Currency Traders Call The Japanese Yen Higher And Other Currencies Lower, Unwinding Carry Trade Investments Worldwide … There Is Only One Sovereignty … Through Deutungshoheit, Germany Will Rise To Rule First The Eurozone, And Then The World

Dispensation economics news for Monday January 14, 2014

This post is available in Google Documents form here

On Monday, January 13, 2014, The Fear Gauge, Volatility, ^VIX, TVIX, VIXY, VIXM, XVZ, traded higher as currency traders called the Japanese Yen, FXY, higher to a four week high, and a number of other currencies lower, unwinding carry trade investments worldwide, with the result that stocks cratered the most in four months, pivoting the financial market from a bull market to a bear market with the retail stocks leading the way lower.

These included the British Pound Sterling, GBP/JPY, carry trades, as the British Pound Sterling, FXB, sold off strongly, causing strong derisking out of the UK Stocks, EWU, such as BTI, PUK, BP, WPPGY, DLPH, SNN, VOD. These also included the Euro Yen, EUR/JPY, carry trades, in the Eurozone Stocks, EZU, such as COV, IR, CRH, FLTX, ACN.

Investors derisked out of Dollar carry trades as well, causing disinvestment out of the US Stocks, VTI, US Small Caps, IWM, US Infrastructure, PKB, and US Refiners, VLO, MPC, PSX, HFC, and also Cable TV Companies, LVNTA, DISH, CHTR, SATS, CMCSA, DTV.

US Infrastructure Stocks, PKB, led by Specialty Retailer,  TSCO,  Business Services,  ADS, CTAS, CATM, Energy Companies, VLO, COP, SE, Industrial Companies, DXPE, ETN, ITW, FLS, AME, HON, FLT, ROK, CSL, SNA, Building Supply Companies, MAS, USG, EXP, AAON, PGTI, AOS, APOG, Chemical Companies, GRA, FMC, PPG, Appliance Manufacturers, LII, WHR, Industrial Textile Manufacturer, MHK, Housewares Manufacturer NWL, and Home Improvement Retailer, HD.

India Infrastructure, INXX, Emerging Market Infrastructure, EMIF, and India Small Caps, SMIN, led Emerging Markets, lower, on debt deflation as Market Local Currency Bonds, EMLC, traded lower.

World Stocks, VT, traded lower; Investment Areas and Sectors trading lower included:

1) … Risk Investing, TAN, RZG, PBS, PSCI, FPX, was led lower by Small Cap Growth Stocks, such as NNBR, and DXPE.

2) … Consumer Spending Investing, was led lower by Retailers, XRT, PNQI, IYC, PBJ, PSCC, PSCD, such as  Apparel Retailers, GPS, Specialty Retailer, KORS, Discount Retailer, DG, Sporting Goods Retailer, DKS, Home Furnishing Store, BBBY, Drug Store, RAD, Department Store, M, and Specialty Eatery, SBUX.

3) … Global Growth and Trade investing, FXR, was led lower by Industrial Producers, such as MMM, DOW, EMR, GE, and Transport Providers, XTN, led lower by Airlines, such as DAL, as well as Semiconductors, SOXX, such as MU.

4) .. Global Spending Investing, was led lower by US Infrastructure PKB, IGV, PSCC, SOCL, PSCD, such as FB.

Of note, Credit Providers such as MA, and Leveraged Buyouts, PSP, such as DLPH traded lower.

And Microsoft, MSFT,  CTSH,  CA, ADP, and DOX, led Business Software and Services, lower.

Yield Bearing Sectors trading lower included Chinese Real Estate, TAO, Dividend Bearing Stocks, DTN, Global Telecom, IST, such as S,  VOD,  VZ,  NOK, and Utilities, XLU.

Energy sectors traded lower; these included Energy, XLE, such as Exxon Mobil, XOM, Energy Production, XOP, Small Cap Energy, PSCE, and Energy Service, OIH.

The National Bank of Greece, NBG, led the European Financials, EUFN, and the Global Financials, IXG, lower; Financial Sectors trading lower included, Asset Managers, such as BLK, Regional Banks, KRE, such as SNV,  and RF, The Too Big To Fail Banks, RWW, such as BAC, Chinese Financial, CHIX, Investment Bankers, KCE, such as JPMorgan, JPM, and Stockbrokers, IAI.

Nation Investment, EFA, traded lower; Nations trading lower included Greece, GREK, Italy, EWI, Turkey, TUR, China, YAO, China Small Caps, ECNS, Russia, RSX, Russia Small Caps, ERUS, The UK, EWU.

Although Aggregate Credit, AGG, comprised of credit instruments such as Mortgage Backed Bonds, MBB, traded higher, the debt trade, consisting of Junk Bonds, JNK, and Distressed Investments, FAGIX, like those taken in by the US Federal Reserve in exchange for “money good” US Treasuries under QE 1, and were placed into Excess Reserves to restart the global economic system after the 2008 Financial Crisis traded lower in value.  Reuters reports Fannie Mae begins marketing second risk-sharing MBS

The Steepner ETF, STPP, traded lower approaching support, on a flattening 10 30 US Sovereign Debt Yield Curve, $TNX:$TYX. This companion to the rising Benchmark Interest Rate, $TNX, has been a significant part of destroying Credit Investments.

The continuing trade lower in Junk Bonds relative to Corporate Bonds, JNK:LQD, communicates that high yield spreads turned up from a six year low on December 10, 2013.  All forms of credit, turned bad when the Interest Rate on the US 10 Year Note, ^TNX, traded higher to 2.80%, on December 2, 2013. Bespoke Investment Group writes “When spreads are rising it indicates that investors are demanding more yield in order to take on the added risk of the issuers, while falling spreads indicate that investors are comfortable taking on the added risk.”

Thus with rising spread, seen in Junk Bonds, JNK, falling faster than Corporate Bonds, LQD, investors are derisking out of the stocks that have risen the most under QEternity. Derisking and deleveraging is the genesis of Risk-off, OFF, investing, which commenced January 2, 2014. Risk appetite has finally turned decisively to risk avoidance.

Applying Global ZIRP, that is Infinity, to Treasury Debt, TLT, and Mortgage Back Bond, MBB, resulted in a crack up boom in Risk Assets Investments, such as Small Cap Pure Growth Stocks, RZG.  as well as OTC Stocks, PWO. Investors are now derisking out of these.

Call Write Bonds, CWB, traded lower, confirming that the world pivoted from a world wide bull stock market to a  global bear stock market on January 2, 2014, when World Stock,VT, traded strongly lower, as a follow through to the failure of fiat money, defined as Aggregate Credit, AGG, and Major World Currencies, DBV, and Emerging Market Currencies, CEW, on October 23, 2013, when the bond vigilantes called the Interest Rate on the US Ten Year Note, ^TNX, higher for 2.48%, as investors feared that the monetary policies and economic policies of the world central banks, crossed the rubicon of sound monetary policy and made “money good” investments, such as The BRICS, EEB, the Emerging Markets, EEM, Emerging Market Infrastructure, EMIF, Global Real Estate, DRW, and  Global Miners, PICK, bad, as is seen in combined Yahoo Finance Chart.

The failure of fiat wealth is quite stark; it is seen in the chart of World Stocks, VT, relative to Aggregate Credit, AGG, that is VT:AGG, trading lower. Even more striking is the failure of Emerging Market Infrastructure, EMIF, on October 23, 2013, and US Infrastructure, PKB, today January 13, 2013, as the Benchmark Interest Rate, ^TNX, that is the cost of US Treasury Debt, TLT, as the Means of Economic Inflationism, has pivoted, on the failure of trust in the monetary policies and economic policies of the Creature from Jekyll Island, and has become the Means of Economic Destructionism establishing economic deflation and economic recession, terminating economic inflation and economic growth. The Australian Associated Press writes Deflation risk remains in EU periphery. And The Economist posts On the road to double-dip recession or deflation? And ZH posts Greek deflation continues for 10th straight month.

Martin T of Macronomy posts Credit – Third time’s a charm‏ Credit conditions in Europe have yet to improve, as bank credit to companies and households in the euro area has shrank for the 19th month in November even after the ECB rates cut in 2013 while euro inflation has been below the 2% target for the last 11 months. We have argued that improving credit conditions and severing the link between banks and sovereigns would amount to “squaring the circle“. European Banking Union or not, we do not see it happening. Credit dynamic is based on Growth. No growth or weak growth can lead to defaults and asset deflation which is what we are seeing in Europe and what a 0.8% inflation rate is telling you. It is still the “D” world (Deflation – Deleveraging). As illustrated by Bank of America Merrill Lynch’s graph from their note from the 6th of January entitled “The mixed blessings of better markets”, we have yet to see any meaningful loan growth in the euro area and with the upcoming AQR in 2014 with continued deleveraging, don’t expect improvements anytime soon as is seen in Chart 9

And when it comes to the deflationary trajectory and continued deleveraging pressure the evolution of nonperforming loans in peripheral countries are clearly indicate of ECB liabilities having to depreciate further. The graph below from the previously quoted Bank of America Merrill Lynch note clearly underlines the issues faced by the ECB, which cannot sustain both the demand for sovereign government bonds and credit availability for the private sector, something will have to give unless Mario Draghi comes up with new “unconventional” tricks in 2014 as is seen in Exhibit 2.

“That largest pool of problem credit is in Spain, where there is as yet no sign of NPLs slowing up in Spain: the last three months saw a €12.2 billion rise in system NPLs, compared with €11.6bn in the prior quarter”, source Bank of America Merrill Lynch.

In relation to government bonds holdings, as we posited in our last 2013 conversation, it is after all, all about the carry which remains attractive for peripheral banks which have been soaking up on their domestic bonds at a rapid pace for the last couple of years. Third time’s a charm as well when it comes to the carry trade. The European bond picture, some convergence as of late, with Italy and Spanish continuing to perform and providing carry and earnings to their respective financial institutions.

As we posited in our conversation “Misstra Know-it-all“: “By suppressing interest rates through ZIRP, the Fed has allowed risks to be “mis-priced” leading to global aggressive “mis-allocation” of capital in the search for returns.” In terms of the “dash for trash”, it can be illustrated we think by looking at the performance of Small-Cap, Utility Stocks versus the S&P 500 since December 2012 .

What investors fail to assess is the growing global deflationary risk which, we agree with CLSA Strategist Russell Napier, is significant: “Investors are cheering the direct impact of QE on their equity valuations, but ignoring its failure to produce sufficient nominal-GDP growth to reduce debt. In a market where such bad news has been seen as good news (as it leads to more QE), the reality of QE’s failure will become bad news as we head towards deflation ….. The failure of monetary policy to defeat deflation is about to become apparent, with dire consequences for equity prices”. – CLSA Strategist, Russell Napier

Direxion 300% Bear Market ETFs, such as YANG, traded higher; and Proshares 200% Bear Market ETFs, such as SQQQ, traded higher. The Inverse Market Vane ETFs, such as HDGE, traded higher.

Gold, GLD, and Silver, SLV, traded higher reflecting the establishment of the investment demand for gold on the failure of both fiat money, and fiat wealth; this being seen in the chart of World Stock, VT, relative to Gold, GLD, that is VT:AGG, trading lower in value.  Investors are selling out of the S&P 500, SPY, stocks, and their PE of 16, which Value Walk relates is truly high by historical standard, and are purchasing Gold Mining Stocks, GDX, with PE of 26, and Barrick Gold, ABX, with no PE.

The failure of the seigniorage of liberalism’s Milton Friedman Free To Choose Floating Currency System, and Democratic Nation State Banker Regime is seen in the ratio of Nation Investment, EFA, relative to World Treasury Bonds, BWX, EFA:BWX, trading lower, and as I recently wrote is introducing a deflationary bust, the likes of which the world has never seen or ever will see again, as the very foundations of the earth will be wrested from natural forces upon His Advent.

Under liberalism, investors followed after Ben Bernake and his QEs, heavily purchasing US Stocks, VTI, Japanese Stocks, NKY, Chinese Stocks, YAO, Asia Stocks, EPP, and Eurozone Stocks, EZU. as credit investors sought safe experience in Bonds, BOND, in particular US Treasury Notes, TLT, and Mortgage Backed Bonds, MBB, up until May 1, 2013, as well as October 23, 2013. The underlying trust in Credit, AGG, presented a riskless trade for equity investors. Now investors are derisking out of equities, as they no longer trust in the Creature from Jekyll Island to secure sound investment return.

In early September 2013, the US Dollar, $USD, UUP, traded lower in value from 82.50 to close today January 13, 2014 at 80.60. It’s reasonable to believe that as investors further derisk out of US Stocks, VTI, that the US Dollar will trade lower in value, bringing out the failure of the US Dollar Hegemonic Empire, seen together with the British Empire, in Daniel’s Statue of Empire, Daniel 2:25-45, as the two iron legs; and which now introduces the last day’s Two Feet and Ten Toed Empire. This Monster  will eventually utterly destroy all of liberalism’s wealth, as seen in Daniel 7:7.  With the trade lower in the US Dollar, it is reasonable that there will be a rally in the price of Spot Gold, $GOLD, from $1,250, which has risen 3.5% so far in January 2014, as investors seek the truly risk free asset.

The Arnold King post of Ben Bernanke’s Valedictory, highlights the reasoning of the Fed Chairman in providing QE. The money printing operations of the The US Fed since 2008 has led to a great swell in the value of checking and savings accounts. Now with the failure of both fiat money, that is AGG, coupled with Major World Currencies, DBV, and Emerging Market Currencies, CEW, and fiat wealth, that is World Stocks, VT, on the bond vigilantes calling the Interest Rate on the US Ten Year Note, $TNX, higher, from 2.48%, on October 23, 2013, we see the beginning of the destruction of M2 Money, as the Fed reports that M2 Money Supply, has decreased from to 10,990 on 12-30-2013. Liberalism featured inflationism; but the rout of the bond vigilantes, has pivoted the world out of the paradigm and age of liberalism into that of authoritarianism which features destructionism.

The Means of Economic Destructionism is the ongoing rise in the cost of money, that is the Interest Rate on The US Ten Year Note, ^TNX. Through the monetary authority of the US Federal Reserve and its interventionism, liberalism featured the safety of investing under the banker and democratic nation state policies of investment choice and credit creation. The trade lower in US Stocks, VTI, Retail Stocks, XRT, Global Financials, IXG, The Too Big To Fail Banks, RWW, and Regional Banks, KRE, as well as the US Dollar, $USD,  UUP, to 80.60, on January 13, 2014, established the end of the sovereignty and the seigniorage of the US Dollar Hegemonic Empire, and birthed that of the beast regime of regional governance and totalitarian collectivism; it’s sovereignty is Deutungshoheit in nature. Authoritarianism features the security, stability and sustainability of the diktat of nannycrats, not bankers, in regional governance, and in the debt servitude of totalitarian collectivism.

The terminal phase of liberalism, came with Ben Bernanke’s QEs, and defined the investor as the centerpiece of liberalism as both a paradigm and age. With the trade lower in  Retail Stocks, XRT, and Global Financials, IXG, on January 13, 2014, peak liberalism was established, and the debt serf emerged as the centerpiece of authoritarianism as both a paradigm and age.

Under liberalism, monetary transmission of fiat money went to the investor, this is seen in The Economic Collapse Blog post The number of working age Americans without a job has risen by almost 10 million under Obama. And in The LA Times post US wealth gap grew during recession, Stanford report finds. And in The SCPI report National Report Card on Poverty and Inequality.

The WSJ reports Thai protesters turn focus to Thailand Stock Exchange. After turning central Bangkok into a flag-waving sea of protest Monday, antigovernment activists now say they are preparing to take their campaign to the next level by seizing Thailand’s stock exchange. The protesters’ drive to force Prime Minister Yingluck Shinawatra from office and eliminate the influence of her brother, billionaire former leader Thaksin Shinawatra, has been marked by a series of escalating protests, each more ambitious than the last.

There is only one sovereignty, and it provides only one life experience. The German word Deutungshoheit is defined as interpretational sovereignty and connotes supremacy in all things, the result being German economic, banking, credit, and military supremacy, over all of the Eurozone.

German linguist Thorsten Pattberg relates Deutungshoheit is a German word meaning “having the sovereignty over the definition of thought,” sometimes also called “the prerogative of final explanation.”

Economic supremacy. Germany is an export powerhouse, something attained by striving to make the best of products, by keeping wage increases low, and by making products people want, which has generated a current account surplus for years.

Banking supremacy. Diktat money came into being with Eurozone banking supervision beginning, on November 15, 2013, with the European Parliament announcing ECB banking supervision, coming from Frankfurt Germany. Out of soon coming global credit bust and worldwide financial system breakdown, The European Financials, EUFN, such as Germany’s, DB, Spain’s Banco Santander, SAN, Greece’s, NBG, and Ireland’s IRE, will be integrated into and operate as a One Euro Bank, operated by the ECB in Frankfurt, where all Eurozone lending as well as all Eurozone economic activity will be supervised through public private partnerships where nannycrats are the legislators of economic value as well as the legislators that shape one’s means and one’s ends, the focus of which is debt servitude.

Out of rising interest rates globally, not only will Eurozone Banks be integrated into a Regional Super State, but all banks everywhere will be integrated into the government. No where is this more clear than in the US, as Mike Mish Shedlock asks What’s the Fed going to do now? Accumulate all the notes and bonds? While buying less of them? The math doesn’t quite work does it? What is the Fed’s Exit Strategy? The Fed really doesn’t have one, and that is the reason for all this meaningless communication from various Fed governors (frequently in contradiction with each other).

The US Federal Reserve must act, and will act to integrate the Too Big To Fail Banks, RWW, and the Regional Banks, KRE, into the government. This captures the Excess Reserves, and unifies all M2 Money, that is checking accounts, savings accounts, and money market accounts, into a cohesive risk bearing and burden bearing amalgam, that will arise as the Benchmark Interest Rate, ^TNX, soars above 3.0%, breaking the buck, that is the constant one-dollar value of the money market funds, MMF.

Currently the value of The 1 to 3 Year US Treasuries, SHY,  stands at 84.42; but as the bond vigilantes continue calling the 10 Year Notes, TLT, lower, then the Short Term Treasuries,  SHY, will fall below 84.10, and will be a factor in contributing to Financial Apocalypse, as presented in Revelation 13:3-4. The only remedy will be integration of all banks everywhere into the government to provide economic security, stability and sustainability.

Credit supremacy. Yahoo Finance reports that from July 5, 2013, to January 2, 2014, the German Bund, BUND, has risen from 97.74 to 105.66, pulling up the value of EU Credit, EU, as is seen in ongoing Yahoo Finance chart of Bund and EU.

Military supremacy. Reuters reports NATO builds $1 Billion HQ In Brussels as allies cut military spending; its feet enable the monster to devour all in its territory. Sven Heymann of WSWS reports NATO reform strengthens Germany’s role. Though coalition talks between the Christian Democratic Union (CDU) and Social Democratic Party (SPD) have only just begun, Defence Minister Thomas de Maizière has already presented a new plan for NATO. It envisages Germany assuming a leading role in the military alliance. Only six weeks after the federal election, it is clear that the new government will have a far more aggressive foreign policy, seeking to lead the country back into the ranks of the major military powers. Open Europe reports News Publisher Die Welt quoting German Interior Minister and former Defence Minister Thomas de Maizière as saying, “Germany doesn’t need lectures from anybody in Europe over the nature and scope of our international [military] missions, this also applies to France and the UK”.

Eurozone-wide fiscal rule commenced, from Brussels on November 15, 2013 as The Telegraph reports The EU uses new budget powers to demand more austerity In Italy And Spain. The EU Commission exercised historic new EU powers allowing it to revise national budgets for the first time. The beast regime of regional governance and totalitarian collectivism, with its ten horns ruling in the regional governance in every one of world’s ten regional zones, and seven heads occupying in totalitarian collectivism in each of mankind’s seven institutions, presented in Revelation 13:1-4, will  rise from sovereign, banking and corporate insolvency, and is making landfall in the Eurozone, occupying with feet of a bear in EU banking supervision in Frankfurt; with mouth of a lion in NATO Germany led headquarters in Brussels; and camouflage of a leopard in nannycrat fiscal rule from Brussels.

Authority now longer resides in democracy; now Obrigkeit, as the Germans say, resides in beast regime’s policies of diktat in regional governance in all of the world’s ten regions, and has effect in schemes of debt servitude in totalitarian collectivism in each of the world’s seven institutions, as presented by the Apostle John in The constitution of endtime rule, Revelation 13:1-4. T

The only rule of law that exists under authoritarianism is the diktat of nannycrats, and the word, will and way, of the Sovereign, Revelation 13:5-10, and his partner, the Seignior, Revelation 13:11-18, meaning top dog banker who in minting money, takes a cut. These provide diktat money for the singular life experience of debt servitude.

Under democracy one was an investor; now under authoritarianism one is a debt serf. Obamacare is an example of diktat money. Robert Wenzel posts Video: The death cycle of health insurance. AP reports 63% of RI insurance sign-ups are for Medicaid as opposed to private plan.

Free to choose, that is investment choice, no more. Debt servitude is the new normal of economic life and economic experience, as the Apostle John, sometimes called John The Revelator, presents in Revelation 6:1-2, that Jesus Christ, on October 23, 2013, opened the first seal of the Scroll of end time events, and released The Rider on the White Horse, who has a bow, without any arrows, symbolic of economic sovereignty, to effect a global coup d’etat, to transfer sovereignty, that is authority, from bankers and nation state democracies to nannycrats and regional bodies such as the ECB, to establish the sovereignty of the Beast System of Revelation 13:1-4, with its policies of diktat in regional governance, and schemes of debt servitude in totalitarian collectivism, as a replacement for the libertarian despised Creature from Jekyll Island, that is the democratic nation state and banker regime. Liberalism featured money manager capitalism. Authoritarianism features regional economic fascism.

Regional interventions will replace nation state interventions. With the ride of the First Horseman of the Apocalypse, Revelation 6:1-2, the world PIVOTED from the paradigm and age of liberalism, to that of authoritarianism, on October 23, 2013, as the bond vigilantes began calling the Interest Rate on the US Ten Year Note, ^TNX, higher from 2.48%, causing the death of fiat money. Fiat money died on October 23, 2013, as the bond vigilantes called the Benchmark Rate, $TNX, higher from 2.48%. Regional Nannycrats will declare regional property rights superior to personal property rights.

The periphery-to-core dynamic of funds flowing into US Stocks, VTI, UK Stocks, EWU, and Eurozone Stocks, EZU, is over, through finished and done. On Monday, January 13, 2014, fiat wealth died as greed turned to fear; specifically fear that the economic policies and monetary policies of the world central banks have passed the rubicon of sound monetary policy and have made “money good” investments bad.  Risk-on investing, ON, has turned to Risk-off investing, OFF. Investment fear has turned the two spigots of investment liquidity completely off; these being debt trade investing, and currency carry trade investing, thus depowering liberalism’s dynamos of economic activity: creditism, corporatism, and globalism.

Have you heard and heeded the call? It is a clarion call to invest in and take possession of gold bullion, as this and diktat are the only forms of sustainable wealth in the paradigm and age of authoritarianism.

A One Euro Government, that is a EU Superstate, will serve as a template and model for coordination of economic life in all of the other world regions, where eventually there will be a king ruling in each regional zone, as presented in bible prophecy of Revelation 17:12. The PIGS, that is Portugal, Italy, Greece, and Spain, will exist as hollow moons about planet Germany. While the Portuguese, Italians, Greeks, and Spaniards, cannot be Germans, all will be one living a network of German led nannycrat economic, fiscal and banking rule, and nestled together in a regional gulag of debt servitude, when leaders meet in summits in reaction to a global credit bust and worldwide financial system breakdown to renounce national sovereignty and announce German Deutungshoheit of Euroland.

Regionalism is the singular dynamo of economic activity under authoritarianism, replacing liberalism’s three dynamos of creditism, corporatism and globalism. Monetary transmission under authoritarianism will become quite effective for a number of people, as bible prophecy reveals “they worshiped and followed after the beast, saying who can make war against it”.

Aviation Week posts Europe takes steps towards defense cooperation. During the summit, which marks the European Council’s first defense meeting in five years, member states agreed to a “strategic reassessment” in mid-2015 to measure progress on all four defense-capability areas promoted by the European Defense Agency (EDA) as ripe for collaboration.

“These are projects on which we can work now,” EU President Herman Van Rompuy said in remarks following the meeting. Under the auspices of the EDA, in November France, Germany, Greece, Italy, the Netherlands, Poland and Spain established a MALE UAV user community to exchange information and best practices. Under a separate EDA initiative, eight European countries including have pooled €50 million collectively to research integration of UAVs into European airspace.

In the area of satellite communications, five countries are joining to form a users group with the goal of developing a roadmap for preparing the next-generation of European communications satellites.

Germany, Spain, France, Italy and U.K. currently operate their own military communications satellite systems, a number of which are slated to reach the end of their service life in the next few years.

“A roadmap has been proposed on preparing the next generation of satellite communications, and for closer cooperation between the member states, but we’re not there at the moment, where we have defined the requirements and the targets,” the Commission aide said.

In the area of air-to-air refueling, the council welcomed progress achieved to date, which last year saw nine EU countries plus Norway sign a letter of intent for considering pooled acquisition of a tanker aircraft. Led by the Netherlands, the new aircraft, possibly a Multirole Tanker Transport based on the Airbus A330, would be available for European users in 2020, the aide said.

Open Europe reports 95 Tory MPs write to Cameron asking him to consider allowing UK parliament right to veto EU law  … Hague: Unilateral opt-out for national parliaments would dismantle single market.   Sunday Telegraph Sunday Telegraph: Tory MPs’ letter Sunday Telegraph: Grayling FT Times Telegraph Mail Guardian In a letter to Prime Minister David Cameron in the Sunday Telegraph, 95 Tory MPs urge him to “to consider adopting the ideas put forward by the European Scrutiny Committee which would re-establish a national veto over current and future EU laws and enable Parliament to disapply EU legislation, where it is in our vital national interests to do so.”

Also in the Sunday Telegraph, Justice Secretary Chris Grayling argued that “Britain needs a completely new relationship with the EU, sorting out issues like benefits, migration and employment laws, or to let its people choose whether to leave”, but speaking on the BBC’s Sunday Politics, he described the parliamentary veto proposal as “not realistic”. Speaking on Sky’s Murnaghan show, Foreign Secretary William Hague argued that if national parliaments had a veto right then “the European single market wouldn’t work”.

Mats Persson is quoted in Norwegian main daily Aftenposten arguing that Germany and the UK have the potential to agree on many EU policies once the posturing is out of the way.

Open Europe’s Stephen Booth was quoted in the Sunday Telegraph Sun as saying that “The European Parliament’s travelling circus represents all that is wrong about the EU in the eyes of electorates across Europe: the unnecessary waste and the political stalemate that perpetuates it. With new European elections this year, now is the time for EU leaders to put an end to this PR disaster.” Stephen is also quoted in the Sun.

Investors Business Daily posts Job gains is worst in 3 Years. Official jobless falls to 6.7%, but largely due to big labor force exodus. Employers added just 74, 000 jobe inDecembe, hd Labor Department said, the weakest hiring in nearly three years halting a string of positive reports about the labor market.  Economist Keith Hall said the labor force participation tumble is “screamingly bad news”.

In end time prophecy Jesus communicated that love will grow cold, the reason being that He who restrains The Spirit of Iniquity is removed, as Let Us Reason Ministries, communicates in commentary on 2 Thessalonians 2:7. There be many like myself, who are bones to chew on, by the psychopaths.

Wayne Jackson writes in Christian Courier When love grows cold: A church profile.  In his letter to the Ephesians, Paul, guided by the Spirit of God, had focused on love, perhaps sensing a weakness that needed strengthening.

The noun form for “love” (agape), and the cognate verbal form (agapao) are collectively found nineteen times in Ephesians—approximately one-sixth of the apostle’s employment of these words in all his letters combined (Hoehner, 614).

As a result of this waning love, the Ephesian family had “fallen” (2:5a), i.e., experienced a loss of status before the Lord (Danker et al. 2000, 815). The perfect tense form suggests the state had become fixed. Concrete hardens. It is possible for love to grow “cold” (Matthew 24:12).

They thus were charged to “repent and do the first works,” i.e., the zealous works that characterized them initially. If they refused to respond to the Savior’s plea, the Lord would “move [their] candlestick out of its place” (5b). Since the “candlestick” was the church itself (1:20b), the significance is this: they would be disowned as one of Christ’s congregations! Can Christ disfranchise a church? Indeed he can! Those who labor under the illusion that doctrinal “orthodoxy” is paramount, but attitude is irrelevant, are a universe away from spiritual reality!

It is not difficult to discern that there were forces working in the church at Ephesus that led eventually to the sad condition sketched in Revelation 2:1-7.

When love for Christ grows cold, bitter fruit inevitably follows. Not all “Ephesian” churches have passed into oblivion!

There cannot be two sovereigns. There can only be one sovereign. For the elect, there is only one sovereign, that is Christ who provide His life, as one’s life experience, which comes from knowing His word, will and way. He is the All Sufficient One. He, being the Sovereign One, provides one faith, one church, one way, and the one and only life experience, that being The Faith Of Jesus Christ, which provides a life of righteousness, which exist in sharp contrast to the life of iniquity of the fiat.

There cannot be a sovereignty in Christianity as well as sovereignty in Libertarianism, as sovereignty by definition is singular. One cannot be both a Christian and a libertarian. There is either life experience in being a bond servant in Jesus Christ, or life experience in liberty of being a sovereign individual. Either one knows life in Christ, which comes through Dispensation, Ephesians 1:10, of Grace and Truth, John 1:17, or one knows life in liberty of the sovereign individual. Either there be Christ or there be liberty. It is literacy in the Word of God that leads one out of the slavery of sin, that is doubt, into the freedom in Christ, where one knows the only right there is, that being the right to manifest as a child of God.

The Bellingham Housing authority posts by Notice and notifies by Community Voice Mail that Applications for Housing Assistance from the Bellingham Housing Authority will be open for a limited time. One may pick up an Application at specified locations and at specified times. Applications are no longer placed on a waiting list; rather 500 Applications will be drawn at random and entered into the Bellingham Housing Application System; henceforth there is no wait list or waiting period specified by the Authority.

The Bellingham Herald reports Lower pay jobs still dominate. Countywide median income lags behind the state and nation. With more than half of all jobs in the low paying retail and service industries, Whatcom County’s median household income has remained below state and national levels for the past decade according to the latest data from the US Census Bureau. National median household income dropped 3.1% from 2009 to 2012, after adjusting for inflation. Incomes have declined as the economy has recovered because low paying jobs filled the void left by the middle income jobs lost to the recession. “The vast majority of income increases in the last few years have gone to the top earners”, said Rick Larsen D-Everett, who represents Bellingham, who co-sponsored a bill that would raise the federal minimum wage to 10.10 from 7.25. In Washington State he minimum wage is 9.32.

Money Magazine, February 2014 Print Edition page 61, reports Public College Rankings. The University of North Carolina at Chapel Hill tops the list. University of Virginia takes number two spot; it has an awesome 87% graduation rate.

Bloomberg reports Covered Bond shock forces Denmark to devise Plan B for Banks

Reuters reports India’s industrial output shrinks, trade gap widens

Ron Rowland posts Recently introduced ETFS. Low Yield Bond ETFs recently launched include ICSH, and RAVI. Market Neutral ETFs recently launched include AGZD, AGND, HYZD, and HYND. Covered Call ETFs recently launched include QYLD and CEFL.

Duane and Shelly Muir of Signposts of the Times write of the new normal weather phenomena and ask Global cooling: Is an Ice Age coming?

Khaled Alashqar of Antiwar posts Gaza loses an underground lifeline. The tunnels flourished as they were free of restrictions and represented a way out of the Israeli siege on Gaza. Some studies indicate that the tunnel trade was worth one billion dollars a year. Professor Sameer Abu-Mdalla, dean of the economics faculty at Al-Azhar University in Gaza, told IPS that the total number of tunnels before 2006 was 60, but following a blockade by Israel in 2007 and the closure of border crossings, the number mushroomed to about 1,000. He said the tunnels helped meet 60 percent of Gaza’s needs for raw materials and other goods.

Worthy News post We want a United States Of Europe Top EU Official Says. Viviane Reding, vice president of the European Commission and the longest serving Brussels commissioner, has called for “a true political union” to be put on the agenda for EU elections this spring.

“We need to build a United States of Europe with the Commission as government and two chambers – the European Parliament and a “Senate” of Member States,” she said.

Mrs Reding’s vision, which is shared by many in the European institutions, would transform the EU into superstate relegating national governments and parliaments to a minor political role equivalent to that played by local councils in Britain. Under her plan, the commission would have supremacy over governments and MEPs in the European Parliament would supersede the sovereignty of MPs in the House of Commons. National leaders, meeting as the European Council, would be reduced to consultative, second chamber role similar to the House of Lords.

Nigel Farage, the leader of Ukip, said that Mrs Reding had revealed the true choice for British voters to make at polling stations. “For people in power in Brussels that is the only choice on offer, no reform just a United States of Europe. On 22 May the British people must ask themselves if they want this and vote accordingly,” he said. “I am sure people will say no to this centralist fanaticism.”

Mrs Reding’s comments illustrate the growing gulf between a Europe committed to “ever closer union” and Britain, which is pushing to reduce the EU’s powers.

Senior EU figures, such as Mrs Reding, want the European elections in May to move beyond debates over eurozone austerity by embracing a grand vision of Europe.

“This debate is moving into the decisive phase now. In a little more than four months’ time, citizens across Europe will be able to choose the Europe they want to live in,” she said.

“There is a lot at stake. The outcome of these elections will shape Europe for the years to come. That is why voting at these elections is crucial.

Kirk Wiebe writes in Antiware NSA’s preference for metadata.

A civil war erupts in Mexico. BBC reports Mexico to deploy federal forces in Michoacan conflict zone

Short Side of Long posts Interesting stock market charts! Mr Turner makes a great point here, in chart of The compound rate of stock markets rally is at historic levels, only 3.3% of the time over the last 140 years has the market gifted investors returns this great over the span of 5 years. Maybe you should read that sentence over again.

The chart In a few weeks this will be 2nd oldest bull market in 80 years, is my own and was recently posted on the blog. Nevertheless, I still think there is no harm in repeating the important point it is trying to make, long bull markets usually build excess capacity and capital misallocation (the Fed is definitely making sure of that this time around) so the up and coming bear market tends to be more serve as a major clean out occurs

This bull market market is extremely overvalued, sentiment is extremely bullish, length of the rally is overextended and therefore prices are prone to a major downside sell off

History is telling YOU to prepare for an above average possibility of another equity market crash.

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