Today’s broken, “mangled” (to use Citi’s descriptor) markets come courtesy of: 1) frontrunning, parasitic HFTs, 2) the post-crisis regulatory regime which, to the extent it’s well meaning, was conceived by people who never had any hope of evaluating the likely knock-on effects of their policies, and 3) central banks, who have commandeered sovereign debt markets, leaving a trail of illiquidity and shrunken repo in their wake.
TOP INVESTMENT INSIGHT
US Oil Production Now Past
"PEAK SHALE OIL"
If the spending from the debt is bad investment or consumption then there may not be the means later to repay the debt to savers who may have lost spending through default of the borrowers. In this case, debt represents purely a bringing forward of spending and economic growth, in lieu of future spending and economic growth. Debt then merely allows greater current spending and creates temporarily the illusion of current prosperity at the expense of future prosperity.
Get ready for the next crisis, it's going to be far worse than 2008. Get out of debt. Money in the bank may not be there when you need it. A core holding in precious metals is a must. Invest in alternative energy for your home, it will pay a huge return. Be careful of your investments in Wall Street, they may not be there when you most need them. Most of all, be prepared!
World Oil Supply Non-OPEC oil supply in 2015 is projected to grow by 0.68 mb/d, in line with the previous forecast and below last year’s strong growth of 2.17 mb/d. OPEC NGLs are forecast to grow by 0.19 mb/d to average 6.02 mb/d in 2015, following growth of 0.18 mb/d in 2014. In May, OPEC production rose to 30.98 mb/d, up by 0.02 mb/d, according to secondary sources.
Medical examiners and police departments say it’s a genuine syndrome. The National Association of Medical Examiners has recognized the condition for more than two decades. And in 2008, the Council of the American College of Emergency Physicians declared that excited delirium is “a real syndrome of uncertain etiology.” Emergency room doctors and medical examiners insist that members of the larger mental health community don’t acknowledge the condition because they never see it.
Collapse, Part 1: Greece
When systems are broke and broken, collapse is the only way forward.
The theme this week is Collapse
It's a big, ccomplex topic because there are as many types of collapse as there are systems. Some systems appear stable on the surface but collapse suddenly; others visibly decay for decades before finally slipping beneath the waves of history, and some go through stages of collapse.
The taxonomy of collapse is broad, and each unsustainable system (i.e. a system that will fail despite claims to the contrary) has its unique characteristics.
Which brings us to Greece.
LEADING GLOBAL HEADLINES
- Decade of drought: a global tour of seven recent water crises
- There They Go Again: Asia Central Bank Policies Spur Bubbles
- U.S. municipal bond market grows to $3.7 trillion in first quarter
- PBOC Seen Cutting Reserve Ratios as Early as This Weekend
- BOK to keep accommodative stance: BOK chief (Korea)
- U.S. Junk Bonds Show Signs of Cracking as Buyers Pull Cash
- Chicago mayor eyes $1.1 billion bond sale to restructure debt
- Greek stocks take a beating as ‘Grexit’ risks rise
- Greece hangs on as unemployment worsens again
- Merkel reignites ‘currency war’ worries
- Merkel Defends ECB From German Criticism After Deflation Scare
- Treasuries Get Crowded Out as Corporate Bonds Inundate Investors
- Left-wing mayors surge into office in Spanish cities
- Looming debt default threat alarms Ukraine’s creditors
- Puerto Rico tax revenue drops 14.1 percent in May -Treasury
Top Weekly Ideas and Insights
The Extinction Debate
