“We can no longer tolerate the state of affairs in the world.” President Vladimir Putin
Last Wednesday (28 Sept 2015) the world saw the difference between Russia and Washington. Putin’s approach is truth-based; Obama’s is vain boasts and lies, and Obama is running out of lies.
By telling the truth at a time of universal deceit, Putin committed a revolutionary act. Referring to the slaughter, destruction, and chaos that Washington has brought to the Middle East, North Africa, and Ukraine, and the extreme jihadist forces that have been unleashed, Putin asked Washington: “Do you realize what you have done?”
Putin’s question reminds me of the question Joseph Welch asked witch-hunting Senator Joseph McCarthy: “Have you no sense of decency?” Welch’s question is attributed with initiating the decline of McCarthy’s career.
Perhaps Putin’s question will have the same impact and bring the reign of “American Exceptionalism” to an end. Continue reading
The doubts about the payroll report were taken as no doubts at all in “dollar” trading. The three indications I gave yesterday in terms of representing liquidity were all pushed farther after the jobs data essentially confirmed the direction where this is all likely heading. While the yen may have been more muted, and the “shock” wearing off in later morning trading, treasuries were heavily bid higher (price) bringing intraday yields back to the lows of August 24.
Brussels Alters Capital Requirements to “Spur Lending”
Saints preserve us, the central planners in Brussels are giving birth to new inflationist ideas. Apparently the 2008 crisis wasn’t enough of a wake-up call. It should be clear by now even to the densest observers that a fractionally reserved banking system that flagrantly over-trades its capital is prone to collapse when the tide is going out. 2008 was really nothing but a brief reminder of this fact.
The political and bureaucratic classes will certainly never go back to sound money or free banking. The State’s paws will remain firmly embedded in the business of money, as the modern-day welfare/warfare states and the ever-growing hordes of cronies and zombies they have to keep well-fed have become utterly dependent on fiat money inflation. This will continue until the bitter end. New measures are now being designed to hasten its arrival.
Designed by Bjarke Ingels