The globalized economy is a colossal Ponzi Scheme in which the vast majority survive on the bread crumbs falling off the table. The possibility of 7 billion people achieving a consumption-oriented lifestyle is zero, so the World Bank conveniently set the poverty line at $1.25/day to legalize global slavery. As long as someone else's children are doing the suffering, it's "all good". Post-2008, this illusion was extended merely by plundering all future generations.
Tuesday, December 30, 2014
"Prepare for Melt-up": Airlines Up 60% Since October
The U.S. will continue to melt-up, while the rest of the world is melting down
"Investors just poured $36.5 billion into U.S. stocks last week, the biggest inflow on record. Foreign markets saw continuing net outflows".
Richard Russell: “My belief is that the coming of the stock market boom will envelope everything from housing prices to precious metals to all commodities,” Never mind that the airline index is up 60% since the October low i.e. 300% annualized
A Melt-up Starting from a Melt-up
Airline Index: Up 60% since the October low
Utilities: top performing sector of 2014 (and the most defensive sector of the entire market) "utilities are still outperforming, which could be a sign of concern that the strength is about to be sapped" aka. late stage
This trend in global macro will be reversed. Shortly:
To believe in psychopaths AGAIN. Or not. The only question.