Financial Market report for the week ending December 14, 2012
The Automatic Earth writes in Business Insider The main deflationary event is underway; now, financial moral hazard has come of age.
1) … Tuesday, December 11, 2012, Bloomberg reported economists foresee QE 4. Fed seen pumping up assets to $4 Trillion in new buying. The Federal Reserve will amplify record accommodation tomorrow by announcing $45 billion in monthly Treasury buying that will push its balance sheet almost to $4 trillion, according to a Bloomberg survey of economists.
The news of more global credit liquidity, rallied World Stocks, VT, near their September 14, 2012 high, with the World Banks, IXG, trading to a new rally high, as the National Bank of Greece, NBG, Australia Bank, WBK, Korea Banks, WF, SHG, KB, Bank of America, BAC, and the Too Big To Fail Banks, RWW, India Bank, IBN, trading higher on the day. The World Small Cap Stocks, VSS, traded to a new rally high. Doug Noland reports Westpac Banking issued $2.0 billion in bonds this week.
Greece, GREK, rose to strong resistance near its previous high, pushing carry trade invested Poland, EPOL, Netherlands, EWN, Switzerland, EWL, and the European Shares, VGK, to new rally highs.
Anticipation of US Central Bank Monetary easing pushed Turkey, TUR, Mexico, EWW, and the UK, EWU, Russia, RSX, and Brazil, EWZ, higher. Argentina, ARGT, rose parabolically higher.
The Nasdaq 100, QTEC, Semiconductors, XSD, Networking, IGN, Software, IGV, Cloud Computing, SKYY, Steel, SLX, Biotechnology, XBI, rose higher higher.
Mining Stocks, MXI, rising included Rare Earth Manufacturer, MCP, Industrial Metal Producers, ZINC, HW, GSM, Iron Ore Producer, CLF, and Aluminum Producer, KALU.
Industrial Electrical Stocks rising included ETN, and AME. Metal Manufacturing, XME, rising included STLD, GHM, NUE, RS, WOR, but AZZ has turned lowe.
The S&P Dividend Stocks, SDY, and the Dow Dividend Stocks, DYY, which had sold off, have failed to rally back near their September 14, 2012 highs as is seen in this ongoing Yahoo Finance chart.
The rise in Major World Currencies, DBV, and the Emerging Market Currencies, CEW, and the Commodity Currencies, CCX, shot the Small Cap Pure Value Shares, RZV, to a new rally high; but the Small Cap Pure Value, RZG, failed to sustain a rally. The credit sensitive US Small Caps, IWM, topped out. The currency demand curve, that is the ratio of RZV:RZG, rallied to a new high, continuing its 27 week rally since June 1, 2012. The higher currencies drove both Global Water, CGW, and Global Real Estate, DRW, to new rally highs, and rallied Global Agriculture, PAGG, Farm Equipment Manufacturers, MTW, CNH and Agricultural Chemicals and Specialty Chemical Manufacturers seen in this Finviz Screener higher. It was rising Major World Currencies, DBV, Emerging Market currencies, and Commodity currencies, CCX, that sparked a risk on momentum rally beginning in early June 2012, as is seen in the ongoing Yahoo Finance Chart of the Risk On ETN, ONN, the Risk Off ETN, OFF, and the currency ETFs, DBV, CEW, CCX. The chart of ONN shows a consolidation triangle forming, prices usually fall from such patterns; evidencing an end to Neoliberalism’s final currency carry trade rally, and an end to the Milton Friedman Free To Choose Floating Currency Regime as all currencies will be falling into the pit of financial abandon, causing debt deflation, derisking out of stocks, and deleveraging out of commodities.
Technology Stocks, MTK, rose on higher Networking Shares, IGN, Application Software, IGV, and Cloud Computing, SKYY, with Salesforce, CRM, rising to a new high.
Commodities, DBC, and USCI, traded lower; but Timber, CUT, continued higher, taking Paper Products, WOOD, higher.
Total Bonds, BND, traded lower, on US Government Treasuries, ZROZ, BABS, EDV, TLT, as Junk Bonds, JNK, Senior Bank Loans, BKLN, and Leveraged Buyouts, PSP, rose to new rally highs. It is the Distressed Investments, like those taken in by the US Federal Reserve under QE 1, and traded by the Fidelity FAGIX Mutual Fund, FAGIX, that have underwritten, high beta Stocks, such as BAC, and highly debt leveraged stocks such as IP, and JPM, in an ongoing global debt trade as is seen in the ongoing Yahoo Finance chart of FAGIX, and JNK, BKLN, PSP, JPM, BAC, IXG, IP.
The US Dollar, USD, UUP, traded lower, as the major world currencies, DBV, of which the US Dollar is a component, traded to a new rally high, being led so by the Australian Dollar, FXA. Emerging Market Currencies, CEW, popped to a new rally high above its September 14, 2012 high.
The stock markets are at an inflection point; stock values cannot be sustained as full monetary expansion has been achieved on the exhaustion of the world central banks monetary authority.
The dynamos of corporate profitability and global traded that power Capitalism, European Socialism, and Greek Socialism, are powering down. And the dynamos of regional security, stability and sustainability are powering up Regionalism And Totalitarian Collectivism.
Neoliberalism’s Free To Choose Floating Currency is failing, and in its place Neoauthoritarianism’s Beast Regime of Diktat is rising in its place. The fiat money system is dying and is being replace by the diktat money system, where diktat will serve as wealth, currency, and credit. Neoliberalism saw bankers waiving magic wands of credit in a global arena of wildcat finance, a Doug Noland term; but now, Neoauthoritarianism will see authoritarians waiving clubs of austerity and debt servitude, in regional blocs of wildcat governance, where only the most aggressive of leaders rise to be the top dogs.
Neoliberalism saw the rise of public sector unions in the US, UK and the EU, and national wage laws throughout Europe. Neoauthoritarianism will see the rise of right to work laws, as Shannon Jones of WSWS reports Michigan legislators pass right-to-work bill as police attack protesters. And other WSWS authors write Michigan’s right to work law. Liz Goodwin of The Ticket reports How right-to-work law passed in Michigan. Some credit a rookie Republican legislator for helping push the law through in a union-friendly state.
The age of leverage, produced the global debt trade; but it can no longer be supported, as is seen in Mortgage Reits, REM, Real Estate, IYR, and Regional Banks, KRE, are trading lower. The age of deleveraging will force debt servitude on all, beginning in the Eurozone. Germans cannot be Greeks, but all will be one living in a region of true European regional economic governance, where leaders will meet in summits, waive national sovereignty, and pool sovereignty regionally, to announce regional framework agreements, which provide for unified banking, regional fiscal budgeting, and public private partnerships governing the factors of production, to complement existing Eurozone monetary authority. The word will and way of a Sovereign, and his Seignior, meaning top dog banker who takes a cut, will be the law of the region, replacing traditional constitutional and national law.
CNBC reports Euro zone crisis is back as Italy loses its ‘savior’. And Peter Schwarz of WSWS reports Italian Prime Minister Monti resigns. Monti resigned for tactical reasons. He is attempting to secure a long-term and stable parliamentary majority for his increasingly unpopular austerity measures. And Reuters reports Berlusconi move could undermine Monti agenda in Italy.
Nick Beams of WSWS reports The political economy of the Spanish bank bailout. The initial measures are widely regarded as the prelude to a full-scale bailout of the Spanish state and the establishment of a financial dictatorship of the kind now in place in Greece.
The Orange County register reports Analysis of October’s construction spending patterns by the Associated General Contractors of America found ongoing building expenditures running at a $872 billion annual rate; that’s up 9.6 percent in a year and the highest level of activity in 37 months. Residential efforts ran especially strong: New single-family construction hit its highest mark since November 2008; multifamily construction hit a three-year high; and home improvements ran at a five-year high. (Hat tip to Robert Wenzel of Economic Policy Journal) This came through ever increasing M2 Money supply.
2) … Wednesday, December 12, 2012, Reuters reports Fed ramps up stimulus in new approach to support growth. The US Federal Reserve ramped up its stimulus to the economy, and said it will likely keep official rates near zero for as long as unemployment remains above 6.5 percent.
Martin Crutsinger of the AP reports Fed sends clearer signal on keeping rates low. The Federal Reserve sent its clearest signal to date Wednesday that it will keep interest rates super-low to boost the U.S. economy even after the job market has improved significantly.
The Fed says it plans to keep its key short-term rate near zero until the unemployment rate reaches 6.5 percent or less, as long as expected inflation is tame. Unemployment is now 7.7 percent.
That plan adds detail to what the Fed had said before: that it expects to keep the rate low until at least mid-2015. For the first time, the Fed is making clear to investors and consumers that it will link its actions to specific economic markers.
“This approach is superior” to setting a timetable for a possible rate increase, Chairman Ben Bernanke said at a news conference. “It is more transparent and will allow the markets to respond quickly and promptly to changes” in the Fed’s economic outlook. Bernanke made clear that even after unemployment falls below 6.5 percent, the Fed might decide that it needs to keep stimulating the economy. Other economic factors will also shape its policy decisions, he said.
In a statement after its final policy meeting of the year, the Fed said it will also keep spending $85 billion a month on bond purchases to drive down long-term borrowing costs and stimulate economic growth. The Fed will spend $45 billion a month on long-term Treasury purchases to replace a previous bond-purchase program of an equal size. And it will keep buying $40 billion a month in mortgage bonds.
“The Fed has become more explicit and more transparent,” said Steven Wood, chief economist at Insight Economics. “This should provide the markets with much more clarity around monetary policy action in the upcoming year.” With its new purchases of long-term Treasurys, the Fed’s investment portfolio, which is nearly $3 trillion, would swell to nearly $4 trillion by the end of 2013 if its bond purchase programs remain in place. The policies are intended to help an economy that the Fed says is growing only modestly. And
ZeroHedge reports QE4EVA expands Fed eligible treasury purchases to all risky paper.
World Stocks, VT, rose near their September 14, 2012 high. World Small Cap Stocks, VSS, rose even more strongly to surpass their March 2012 high, with ERUS, and KROO, moving higher. Europe, VGK, Asia, EPP, the Emerging Markets, EEM, traded higher to new highs; while the Russell 2000, IWM, was weighed down by lower Nasdaq Community Banks, QABA, Regional Banks, KRE and Mortgage REITS, REM. The world is Peak Prosperity, Peak Capital, Peak Mortgage Investing And Peak Banking.
Premium REITS, KBWY, and Mortgage REITS, REM, traded lower. And the chart of REITS, RWR, shows a trade lower. The announcement of QE4, means the end of profitable investing in REITS, as interest rates are going higher, as the US Federal Reserve has passed the rubicon of debt monetization, by printing too much money to buy debt. The exhaustion of the US Federal Reserve’s monetary authority is seen in the 10 30 US Sovereign Debt Yield Curve, $TNX:$TYX, steepening, and the Steepner ETF, STPP, broke out higher, and the Flattner, FLAT, fell through support. Higher interest rates are the tiger that destroys REIT investing; particularly the high dividend paying Mortgage REITS, such Annaly Capital Management, NLY. Also, higher interest rates, coming through a steepening yield curve, destroys real estate investing in general; Real Estate, IYR, has turned lower.
World Banks, IXG, rose to a new rally high as the Too Big To Fail Banks, RWW, Swiss Banks, CS, UBS, Argentina Banks, BFR, BMA, GAAL, BBVA, Japanese Banks, NMR, SMFG, MTU, Korea Banks, SHG, WF, and UK Banks, BCS, RBS, LYG, rose higher. Banco Santander, SAN, and Ireland Bank, IRE, took European Financials, EUFN, to a new rally high.
Stocks rising included ITB, COPX, FAA, PKB, WOOD, KOL, XME, and SLX. The Paper Producers, WOOD, seen in this Finviz Screener, are at great risk for fast falling when investors deleverage out of Timber, CUT; cases in point include, IP, and FBR. Iron Ore Manufacturer, BHP, is at risk of falling strongly as investors delever out of the Australian Dollar, FXA. Copper Producer, SCCO, is at risk for a strong fall as investors become aware of the stockpiles of commodity metals that exist in the shadow banking system in China where these are used as collateral. Large Cap Agricultural Chemical Producer, POT, is headed for a big fall on global competitive currency devaluation. Coal Producers BTU and WLT are going lower very soon as the basic materials risk on rally is now over.
Major Countries rising included EWG, RSX, EWI, EWP, GREK, EWA, EWN, NORW, EWY, EWT, and EWW; their Yahoo Finance Chart shows that EWW, and EWA are high beta ETFs. Emerging Market Countries rising included, TUR, EPOL, EWO, THD, and ARGT; while EPHE, and ENZL, traded slightly lower; their ongoing Yahoo Finance Chart shows that TUR and EPHE have been the investor’s darlings.
The age of carry trade investing, envisioned by Milton Friedman, is coming to an end as currencies peak.
The ongoing trade lower in Mortgage Backed Bonds, MBB, since September 14, 2012, as well as the trade lower in Mortgage REITS, REM, and US Banking, KRE, since November 1, 2012, documents the failure of the US Central Bank’s monetary authority. We are witnessing a turning point in history as the sovereignty of the US is failing to produce seigniorage, that is moneyness, to both bonds, as well as to stocks. Technology Stocks, MTK, such as those seen in this Finviz Screener, and Biotechnology Stocks, XBI, such as those seen in this Finviz Screener, and Retail Stocks, XRT, such as those seen in this Finviz Screener, and Real Estate, IYR, seen in this Finviz Screener traded lower on the Fed’s announcement, giving additional evidence of the failure of neoliberal finance; of note eight Real Estate investments, NRF, RWT, SFI, BKD, MTGE, HR, CBL, IVR, seen in this combined ongoing Yahoo Finance chart, fell sharply. Investopedia relates One downside for investors is that as a high-yield investment, an REIT can be expected to exhibit sensitivity to interest rate changes.
Peak Seigniorage, that is peak moneyness, of the Milton Friedman Free To Choose Floating Currency and Banker Regime, was attained with World Stocks, ACWI, trading higher, but unable to attain their September 14, 2012, high, and Aggregate Credit, AGG, turning lower. The failure of the sovereignty of nations and their central banks, to provide ongoing seigniorage, is seen in the chart of World Stocks relative to Aggregate Credit, ACWI:AGG. Peak Fiat Wealth occurred September 14, 2012.
A most profound economic paradigm shift is occurring. The dynamos of corporate profitability and global growth are winding down Crony Capitalism, European Socialism and European Socialism. The dynamos of regional stability, security, and stability, are winding up the Beast Regime of Regional Governance and Totalitarian Collectivism. Years ago The Nobel Peace Prize was given to Milton Friedman for his insights in global economics. Now, The Prize, is awarded to the Eurozone, for its thrust into regional governance.
Its only a matter of both crisis and time before regional sovereignty will emerge, as leaders meet in summits to renounce national sovereignty and pool sovereignty regionally, as suggested by Herman van Rompuy, and announce regional framework agreements, which establish regional sovereign bodies and public private partnerships, which provide the seigniorage of diktat, where seigniorage, that is moneyness, comes from mandates of leaders. In Regionalism, diktat will serve as credit, currency and wealth.
In neoliberalism, people put credit and trust, in fiat financial instruments, and in central bankers, such as Ben Bernanke. In neoauthoritarianism, people will place their trust in regional leaders and their governance, such as Mario Draghi, and the Eurozone ruler who is to come. He will step into the limelight of Europe’s political stage,to establish order out of chaos. Today, he is one of seemingly little authority. He will rise to power through, not through traditional political means such as elections, or through finance, commerce and trade schemes, but rather through regional framework schemes, that is through regional framework agreements.
The US Infrastructure Shares, PKB, have been a safe haven investment, having been an outstanding hedge against the European Sovereign Debt and Banking Crisis; but this ETF is topping out.
Automobile Retailers, KMX, CPRT, PAG, GPI, APG, LAD, and SAH, traded lower as is seen in their combined chart. Lithia Motors, LAD, had been an outstanding automobile dealership, having risen 150% in the last two years; its chart shows the way is now down in automobile dealerships; and the chart of automobile manufacturers, CARZ, shows a topping out.
Industrials, IYJ, traded higher, while Transports, IYT, traded lower; the spread between the two has become extreme; portending a trade lower in both, with the former falling more quickly than the latter.
The ongoing Yahoo Finance Chart shows that in the last six months, the Small Cap Industrials, PSCI, have outperformed the Industrial, IYJ, on the inflation in World Major Currencies, DBV, Emerging Market Currencies, and Commodity Currencies, CCX.
The ongoing Yahoo Finance Chart shows that in the last six months, the Small Cap Industrials, PSCI, have outperformed their peers, the PSCD, PSCT, PSCE, with ongoing chart showing the greatest difference existing in the Small Cap Technology shares such as FONE, SKYY, IGN, and IGV, especially the North American Software Shares, IGV.
Manufacturing Housing, CVCO, traded strongly lower. And Chemical Stocks trading lower include Cleaning Products, ECL, Synthetics Manufacturer, MTX, Specialty Chemical Manufacturer, POL, Agricultural Chemical Manufacturer, AVD,
Commodities, DBC, and USCI, traded lower after the Fed announcement of QE 4, with Silver, SLV, and Gold, GLD, Agricultural Commodities, RJA, and Base Metals, DBB, trading lower; while Timber, CUT, rose.
The US Dollar, $USD, UUP, traded lower, near strong support, as the Euro, FXE, rose near its previous rally high. The Australian Dollar, FXA, rose strongly taking the World Major Currencies, DBV, to a new rally high. Emerging Market Currencies, CEW, rose to a new rally high. The Japanese Yen, FXY, traded strongly lower. The currency traders who have gone long the Australian Dollar, FXA, and short the Japanese Yen, FXY, have made a killing in their FX trade account. The world is at Peak Currency, and is going fall into competitive currency devaluation.
The World is passing through Peak Credit. Total Bonds, BND, traded lower, being led so by High Yield Municipal Bonds, HYMB, Municipal Bonds, MUB, California Municipal Bonds, CMF, Long Duration TIPS, LTPZ, Build America Bonds, BABS, US Treasuries, such as the Zeroes, ZROS, 30 Year US Government Bonds, EDV, and 10 Year US Government Notes, TLT. Junk Bonds, JNK, and Leverage Buyouts, PSP, traded higher. With the trade lower in Total Bonds, BND, the world is passing through Peak Credit. Kristen Haunss of Bloomberg reports, The biggest year for debt backed by leveraged loans since the peak in 2007 will be eclipsed in 2013 as firms from Bank of America Corp. to JPMorgan Chase & Co. predict rising demand from investors seeking alternatives to record-low corporate bond yields. Sales of collateralized loan obligations total $49.2 billion this year, a more than fourfold increase from 2011. Bank of America expects $75 billion of CLOs created next year, while JPMorgan predicts as much as $70 billion and Morgan Stanley forecasts $60 billion. The market for CLOs, which has helped finance some of the biggest leveraged buyouts in history, is expanding at a faster rate than U.S. corporate bonds, where issuance has grown around 24% this year.
The Steepner ETF, STPP, rose strongly reflecting a rise in the 10 30 US Sovereign Debt Yield Curve, $TNX:$TYX, which caused the Long Duration Tips, LTPZ, to trade strongly lower, and both the Longer Duration Corporation Bonds, BLV, and the Corporate Bonds, LQD, to fall from their support channels. A steeping yield curve, communicates this is not the time to invest in bonds, as one is assured of loss of principal.
The rise of the Steepner ETF, STPP, and the fall lower in the Flattner ETF, FLAT, means that the Age of Prosperity, that came through a global debt trade and rising currencies is history, on the exhaustion of the world central banks’ monetary authority. A steeping yield curve will destroy fiat wealth.
Inverse Volatility, XIV, and ZIV, trading lower at the top of an ascending wedge that began June 1, 2012; and 200 Volatility, TVIX, rose, as Volatility, ^XIV, rose, after having fallen since June 1, 2012. A steepening 10 30 US Sovereign Debt Yield Curve, $TNX:$TYX, is the prick that has caused the global debt bubble to burst. The Age of Deleveraging will see competitive currency devaluation, which will Produce the Age of Austerity and the Age of Debt Servitude. Excessive central bank easing and liquidity has to use a FA Hayek term, paved the Road To Serfdom.
The end of traditional credit is seen in debt collector, PRAA, falling from an enduring two month multiple top high, as well as credit service companies, AGM, SLM, PHH, FCFS, V, MA, and DFS, trading lower.
ZeroHedge reports Baltic Dry Index plunges by over 8% overnight, most since 2008 as is seen in this Stockcharts.com chart of $BDI.
3) … Thursday, December 13, 2012, it became very clear that the foundation for a Eurozone Super State is forming, as Reuters reports Banking deal boosts EU leaders in fighting crisis The European Union reached a landmark deal on Thursday to make the European Central Bank the bloc’s top banking supervisor, giving EU leaders greater confidence that they are gaining the upper hand over the debt crisis.
CNBC reports Europe deepens union with ECB as chief bank watchdog. Europe clinched a deal on Thursday to give the European Central Bank new powers to supervise euro zone banks, embarking on the first step in a new phase of closer integration to help underpin the euro. After more than 14 hours of talks and following months of tortuous negotiations, finance ministers from the European Union’s 27 countries agreed to hand the ECB the authority to directly police the euro zone’s biggest banks and intervene in smaller banks at the first sign of trouble.
The WSJ reports EU reaches deal on bank supervisor. European Union finance ministers reached a landmark deal early Thursday that would bring many of the continent’s banks under a single supervisor, in what governments hope will be a major step toward resolving their three-year-old debt crisis. Ministers said the European Central Bank would start policing the most important and vulnerable banks in the euro zone and other countries that choose to join the new supervisory regime next year. Once it takes over, the ECB will be able to force banks to raise their capital buffers and even shut down unsafe lenders. German Finance Minister Wolfgang Schäuble said national parliaments will be able to ratify the new supervisor by the end of February and “we should have the supervisor in place by the first of March.” The EU’s Internal Markets Commissioner Michel Barnier, in a tweet, called the agreement “historic.” “Taking these decisions on the supervisor was a night well spent,” he added. With the deal, which still needs to be signed off by the European Parliament, the currency union has cleared the first real hurdle on the road to a “banking union,” designed to cut the debilitating link between weak banks and their governments.
Today, Thursday December 13, 2012, the day after the US Federal Reserve announced QE 4, both Bonds, BND, and World Stocks, VT, traded lower; fiat wealth is dying. Of note, the US 30 Year US Government Bonds, EDV, traded lower in November, 2012, and now in December 2012.
Aggregate Credit, AGG, Commodities, DBC, are trading lower, and World Stocks, VT, are topping out as Inflationism has turned to Destructionism, on the exhaustion of the worlds central banks’ monetary authority, with the world major currencies, DBV, and the Emerging Market Currencies, CEW, are peaking out. For the last six months. the trade higher in these ETF traded currencies, CYB, FXA, FXE, FXF, ICN, FXB, FXS, FXC, seen in this comparative ongoing Yahoo Finance Chart, document the dynamo of rising currencies that have taken the 20 sectors seen in this Finviz Screener, higher and the 20 countries seen in this Finviz Screener, to their rally highs in the last month.
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AP reports Rate on U.S. 30-Year Mortgage dips to 3.32%; this as Mortgage Backed Bonds, MBB, traded lower again today, and Mortgage REITS, REM, traded lower as well, documenting an exhaustion of the US Fed’s monetary authority. The FED can no longer provide seigniorage to stocks.
Stacy Curtin of The Daily Ticker relates The Fed has no exit strategy, Mauldin says. John Mauldin predicts it will take much longer than 2015 for unemployment to hit the Fed’s unemployment rate target.
After the announcement of QE4, with the December 13, 2012, the trade lower in Energy Service, IEZ, OIH, Small Cap Energy, PSCE, Energy Production, XOP, XLE, Large Cap Growth, JKE, Pharmaceuticals, IHE, the world central banks are no longer able to provide seigniorage, that is moneyness, to world stocks, VT.
Inflationism is turning to Destructionism. The world is pivoting from Capitalism, European Socialism, and Greek Socialism, to Regionalism and Totalitarian Collectivism, as Investment Choice funded by trust in debt and rising currencies, gives way to Diktat by regional leaders, such as Mario Draghi, and regional bodies, such as The Troika.
A New Europe, a Federal Europe, will rise out of the financial insolvency and banking insolvency of the PIIGS, and will serve as a model for the entire world. The Beast Regime of Regionalism and Totalitarian Collectivism will eventually rise to power in all of the world ten regions, and come to occupy in all of mankind’s seven institutions, in what is termed the ten toed kingdom of regional governance, as Regionalism replaces Globalism. Germany will rise to be preeminent over vassal peripheral PIIGS, as Ulrich Rippert of WSWS reports SPD leader Peer Steinbrück calls for a strong German state. And Wolfgang Weber of WSWS reports Leading German newspaper’s conference hears call for dismantling democracy. Europe will be a monster super state where the Sovereign, and his banking partner, the Seignior, will rule in a type of authoritarian revived Roman Empire; their word, will and way, will govern all of Europe.
Neouthoritarianism is rising to replace Liberalism. Under Neoliberalism, bankers waived magic wands of debt creation, that established prosperity for many; it was an era that saw wildcat finance, a Doug Noland term. Under Neouthoritarianism, tyrants wave clubs of debt servitude, that establish austerity for all; it will be an era of wildcat governance, where only the most shrewd, rise to power through regional framework agreements, to be the top dog leaders and the top dog bankers and money lords.
Choice is being replaced by Diktat. The fiat money system is now just an epitaph on the tombstone of a bygone era of credit liquidity. The diktat money system is the standard bearer of the Age of Deflation and the Age of Regional Governance, where diktat will serve as currency, credit, and wealth. People will come to trust in diktat, just as they currently trust in money. As for freedom, it is simply a mirage on the Neoauthoritarian Desert of the Real. As for liberty, it is simply an empty pipe dream in the minds of those of the Austrian Economist persuasion. There is no human action, rather there is only fate, that is destiny, bringing about a global economic and political coup d etat, establishing regional governance out of the debt crisis in the Eurozone.
December 13, 2012, is Inauguration Day of Neoauthoritarianism, as Greece, GREK, led by the National Bank of Greece, NBG, which was the country loss leader of the day, falling 2.3%. India, INXX, INDY, SCIF, China, CHXX, CHIX, HAO, CHIM, YAO, Phillippines, EPHE, New Zealand, ENZL, Vietnam, VNM, Turkey, TUR, Israel, EIS, Egypt, EGPT, Sweden, EWD, Norway, NORW, Mexico, EWW, traded lower, as currencies topped out, and the debt trade, BND, exhausted.
Charts suggest that Peak Credit, AGG, came in on December 6, 2012, at 111.77; and Peak Fiat Wealth, ACWI, came in on December 12, 2012, a 48.02, matching its September 14, 2012 high. International Treasury Bond, PICB, rose to a new high on higher Major World Currencies, DBV, and higher Emerging Market Currencies, CEW. Standard & Poor’s reports Global corporate new bond issuance had another strong month in November. Strong investor demand pushes global corporate new bond issuance To $2.8 Trillion through November 2012. Diane Vazza, head of Global Fixed Income Research relates, By year-end 2012, the full-year total will likely be the second highest on record, since the start of our data series in 1970, following the $3.3 trillion issued in 2009 when strong government incentives spurred corporate new issuance.
The world is passing through Peak Fiat Wealth. The combined ongoing Yahoo Finance chart of the closed end stock fund, CSQ, and the closed end debt fund, PFL, communicates Peak Seigniorage, that is peak leverage of stocks over existing debt.
Of note, Emerging Markets, EEM, topped out today; it was the Asia Shares, EPP, and the European Shares, VGK, that drew the emerging markets strongly up as is seen in the ongoing Yahoo Finance chart of EPP, VGK, VTI, VT. The Emerging Market Shares, EEM, fell more than the Asia Shares, EPP, and the European Shares, VGK, today, as Emerging Market Materials, EMMT fell 1.4% and Emerging Market Financials, EMFN fell 1.7%. Small Cap Pure Growth, RZG, with a 1.4% loss, was the style loss leader of the day.
Global debt deflation is underway as the world central banks’ monetary authority has exhausted. The US Federal Reserves’ and the ECB’s monetary policies have provided too much credit. Debt monetization has finally pivoted global economics and world trade from Inflationism to Destructionism.
The ECB’s OMT rally and the Fed’s QE 4 rallies are over, and the dynamos of corporate profit and global trade are winding down Crony Capitalism and European Socialism and Chinese Growth. The dynamos or regional security, stability and sustainability, are winding up Regionalism. The strong upburst in Networking, IGN, Semiconductors, XSD, and Small Cap Value, RZV, was part of a debt based rally, seen in the rise of Distressed Investments, FAGIX, like those taken in by the US Fed, under QE1, and a currency based rally, seen in the rise of BZF, ICN, FXA, FXS, FXB, FXE, FXF, that began September 14, 2012, and ended December 13, 2012.
The Dow Dividends, DVY, and the S&P Dividends, SDY, seen in their ongoing Yahoo Finance Chart, are turning lower, on the failure of neoliberal finance. Regional banks, KRE, have seen the least seigniorage of all the recent World Bank, IXG, trade, and will be trading lower very quickly, forcing the US Small Caps, the Russell 2000, IWM, lower.
Under the Milton Friedman Free To Choose Floating Currency and Banker Regime, sovereign nation states and their central banks, supported the trade in International Treasury Bond, BWX, and Emerging Market Bonds, PCY, which underwrote the global debt trade, AGG. But now these debt instruments are trading lower in value as is seen in the combined ongoing Yahoo Finance chart of PCY and BWX.
The Beast Regime of Regional Governance and Totalitarian Collectivism, is rising from the debt and banking crisis of the PIIIGS, that is Portugal, Italy, EWI, Ireland, EIRL, Greece, GREK, and Spain, EWP. And as a result, investors are deleveraging out of commodities, DBC, and derisking out of both stocks, ACWI, and Bonds, BND. The US Dollar, $USD, UUP, will be rising as investors are selling currencies such as the Brazilian Real, BZF, the Indian Rupe, ICN, the Australian Dollar, FXA, the Japanese Yen, FXY, the Swedish Krona, FXS, and the British Pound Sterling, FXB, as well as the Emerging Market Currencies, CEW, and even the Chinese Yuan, CYB. The EUR/USD rallied up near its September 14, 2012 high to close at 130.61, which gave strong rally to Germany, EWG, Austria, EWO, Netherlands, EWN, and Switzerland, EWL. Shanghai Shares, $SSEC, surged 4%.
Formerly, nation states were sovereign, and they provided seigniorage, that is moneyness, to all kinds of stocks and bonds, but today December 13, 2012, it is evident that their seigniorage has failed.
Regional bodies, such as the ECB, are rising to be sovereign regionally. Regionalism is replacing Crony Capitalism, European Socialism, and Greek Socialism. Since 1913, banks provided neoliberal finance through investment choice. Beginning December 13, 2012, sovereign regional bodies, provide seigniorage, that is moneyness, through diktat. The result being that the fiat money system is dying, and the diktat money system is rising to govern economics; the mandate of leaders will serve as money, currency, credit, wealth and economic power. Under Liberalism, investors made the economic calls. But now, under Diktat, the word, will and way of regional leaders, makes the economic calls.
With the trade lower in both Aggregate Credit, AGG, and the topping out of World Stocks, ACWI, December 13, 2012, the day after the announcement of QE 4, inaugurated Neouthoritarianism, the rise of the Beast Regime of Regional Governance and Totalitarianism, the Age of Deflation, the Age of Ditak, and the Diktat Money System.
4) … Friday, December 14, 2012
ETF gainers of the week included
ETF losers for the week included
MUB, 2%, wiped out ten weeks of gains,
HYMB, 3.5% wiped out ten weeks of gains
Commodity ETF gainers for the week included
Commodity ETF losers for the week included
Noteable stock losers for the week included SPX, -9.8%.
The only stock I would consider going long is Gran Tierra Energy, GTE,with a forward PE of 8. This independent energy company, engages in the acquisition, exploration, development, and production of oil and gas properties in Colombia, Argentina, Peru, and Brazil. As of December 31, 2011, the companys acreage included 3.5 million gross acres covering 21 exploration and production contracts in Colombia; 1.4 million gross acres covering 12 exploration and production contracts in Argentina; 6.4 million gross acres covering 5 exploration licenses in Peru; and 0.8 million gross acres covering 6 exploration blocks in Brazil. It also had estimated proved reserves of 30.9 million barrels of oil and natural gas liquids; and 18.3 billion cubic feet of gas. The company was founded in 2005 and is headquartered in Calgary, Canada.
Merk Investments asks Is gold the ultimate currency? Now is the time to invest in and take physical possession of gold, either in gold bullion or at BullionVault
The ongoing Yahoo Finance chart of the World Stocks, VT, South Korea, EWY, the Philippines, EPHE, New Zealand, ENZL, Israel, EIS, Mexico EWW, and the Emerging Markets, EEM, illustrates how the seigniorage of the ECB’s OMT, a rising Yuan, CYB, and anticipation of the Fed’s QE 4, have carry trade funded the resurgence of world stocks, VT, and world Banks, IXG.
The world is passing through Peak Fiat Wealth The ongoing Yahoo Finance chart of the closed end stock fund, CSQ, and the closed end debt fund, PFL, communicates Peak Seigniorage, that is peak leverage of stocks over existing debt.
Federal Reserve data shows that Peak M2 Money likely came in this week, ending December 14, 2012 at 10.300 TN. Peak Monetary Expansion has driven the Morgan Stanley Cyclical Index, CYC, up to match its September 14, 2012 high. The Yahoo chart of the ^CYC, when combined the Major World Currencies, DBV, Emerging Market Currencies, CEW, and World Stocks, VT, and World Small Cap Stocks, VSS, together with Distressed Investments, like those taken in by the Fed under QE1, shows that it that it has been trust in the US Federal Reserve, plus trust in Mario Monti to underwrite the Euro, FXE, with LTRO 1 and 2, as well as OMT that has given seigniorage to the Morgan Stanley Cyclical Stocks.
Confirmation of the zenith of the global debt trade, comes from the rise of the currency sensitive, Small Cap Pure Value Shares, RZV, and the tremendous rise in the Major World Currencies, DBV, and the Emerging Market Currencies, CEW, as well as the rise in Junk Bonds, JNK. All of the following ETFs, EWY, EPHE, ENZL, EIS, THD, EWW, EWA, EEM, especially Mexico, EWW, are high beta ETFs, meaning that they have rallied quickly and will fall quickly.
The global debt trade failed with the announcement of QE4, as the Vanguard Dividend Appreciation ETF, VIG, turned lower; the world is passing through Peak Fiat Wealth, as the Major World Currencies, DBV, the Emerging Market Currencies, CEW, and the Commodity Currencies, CCX, are topping out. Debt Deflation is under way, taking Bonds, BND, lower; the World Major Stocks, VT, and the World Small Cap Stocks, VSS, will be falling lower very soon.
The world has reached the very zenith of credit, that is the very apex, of a global debt trade, that began with Milton Friedman, the Free To Choose Evangelist, and continued with Alan Greenspan, the purveyor of credit liquidity, Ben Bernanke, the master of Fed Easing, a rising Yuan, and Mario Draghi, the genius of OMT. The world is pivoting from Inflationism to Destructionism on the exhaustion of the world central banks’ monetary authority. A Financial Armageddon, that is a Financial Apocalypse, consisting of a credit breakdown and global financial bust is imminent.
5) … In The News
The Seattle Times reports Britain has already jumped off the fiscal clifff; How bad is it?. Robert Stevens of WSWS relates UK local authorities plan more than a billion pounds in cuts. Local authority councils throughout the UK are planning more than a billion pounds in further cuts to be imposed next year and years beyond. Julie Hyland of WSWS addsSocial catastrophe faces UK working poor. A new study examines the disastrous impact of current government policy, especially regarding welfare reform.
Reuters reports French bear brunt of Europe’s deepening auto slump.
Reuters reports SEC has examined Bank of America mortgage repurchases. Securities regulators have made inquiries into the mortgage repurchase practices at Bank of America Corp’s Countrywide unit, according to a transcript filed in a lawsuit against the bank by insurer MBIA. I relate that the chart of BAC, shows a topping out having risen 18% for the month and a 100% gain YTD.
Reuters reports United Continental pilots ratify new contract. I relate that the daily chart of Airlines, FAA, displays a parabolic rise, and what is likely to be a blow off evening star pattern haven risen 5% for the week; and the weekly chart, FAA, shows a year long cup and handle pattern for a 30% YTD gain.
CNBC reports Only 15 states opt to run Obamacare exchanges. Only 15 states have told the federal government they plan to operate health insurance exchanges under President Barack Obama’s reform law, leaving Washington with the daunting task of creating online marketplaces for two-thirds of the country.
Morgan Korn of The Daily Ticker relates Mobile devices are the future of eCommerce: Gilt’s CEO and Found Kevin Ryan says. Even as many Americans struggle to find jobs and pay bills, the online commerce sector of the economy has been resilient in today’s weak economic environment,
MSN Money reports Seattle is the fourth richest city in the US. The median household income was $61,000 last year in Seattle, where the largest industry is education. The University of Washington stands as the city’s top individual employer. But the health care, information technology and aerospace industries (Boeing has a long-standing presence within the region) also figure prominently in keeping incomes high. And Detroit is the poorest city in the US. Detroit has the lowest median household income among the country’s 25 most populous cities, according to the U.S. Census Bureau. Last year, household income was about $25,000, half the national average.
Liberalism featured Interventionism which begat Inflationism. Jon Hilsenrath of the WSJ writes The Massachusetts Institute of Technology in the 1970s and 1980s was the center of a generational shift in economic thinking that ascribed substantial influence to central banks for managing economic turbulence. MIT, in Cambridge, Mass., became home to many ‘New Keynesians,’ economists immersed in the real-world complexities of markets and sympathetic to government intervention. They helped modernize the work of Depression-era economist John Maynard Keynes, whose views had come under attack for advocating a strong government hand. Their activist and pragmatic approach became ‘dominant among the central bankers today,’ said Stanley Fischer, head of the Bank of Israel, and a former MIT professor.
We are witnessing Peak Liberalism. Linda Shaw of The Seattle Times reports Southend Seattle schools win race for $40 million. Seven school districts in King County, which banded together three years ago to raise the number of students who graduate from college, have won a four-year, $40 million grant from the U.S. Department of Education to help them achieve that goal. Rainier Valley Post reported in October 2011 Five Seattle public schools, including two in the southend, have been recognized for outstanding academic improvements in math and reading that put them in the top 5% of the highest-improving schools in the state. Mercer Middle on Beacon Hill and Orca K-8 in Columbia City have won the award three years in a row, from 2009-2011. The other schools are Alki Elementary, Hamilton International Middle and Madison Middle. All five Seattle Public Schools named will receive their awards during a regional ceremony to be announced at a later date. “We are proud to have five schools recognized with this prestigious award,” said Dr. Susan Enfield, interim superintendent of Seattle Public Schools. “It reflects the academic gains our students are making in math and reading, thanks to strong teaching and instructional leadership.” The SPS schools were among 99 statewide that met the Schools of Distinction performance criteria for the 20010-11 school year.
Twenty Washington DC schools to be closed. Suzanne Kennedy provides in WJLA News 7 List of 20 Washington DC Schools to be closed. The list includes eight elementary schools, four middle schools and one high school. Two education and three special education campuses are also on the list. In 2008, the system shuttered 23 public schools. Several DC Council members have been briefed on the plan. Here is the list of schools to be shuttered. For a PDF list of where students at the soon-to-be-closed schools will go after doors are closed, click here. Schools closing include the following:
Francis-Stevens Education Campus
Garrison Elementary School
MacFarland Middle School
Sharpe Health School
Mamie D. Lee School
C.H.O.I.C.E. Academy Middle/High School
Marshall Elementary School
Prospect Learning Campus
Shaw Middle School at Garnet-Patterson
Davis Elementary School
Kenilworth Elementary School
Ron Brown Middle School
Smothers Elementary School
Winston Education Campus
Ferebee-Hope Elementary SChool
Johnson Middle School
Malcolm X Elementary School
M.C. Terrell/McGogney Elementary School
Spingarn STAY High School and Spingarn High School located at 2500 Benning Rd NE, Washington, DC 20002. Redfin relates that the school has an overall rating of 3 out of 5 stars. Wikipedia relates that this school is in Ward 5; an area of concentrated poverty, as Zip Atlas relates that Zip Code 20002 has a 26% poverty rate. The Kids Count center relates that Ward 5 has a high child poverty rate. The Kaiser Family Foundation relates in PDF Document that Washington DC Wards 1 through 8 have the highes rate of AIDS infection per 100,000 people in the USA, the majority reside in Wards 5 through 8, with a epidemic raging in Wards 7 and 8. HuffPost DC related on May 13, 2102, Ward 5 voters head to polls Tuesday to fill Harry Thomas Jr.’s vacant D.C. council seat. in a special election to fill the vacant D.C. Council seat formerly held by Harry Thomas Jr, who pleaded guilty in January to stealing more than $350,000 in city funds. The election will be a bookend to a scandalous saga that saw the downfall of the son of the late Harry Thomas Sr., who represented the ward for three terms. It will also be the first time a Thomas won’t be on the ballot since 1986. Ward 5 is in NE Washington DC and includes neighborhoods like Eckington, Brentwood, Brookland, Michigan Park and North Michigan Park. In an update Wikipedia relates that Kenyan McDuffie won the special election with more than 44 percent of the vote. DC Centric reports About 18,000 D.C. residents live in food deserts, where there are also high concentrations of children. In one such food desert, 39 percent of residents are children. DC’s deserts have higher concentrations of children. In fact, only two food desert Census tracts in all of Maryland and Virginia have higher concentrations of children than any of DC’s food deserts: Norfolk, VA. and Anne Arundel, MD. And Eatocracy reports The Capital’s food deserts. The restaurants and grocery stores in the District of Columbia provide residents, workers and visitors with ample access to healthy, seasonal foods; as a result, it’s hard for many people to imagine the stark contrast to many of DC’s poorest neighborhoods, which have little or no daily access to fresh food. Also, GreaterGreaterWashinton reports It comes as no surprise that, based on that definition, Wards 5, 6, 7, and 8 are the hardest hit with limited access to affordable and nutritious food.
6) … Bible Commentary
The Guardian reports Latest eurozone summit ends in stalemate. A two-day summit was supposed to lay out a grand plan and timetable for reforming and stabilising the euro regime. And Business Times Reports EU meet dashes hope of eurozone overhaul. And Mike Mish Shedlock writes EU Punts on Creating Timetable for Fiscal and Banking Union. Those looking for a step in the right direction today can find it in the Financial Times Live Blog which announces “EU drops timetable for creating eurozone fiscal and banking union“. “These issues will take more time and will require in-depth consultations with the Member States.” Even though José Manuel Barroso, the European Commission president, has vowed to introduce plans for an embryonic eurozone budget sometime next year, Van Rompuy’s draft suggests it won’t be taken up until “after the election of a new European Parliament and the appointment of a new Commission”, which will not happen until the end of 2014. Mr Shedlock comments, This is a step in the right direction, but only a baby step. What’s really needed is a plan and timetable to dismantle the eurozone. Don’t count on that any time soon. In fact don’t count on it ever. Regardless, a eurozone breakup is in the cards anyway. This baby step, although it will not lead to plans to do what is necessary, is nonetheless symbolic of the insurmountable problems to get agreements from all the players. The structural problems and unemployment are so bad now, that even if the key players agree, some politician will eventually stand up, proclaim debts and the treaty null and void, and be elected
Please consider that objective reality is found in Christ, Ephesians 4:17-21. All things cohere in Him, Colossians 1:17, as He is sovereign over all. His word provides the basis of truth, Ephesians 1:13. Human philosophy, such as Austrian Economics, Socialism, or religion, such as Christian Zionism, is simply worship of one’s own will, Colossians 2:23. Any experience outside of Christ is subjective, as Christ is the objective and all inclusive life experience, Colossians 3:11. Christ has been given universal sovereignty, and is at the helm of the economy of God, Ephesians 1:10, pivoting the world from the fullness of prosperity, to the fullness of austerity.
Christ is transitioning the world from one based upon global economics to regional economics, as is seen in the fact that once the Nobel Peace Prize once went to Milton Friedman for his concept of Free To Choose, which ran the world from 1971 to the Fed Announcement of QE 4 on December 12, 2012. Now the Peace Prize goes to the Eurozone, which is emerging as a European Superstate, based upon the concepts of Mario Draghi, Christine Lagarde, Olli Rehn, Jenz Weidman, and Wolfgang Schäuble, who are establishing Regionalism as the global standard bearer in economics.
Bible prophecy of Daniel 7:7 foretells that Germany will be the last in line of succession of global empires, the formers being Babylon, Medo Persian, Greek, and Roman. And now Germany will be rising to become an authoritarian revived Roman Empire, and be preeminent over vassal peripheral PIIGS. Ulrich Rippert of WSWS reports SPD leader Peer Steinbeck calls for a strong German state. And Wolfgang Weber of WSWS reports Leading German newspaper’s conference hears call for dismantling democracy.
An inquiring mind asks, could economic an political failure in Italy, EWI, be the straw that breaks the world’s financial back? The NY Times relates Mr. Berlusconi’s shameless return. Reuters reports Berlusconi move could undermine Monti agenda in Italy. The Globe and Mail of Toronto relates With Monti pushed out, Italy returns to forefront of debt crisis. And Reuters reports Italy industry output dives, dashing recovery hopes.
Chiara Vasarri of Bloomberg reports Italy’s debt load, the second biggest in the euro area, rose in October to a record 2.015 trillion euros, $2.6 TN, from 1.995 trillion euros last month, the Bank of Italy reported. The debt is set to reach 126.5% of gross domestic product this year, second only to Greece, and peak at 127.6% next year, the European Commission forecast. To service that debt and cover the deficit, the Treasury needs to sell at least 400 billion euros in bonds and bills next year, averaging more than 1 billion euros a day. And Chiara Vasarri writes Italian industrial output declined more than forecast in October, as the country’s fourth recession since 2001 extended into a second year. Output fell 1.1% from September, when it dropped a revised 1.3%. Consumer confidence declined in November to the lowest since records began in 1996 amid rising pessimism among households on the outlook for growth and jobs.
Lorenzo Totaro of Bloomberg reports Italy’s economy shrank for a fifth quarter in the three months through September as slumping household spending pushed the country’s recession into its second year. Gross domestic product contracted 0.2% from the previous three months. From a year earlier, economic activity contracted 2.4%. In the three months through September, household spending decreased 1.0% from the previous quarter and 4.8 percent from a year earlier.
Out of the debt and banking crisis of the Mediterranean countries of Greece, Italy, and Spain, the Europe will coalesce to become a singular totalitarian superstate, Revelation 13:1-4, where the Sovereign, Revelation 13:5-10, and his banking partner, the Seignior, Revelation 13:11-18, will rise to rule the continent, as finance and country leaders meet in summits, announce regional framework agreements, to waive national sovereignty and pool sovereignty regionally.
An inquiring mind asks, Could Mario Draghi, be the Great Prophet of Neoauthoritarianism presented in Revelation 13:11-18? Financial Times heralds FT Person of the Year: Mario Draghi. On the eve of the 2012 Olympic Games, Mario Draghi found himself in the august setting of Lancaster House in the heart of London’s royal district. He was a panellist at an official event intended to drum up foreign investment to the UK, but the president of the European Central Bank had weightier matters on his mind. Europe’s single currency was disintegrating amid soaring borrowing costs in Greece, Spain and Mr Draghi’s native Italy. Speculation that the eurozone was heading for a break-up, with incalculable financial and political consequences, was rampant. It was time to draw a line in the crisis. “Within our mandate, the ECB is ready to do whatever it takes to preserve the euro,” Mr Draghi said, pausing for effect. “And believe me, it will be enough.” Mr Draghi’s advisers had been forewarned that he was preparing to make a forthright statement, but none had been apprised of the precise wording. In retrospect, the July declaration, which in effect dared financial markets to challenge the ECB’s unlimited firepower, may well be seen as a turning point in the three-year-old crisis. “What I thought was that the markets should know what our stance was,” Mr Draghi, 65, recalls in an interview with the Financial Times in his office on the 35th floor of the ECB’s Frankfurt headquarters. Asked if he had rehearsed his pause, he laughs. “No, I’m not really that theatrical.”
The seigniorage of the Milton Friedman Banker Regime was based upon a global debt trade, that came from the dollar hegemony of the national sovereignty of the US and The Fed, its Central Bank, which supported global growth and developed corporate profitability. The seigniorage of Mario Draghi Beast Regime will come from regional sovereign leaders and regional sovereign bodies such as the ECB acting with both monetary and banking powers, which will direct regional economic activity through public private partnerships.
It is Christ, acting as Morpheus, the God of Dreams, who gave dream to King Nebuchadnezzar for Regional Governance, Daniel 2:30-33; and it is Christ who gave vision to John The Revelator for Regional Governance and Totalitarian Collectivism, Revelation 13:1-4. To accomplish His sovereign aims of world wid rule, Christ has unleashed the First Horseman of the Apocalypse, Revelation 6:1-2, to effect a global coup d’etat, with the aim of destroying all existing political and economic life, before he ushers in his Millennial Rule from Jerusalem, where he will oversee global prosperity that few have ever envisioned, for God has said, “See, I will extend prosperity to her like a river”, Isaiah 48:18.
ONN, UUP, BND, AGG, EEM, VT, VSS, ACWI, DBV, CEW, CCX, DBC, STPP, FLAT, IXG, JNK, VGK, EPP, REM, RZV, FXY, CYB, FXA, FXE, FXF, ICN, FXB, FXS, FXC, EWI, GREK, OFF, TVIX, DRW, REM, RWR, MBB, ZIV, QE4, Diktat Money System, Diktat, Fiat Money, Fiat Money System, Peak Credit, Beast Regime, Regionalism, Seigniorage, Sovereignty, Regional Governance, Regional Sovereignty, Road To Serfdom, Mario Draghi, Financial Apocalypse, Monetary Authority, Milton Friedman, Debt Servitude, Peak Money, European Super State, Inflationism, Destructionism, Liberalism, Debt MOnetization, Peak Prosperity, Peak Fiat Wealth, Risk On Rally, Risk On Momentum Investing, Global Debt Trade, Age Of Deleveraging, Carry Trade Investing, Road To Serfdom, Moral Hazard, Debt Deflation, Competitive Currency Devaluation, Credit Liquidity, Neoliberal Finance, Monetary Easing, Peak Wealth, The End Of Credit, Public Private Partnerships,