94 replies to this topic

[Smithy]

Dharma, Macro Mavens doesn't understand

1) US people are drowning in student loan payments, car payments, mortgage payments - there is no disposable income to drive growth

2) "the vicious cycle of low rates will be broken" - rising rates will wreck budgets at all levels and they "can't" let it happen

He doesn't address the core issue that the inflation needed to inflate away the debt means higher interest rates which will sink the economy and government budgets.

 

Thanks for posting, it facilitates discussion.

[Smithy]

What Has Neoliberal Capitalism Ever Done for India? The Demonetization Heist

By Colin Todhunter
Global Research, November 29, 2016
 According to Binu Mathew, banks in India were facing a liquidity crisis and parts of the debt-inflated economy were in danger of imploding. In this respect, Modi’s outlawing of almost 90% of India’s cash notes overnight is basically a bail-out/windfall for the corporate elites/real estate speculators.

This tactic neatly removed the danger of creating inflation by merely printing money. You can forget about Western-style bank bailouts and subsequent ‘austerity’, the Indian government decided to sequester the public’s money directly in an attempt to keep the neoliberal crony capitalism ponzi scheme on course.

As Mathew says:

 The banks will lend out the money ‘confiscated from you’. Who will benefit? Not the poor farmers who are committing by their thousands every month. Not the children who are dying of malnutrition in several parts of the country. Not the small manufacturers who are struggling to keep up their businesses? Who will benefit? The crony capitalists that props up the Modi regime. This demonetization is the biggest crony capitalist neo-liberalist coup that has ever taken place in India. Never doubt it, India will have to pay a heavy price for it.
http://www.globalres...n-heist/5559481

[dharma]

that is the reality of india. it is not lost on those who have, its why they have arguably the largest gold hoard in the world!

gold is pressing the lows here. the mining indexes are not pressing their higher lows. as long as the divergences hold i believe
based on past performance this will have a bullish resolution. hgnsi remains stuck at -18% an extreme reading, but not a reading
pressing the extremes. still in wait mode. to my mind the cots didnt reveal anything. the commercials reduced their shorts, but
not to the point of being bullish. one of these declines could see a reversal day. for now jobs on friday. and itexit next week.
then the fed the following week. i dont necessarily see rising rates as bearish, and there is lots of history to support my view
for now sitting w/my hands in my pockets. i had bought this level. no need to repeat that. opec says they will reach an agreement,
oil is rallying, which at some point will lend support to gold
i am right where i want to be w/these market conditions.
awaiting wave 3 up!
dharma
https://www.regblog....mercial-metals/

Edited by dharma, 30 November 2016 - 11:50 AM.

[senorBS]

that is the reality of india. it is not lost on those who have, its why they have arguably the largest gold hoard in the world!

gold is pressing the lows here. the mining indexes are not pressing their higher lows. as long as the divergences hold i believe
based on past performance this will have a bullish resolution. hgnsi remains stuck at -18% an extreme reading, but not a reading
pressing the extremes. still in wait mode. to my mind the cots didnt reveal anything. the commercials reduced their shorts, but
not to the point of being bullish. one of these declines could see a reversal day. for now jobs on friday. and itexit next week.
then the fed the following week. i dont necessarily see rising rates as bearish, and there is lots of history to support my view
for now sitting w/my hands in my pockets. i had bought this level. no need to repeat that. opec says they will reach an agreement,
oil is rallying, which at some point will lend support to gold
i am right where i want to be w/these market conditions.
awaiting wave 3 up!
dharma
https://www.regblog....mercial-metals/

good points, this 1170 area is very key IMO. If we decisively break below that level later today I am out. I want to see this current small bounce attempt continue, if not its adios time for my trading position which is all I will do here for now.

 

BSing away

 

Senor

[dougie]

Looks to me like 1035 is more and more likely now

[senorBS]

Looks to me like 1035 is more and more likely now

I would not say that until 1170 is decisively broken, you have another new low in gold today yet GDX/GDXJ/HUI at a higher low and all kinds of technical divergences so far. I agree we are on the fence big time but I'd rather take a stab at the long side with a tight stop as I believe risk/reward from here very attractive. That being said one must be disciplined and get out quickly if support is broken

 

Senor

[dharma]

yup gotta be prudent. if new lows are made 1st have to make sure its not a bear trap!
right now gld has hourly and daily divergences. so the divergences keep happening
making this look like, at this point a significant bottom. unless of course they run
support.
sitting
dharma

[dougie]

Senor is muy skilled at getting out. Something I am not good at doing. Seems to me the safe course is to wait for some real confirmation of lows. Why ever not?

[dougie]

i think at least of solid run of support is in order. Some low ball bids out there might make sense for the possibility of one MAJOR SPIKE Lower

[dougie]

From Kimble