On Wire

Major financial news outlets, past heads of the US Fed & Treasury and central banks are at this point not so quietly warning about not just an approaching recession, but quite possibly another global financial crisis. From the Bank for International Settlements – which is the central bank to central banks – to Ben Bernanke, … Read more

by Martin Armstrong Everything is still on track for a pullback. The Dow Jones Industrial Average closed at a 14-month low on Thursday, the second consecutive day of sell-offs after the Federal Reserve announced its fourth widely-anticipated rate hike of the year. Interestingly, despite the fact that the rate hike was expected, the Fed’s revised outlook … Read more

by Brandon Smith The concept of using the economy as a weapon is not an alien one to most people. Generally, we understand the nature of feudalism and how various groups can be herded onto centralized plantations to be exploited for their labor. Some people see this as a consequence of “capitalism,” and others see it … Read more

by WARREN MOSLER So for every agent that spent less than its income, another must have spent more than its income, or the output would not have been sold. It’s an ex poste identity for any currency. That means that as bank lending decelerated, assuming ‘savings desires’ are generally constant, either some other means of … Read more

THE GREAT DEPRESSION WAS CAUSED BY THE FEDERAL RESERVE SO THAT THEY COULD BUY EVERYTHING FOR 1cent on the dollar.   JS  

SenatorRandPaul, Released on 12/19/18 Dr. Rand Paul is the junior United States Senator for Kentucky. Elected in 2010, he has proven to be an outspoken champion for constitutional liberties and fiscal responsibility, and a warrior against government overreach. A graduate of Duke University School of Medicine, Rand was a practicing ophthalmologist in Bowling Green, Ky., … Read more

Today with all the other wonderful financial news, DB shares went under $8. The merger with Citi has obviously fell apart. now the German government is scrambling to Merge DB with Commerce, Germany’s second largest. This is like tying a coast guard rescue ship to the Titanic to stop it from sinking. They will lose … Read more

CNBC, Released on 12/20/18 Robert Shiller is an American economist, academic, and best-selling author. He currently serves as a Sterling Professor of Economics at Yale University and is a fellow at the Yale School of Management’s International Center for Finance. Mr. Shiller has been a research associate of the National Bureau of Economic Research (NBER) … Read more

by Martin Armstrong I understand this can get confusing because there are so many people who talk without any real-world experience. The Fed MUST raise rates to help the crisis in Pension funds. It raised the Fed Funds Rate (what banks charge each other) 25 basis points to 2.25-2.5%. While the Fed indicated there would be two more … Read more

Via The Free Thought Project Franklin Township, OH — As TFTP reported in May, a vigilant citizen with a cellphone captured video of the ridiculously excessive force by police on 18-year-old kid who ran from them. In spite of teen being handcuffed, face-down on the ground, with another officer on top of him, a Franklin Township … Read more

by Jesse “This is the greatest economy in the history of our country.” Donald J. Trump, November 2018 “I see dead people.  Walking around like regular people.  They don’t see each other.  They only see what they want to see.  They don’t know that they’re dead.” Cole Sear: The Sixth Sense Stocks had a rough day … Read more

Larry Summers, former treasury secretary and former economic council director, joins CNBC’s “Closing Bell” to talk about his take on the Fed rate hike.    

via @Hedgeye: -6% -8% -12% -13% -14% -15% -15% -15% -16% -16% -16% -17% -19% -19% -19% -21% -22% -24% -24% -29% -31%     Global equity market capitalization hit new lows today. 1/28/2018: $87 trillion 12/20/2018: $70 trillion In other words, $17 trillion gone from global market cap or down -20%.  

  NEW YORK (Reuters) – There is no more mistletoe hanging above the markets. The romance U.S. fund investors once had with the stock market was put to rest in 2018 when buy the dip turned into sell the rip. For evidence, look no further than exchange-traded funds (ETFs), which hold baskets of stocks across … Read more

by Dr. Eowyn   President Ronald Reagan famously said “Trust, but verify” — a Russian proverb — at the signing of the nuclear disarmament Intermediate-Range Nuclear Forces Treaty with the Soviet Union on December 8, 1987. This post is an effort at “trust, but verify”. Four days ago on December 16, 2018, a triple-amputee Iraq … Read more

via mishtalk: The market did not seem to like statements Jerome Powel made following the FOMC announcement. Head Scratching There's head scratching over whether today is hawkish or dovish, given SPX is falling. Equities may be trading on Powell's more cautious growth message, so that drop doesn't mean today is hawkish, just that equities don't like … Read more

Curtis Houck for NewsBusters reports, On MSNBC’s Hardball with Chris Matthews, two separate MSNBC panelists suggested that not only did then-candidate Donald Trump’s hush money payments to Stormy Daniels and Karen McDougal “[rob] the American people of their right to vote,” but that he was not a “democratically elected” president because of them and possible … Read more

via Bloomberg: For the first time in seven years, the Swedish central bank raised interest rates, surprising many in the market as policy makers chose to focus on low unemployment instead of an uncertain outlook driven by global trade conflicts. The Riksbank, which is based in Stockholm, added a quarter of a percentage point to … Read more

by Daniel Carter The yield curve is collapsing once again, and that has many investors talking about what it means for the US economy. Overwhelmingly, the sentiment is that a flattening yield curve is bad for the economy, and an inverted yield curve spells imminent danger for the stock market. Is this true? Sort of but, … Read more