Saturday, January 7, 2017

The Scylla and Charybdis of Ignorance and Arrogance

Honesty is the highest form of intelligence - equally available to everyone...

Hubris is self-evidently the lowest form of intelligence:

Deflationary fiscal and monetary policy both implemented at the end of the cycle for MAXIMUM implosion:

Chart of the week:

Log scale Fed rate (blue) with capacity utilization and payrolls (12 month rate of change):

"We can accelerate this, if necessary"

Wages with bonds

All of the gains for the past two years were from financial stocks since the election...

Stocks versus t-bonds 

It's called "RISK OFF"

Hedge funds are record short treasuries: Commitment of traders 10 year treasury net speculative short positions:

And record long banks: Russell 2000 ("bank") long futures:

Volume is from the bank index ETF i.e. the one above showing all of the gains from the election were from financials...