Nueva Democracia: 0CT 26 20 ND SIT EC y POL

0CT 26 20 ND 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

TIME TO PANIC:

STIMULUS STALEMATE & SAP SLAM STOCKS, HOPES CRUSHED ON COVID CHAOS, CRESTING 'BLUE WAVE'

SAP warned, stealing some hope for that sector as a safe-haven during COVID chaos, and the stocks crashed by the most ever...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfm5CB.jpg?itok=U2dMgRmq

But, as David Stockman noted, here's a curve that's flattened - the percent of all US deaths with COVID...

Percent of all deaths attributed to CV-19

https://www.zerohedge.com/s3/files/inline-images/2020-10-26%20%281%29.png?itok=6HhhFiyO

And hospitalizations are rising because non-COVID procedures that were delayed over the summer are finally getting their ops done, COVID-related hospitalizations remain low.

Additionally, reality is starting to dawn on more than a few market participants that Blue Wave odds are fading amid the exposure of Biden's corruption.

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfm2FE9.jpg?itok=xefwcUTh

So don't panic?

US equity markets broke critical technical levels (50DMA)...

See charts:

https://www.zerohedge.com/s3/files/inline-images/2020-10-26_12-25-17.jpg?itok=_d-szg21

NOTE that at the cash open, algos went wild and ramped Nasdaq higher while dumping Russell 2000 but that idiocy was all unwound by the close...

See Chart:

Nasdaq 100 / Russell 200

https://www.zerohedge.com/s3/files/inline-images/2020-10-26_12-38-12.jpg?itok=yWM7ZMtS

So this happened (in the US)...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/2020-10-26_13-00-40.jpg?itok=UZu3nwzn

Worst day for stocks since June.

After this happened (in Europe)...DAX at 4-mo lows...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfmC7B1.jpg?itok=whF5TwxL

FANG Stocks erased last week's bounce...

See Chart:

Fang Stocks

https://www.zerohedge.com/s3/files/inline-images/bfm44EB.jpg?itok=vKs5m2EF

Airline stocks were slammed

Casino stocks also tumbled

And Biden bellwether TAN also dropped

So much for algos attempt to diverge growth and value for some rotation momentum...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfm83CE.jpg?itok=9WqAIyPd

"Most Shorted" stocks were slammed by the most in a month...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfmB51D_1.jpg?itok=JBNPP18c

VIX spiked dramatically, back to 33...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/2020-10-26%20%282%29.png?itok=nZryMMOE

...signaling further downside to stocks...

See Chart:

S&P vs VIX

https://www.zerohedge.com/s3/files/inline-images/bfm4E38.jpg?itok=HvwhwU6s

With UST 10Y Yield back below 80bps... so much for that "bond rout"...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfmF106.jpg?itok=3sWfum7J

The B-Dollar Index rallied on the day, erasing Friday's flub...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/bfm7A3C_0.jpg?itok=i05tbhAw

Oil tumbled, extending its drop below $40...

See Chart:

https://www.zerohedge.com/s3/files/inline-images/2020-10-26_12-01-37.jpg?itok=JPK366RN

Gold was flat on the day holding above $1900, Silver lower, back below $25

Finally, there's this... a record daily average rise in COVID cases (PANIC!!), but not a record rise in deaths (don't PANIC!!)...

See Chart:

Record vs No record

https://www.zerohedge.com/s3/files/inline-images/bfmB609.jpg?itok=_1bYSBsR

And hospitalizations FOR COVID in CAL are low and not rising!!!!

See Chart:

California CV Hospitalization Rate

https://www.zerohedge.com/s3/files/inline-images/bfmAC45.jpg?itok=CDIPazZA

….

SOURCE: https://www.zerohedge.com/markets/stimulus-stalemate-slams-stocks-hopes-crushed-covid-chaos-cresting-blue-wave

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CREDITORS FINALLY WAKE UP TO AN APOCALYPTIC REALITY: BOND LOSSES AS HIGH AS 99%

"We’ll see companies gradually hitting the wall -- it’s just a question of when and how fast."

Back in March 2016, we published an article explaining how the coming default cycle - when it finally hits - would be different: it would be marked by record low recovery rates. While there were many reasons for that, three stood out:

i) the disconnect between fundamentals and asset prices thanks to the Fed's constant manipulation of markets,

ii) the record layering of debt upon debt, much of it secured, and

iii) the years of covenant-lite deals that stripped most if not all creditor protections over the past decade (something which as we noted recently has resulted in bitter creditor fights and a "civil war" involving some of the most prominent names in investing).

Several stark examples of epic collapse in recoveries is the current price of a handful of retailers' bonds. Men’s Wear-house, which filed in August, traded this month for less than 2 cents on the dollar. When J.C. Penney Co. went bankrupt, an auction held for holders of default protection found the retailer’s lowest-priced debt was worth just 0.125 cents on the dollar. For Neiman Marcus that figure was 3 cents. Indeed, as the following chart of median CDS auctions finds record low recoveries for bondholders (which of course is great news for all those who bought the CDS).

See Chart:

CDS Sadness

https://www.zerohedge.com/s3/files/inline-images/CDS%20auctions.jpg?itok=Iyx7VNb7

Bloomberg then focuses on the underlying reasons which as regular readers will note, we correctly predicted years ago. It's probably why Bloomberg notes that "while few could have foreseen the pandemic’s toll on the economy, the depth of investors’ pain from corporate distress was all too predictable" although they clearly were not"predictable" to all those bondholders and yield-starved managers of other people's money who are now fighting for any recoveries, in many cases just years after buying the debt at par.

This reminds us of something else we wrote back in 2018, when we discussed the surge in covenant-lite deals:

See Chart:

Few covenants , less cushion

https://www.zerohedge.com/s3/files/inline-images/cov-lite-cushion_0.jpg?itok=jGKn1Onu

The biggest irony of all this? Instead of encouraging corporations (which for years used debt proceeds to repurchase stock, pushing stock prices and equity-linked management comp to record highs) to prudently ease back on debt issuance, the Fed instead was instrumental in unleashing a truly unprecedented corporate debt issuance tsunami after the covid crisis, when it backstopped the corporate bond market for the first time ever and started buying investment grade and fallen angel bonds and junk ETFs.

In short, it means that by having gone all in on preventing the corporate bubble from bursting in March of this year, the Fed has made the situation far, far worse than if it had let the chips fall during the March crash. And since the Fed will never allow unmanipulated prices to clear without its intervention, the current default crisis only means that the fateful moment when the Fed openly starts buying stocks to prevent an all-out collapse of western capital markets is that much closer.

….

SOURCE: https://www.zerohedge.com/markets/creditors-finally-wake-apocalyptic-reality-bond-losses-high-99

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US DOMESTIC POLITICS

Seudo democ duopolico in US is obsolete; it’s full of frauds & corruption. Urge cambio

JUDGE AMY CONEY BARRETT CONFIRMED, RADICAL DEMS DEMAND "EXPAND THE COURT"

“Elections have consequences.”

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US STATE DEPARTMENT HALTS ALL DIVERSITY TRAINING AFTER TRUMP'S EXEC ORDER

...no longer allowed to fund "un-American propaganda sessions"

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NYPD OFFICER SUSPENDED WITHOUT PAY FOR BLARING "TRUMP 2020" ON LOUDSPEAKER

"We are aware of this video and it is under investigation by our Brooklyn South Investigation Unit."

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HOW THE DOJ'S ANTI-TRUST LAWSUIT AGAINST GOOGLE COULD HAMMER APPLE AT A CRITICAL TIME

With a slew of the big tech firms preparing to report earnings during the coming week, the Wall Street Journal is amplifying research from Toni Sacconaghi.

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YOUR PERSONAL GOLD STANDARD

central banks will never voluntarily return to a gold standard. But if gold is such a barbarous relic, if gold is a “stupid” investment, then why are the Russians and Chinese stockpiling gold hand over fist? Are they stupid?

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ARE WE GOING TO WITNESS THE WORST NATIONAL EMOTIONAL BREAKDOWN IN HISTORY ONCE THE ELECTION IS OVER?

Right now we are experiencing the calm before the storm.

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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

67 MILLION OUNCES: WORLD'S BIGGEST GOLD RESERVES DISCOVERED DEEP IN SIBERIA

The estimated Mineral Resources for Sukhoi Log stand at 1,110 million tonnes, with an average grade of 1.9 g/t Au and containing 67 million ounces of gold as at 31 May 2020

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'IRAQ WAR DIARIES' AT TEN YEARS: TRUTH REMAINS TREASON

Ten years after ASSANGE’s brave act of journalism changed the worldand exposed one of the crimes of the century, he sits alone in solitary confinement in a UK prison...

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RUSSIAN AIRSTRIKES OBLITERATE TURKISH-BACKED 'REBEL' CAMP IN IDLIB, KILLING OVER 60

Huge escalation with Turkey as attacks came so near the border...

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AL QAEDA #2 COMMANDER KILLED IN SECRETIVE RAID IN AFGHANISTAN

Number two man in al-Qaeda for the Indian subcontinent got his start under the CIA-backed mujahedeen in the 1980s...

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US APPROVES $2.4BN COASTAL DEFENSE MISSILE SALE TO TAIWAN AMID CHINA SANCTIONS RETALIATION

We have "consistently adhered to our One China policy"

the State Department assures.

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SPUTNIK and RT SHOWS