Friday, August 10, 2018

Donny Or Dog Food

Global slowdown, 2015-style Yuan deval, Fed double tightening,  housing implosion 2.0, trade war, Y2K Tech blowoff - this week add 1997-style EM currency crisis to the list of bullish factors. All offset by a tax cut already sold with both hands by corporate insiders. In other words, Trumptopians are betting it all on the exact opposite of the truth. They've discovered that the secret to knowing everything, is knowing nothing...

"The annual increase in the so-called core CPI was 2.4 percent, the largest rise since September 2008"

Herein lies the problem for the reflation fantasy:

Getting back to the casino, in Social Mood terms, the 2008 meltdown was going to happen. Which investment bank gave its name as the final domino was quite irrelevant.

Having lagged since February, Financials have been going vertical since early July, due to "reflation". The biggest one month rally since...September 2008:

As any blind man can see, this time we got Wall Street too...

The term "painful" doesn't begin to describe how this unwinds. Due to obligatory denialism the truth has never been further from reality

Vast untold numbers of fucktards are betting on Trumptopian reflation, across every risk asset class: