Nueva Democracia: SEP 8 2021 ND SIT EC y POL Part 1

SEP 8 2021 ND SIT EC y POL Part 1

ND denounce-neoliberal debacle y propone State-Social + Capit-compet in Eco

Quick News 1

FORGET ABOUT THE ECONOMY, THIS IS HOW YOU KNOW A BUBBLE IS BURSTING

BY Phoenix Capital Research

HOW DO YOU DETERMINE WHEN A BUBBLE HAS BURST AND A CRISIS IS ABOUT TO BEGIN?

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Quick News 2

THE GRIM DECEIVER...

BY williambanzai7

HELL IS EMPTY AND ALL THE DEVILS ARE HERE--Shakespeare

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ZERO HEDGE ECONOMICS

Neoliberal globalization is over. Financiers know it, they documented with graphics

HEALTH: Vaccine Terrorism

WHITE HOUSE SIGNALS NEW COVID-19 MEASURES COMING FOR PEOPLE WHO ARE UNVACCINATED

When asked about how the new steps would IMPACT AMERICANS’ LIVES, Psaki said that "IT DEPENDS ON IF YOU’RE VACCINATED OR NOT"...

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When an ‘Unvaccinated’ person is more than 20 years old and is very healthy (pass the CV test) means that their immune system is strong. NO NEEDTO BE EXPOUSED TO THE VIRUS OF VACCINES. If they are obliged to be vaccinated & dies, the authorities & personnel that INYECTED the virus with a vaccine MUST GO TO JAIL

READ my yesterday article on entire towns in Guatemala who are free from CV-pandemic. WHY? Because their immune system is strong thanks to vegetables and roots (beets ++) that they eat daily during lunch & dinner. The same with native towns in the jungle of Cusco, Peru. The same happens in N-Korea ++

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Economics:

THE SIX LARGEST WALL STREET BANKS ISSUE MARKET RED ALERTS

by Tyler Durden

...with some expecting an imminent correction of 10-20%, while others expect a slow burning drift lower over the next few months

Morgan Stanley, Bank of America, Deutsche Bank, Citigroup, Credit Suisse And Goldman Sachs.

These are some of the biggest Wall Street banks that have issued "red alert" warnings on the US stock market in just the past few days, with some expecting an imminent correction of 10-20%, while others expect a slow burning drift lower over the next few months. Below we summarize the highlights of their surprisingly downbeat views

Morgan Stanley

We start with Morgan Stanley, which yesterday published its latest Global Macro Forum slide deck (available for professional subscribers), and where the bank's chief cross-asset strategist Andrew Sheets warns that equity market internals have continued to follow a "mid cycle transition", a process which usually ends with quality stocks - like the FAAMGs market "generals" - getting hit, "which poses outsized risk to the high-quality S&P 500" through October.

Sheets frames his pessimistic view by disclosing the five themes which he believes will define markets though year-end. These are:

1. Policy divergence and the start of tapering: MS expects the Fed to signal its intent to taper at the September meeting.

2. Vaccination divergence: The world has two strategies to combat COVID-19 – vaccination and suppression.

3. Valuation divergence: 2021 to date has seen a wide adjustment in valuations

4. Echoes of 2004: Sheets thinks that 2004 offers a useful guide for a 'mid-cycle transition’.

5. Doing things > buying things: The pandemic saw demand for goods jump and demand for services collapse

While regular readers are aware of Morgan Stanley's long-running theme that the US economy is undergoing a mid-cycle transition, for those unfamiliar, here is one way that the bank's chief equity strategist Michael Wilson has framed it previously, showing that the ISM Manufacturing Index always lags the Prices Paid, which has recently reversed (shown inverted on the chart below) and suggests of significant downside tot he closely watched indicator.

See Chart:

Mid-Cycle Transitions

https://cms.zerohedge.com/s3/files/inline-images/mid-cycle%20transition.jpg?itok=bqSjIH28

As part of this "mid-cycle transition", several months ago the bank urged clients to transition out of small caps and into quality stocks...

See Chart:

Our Call: Long Quality

https://cms.zerohedge.com/s3/files/inline-images/long%20quality.jpg?itok=_nB_bqqa

... we are now on the verge of ending the mid-cycle transition, which according to Michael Wilson ends either in "fire," with a market correction of 10-20% as a result of higher rates...

See Charts:

End of Mid-Cycle Transition Ends with SPX Correction

https://cms.zerohedge.com/s3/files/inline-images/MS%20fire.jpg?itok=nQYmurZ1

or "ice" as consumer spending grinds to a halt.

See Charts:

….or Ice?

https://cms.zerohedge.com/s3/files/inline-images/MS%20ice.jpg?itok=0DyDu2dz

Putting it together, Andrew Sheets lists the following 5 key market takeaways:

1. September and October represents a tricky period for central bank communication, economic data and market technicals: The bank sees risks to both US equities and US bonds given current valuations, and as a result Morgan Stanley is downgrading US stocks to Underweight and global equities to Equal Weight.

2. For the global economy, Morgan Stanley thinks that many current inflationary pressures are temporary, but the timing of peak inflation varies by region and country. On growth, the bank believes that "we’ve passed the peak in activity, with August particularly weak in the US, but the end of the cycle is not nigh."

3. In rates, it will come as no surprise that MS thinks that core rates have bottomed and will move higher into 4Q21 and into 2H22, after all this is the biggest consensus trade across Wall Street (and is thus likely wrong): Central bank withdrawal of policy accommodation and a near-term trough in economic data should both help to push yields higher. Sheets also thinks USD also grinds higher into year-end.

4. For equities, Sheets warns that market internals have continued to follow a ‘mid-cycle transition’: That process, as noted above, usually ends with quality stocks getting hit, which poses outsized risk to the high-quality S&P 500. Both ‘fire’ (rates higher) and ‘ice’ (the growth slowdown is worse than expected) pose risk to a market that has barely de-rated year-to-date.

Putting it all together, on Wednesday morning Sheets spoke to Bloomberg TV, saying that “we are going to have a period where data is going to be weak in September at the time when you have a heightened risk of delta variant and school reopening" adding that “If the data does stay soft, the market valuations just haven’t adjusted like other parts of the market have.”

Continue reading other banks: Bank of America, Deutsche Bank ++ at:

SOURCE: https://www.zerohedge.com/markets/six-largest-wall-street-banks-issue-market-red-alerts

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CREDIT SUISSE CLOSES ACCOUNT OF CHINESE DISSIDENT AI WEIWEI AS WESTERN BANKS FEAR ANGERING BEIJING

They're all jockeying for position as Beijing dangles the carrot of potential access to China's wealthy...

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HOW SPENDING GOT OUT OF CONTROL & WORDS LOST THEIR MEANING

...everything is infrastructure now..

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GAMESTOP DROPS: CASH BURN CONTINUES AS REVENUE BEATS, CASH RISES BY $1 BILLION

Perhaps the most notable change in the quarter was Gamestop's cash at July 31, which rose to a record $1.7 billion, and increase of $1 billion thanks to the issuance of $1.121 billion in stock in the quarter

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US DOMESTIC POLITICS

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

CDC CHANGED SCHOOL MASK GUIDANCE DAYS AFTER THREAT FROM TEACHERS UNION: FOIA EMAILS

Follow the 'science'...

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SOUTH DAKOTA GOVERNOR RESTRICTS ACCESS TO ABORTION DRUGS

"The Biden Administration is continuing to overstep its authority and suppress legislatures that are STANDING UP FOR THE UNBORN..."

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WATCH: WHITE WOMAN IN GORILLA MASK ASSAULTS LARRY ELDER WITH EGGS

"DEMOCRATS CONTROL EVERYTHING"

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