U.S. stock market on verge of collapse?

[Uncle Festivus]

Paying for the 'free' lunch?

 

[Uncle Festivus]

Don't blame it on the sunshine
Don't blame it on the moonlight
Don't blame it on the good times
Blame it on the QE

The economy in the U.S, unexpectedly shrank in the fourth quarter, restrained by the biggest plunge in defense spending in four decades and dwindling inventories as household purchases picked up. Gross domestic product, the volume of all goods and services produced, dropped at a 0.1 percent annual rate, weaker than any economist forecast in a Bloomberg survey and the worst performance since the second quarter of 2009, when the world’s largest economy was still in the recession, Commerce Department figures showed today in Washington.

 

[white_goodman]

Don't blame it on the sunshine
Don't blame it on the moonlight
Don't blame it on the good times
Blame it on the QE



View attachment 50698

a more up to date indication...

 

[>Apocalypto<]

a more up to date indication...

View attachment 50753

following the money is the best idea if you are trying to make money most of the time...

http://www.theage.com.au/business/m...5year-peak-on-strong-data-20130202-2dqta.html

http://www.theage.com.au/business/w...factories-hit-9month-high-20130202-2dqtc.html

 

[Uncle Festivus]

a more up to date indication...

How did you get that, do you have a sub?

Now for all the breathlessness of hitting the nominal 14k, it's still only 350 pts higher than the previous high back in September, or at a 'cost' of, 4.5 X $85B = $385B for 350Pts, = $1.1B per point? Plus private equity. Good value? Year end close at $85B X 11 = $935B = Dow @ 15030 This is getting easy now - should I hand back my economics degree and just buy a printer?

Just think the experiment has to work with everything pricing to perfection, without any sort of financial or economic set back, because there are no backstops now eg zirp - can they/we tolerate even a recession now or in the future?

 

[white_goodman]

Uncle has gone quiet now that we are at new highs..

love the averaging up strategy on directional markets

 

[Uncle Festivus]

Structural global recession.

 

[>Apocalypto<]

Uncle has gone quiet now that we are at new highs..

love the averaging up strategy on directional markets

Turn a 5 year daily DOW chart upside down and this thread makes total sense.....

 

[Whiskers]

Recent revelations that the US Justice Department is more concerned about the repercussions (as in renewed financial instability) of prosecuting senior exec's of the big banks for criminal acts such as fraud, than simply following their charter to prosecute criminal behaviour when and where it happens is a further engredient of the recipe for politicial, economic and social disaster in the US.

It seems from a Four Corners report that no charges have been laid against any big shots in relation to the GFC citing a lack of evidence and the unlikelyhood of the cases suceeding. Apparently little criminal investigation has been carried out. Private citizens and lawyers have apparently found plenty of whistle blower witnesses (that the justice department couldn't find) as part of, or an aside to civil suits, but still the Head of the justice department shows no interest in persuing criminal charges against them.

 

[explod]

Uncle has gone quiet now that we are at new highs..

love the averaging up strategy on directional markets

Yeh, not tomorrow, lolliepops, roses and a solid Dow. A bit toppy does not register anymore.

A leter from a citizen in Cyprus via "The Road To Roota" this morning (Aww could never happen to us):

I received an email from a long time Road to Roota subscriber who actually LIVES in Cyprus. He is an English national but retired to Cyprus about 10 years ago. Although his email may seem unimaginable to those of you in "financially stable" countries that false sense of stability will not be around for long...

3/20/2013

Hi Bix -


Just a note from a very loyal subscriber to say THANK YOU...thank you for sticking to your guns when everyone else said you were crazy. I'm a long time follower of yours going back to your GATA days and took your advice to withdraw all my money from "the system" back in 2009. Friends and family who followed my subsequent advice over the years are very happy they did the same.

Those who did not listen are coming to the realization that there are no scenarios where they will ever get their money back. Although they are looking for people to blame they are also mad at themselves for waiting so long to take any action. I was tempted to give them a loud "I TOLD YOU SO" for mocking me all these years, but I find myself feeling very sorry for them and lending them cash to get by the best they can.

A few observations... The purchasing power of physical cash is rising as not many have any and folks are trying to stock up on essentials. Bartering should be kicking in soon as nobody (shop owners included) wants to part with their real goods and also nobody knows what our future "cash" will be if we leave the Euro. There are many rumors that they are going to tax or nationalize all retirement account as well.

I know Cyprus is not a huge country but we have all been violently awoken to reality over the past few days. You have always said that the end will come quickly and boy were you right in our case! Cypriots have come to realize that no fractional banking system can survive when the required blind faith in the system is lost.

There is no doubt that this same realization will hit the rest of the world very soon so tell all your subscribers that ROOTA WAS RIGHT ALL ALONG!

Bless you and all those who are fighting the Bad Guys.

Stephen Xxxx
Paphos, Cyprus

Thank you Stephen and we will heed your advice.

http://www.roadtoroota.com/public/1133.cfm?awt_l=ATt92&awt_m=3mSuNMCuHdAZ85B

 

[explod]

This is part of an article in the New York Times this week. Turning some heads and getting some big stick. Picked it up via "the Privateer Newsletter 5/04.

As the federal government and its central-bank sidekick, the Fed, have groped for one goal after another ”” smoothing out the business cycle, minimizing inflation and unemployment at the same time, rolling out a giant social insurance blanket, promoting homeownership, subsidizing medical care, propping up old industries (agriculture, automobiles) and fostering new ones (“clean” energy, biotechnology) and, above all, bailing out Wall Street ”” they have now succumbed to overload, overreach and outside capture by powerful interests. The modern Keynesian state is broke, paralyzed and mired in empty ritual incantations about stimulating “demand,” even as it fosters a mutant crony capitalism that periodically lavishes the top 1 percent with speculative windfalls

This is just a small part of a very stark and enlightening article. Interesting that the Times editors let this one through. Maybe it is a sign that the tide on our current buyant markets may soon turn.

The full article:

http://www.nytimes.com/2013/03/31/opinion/sunday/sundown-in-america.html?hp&_r=1&