Friday, December 9, 2016


Emerging Markets are cashing out of the Ponzi scheme...

An outsider's guide for how to live large under a reserve currency:

Assume it will last forever

Assume trade deficits don't matter

Assume Ponzi borrowing doesn't matter

Assume that college is where you go to meet like-minded sociopaths

Assume that everyone else can lose their decent paying job, but not you

Assume that the jobless consumer benefits when prices are lowered at Walmart

Know that carbon from Exxon is solely dependent upon carbon from exceptional bullshit 

Assume coffee shops and fast food outlets are as good as factories

Assume the rest of the world doesn't exist, other than to fund deficits

Ok, now trade stocks...

Emerging Markets are pulling their money out of this scheme:

A lot of it has already come out...

U.S. liquidity (red) with Rest of World stocks:
Liquidity = Price / Volume (20 dma)

Chart of the week:

Another 8 years of exceptional bullshit. Ending badly...