s worth looking at the calendar, too. After January, August is arguably the most consistently bullish month for gold. Last year, spot metal rose 4.1 percent during the month. In both 2016 and 2017, ETFs added about 4 percent to their holdings over the three months leading up to the Hindu Diwali festival at the end of October, a traditional period of gold-giving.
On top of that is the currency factor itself. The dollar index fell Friday after the GDP report underperformed some of the market’s rosier expectations. The meeting of the Federal Reserve this Wednesday is almost certain to keep rates on hold before raising again in September, based on market pricing. Chairman Jerome Powell’s statements that he’s more worried about lower than higher inflation in remarks to Congress earlier this month suggest he’s happy to let the economy run hotter before pushing rates up much further.
Don’t Give Up
Spot gold is at its lowest levels in a year. But the end of July is often a turning point
https://www.bloomberg.com/view/articles/2018-07-30/hedge-funds-big-short-could-be-fool-s-gold