Saturday, December 31, 2016

Shock Doctrine: Thanks For Playing

After 2008, global multinationals robbed the world blind while a de facto Idiocracy chewed their cud. Apologists for corruption will have a shelf-life measured in minutes when this ends...

How do you rob entire nations blind in broad daylight? Convince everyone that debt is wealth. After that it gets real easy...

The common theme since 2008 across the developed world and now the developing world including China, India, Brazil, and all oil producing countries is that debt was swapped out for real income and real wealth.

All to feed the insatiable appetite of corporate multinationals for ever more profit. Globalization is just one massive ball of non-amortizing Ponzi debt:

For example, this article that came out on Thursday, says that "we" learned from 2008, therefore it can't happen again. The people who write this corrupt shit are 1000% Idiocracy...

"At the end they turned over their Treasury to Goldman Sachs"

"No one saw it coming. Again"

Friday, December 30, 2016

Goodbye Ponzi World: We Hardly Knew Ya

By my modest estimation, all U.S. sectors have now rolled over. Here are some highlights...

But first, the Global Dow count:
Trump's election drove a manic blow-off top into what will very likely be global "recession" with zero fiscal/monetary safety net...

The U.S. is the last domino to fall of course, however, payrolls (red) with Paychex the payroll provider is a useful leading indicator:

This year, the Dow outperformed the S&P which outperformed the Nasdaq, so here is the Dow / S&P ratio:

Dow new highs:


U.S. Oil inventories ended the year at all time year-end highs:

The Lockheed Martin trade has rolled over...



Nvidia was the top performing S&P stock of the year, already down almost -10% off its highs in a week (not shown)




Google: One year to nowhere...

Johnson & Johnson

And Microsoft: Pinnacle of the Ponzi scheme...

Wynn casinos


"Luck be my lady tonight"

S&P 500 On Balance Volume (red) with % of stocks above 200 dma:

2016: Year of the False Profit

Trump got Wall Street their bonus this year, so that's all that matters to a fetid Idiocracy...

U.S. stocks versus Chinese stocks

EM currency versus Oil

Wall Street brokers versus IPOs (red)

IPO proceeds in 2016 were lower than 2008 and 2009...

Hedge Funds versus Dow

Dow versus Rest of world

Wilshire / Dow ratio versus market

Consumption sentiment versus 'Conomy

Copper versus Fed

CPI versus Gold

Dow versus Global GDP

"Thanks Donny"

Stock / Bond ratio with VIX

An Exceptional Dollar Unwind

Returning record amounts of global hot money to its rightful owners, will end this global ponzi scheme instantaneously. Deja vu of 2008, an end-of-cycle inflow into dollar assets under the auspice of "flight to safety", will end with a violent mass exodus. The dollar (inbound) carry trade is the most crowded trade in human history. It's driven by the pervasive Wall Street groupthink of "TINA" - There is no Alternative, to U.S. stocks...

The theme of 2016 was the inbound dollar rally, driven first by Brexit,  then by divergent Central Bank policy, and lastly by Trump's planned tax cut which hammered U.S. yields higher.


The delta between U.S. and German yields has never been wider:

Thursday, December 29, 2016

Bad Santa: 2017 Will Begin With a Big Bang

Barring a miracle, the Santa rally failed to make Dow 20k in 2016. Leaving the market open to massive downside risk into the early New Year. You know, like last year. In summary, the jobless consumer, "beneficiary" of all free trade agreements, is ready to collapse...

Ponzi World is going out with a bang:
As more and more people realize there's nothing holding up this entire fraud, other than entitled jackasses throwing their life savings away while being monetized by Wall Street...

Page views

Bad Santa
S&P with new 52 week highs:

% of S&P above 200 dma

Wednesday, December 28, 2016

The Soylent Idiocracy: Euthanized By Exceptional Bullshit

Corporate whores defend the status quo with their lives, because they know "this" is all there is for them. They are terminal Idiocracy...

Today's zombies are not in denial about one thing, they're in denial about EVERYTHING...They've been thoroughly programmed by their corporate masters to be obedient, unquestioning drones with concern for the future spanning one quarter, at most. 

Junk news is rampant across the economy, finance, politics, geopolitics, health, energy, and the environment, it's all corporatized fake news now. Pablum for a degenerate old age home wholly incapable of accepting the fact that the status quo is circling the toilet. Every aspect of their fabricated identity is projected onto the potemkin status quo.

Having absolutely no zen, they would have no clue what to do in a world that doesn't center around mass consumption - constantly overstimulated on iphones, reality tv, facebook, triple lattes, Faux News and Prozac.

Reality is their sworn enemy. 

Because they know it's coming, but they prefer to not know when.

Mission O'Complished. 

Tuesday, December 27, 2016

The Rocket Is Out of Fuel. At The Pinnacle of Delusion

What happens when a rocket runs out of fuel short of its destination? We're about to find out...

Skynet has taken volume and volatility down to multi-month lows to push above Dow 20k. But now the generals are leaving the advance...

New 52 week highs:

The Nasdaq hit a new all time record today, compliments of Semiconductors...

Oil hit a new 52 week high, while C$ fell back to multi-month lows...

Regional banks 

We know this (Nasdaq 100) broadening top pattern...

Because it's the same as this far larger one...

The Idiocracy Is Not Playing Dumb

Dec. 27, 2016
UnHedged Funds Last This Optimistic In Fourth Quarter 2015

"Heads we win, tails you lose"

Let's take another look at last December versus this year...
Active Manager risk exposure

Rest of world stocks

Chinese stocks

High yields stocks with VIX

(McClellan oscillator)

Average S&P stock

Facebook aka. "Internet"

Amazon aka. "Retail"

Other charts...

Semiconductors in blow-off mode

JP Morgan and Financials in stall mode

In other words, this entire rally now hangs on Nvidia. What else?

"20,000 or crash. Whichever comes first"