Saturday, January 9, 2016

Financial Deathstar 2.0 Implosion Sequence aka. "RISK OFF"

Also widely ignored this week, there were three overnight gaps down in the S&P compliments of Japanese Yen carry trade risk off. We haven't seen that since...August...

"The de facto Idiocracy was borrowing their way out of a debt crisis when it all ended suddenly and unexpectedly. They were shocked and outraged to learn that printing money was not the secret to effortless wealth. No one told them..."

Yen (black) with Yuan: hot money is flowing out of China back to Japan...

Yen with S&P hourly

Aussie / Yen daily: hot money is flowing out of Australia back to Japan as well

(Aussie) Yen with S&P long-term:

(Dollar) Yen with S&P long-term:

And hot money is flowing out of the S&P 500 back to Japan...

The Jedi Mind Trick for weak minded tools:
Fed balance sheet (red) with U.S. stocks and interest rates:

It's called "Globalization" for a reason.