Sunday , September 15 2019
Home / Tag Archives: Contra Club

Tag Archives: Contra Club

Weekend Reading: Back Where We Started

In last weekend’s newsletter, I discussed the “round-trip” move of the market following the Fed’s latest announcement to NOT hike rates. “It is not surprising the Fed once again failed to take action as their expectations for economic growth were once again lowered. In fact, as I have noted previously, the Federal Reserve are the worst economic forecasters on the planet. As shown in the table/chart below, not only are the expectations for economic growth now the lowest on record, the Fed...

Read More »

Mass Money Debauchery

The present day offers the opportunity for many incredible experiences.  Perhaps one of the most rewarding of all is bearing witness to the final days before the greatest economic crackup the world’s ever known.  Not since Nero clipped coins in 64 A.D. and fiddled as Rome burned has there been such an intolerable collection of dingleberries in imperial office. John Maynard Keynes, the godfather of modern day economic planning, in his 1919 work, The Economic Consequences of the Peace, wrote:...

Read More »

They Shopped Until They Dropped—–August Consumer Spending Up 0.00%

Personal income rose 0.2% in August, as economists expected. However, consumer spending rose 0.0% vs. the Econoday Consensus estimate of 0.2%. The personal consumption expenditures (PCE) price index came in at +0.1% vs. a consensus of +0.2%. Last month the PCE was flat. This certainly is not what the Fed expected or wanted. Year-over-year, PCE is up 1.0%, with the core PCE (excluding food and energy) up 1.7%. Highlights August was a soft month for the consumer, both for income and especially...

Read More »

Passive Investors Unite: We Blind Mice

Throughout man’s bloody history of conflict, time and again it is the hand defending the faith that lights a fuse. Is this because, by its very nature, faith is blind and can only promise abundant spiritual rewards for the here and now, while saving its true rewards to bestow in the afterlife? Does it take the strength of a warrior to defend and die for it? Name a faith and you are sure to encounter a struggle. The Protestant Reformation certainly had its fair share of strife. In...

Read More »

Durables Goods Orders Less Transportation Negative Y/Y For 20th Straight Month

Factory orders did way better than the Econoday consensus estimate of -1.9% but that was against a revision that took July from +4.4% to +3.6%. The good news pretty much stops there. Highlights The headline, at a monthly zero percent, is flat and so are the indications from the bulk of the August durable goods report. Excluding transportation, orders slipped 0.4 percent. This reading excludes a 22 percent downswing in civilian aircraft orders that is offset in part, however, by a solid 0.7...

Read More »

Crony Capitalism At Work: Big Business Lobbies Side With Saudi Arabia Against the American People On 9/11 Victims Bill

Shortly after the release of the infamous 28-pages earlier today, the White House issued a statement dismissing allegations of Saudi involvement in the attacks of 9/11. I believe such assurances are intended to prevent people from reading it in the first place, because if you actually read them, your mouth will be wide open the entire time in disbelief. There are only two conclusions any thinking person can come to after reading the 28-pages. 1. Elements within the Saudi government ran the...

Read More »

It’s Not Really About Deutsche Bank

It is never a good thing when official sources either named or unnamed are quoted in the media as denying bailout discussions. For any bank such rumors and denials are harmful because, obviously, they are a reflection of common perception. Furthermore, most people know all-too-well the true nature of any denials, thus reinforcing only that much more the troubling perceptions in the first place. For Deutsche Bank to be the institution in question is altogether different. When Germany’s...

Read More »

Hillary’s Washington McCarthyites Sic the FBI on Donald Trump

While we have gotten used to the neo-McCarthyite tactics employed by the Clinton campaign linking Donald Trump to the Kremlin, the whole disgraceful operation has reached a new low with the introduction of US law enforcement agencies into the mix. According to a report by Michael Isikoff – who has become the Judy Miller of this smear campaign – the feds are moving in on the Trump campaign: “U.S. intelligence officials are seeking to determine whether an American businessman identified by...

Read More »

The QE Premium

It has been eight years since the great financial crisis of 2008, and the Federal Reserve (Fed) is still maintaining an unprecedented level of accommodation in monetary policy. The Federal Funds rate has been pinned at or near zero since 2008. Recent discussions on raising the rate a mere quarter of a percent are met with a palpable level of angst and incredulity by economists and investors alike. Since the crisis, the Fed quadrupled their balance sheet using printed money to buy U.S....

Read More »

Cass Freight Index Experiences Worst August Since 2010, Lower Than In Recession (2008)

The Cass Corporation Freight Index – Shipments index slumped in August, to the lowest level for August since 2010. And it was even lower than August 2008 during The Great Recession. The index measures North American freight volumes. Of course, August 2009 was the lowest on record since 1999. It looks like truckers now have the opportunity to stop and rest at the Tomahawk Hotel and Casino. Six months of telling Tomahawk stories. 

Read More »