Thursday, December 29, 2016

Investment Reform Push A Little Late After Being Caught Flat Footed On Trump Victory

China Opens More Doors to Foreign Investors Ahead of Trump Presidency

A year after losing its status as the world's top destination for foreign investment, China is taking market-opening steps to make the country more appealing to investors; but, with a hostile new administration preparing to take office in Washington, analysts question whether the steps are too little and too late. China's National Development and Reform Commission…

Wednesday, December 28, 2016

Silver Miners (SIL) In Bullish Declining Wedge With 2017 Starting With A Bang

In the words of Sarah Hyland, "I'm officially joining the bandwagon of how 2016 can go fuck itself." Nowhere have I found a more apt description for this year as I too can't wait for it to be over. What does 2017 hold? Well, looking at Silver Miners ETF SIL a bullish declining wedge seems to be developing so apparently precious metals might be starting off with a bang. Divergence on the momentum indicators has appeared for three months now something is obviously brewing. Our first move should take us from around $30.00 to around $36.00, but please be cognizant that we are still in a larger declining which might not be finished.

Lethal Duo Formed By Tech Industry Giants

Tesla and Panasonic team up on solar-panel cells

WASHINGTON — Tesla Motors Inc. and Panasonic Corp. said Tuesday that they would begin producing cells for solar panels next summer at a sprawling factory opening in Buffalo, N.Y., expanding a relationship between the two technology firms. The Palo Alto, Calif., automaker and the Japanese electronics company said they had finalized plans announced in October to…

Critical Milestone For Green Vehicles

Electric Car Sales Pass Half a Million in U.S.

More than 500,000 electric cars have been sold in the United States, according to a report from an electric vehicle charger operator. The sale of more than 130,000 plug-in hybrid or battery-powered electric vehicles between November 2015 and November 2016 pushed the total number of electric cars sold in the U.S. to 542,000. The milestone was…

What A Time To Be Alive, Sun Cheaper Than Coal

Electricity Through Solar Power Now Cheaper Than Fossil Fuels

The cost of production of electricity through utilization of solar energy is outpacing other alternatives as the cost accrued in investing in the installation of solar panels is turning out to be comparatively cheaper than a comparable investment in coal, natural gas or other options, according to a new World Economic Forum (WEF) report. In more…

Not Sure This Plan Is Going To Make The U.S. An Appetizing Place To Do Business

Trump Could Bring Home $2.6 Trillion in Offshore Profits

At least $2.6 trillion in American corporate profits are parked outside the country and President-elect Donald Trump's major tax reform plan could bring it back into the United States -- that could provide a big boost to the economy and federal revenue. Trump's plan is part of his larger business tax plan to lower the corporate…

Tuesday, December 27, 2016

Inverse Head And Shoulders In Biotechnology (XBI)

It has been a few weeks since I last wrote and I apologize. The hospital can get a little crazy around this time of the year and there's also a couple of extra shifts that can be picked up, so I have been quite busy. I brought Biotechnology ETF XBI to everyone's attention almost five weeks ago when I speculated that an inverse head and shoulders pattern might be appearing. I also called a short/sell on the 21st of November and then anticipated the move we are now seeing. In the interests of symmetry $59.00 was the support zone where we saw a great bounce and now an anticipated move to around $64.00 to form the final shoulder. The next two weeks are so are critical to see if this pattern comes to fruition, because if I'm honest, this is the least reliable pattern I am able to find!

Hope This Isn't True For All Emerging Markets

2017 Will Be Bad for Mexico

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That topping pattern is almost complete. Once the lower horizontal breaks ($42.47), it’s adios.


Monday, December 26, 2016

Venezuela Taking Steps Similar To The Weimar Republic

Venezuela to finally issue new bank notes next week

Caracas (dpa) - After several delays, inflation-hit Venezuela is slated to finally introduce several new bank notes next week, banking officials confirmed Friday. After the withdrawal of the country's 100-bolivar bill, the planned introduction last week of a new 500-bolivar bill to replace it was delayed, leaving many people without cash and unable to buy basic…

Chinese To Curb Outflow Of Manufacturing.....To The U.S.

More taxation reform will stop capital flight

That China's largest automobile glass-maker Fuyao Group will invest $600 million to build a 2,000-worker factory in Moraine, Ohio, should set off alarm bells, prompting the Chinese government to lower taxes and operational costs for manufacturing industries to prevent the drain of Chinese capital and jobs. Responding to the criticisms against his investment abroad in a…

Clearly Deutsche Bank's Knock-Out Blow Hasn't Come...Yet

Deutsche Bank to pay $7.2b to settle US probe

Deutsche Bank AG said it has reached a $7.2 billion agreement to resolve a years-long US investigation into its dealings in mortgage-backed securities, removing a legal hurdle that fueled investor angst. Deutsche Bank will pay a $3.1 billion civil penalty and provide $4.1 billion in relief to consumers under a settlement in principle with US authorities,…

I Think The New U.S. Administration Might Have Something To Say

Healthy relations 'will benefit both'

Sino-US trade volume slips but bright future seen for economic ties China will continue to develop mutually beneficial and complementary trade relations with the United States regardless of US change of administration, said Ministry of Commerce spokesman Shen Danyang on Friday. It is too early to predict whether bilateral trade will decrease in the next few…

Sunday, December 25, 2016

China Will Always Be A Place To Make Money, Not A Place To Keep It

China's love affair with the dollar

When former Chinese Politburo member Zhou Yongkang was arrested in 2014 on corruption charges, the scale of his ill-gotten gains was astounding, totalling some $16bn. When sums that large are involved most of the assets have to be invested in financial instruments and real estate. But the list of physical currency found in his homes is…

Seven Fat Weeks And Then Seven Lean Weeks?

Dow Jones Industrial Average Sees Seven Weeks of Gains

U.S. stocks held on to slight gains Friday as they traded in a very narrow range on light volumes, struggling to find direction ahead of the long holiday weekend. Markets in the U.S. will be closed Monday in observance of Christmas. Overall, investors appeared content to go into the final week of the year doing nothing,…

Friday, December 23, 2016

Technology Sharing And The Elimination Of Inequality

Sustainable agriculture key to eradicating poverty

Innovation in global food production is vital to providing the world with enough to eat and helping the poor At the fifth Global Forum of Leaders for Agricultural Science and Technology in Lingshui, Hainan province, last week, experts reached the consensus that scientific and technological innovation is vital for sustainable agricultural development, and is therefore critical…

African Imperialism 2.0

Kenya to intensify marketing efforts to woo more Chinese visitors

NAIROBI - Kenya plans to intensify marketing efforts in order to woo more Chinese visitors into the country, the tourism promotion agency said on Wednesday. Kenya Tourism Board (KTB) Director of Marketing Jacinta Nzioka-Mbithi told Xinhua that the East African nation has just completed phase one of marketing campaign in China. "We are working with the…

Chinese Transport Web Continues To Grow

Singapore, China enhance cooperation under Belt and Road Initiative

SINGAPORE - "Singapore plays a pivotal role in building the 21st Century Maritime Silk Road, and over 20 forums themed on the Belt and Road Initiative have been held here in 2016, which highlights all walks of life in Singapore attach great importance to the initiative with forward thinking," said Chinese Ambassador to Singapore Chen Xiaodong…

It What Should Have Been A Boost To Canada's Oil Industry And Given Them An Edge Over The U.S.

US and Canada prevent oil drilling in Arctic waters

The United States and Canada will freeze future oil and gas drilling in their Arctic waters, a move applauded by environmentalists but denounced by the energy industry. The White House said on Tuesday that US President Barack Obama is making most of the Chukchi and Beaufort seas in Alaska off limits to offshore oil and gas…

Crippling Debt, Depressed Wages Stifle Investment In Economy By Millennials

Why Millennials Still Struggle To Move Out

Key indicators, such as a low unemployment rate and rising gross domestic product growth, point to a solid economic recovery in the U.S. following the collapse of 2008. But for millennials, that may not be the case. As the Wall Street Journal reported Wednesday, the largest percentage of young Americans since 1940 lived with their parents…

Thursday, December 22, 2016

Who Knows, Maybe The Chinese Will Buy Time Square Too

Chinese flock to Big Apple

The number of Chinese visitors to New York has increased exponentially in recent years. It is predicted that China could surpass the UK as the largest source of overseas visitors by the year 2022. [Photo/IC] Nearly 1 million Chinese tourists visited New York this year, making China the second largest source of overseas visitors to the…

And A War That Is Likely To Get Worse


originally published Sunday, December 18, 2016

Printable Version
Various Reports

The global financial system continues to groan under the strain of the accumulated weight of trillions of dollars worth of debt and derivatives, which have built up to even more fantastic levels than those that precipitated the near collapse in 2008, thanks to the policy of solving liquidity problems near-term by creating even more debt and derivatives, Quantitative Easing being the most obvious example. However, while the majority consider the situation to be hopeless, there is actually “light at the end of the tunnel”.

If only a way could be found to freely tap the funds of savers at will, by imposing duties or taxes on bank accounts, with the additional option to appropriate savers’ funds on occasion as required, then the systemic liquidity problems will be solved.

Banks need never fear solvency problems again and they can simply fall back on the account holder’s funds to meet any obligations. There are in fact already names for these restorative operations, they are called “bails-ins” and NIRP (Negative Interest Rate Policy).

Unfortunately, any immediate attempt to implement bail-ins and NIRP on a large scale will backfire because, faced with being charged significant sums for the privilege of keeping their money in the bank, savers will simply withdraw their funds and keep them as cash at home, or maybe even invest in Precious Metals. It is therefore imperative that these escape routes are blocked off.

We have already seen an interesting “trial balloon” in recent years with respect to bails-ins. This was the celebrated Cyprus bail-in. When Cyprus banks were about to go belly up a couple of years ago, they saved themselves by raiding customers’ accounts, which is more palatably described as a bail-in. The reaction of global savers to this action by the Cyprus banks was one of horror and revulsion and they made it plain that they weren’t going to stand idly by and watch banks plunder their funds – they would withdraw them as cash if any such threat should appear over the horizon. This reaction set the great minds of the banking community to work on how to stop savers withdrawing their funds in the face of these threats. The solution was and is simple – abolish cash! Thus we have seen production of the 500 Euro note in the European Union stopped so that it gradually fades into oblivion and in the US Larry Summers has proposed abolition of the $100 bill, which accounts for most of the money in circulation. The idea is to implement the policy for a global cashless society in stages – if it is done all at once the public will revolt. They need to be trained to go cashless and this will take time. By starting with high denomination notes you actually remove most of the currency in circulation at a stroke, but the masses can still buy cigarettes and candy bars at street corner shops with small denomination notes. The excuse given for the removal of the notes is that it impedes organized crime and money laundering etc, which is of course a convenient smokescreen.

With plans for a cashless society already well advanced it was time for another trial balloon. India was selected. Anxious to demonstrate his credentials as a card carrying member of the New World Order, and oblivious to the effects of the operation on the hapless citizenry of his country, Indian Prime Minister Narendra Modi went ahead with the withdrawal of two key banknotes. This caused chaos across the country, especially in rural areas where many don’t even have bank accounts, and citizens often had to travel long distances to get to banks to change these banknotes, only to find that the banks had in many cases run out of smaller denomination notes. Despite the economic dislocation and suffering experienced by the masses including some deaths, the experiment was deemed a success by the elites, as they had gotten away with it, with the cowed and impotent citizenry accepting it as their fate – what they should have done is rioted until the measures were withdrawn. Globally, the plan therefore is to keep chipping away at it until the cashless society is universally accepted, the only cash likely to remain being small denomination notes and coins suitable for paying street vendors and bus fares etc. An example in recent weeks of progress on this front in France is the banning of cash sales of anything in excess of 300 euros.

The arrival of the cashless society will not only mean that banks will be able to avail themselves of citizens funds as and when they please, it will also mean that the banks, and by extension the government, will know all your financial business, what you do and when. Tax evasion will be impossible, and eventually you will not be able to do business with companies that are not approved of by the government.

With the escape route into cash set to be blocked off, that leaves Precious Metals, gold and silver, gold as a store of value and silver more for everyday transactions. Gold bugs and others, especially survivalists, and many wealthy investors see this as THE way to escape the rapacious grasp of the banks and the government, and are busy squirreling away fortunes into overseas vaults etc. However, it is unfortunate that if you can think of this, so can they, so can the banks and the government, and they have plans for you and your gold hoard. Remember, their power is absolute, no-one dare stand up to them and they can and will do what they like, changing the law as required to suit their purposes. They are much more powerful than President Roosevelt, who in the 1930’s, in an act of naked piracy, seized the gold of US citizens, and furthermore their modern powers of surveillance and tracking are much more sophisticated than anything back then. Thus we can expect governments to declare the holding of gold (and silver) to be illegal, and to demand forfeiture to the government in exchange for nominal compensation - resistance will be met with forcible confiscation, heavy fines and possibly prison sentences. Vendors of gold bars will be closed down and mints will not sell retail gold. Unlike the 1930’s this be a be a coordinated global campaign, a kind of witch hunt if you will, and there will be no corner of the world that is safe, just as they finished off private banking in Switzerland. Those buying gold and stashing it in various pseudo anonymous remote foreign depositories will be in for a nasty shock as these vaults are arbitrarily raided and plundered, with local and international law being changed as required to facilitate this. Nothing will stand in the way of a system that will not permit alternatives.

We will end on a positive note. No-one really wants to see a complete systemic collapse, which is what will happen if banks don’t avail themselves of savers funds quite soon, least of all the controlling elites at the top of the pyramid who live lives of scarcely imaginable opulence and luxury and wish to continue doing so. Such a collapse would lead to bank accounts being frozen, and a breakdown of the distribution system leading to anarchy and hand-to-hand fighting in the streets for essentials like food and gasoline. Should we not therefore be grateful to our illustrious masters who have ingeniously thought of a way out of the current impasse, by availing themselves of your funds as required? Is it not a small price to pay to go cashless and forego your privacy and independence, and forfeit your gold and silver on demand?

It is tempting to blame others for all this, especially those in control of the system, but don’t forget that for decades you voted for people who routinely lied before elections, and told you what you wanted to hear, that you could have it all right now and to hell with the future – well, that future has now arrived.

End of article.

Posted at 6.40 am EST on 18th December 16

Commercial Drone Market Is Where Computers Were At The End Of The 70's

Courtesy of: Visual Capitalist

Wednesday, December 21, 2016

Seven Fat Years And Now Seven Lean Years

Global downturn dragging China into slowdown: economist

BEIJING - A global economic downturn is the main reason behind China's slowdown in growth, rather than domestic issues, said Justin Yifu Lin, former chief economist of the World Bank. The continued slowdown in China's economic growth is more the result of external and cyclical factors, he said at a forum held by Peking University on…

Collusion Between Shareholder-Lawmakers And Banks?! Well I Never!

Legislators' Finances Tied to Bank Bailout Vote: Study

This article originally appeared on the International Business Times. Do the personal assets of congressional lawmakers affect the way they vote on federal legislation? New data says yes—at least when it comes to their votes to bail out Wall Street with hundreds of billions of taxpayer dollars. Amid the 2008 financial crisis, congressional lawmakers passed a…

Tuesday, December 20, 2016

Great, But Will Everyone On The Other Side Of The Pacific Agree?

Trade war would hurt everyone, Beijing says

China hopes there will not be a trade war with the United States, which would harm not only the interests of the world's two biggest economies, but that of the whole world, Vice-Minister of Finance Zhu Guangyao said. But while it…

Europe Can't Risk Losing Another One

German economists oppose Italy exiting Eurozone

A large majority of German economists opposes Italy exiting the Eurozone: 61 percent are against an exit, versus 29 percent in favor. These are the latest results of the Economists Panel jointly conducted by the Ifo Institute and the Frankfurter Allgemeine Zeitung. Around 52 percent of the economists surveyed fear that an exit by Italy could…

Monday, December 19, 2016

Weed Driving Economic Growth? Far Out Man!

Marijuana Industry a Homegrown Source of Job Growth

This article originally appeared on the Motley Fool. Look around, and you'll struggle to find an industry hotter than marijuana. Back in 1995, not a single state had a law on its books legalizing medical cannabis or recreational pot. Today, following the November elections in which residents in eight out of nine states voted in favor…

More Hints Of Global Economic Slowdown

NDRC: Overcapacity top reform priority for 2017

Economic planner says multiple policies will ensure 'substantial headway' is made China's top economic planner said on Saturday that cutting excess production capacity will be a priority for its work next year. The National Development…

Wow! Greece As A Global Fiscal Role Model

Greece Ends Year With Surplus; Passes Landmark Budget That Projects Economic Growth

The Greek parliament has approved a 2017 budget that calls for keeping spending restraints in place, while projecting economic growth to continue at 2.7%. Prime Minister Alexis Tsipras said that 2017 will mark Greece's "final exit" from its nearly decade-long financial crisis. The budget adds more than 1 billion euro in new taxes, mostly indirect taxes…

Wednesday, December 14, 2016

Everyone Getting High Part Two

Canadian marijuana stocks on a high after panel recommends widespread retail sale

Canadian marijuana stocks shot up after a federal task force on legalized recreational marijuana recommended storefront and mail-order sales to Canadians 18 years and older, with personal growing limits of four plants per person. The framework report, headed by former federal Liberal cabinet minister Anne McLellan, says recreational marijuana should not be sold in the same…

Everyone Getting High Part One

Colorado marijuana sales exceed $1 billion, breaking record

Legal marijuana sales in Colorado surpassed $1 billion during the first 10 months of 2016, according to newly released figures from the state's Department of Revenue, signaling the best year yet since dispensaries began selling recreational weed in 2014. Colorado's state-regulated pot shops sold a total of $1.09 billion in marijuana and marijuana-related products between January…

Tuesday, December 13, 2016

Enjoying The Japanese Good-Times While They Last

Trump's election has managed to do what Abe has not: devalue the Japanese yen

When Shinzo Abe met with Donald Trump in New York last month, the Japanese prime minister became the first foreign leader to get a face-to-face with the U.S. president-elect. We don't know the details of their conversation – it was, after all, an unofficial and therefore off-the-record meeting. But if Abe managed to squeeze in among…

Germany To China Direct By Train

China-Europe freight train imports meat from Germany

CHENGDU - A freight train loaded with meat from Germany arrived at Chengdu, capital of southwest China's Sichuan province, Saturday, sources with Chengdu Qingbaijiang International Railway Port said Sunday. The train took 13 days to travel 12,000 km from Nuremberg, Germany, to Chengdu, and was loaded with 21.9 tons of German pork. All the meat products…

Sure...In Other News The World's Governments Are Totally Honest And Unscrupulous

OPEC Persuades 11 Non-members to Cut Oil Production

The cartel of oil-producing countries known as OPEC has persuaded 11 non-member countries to slash oil production as a way to raise the low price of oil, which has caused financial stress for the oil producers. OPEC President and Qatar Energy Minister Mohammed bin Saleh al-Sada said Saturday that those non-member countries agreed to cut production…

A Dependence I Am Sure That Will Get Greater As Time Goes On

Beijing helps global system remain afloat

A World Trade Organization official in Geneva says China's entry to the group in December 2001 is one of the most significant economic events in modern world history, mainly because of the move's win-win outcomes in the past 15 years. Yi Xiaozhun, deputy director-general of the WTO, made the comments in an exclusive interview with China…

Monday, December 12, 2016

The World's Most Valuable Bake Sale And The True Value Of Cookies

Courtesy of: Visual Capitalist

Goldman Sachs Seems To Have "Control" Over Everyone, Including Trump

Goldman Sachs Stock Surges Following Trump Appointments

This article originally appeared on the International Business Times. Goldman Sachs stock price is rocketing upwards, as President-elect Donald Trump stacks his administration with bankers and former employees from the firm. On Friday, President-elect Donald Trump reportedly asked the number two executive at Goldman Sachs, Gary Cohn, to head up his National Economic Council (NEC). Cohn…

That's Just As Crazy As Having A Former CEO Of Halliburton As Vice President

Trump names Exxon CEO as Secretary of State

According to a report by NBC News, US President-elect Donald Trump has chosen Exxon Mobil Corp CEO Rex Tillerson to be the next Secretary of State. According to the reports, Trump met with Tillerson on Saturday morning. Tillerson has faced significant criticism as a result of a 2011 business deal with Russia's largest state-owned oil company…

Sunday, December 11, 2016

Chart Breakthroughs Abound, And They're Not Letting Up

Trend Busters

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It was precisely one month ago that we were all waking up to Trump World, as the results confirmed that President Pantsuit was not to be. The ES and NQ had been limit down earlier in the session, and although the losses had abated somewhat, it seemed that equities were ready to be sold off en masse to the shocking political news.

Even those who have been hiding under rocks or in caves are well aware what has actually happened in the ensuing month: records highs across the board, with this week in particular laying waste to anyone insane enough not to embrace one of the most expensive markets in history. So strong has been the rally that many of my lovingly-drawn trendlines have been shattered, such as this one of the Dow 30 going back for decades……….
……..and the small-caps-based IWM………
…….and even the S&P 500, which has crossed back above a trendline which had been broken earlier this season.
What this means is in the eye of the beholder. To the bulls, which is 99.999% of the trading public, it means that Trump has made equities great again, and that between environment-be-damned regulation removal, lower corporate taxes, and repatriation of cash, companies are simply going to get ever more profitable. To the bears, it means this rally is prima facie overbought, and selling into strength is the only logical response.

My opinion? I’m in a fetal position in a corner, rocking back and forth.

Saturday, December 10, 2016

The Environment And China: Never Waste A Good Crisis

For China, climate change is no hoax – it's a business and political opportunity

By Matthew Kahn, Professor of Economics, University of Southern California – Dornsife College of Letters, Arts and Sciences. Chinese President Xi Jinping, center, U.S. President Barack Obama and U.N. Secretary-General Ban Ki-moon shake hands during a joint ratification of the Paris climate change agreement in eastern China's Zhejiang province, Sept. 3, 2016 How Hwee Young/Pool Photo…

Global Benefits To China's Growth

Leading economist says China-Britain relationship can be truly golden

LONDON - World's leading economist Jim O'Neill has predicted that the relationship between China and Britain can be a truly golden one as China transitions itself to a new model of economic development. "The UK needs the golden relationship to be truly golden. In my opinion, the emergence of the Chinese consumer is the single most…

Now The Whole World Get High Off Of Canada's Cannabis (Company Listing)

Investors gain access to U.S. cannabis companies with new public listing on Canadian stock exchange

CannaRoyalty shares began trading publicly in Canada Thursday, giving investors the opportunity to buy stock in American marijuana companies for the first time, something they are forbidden to do south of the border. The new Ottawa-based company, which holds a portfolio of 18 marijuana companies - 15 of which are in the U.S. - will sell…

Friday, December 09, 2016

Wary Chinese Acquisitions In U.S. Ahead Of Trump Presidency

China Bolsters Capital Controls Ahead of Trump Presidency

Nearly two years after encouraging Chinese companies to go on an acquisitions spree overseas, stirring global markets, Beijing is asking them now to pull back. For the first time, China is also tightening its scrutiny of bogus overseas fund transfers of its currency, the yuan, or RMB, to clamp down on what it calls “irrational” investments.…

Key Economic Sector In China Opens Up

China further opens auto batteries, electronics to foreign investment

China will further open up the segments of batteries of new energy vehicles and automotive electronics to foreign investment, to level the playing field in the world's largest auto market, according to a revised guidance by the National Development and Reform Commission and the Ministry of Commerce released on Wednesday. "Such a policy shows that the…

Big Test For Trump On Entering White House

The debt limit monster is coming back, in time for Trump's first 100 days

WASHINGTON — Congress is brewing up a budget mess that could turn President-elect Donald Trump's first 100 days into a fiscal donnybrook. First, it likely will vote this week to extend the current federal budget just long enough that it expires in the early spring. Second, it's put off until the same time the political monster…

Thursday, December 08, 2016

Protest Elsewhere To Likely Follow

Greeks strike against 'repressive austerity'

Greece's leading unions have launched a general strike that shut down several key sectors in protest over planned new pay cuts and taxes called for by international creditors. Civil servants, bank staff, merchant seamen, railway workers and state-employed doctors were among professionals taking part in Thursday's 24-hour stoppage against the measures, which are scheduled to be…

Finanicals At Resistance, Need We Say More?

Financials Tag Trendline

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Italexit: Consequences To Be Determined

Patrick Luciani: Italy is on the verge of damaging the EU in a way that will dwarf Brexit

Rarely does a chance come along to shift a nation's fortunes by changing its constitution. Italy had that chance and, in the process, could rid itself of an elite and bloated public administration and effectively abolish one branch of government - the Senate - that entrenches delay, waste, and corruption. But Sunday night, Italy voted "no"…

The Oil Sands Is Slowly Crawling Back

Peter Tertzakian: Oilpatch revenues may hit $100B next year, but let's not get carried away with optimism

"If you don't have your crews lined up by now, you're not going to be able to complete your wells in Q1," replied my oilfield service friend. "We're fully booked into the New Year," he nodded, anecdotally confirming the trends I was starting to sense. Back at the office, my line charts for Canadian upstream spending…

Wednesday, December 07, 2016

I Told You The World Was Still Awash In Oil

Crude’s Intraday Top

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The last bastion for bears these days appears to be crude oil. Now that the OPEC cat is out of the bag, we can actually focus on simple economics, and it’s pretty clear that the worldwide glut in oil isn’t about to abate. Looking at the intraday chart, I’d say oil is ripe for some more slippage.

This Is Why I Love Investing In Emerging Markets

Financial Inclusion Could Add $3.7 Trillion

This article was originally published by International Business Times. Delivering financial services to the developing world's unbanked people will add $3.7 trillion to the GDP of emerging economies within a decade, according to a recent report by McKinsey. Some two billion individuals and 200 million micro, small and midsize businesses in emerging economies today lack access…

A Thinga-mabob That Fits In the Hoosiewhatsit

Meet the $2.9 billion doohickey that shrank Canada's monthly trade deficit

You may have seen that Canada's trade deficit shrank to $1.1 billion in October, down from a whopping $4.4 billion it hit the month before. That's a titanic shift. The October number is the lowest since January, while the preceding September number was a record-high. What gives? It's all due to the delivery of a very…

Tuesday, December 06, 2016

Head And Shoulders In Oil?

With and Without

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Good morning, Slopers, and welcome to a new trading day.

It’s the same old deal with equities – – lifetime highs across the board. I must say, though, I’m quite taken by energy once again. Take a look of this crude oil chart, and note the circles in particular:
This market has been range bound for many months, from about $42 on the lower end to about $53 on the top. What I find interesting is that, in spite of the worldwide hoopla over the OPEC deal (and, let’s face it, since it’s been EIGHT YEARS since anything like that has been announced it really is a big deal), the price peak (red circle) didn’t even get past the level seen in October (when no deal at all was even announced!)  I think that’s illustrative of just how much of a non-game-changer this so-called historic announcement is going to mean. I thus remain short energy stocks AMJ, APC, CWEI, DVN, and EGN.

Africa Continues To Expand Into Mining

Burkina Faso wants to share its gold wealth

We are a hundred meters underground, in the tunnels of the Bagassi gold mine. It’s one of eight in Burkina Faso and operated by Canadian company Roxgold. Its goal is to mine 3 tons of gold every year for 10 years. Gold has become the Burkina Faso’s key export product, accounting for a high percentage of…

Monday, December 05, 2016

Given Everything That's Happened In Italy, I'm A Little Suprised By This

At least that right-wing party didn't win in Austria, but unfortunately Renzi didn't win the referendum in Italy. Having lived in Italy for about ten years I was sad to see that result as I always felt their dysfunctional system was holding them all back from greatness. The absurdity and craziness of the Italian system was just too much for us, but I felt that asides from giving the country character and personality it was something that held them back from being a truly progressive country. It is a country that has the unlikely distinction of having had forty governments since the end of the Second World War. Thankfully as one economist wrote several weeks ago, "it's not going to change very much." Given the pattern of voting in global elections over the last few months 2016 is shaping up to be the year of "rollbacks." People have come to look at and evaluate progress differently in 2016, "and not changing very much" seems to be the theme that's developing.

In the meantime many authors and commentators have been remarking on the bullish configurations European banks seem to be making so I took a look at the Vanguard FTSE Europe ETF and a bullish move was made. I should have updated this four days ago but a "buy" single went in with a massive move that put's VGK right at resistance. We've seen a bullish crossover on the EMA's with a large gap up plus a "long/buy" signal on the RSI(5). If VGK can get above $46.75 I would consider this a very bullish development. 
Even on the 30 minute chart a "buy" signal went in around the 21st of November wherein an ascending triangle was made with today being the breakout.

"World Recovery Is Slow And Unbalanced"

Risks of global economic downturn increasing: Chinese official

BERLIN - World economy is recovering, but the process is slow and unbalanced, China's vice finance minister Zhu Guangyao said here Friday. "The risks of economic downturn and uncertainties are increasing," Zhu said on the sidelines of a G20 finance and central bank deputies meeting. Monetary policy divergence among developed economies, negative growth of some major…

Please, Can The Market Have A Healthy Correction Already?

US Markets Stop for Breath After Record Highs

U.S. major stock averages took a breather this week after hitting a series of record highs over the past three weeks. Investors have viewed Donald Trump's victory in the U.S. presidential election as positive because his policies are perceived to be market-friendly. The November employment report showed 178,000 jobs were created, which was largely in line…

I'm Sure The Money Is Safer In Europe Than Home In China

Chinese buys of European firms up 40 percent

Germany leads with 34 deals; e-commerce, financial services, high-tech companies attract investors Chinese dealmakers have completed 170 European acquisitions worth $90 billion so far this year, according to analysis by UK business advisory firm Deloitte. That is 40 percent up on 2015 when 122 deals were finalized. Deloitte's analysis, which covers the period to Nov 22,…

Sunday, December 04, 2016

They're Not Just For Hobbyists Anymore

Drones Poised to Transform Agriculture

This article originally appeared on the Motley Fool. Agricultural efficiency is poised to take a big leap with drone technology now that the U.S. Federal Aviation Administration is streamlining regulations for unmanned aerial vehicles. A recent report from PwC pegs the addressable market for agricultural drones to be worth a whopping $32.4 billion, second only to…

Supply Cuts? The World Is Still Awash In Oil

OPEC drives Saudi supply cuts

The effect of OPEC's deal to reduce crude output starting next month is already being felt in Saudi Arabia, the world's biggest oil market. OPEC's biggest producer - Saudi Arabia is also the world's biggest crude exporter - is planning to curb the additional crude it offers to Asia customers on top of its regular scheduled…

Friday, December 02, 2016

Oil For A Breather?

Lofty Oil

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Howdy from Georgetown, the charming college town near D.C. The weather is perfect here, and one of my beloved children is with me as we soak in the ambience. (I even got recognized on the street by a chap walking his beautiful dog, Lola.)

In between the soaking, though, there is, of course, trading. Crude oil continues to explode higher. Why did this headline not shock me?
I am nibbling on energy stocks once more, though. I think this OPEC-gasm is about over.

"Brexit" Round Two

It's Italy's turn to spook the markets, but don't hold your breath for 'Italexit'

Italy offers so much that's fascinating to the rest of the world. Beautiful landscapes. A deep and meaningful history. One of the world's great cuisines. Friendly, passionate people. Delightful wine. Vibrant, historic cities. And, oh yes, political dysfunction. This last, sadly not uniquely Italian offering has received quite a bit of international attention lately, thanks to…

Caution Still The Word Of The Day With Crude Market

Does OPEC deal make this the right time to buy energy stocks, or are oil gains a head fake?

CALGARY - With energy stocks surging following the announcement of an OPEC production cut on Wednesday, investors are once again asking whether it's time to buy. Following the broad-based deal in Vienna to cut as much as 1.8 million barrels per day between OPEC and non-OPEC members, benchmark crude prices surged nearly 10 per cent Wednesday.…

Gold Miners (GDX) At Interesting Inflection Point

Naturally Gold Miners ETF GDX has been in a poor way for the few months but it's reached an interesting inflection point that could represent a buying opportunity. A declining triangle on the 30 minute chart is being made; not too much to get excited about except for the fact that a huge amount of divergence has opened up on the momentum indicator. Declining triangles are bearish but if a break above this resistance line happens the direction of GDX will start to go in the other direction.
Similarly, the daily chart is showing a long/buy on the RSI(5) with momentum also showing divergence. Stops at $20.20 are advised but in case this a positive move up I don't see why this can be played as a speculative trade.

Funny, I Don't Remember Seeing Any Of This In 21 Seasons Of "The Apprentice"

Common sense and pragmatism: What a Trump insider says will be the hallmarks of new U.S. administration

In theory, the lunch was an opportunity for Anthony Scaramucci, a former real estate investment banker at Goldman Sachs and for the past dozen years the managing partner at SkyBridge Capital, a US$11.9 billion New York-based fund of hedge funds, to talk about his new book, Hopping Over the Rabbit Hole. But given the other roles…