miércoles, 5 de junio de 2019

ND JUN 5 19 SIT EC y POL



ND  JUN  5  19  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

Day 5 News:

Hugo Adan. June 5, 2019
----
----


Job growth is moderating. Labor shortages are impeding job growth, particularly at small companies, and layoffs at brick-and-mortar retailers are hurting. "
See Chart:
ADP Construction Sector Employment

Small business employment collapsed by 52k (large business rose) with very small (1-19 people) plunging...
See Chart:
ADP Small Business Employment Change
….
----
----


Bad news is not good news today for stocks...
The market's kneejerk reaction to the collapse in employment growth was weakness in stocks and the dollar and a bid for bonds
See Chart:

US 10Y Treasury yields are sliding...10Y -5bps...
See Chart:

2Y Yields plunged below 1.80% - the lowest since Dec 2017...
See Chart:

And the dollar is dumping further (back below the 1200 level for Bloomberg's index)...
See Chart:

So yesterday markets cheered Powell's hints at rate-cuts if the economy weakened, and today we get confirmation that the economy is weakening and the market is upset...
The odds of a rate-cut at the June FOMC is now 33%!!
See Chart:
….
----
----


Real estate is now the largest industry as a percentage of GDP...Real estate deflation is what the Fed fears most.
See Chart:
Americas’ FIRE Economy: Finance, Insurance, Real Estate vs. Manufacturing

Greater Sensitivity To Interest Rates And More Leverage
No wonder why the economy and markets are so addicted to and can’t live without low-interest rates.  The danger is, however, the real estate sector is a highly leveraged industry.  Real estate DEFLATION is what the Fed fears most.
….
----
----


"There should be little doubt thatthe current boom will ultimately get what is coming for it..."

Low Interest rates and Credit Expansion drives up asset prices
See Charts:

Toward Zero Interest Rates

A simple example might help to answer the question. Assume there is a publicly traded firm. It has a return on capital of 5% per annum for the coming 20 years. If you buy the stock for 100 US$, your return on investment will be 5% p.a. If you buy the firm for, say, 50 US$ (just when there is panic in the market), your return on investment would be higher, in this case it 8.7% p.a. The message from these numbers should be pretty obvious: The lower the purchasing price is, the higher is the return on investment.

See Chart:
Return on Investment for different purchase price

What would happen if market agents expect the interest rate to drop further to, say, 0.10%? The stock price would move up even further

Against this backdrop we may now understand where central banks’ lowering of interest rates will lead to.
It exerts a tendency of dragging all returns in the economy down and towards the market interest rate as determined by the central bank – which is, of course, at an artificially suppressed level  In theory this process manifests itself as a bloating up of asset prices – not only affecting the prices of stocks, but also the prices of government and corporate bonds, real estate, land and commodities (which are priced according to their discounted marginal value product). However, this is not the end of the story.

A RUINOUS MONETARY POLICY

If interest rates and returns hit rock bottom, people have little reason to save, and investors little incentive to invest. Consumption increases at the expense of savings, and capital consumption sets in. Existing capital will be used up and not replaced. It might take a while for people to find out that a central bank monetary policy that pushes the interest rate to ever lower levels does not bring prosperity but is very damaging, even ruinous, for the future prosperity of the commonweal.

Once investors realize that the economy is losing its strength, elevated asset prices, previously driven up by an ultra-low interest rate, will come crashing down. In the case of stocks, for instance, profit expectations are scaled back, and a downward adjustment of stock prices sets in. Falling asset prices in general would hit hard consumers’ and corporates’ balance sheets. 

THE LESSON TO LEARN IS THIS: The monetary policy of ever lower interest rate is not the solution to problems caused by a low interest rate policy in the first place. 
In the short-term it might look promising, but it is a way towards economic destruction. The longer the boom is kept going by central banks’ ultra-low interest rate policy, THE BIGGER WILL BE THE ENSUING CRISIS. 
….
----
----


"The final PMI data for May add toworrying signs about the health of the US economy... indicating adeterioration of annualised GDP growth to just 1.2% in May, down from 1.9% in April..."
See Chart:
….
----
----


The bear case for U.S. stocks is getting more compelling by the day...
See Chart:
----
----


Monday's Nasdaq CTA "-100% Short" was “stopped-out” after clearing 7133 and triggered a “flip”, with an estimated ~$20B of Futures buying— and the Nasdaq model signal now too stands at "+97% Long."
====

SUMMARY of PREVIOUS ECON NEWS: only titles + Introd. Ready to be opened

"Today we find ourself with an economy that is slowing down, levels of debt never seen before, frighteningly high financial markets valuations and LESS TOOLS TO FIGHT THE NEXT CRISIS..."
====
Gold has moved more than $50 in just under three trading sessions, reminding everyone just how quickly the reserve asset of the world economy can call bullshit on the proclamations and machinations of the morons who think they run the world.
====

"Yesterday’s under the hood behavior was outright ugly, tied for the worst performance day YTD for my model Equities L/S HF (-1.7% on the session) in classic “gross-down” fashion."  [[ Missed yesterday ]]
====
RIP: BOND ROUT!  [[ Missed yesterday ]]

To now see the mainstream shift toward rate cuts, it doesn’t matter that they will try to say these will help. By the very fact they have given up on the BOND ROUT!!! it shows the boom was only ever hype.
====
TOPS ARE A PROCESS, BOTTOMS AN EVENT  [[ missed yesterday  ]]

The true power of compounding isnot found in 'the winning', but in the 'not losing'....
====

"Going by the pattern in sentiment, we see a risk that a bear-squeeze rally in US stocks from mid-June through early August could be followed by a massive sell-off in mid-August through early September."
….
[[ Same symptoms as before = same decease ]]
====
USDOLLAR TUMBLES TO 3-WEEK LOWS, BUT...  [[ missed yesterday ]] 
The US dollar is extending recent losses today, hitting its lowest since May 13th, as some suggest a dovish tilt from various Fed speakers today...
====


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

Day 5 News

"I think it’s a terrible responsibility but one I’m prepared to handle.
….
That is totally IRRESPONSIBLE .. the world expect from Trump a policy to  de-nuke the world.. it is our life and the life of the whole humanity at stake. This is not only  IRRESPONSIBLE .. it is a war declaration against our Nation and the world… more than enough to be impeached. For PEACE WE STAND. Let’s move to streets and demand his resignation & org REF & coll-signatures to support it.
====

"This interaction was irresponsible. We expect them to behave within international standards set to ensure safety and to prevent incidents."
….
Where is the evidences that RU are doing so.. Call immediate UN Gen-Assemb
====
Slowly, Wall Street is taking the trade wars seriously. But it is still missing the larger implications of a new cold war.
====


SUMMARY of PREVIOUS POL NEWS: only titles + Introd. Ready to be opened
"When John Kennedy was president, America was a proud country. Today it is a shameful place in freefall, a grave danger to its own citizens and to the rest of the world."
We invade Cuba & failed.. the next was nuke-t and Cuba received nukes too..
====
For as long as there has been human language, humans have been using it to manipulate one another...
====
THE FED IS IT!   [[ missed yesterday ]]
13 Fed speakers this week...
====

Electric vehicle owners in Illinois are going to have to pay $248 in annual registration fees next year - $100 more than what owners of gas burning cars pay.
====

The unusual shaking on the west coast continues to intensify.
….
[[ We face not only the threat of evil human (WW3) we also face the revanchist nature whose internal platforms we weakened by exploring gas & oil ]]
====

“American exceptionalism... will remain alive and well in the 21st century,” concluded Pompeo. “What’s good for the United States is good for the world.”  [[ FACT: what is good for this US is very bad for the world ]]
[[El trio los “cucos” or espanta-pajaros ARE OF COURSE ARE PART OF T-TACTIC Their mission (of Bolton-Pompeo-Pence) is to promote wars abroad to sell the WMD we have for sell.. the worse nasty business of our Econ. Who pay them? We pay them with our taxes.. and ISR too: with our money. Good news: the world is not afraid of such clowns. Piracy is the only way to keep the empire ]]
====
THE DEEP STATE AND THE DEEP MEDIA  [[ missed yesterday  ]]

The first task of any State is to control the information (propaganda) fed to its citizens. Totalitarian states eliminate any free exchange of opinions...
[[ This is why some critics called: US IS A TOTALITARIAN FASCISTIC EMPIRE ]]
----
----
By 2030, automation could eliminate 20% to 25% of current jobs -- equivalent to 40 million displaced workers...
                ….
[[ Not only WW3 but also robotics conspire against the future of Americans. Billonaires don’t want emigrants to do warehouse jobs.. they want to sell rob. They are the real conspirator of American future: the billionaires. ]]
====


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

Day 5 News:

"No one currency should dominate the market..."
====
"At this stage I think our baseline assumption should be that there are no coincidences."
====
Italy faces an "Excessive Deficit" ruling, the first in EU history.Italy's response is to revive a parallel currency proposal.
….
Some-one is trying to break the UE.. I don’t is Italy. But it could be: in the time of chaos & Econ disaster for all.. el “salvese quien pueda” .. es la ley.
====


SUMMARY of PREVIOUS INTERNAT NEWS: only titles + Introd. Ready to be opened

“They should think about moving production to Russia,”He said, adding that “Chinese goods produced in Russia could be further sold in the United States and even in Europe.”
====

"Chinese tourists in the US should fully assess the risks of traveling to the US, keeping up to date with information about public security."
In previous war.. US putting in concentrat-camps:
====
This is crazy. Some analysts are predicting 3 Fed eases by year end. Australia and New Zealand have cut rates. German yields are now negative 0.21%. Nothing screams recession more loudly!
….
They prepare their Nation to face reces.. The US don’t.. only Bill-r-taking pre-c
====

SPUTNIK and RT SHOWS
GEO-POL n GEO-ECO  ..Focus on neoliberal expansion via wars & danger of WW3

   That is that I called “FASCISM”
----
----


NOTICIAS IN SPANISH
Lat Am search f alternatives to neo-fascist regimes & terrorist imperial chaos

REBELION: 

ARG: Claudio Katz  "Los próximos meses de Arg son claves"   J R W
MX:  AMLO, Trump y el Comando Sur  Carlos Fazio
España  Los abstencionistas  Jaime Richart
USA: Trump: portazo al diálogo  Editorial La Jornada
Cuba:  Hacer Revolución  Yassel A. Padrón
====
ALAI ORG

====

RT EN ESPAÑOL

----
----


INFORMATION CLEARING HOUSE
Deep on the US political crisis: neofascism & internal conflicts that favor WW3

- The Murdering of Julian Assange  By Peter Koenig
----
----


COUNTER PUNCH
Analysis on US Politics & Geopolitics

----
----

GLOBAL RESEARCH
Geopolitics & Econ-Pol crisis that leads to more business-wars from US-NATO  allies

----
----

DEMOCRACY NOW
Amy Goodman’  team

----
----

PRESS TV
Resume of Global News described by Iranian observers..

----
===

No hay comentarios:

Publicar un comentario