ND MAR 18
20 SIT EC y POL
ND denounce Global-neoliberal debacle y propone State-Social
+ Capit-compet in Eco
ZERO HEDGE ECONOMICS
Neoliberal globalization is over. Financiers know it, they
documented with graphics
Stocks
down, Bonds down, credit down, gold down, oil down, copper down, crypto down,
global systemically important banks down, and liquidity down...
Today was the worst day for a
combined equity/bond portfolio... ever...
See Chart:
Crushing risk-parity funds as
bond-stock correlation soars unnaturally...
See Chart:
Jeff
Gundlach predicted during his DoubleLine call yesterday that "the
U.S. national debt likely to grow to $30 trillion in two or three years as
spending explodes in response to the crisis", which means about $3-4
trillion in net issuance per year, and that upcoming supply tsunami is certainly sending
bond prices lower, potentially dealing a deathly blow to the
risk-parity/balanced "60/40" portfolio model.
See Chart: VIX
The
B-dollar exploded to a new record high today...
See Chat:
Beyond the
traditional “safe haven” role of US Treasuries, Goldman notes
that the Dollar has a number of features which help explain its behavior during
economic downturns and periods of extreme market volatility:
1.
Denominator of US capital markets.
2.
Intervention currency.
3. Global invoice and
lending currency.
Said
simply: the USD is the world's
reserve currency, which while a huge benefit to the US when times are good, is
an unbearable burden during crashes such as this one. While there is no simple
solution, the legendary inventor of the MOVE index did propose a brilliant
solution back
in 2016: the Fed can always crush the dollar by buying gold in
the open market, effecting another FDR-like devaluation of the dollar. Because
as J.P.Morgan famously
said in 1912, "Money is gold, nothing else." One year
later the Fed was born.
But for
now, gold is being puked (to raise dollars) along with every other asset...
See Chart:
USD vs fiat
and USD vs Gold
In other
ominously concerning news, global systemically important banks have collapsed...
See Chart:
Global
sytematically important Bank Stocks DOWN
Globally,
stocks were notably lower today but China continues to magically outperform
Europe and US massively...
See Chart:
US futures were
limit-down overnight, ETFs signaled more selling pressure but ramped at the
open as the algos kicked in... but that didn't last...
markets rallied in the last few minutes as Senate passed the first bailout bill
(but that did not last)...
See Chart:
Small Caps
were the worst on the day, Nasdaq best, but everything was crushed...
See Chart:
The Dow
crashed back into the red since Trump's inauguration today...
See Chart:
UST 30Y Yield.. daily ranges in
bond yields is just stunning - 30Y yields traded in a 35bps range today (for a
1.8% yield - not an 18% yield!!)
See Chart:
Finally, as one trader told us, "we're only about halfway
there" in stocks as the central-bank-sponsored delusion of the last few
years is wiped away...
See Chart:
Is the world losing faith in global central banks?
They failed...
See Chart:
S&P vs Global
liquidity Proxi
….
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"I love the smell of global
macro fund liquidations in the morning..."
Update (2305ET): Dow futures
losses have accelerated, plunging over 1000 points limit-down...
See Chart:
S&P and Nasdaq futures are also
crashing...
See Chart:
Copper has succumbed to the
liquidation...
See Chart:
* * *
The global scramble for dollars amid a massive shortage has
rolled around the AsiaPac time-zone and is leaving a bloody trail across every
asset-class.
AsiaPac FX or dollar Index is
crashing to its weakest against the USDollar since 2004...
See Chart:
Meaning: losses in AsiaPac
stocks are accelerating...down 27% from January highs
And the liquidation continues in US
equity markets with Dow futures down over 800 points, erasing the after ramp in
stocks...
See Chart:
JA Dollar Excess vs Dollar Shortage:
JPY Basis-Swaps spread…
See Chart:
This all has the smell of a massive global macro fund
liquidation and the contagious impact of that leveraged unwind across the
global risk markets.
As Bloomberg's Stephen Spratt details, desks continue to speak of the
“sell everything” mentality in markets with huge liquidations and de-leveraging
taking place everywhere.
With currencies flash crashing across Asia on Thursday,
central bankers may be looking back at the remedies used then.
As Bloomberg's Mike Wilson suggests, the tear the U.S. dollar was on
back in 1985 was brought to an end when five central banks gathered in New
York’s Plaza Hotel and came up with what became known as The Plaza Accord.
See Chart:
Plaza
Accord: major central banks agree to weaken the USD
That sent the dollar into a steep slide that lasted until
about the end of 1987.
With the
Aussie, kiwi and won just free-falling, it looks like a similar sort of
coordinated intervention may be needed to stop the dollar now, especially until
the world is deemed free of coronavirus impacts.
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RELATED:
As Republican and democrat politicians hold emergency meetings to
decide how to avoid a meltdown of Wall Street, the smell of hyperinflation looms in the airas much today as it
did in Germany during the opening months of 1922.
This week, markets were propped up by a record breaking
offering of $1.5
Trillion in liquidity injections over the coming months (added
to the $9 trillion already injected over the
past six months), and rather than
deal with
the real reasons for this oncoming financial collapse, the media has
brainwashed the west that everything would have been just fine, “if only
coronavirus had not become a pandemic”.
But what
is really being bailed out here exactly and why? Is this money actually making
it to the real economy? Is it being invested to rebuild America’s farms,
businesses and industry?
The reality is that the only thing
being saved are the “Too Big to Fail” banks that are sitting atop a $1.5
quadrillion of derivatives bomb. Of the most bankrupt of America’s
speculators are JPMorgan Chase, Citigroup and Goldman Sachs, whose
derivatives exposure hit $48 trillion, $47 trillion and $42 trillion
respectively in recent years.
If Trump is intelligent, (and his previous calls for Glass-Steagall’s
restoration, and American
System practices imply that he knows a thing or two), then rather than bailing out Wall Street by unleashing more
gasoline onto the fire, it were better that he took the lessons of 1933 and
established a new Pecora Commission for 2020.
What was the
Pecora Commission?
Not many people are aware of the intense fight that was
launched by patriots in both parties against the Wall
Street/deep state parasite of that age which prevented both a fascist coup against the newly elected Franklin Roosevelt
while also crippling Wall Street’s command of American life. In spite of whitewashing revisionist history
books that contaminated the past 70 years, America’s
recovery from the depression never occurred without a life or death struggle
and this struggle was made possible, in large measure by the courageous work of
an Italian lawyer from New York. This man’s name was Ferdinand Pecora.
Within days of
accepting the Washington job as Chief Council of Norbeck’s committee (for the
meager salary of $250/month), Pecora was granted broad
subpoena powers to audit banks and drag the most powerful men in America to
testify in the committee’s hearings.
In his first two weeks, Pecora made
headlines by auditing the books of major Wall Street banks and pulled in
pro-fascist National City President Charles Mitchell (then preparing to
advise Benito Mussolini) to testify.
Within
days, Mitchell’s team of expensive defense attorneys could do nothing but watch
in despair as the powerful financier admitted to short selling his own bank’s
stocks during the depression, scamming depositors with purchases of Cuban junk
debt and avoiding taxes for years. Mitchell was forced
to resign in shame followed days later by NY Stock Exchange Chair Dick Whitney-
who left the court in handcuffs.
This crackdown on
Wall Street’s abuses were highly publicized and put the spotlight on the
criminal schemes used to gamble with savings and commercial bank deposits on
securities and futures markets which led to the
orchestrated collapse of the bubble economy in 1929 (ironically much of the
bubble built up during the “easy-money days” of the “roaring 20s” was centered
in the housing market). Pecora’s crackdown also set the tone for the incoming
Roosevelt administration.
CONTINUE READING AT:
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Econ situation today is similar to bail outs that create
Lehman crisis in 2008
The four-letter acronyms
for 'bailout'continue to play out exactly like during the Lehman
crisis... tonight's rescue facility is brought to you by the letters MMLF
The Fed has just announced the
establishment of a Money Market Mutual Fund Liquidity Facility, or MMLF.
As the biggest buyers of commercial paper, this bailout facility is clearly
aimed, once again, at being another effort to reduce the spiking risks (and
freeze) in the critical short-term liquidity markets.
While
yields did compress a little (positive) today, risk
increased notably despite CPFF...
See Chart:
#m
Commercial Paper Spread to T-Bills
THIS new facility
will make loans available to eligible financial institutions secured
by high-quality assets purchased by the financial institution from money market
mutual funds.
We wait to see how effective this
latest four-letter-word will be in calming the savage beast of a global dollar
shortage.
* * *
Full
Details below: TO READ THEM OPEN :..
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Short news on econ:
"For
China this quarter and the rest of the world next quarter, these GDP declines
represent the biggest quarterly contractions recorded over the past 50 years at
least." See Chart
====
Why are central banks
buying more gold than at any time since 1971? And what has spooked sovereign gold holders to fly their gold out
of New York and London?
….
ON GOLD- SANDERS-ELECTIONS and REV
Hugo Adan March 18 2020
The possibility of getting a New FDR with intentions to confiscate the GOLD from billionaires depends on Sanders to
lead a PEOPLES FRONT registered as Independent
party. Then the REV will confiscate
the gold.
But Sanders himself has poor vision on Socialist Rev -he now preferred the bla-bla with Biden as
before with Hillary Clinton.. that was his path to failure yesterday and now.
He should have spent his time
organizing the labor for Rev. But he don’t
think on REV but on ‘electivility’ as
stupid reformist. Now there are rumors that he plans to join the list of Biden (also judish and pro war).
If Sanders join Biden that will
be another betrayal of Sanders to the
cause of Socialist REV. It is sad because many young
people in America trusted him.
And that will be a nasty betrayal because those really involve in
radical change via pacific REV -as
Allende in Chile- has to have the courage of dying ‘de pie y no de
rodillas”.
Sanders has still the chance of uniting with E Warren and join other
socialist parties in the US and run the 3rd option. Then the Socialist Rev torch will be on.
Otherwise E Warren will join Biden and bye bye with both electoral
trush.
IF Sanders don’t lead the 3rd option as front &
independent party in next election.. many people will
join the forces for ABSTENTION and BOICOT against
elections 2020 (election in America are already
fraudulent since allowing the buying of votes by billonaraires & corp
behind the screens).
DON’T VOTE SANDERS nor E-WARREN if they don’t JOIN IN NATIONAL FRONT
WITH OTHER SOCIALIST PARTIES TO RUN as 3rd Party in IN ELECTION 2020
====
US
DOMESTIC POLITICS
Seudo democ duopolico in US is obsolete; it’s full of frauds
& corruption. Urge cambio
CV PANDEMIC to cover up the fall down of current obsolete of
neoliberal system
Most of the jobs that experienced
reduced hours or have been entirely cut have been blue-collar and
service or retail jobs, which cannot be conducted remotely...
====
"We’re
looking to Congress and White House to understand this is a cultural
institution where people gather."
====
Paper, just paper.. printed out from the thin air. USD need gold expropiat of Billonairs
"The surge in the dollar is another blow to emerging markets..."
====
There are realistic thoughts in this art.. but I did like
the end.. squeezed brain= zero
...we’re in the first
moments of an unfolding pandemic which, from what I can tell just looking at the numbers, this is about
to change the world in some pretty significant ways...
1 - In my opinion the fears that the ruling class will seize this
opportunity to advance preexisting authoritarian agendas are
well-founded, and people are right to have suspicions about the official
narrative on the origins of the virus
2- Google-owned
YouTube has
just announced that they’re going to be censoring a lot more videos
during the pandemic. Definitely worth keeping an eye on; if widespread
authoritarian measures are going to be implemented during this time, increasing
internet censorship will likely be
the first step.
3 - I
think this is going to hit America
much harder than other countries. . A culture of rugged
individualism with a reflexive distaste for collectivist organization
for the good of the whole, and a highly
religious population with many
preachers telling their underinsured parishioners to demonstrate
their faith by gathering
at the megachurch and shaking hands with everyone, and you’ve got a recipe
for disaster.
4 - China is having success getting
the pandemic under control on its end, with its government’s
ability to build
hospitals and crank out
brand new tech solutions with astonishing swiftness.. Now China is helping
elsewhere like Italy and Serbia.
5 - The
US became
a superpower after being left intact while competing nations were
stuck rebuilding themselves from two devastating world wars, allowing it to
surge ahead of the competition. China, as we’ve
discussed here many times,
has been poised to overtake America as the dominant world power, so it’s possible
we’ll see China’s relative success and America’s relative failure on this front
dance .
6 - And
the US of course realizes this threat, which is why my social media notifications right now are full of [xenophobia] depicting China as the Latest Official Bad
Guy. China propaganda has been pouring
into mainstream consciousness with more and more aggression lately, first and foremost within right-wing echo chambers but also
within mainstream liberal ones — JOE BIDEN COMPARED
THE CHINESE GOVERNMENT TO JACK THE RIPPER just last night. [ I’ve never seen Bides as liberal ]
7 — It’s
interesting how the virus which might knock down the most powerful
government in the world behaves so much like that government: dominating world
affairs and killing the most vulnerable members of the populations it attacks. Iran
are being hit so uniquely hard. America is like COVID-19 fort this country.
8 — Also
interesting is watching people
react to the way so many of the corporate and government policies
which have been causing
ordinary human beings to suffer great pains are now simply being
canceled all
around the world in
response to the pandemic. This Slate article documents
a number of the changes which have been made just in America, like how for
people being thrown in jail for minor offenses, “San Antonio is
one of many
jurisdictions to announce that, to keep jails from being crowded with
sick citizens, they’ll stop doing that. Why were they
doing it in the first place?” [ Is
this sadistic behavior part of nature in our dominant class & elites?]
9 — Capitalism
is built around the glorification of busyness. We’re going to find out how many
jobs we can do from home, how many jobs are only busywork, how many jobs we can
comfortably consolidate or do without completely, and how many jobs are
actually harmful.
Forget about
cleaning out the cupboards or learning that instrument or reading that book or
whatever cute thing you decided you really should do now that you have the time
— let your animal body lead the way, and give your
brain a rest from all the shoulds and shouldn’ts. You’re fine just to do
nothing at all. [ What a naïve
end.. Buen partido pero sin goles ]
====
US-WORLD ISSUES (Geo Econ, Geo Pol & global Wars)
Global depression is on…China, RU, Iran search for State
socialis+K-, D rest in limbo
Haruhiko
Kuroda - who controls Japan's money printer and yet has managed to accumulate a
massive loss on his equity purchases - has got to be the dumbest central
banking daytrader to have ever lived.
====
IF you don’t want to be killed by CV: KILL those who kill
the heath Syst: neoliberal Eco
"The surge in the dollar is another blow to emerging markets..."
….
Printing money from thin air aggravates explosive inequality & CV
effects
====
SPUTNIK and RT SHOWS
GEO-POL n GEO-ECO
..Focus on neoliberal expansion via wars & danger of WW3
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NOTICIAS IN SPANISH
Lat Am search f alternatives to neo-fascist regimes &
terrorist imperial chaos
REBELION
CV in Am-Lat: El Colonavirus Carlos
de Urabá
====
ALAI ORG
====
RT
en espaniol
Países de América del Sur coordinan medidas contra
el CV , pero sin Venezuela https://actualidad.rt.com/actualidad/346335-paises-america-sur-coordinan-medidas-venezuela el odio de cobardes anti-latinos es peor virus
que el CV. Que vergüenza!
Maduro anuncia una jornada de "despistaje
masivo" de CV en toda Venezuela https://actualidad.rt.com/actualidad/346679-maduro-anuncia-jornada-despistaje-masivo
Primer día sin ningún caso nuevo de covid-19 en el
epicentro del brote en China https://actualidad.rt.com/actualidad/346683-ningun-caso-nuevo-coronavirus-epicentro-china
Es el único país que lo gro controlarlo y hoy apoya a otros países
RU estima que Pompeo busca romper los lazos entre
Moscú y Ankara respecto a Siria https://actualidad.rt.com/video/346600-rusia-pompeo-romper-lazos-ankara-siria
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INFORMATION
CLEARING HOUSE
Deep on the US political crisis: neofascism & internal
conflicts that favor WW3
-Capitalism is one virus away from existential
disaster By George Galloway
Capitalism cannot meet the needs of human race when
existential dangers arrive
- On CV pandemic we are making decisions
without reliable data By J P.A. Ioannidis
- The Coronavirus Hoax By Ron Paul
- Pompeo threatens family of ICC staff with
consequences while bashing probe of US war crimes By Andrea Germanos
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COUNTER PUNCH
Analysis on US Politics & Geopolitics
Daniel Raventós - Julie Wark CV
and the Need For a Universal Basic
Income
Vijay Prashad et al IMF
Refuses Aid to Ven in the Midst of the Coronavirus Crisis
Charles Pierson Under
Capitalism, Every Plague Has a Silver Lining
Geoff Dutton Business
as Unusual: Notes on a Pandemic
George Ochenski CV
Exposes Stunning Presidential Leadership Vacuum
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GLOBAL RESEARCH
Geopolitics & Econ-Pol crisis that leads to more
business-wars from US-NATO allies
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DEMOCRACY NOW
Amy Goodman’ team
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