Saturday, October 24, 2015

Some weekend news

As promised, here's some stuff and junk and stuff:

Calculated Risk - weekly initial claims 4-week average lowest since 1973. Is that why it was a good idea to puke the S&P by 10% last month? Seriously, I'm wondering why you puked the S&P last month, Whitey. Is it looking now like that was a good idea, honky?

WSJ RTE - China pessimism is overblown. Hey Whitey, remember when you were scared about the coming collapse of the Chinese economy? Like, last month? Do you feel stupid yet?

Yahoo Finacne - October rally has ETF shorts scrambling. Good job, Whitey! You just lost your clients billions by betting against continued economic expansion. Idiot.

Reuters India - Indian festive demand for gold sluggish. Then why is it back up over $1150? I'm kinda thinking that A. Ananthalakshmi is being paid to run negative stories on gold. - Venezuela ready to dump 80 tons of gold. Izzat so, Frik? Then why is the gold price up? Wanna let us know who paid you to run a downer story on gold? Or did you do it for free?

Krugman - Keynes comes to Canada. Wow, lot of economists out there congratulating Trudeau on not being an economic moron. I wonder if this becomes the new fad among politicians? Quote:
Here’s what the Liberal Party of Canada platform had to say...: “Interest rates are at historic lows, our current infrastructure is aging rapidly, and our economy is stuck in neutral. Now is the time to invest.”
This makes complete sense in economics. Or, at least, it does if your professor admits to you that the Cobb-Douglas production function needs public capital as one of its inputs, which mine have only done in private emails to me, not in public during a lecture. And so the discipline of economics continues to turn young people into idiotic paleoconservatives.

Friday, October 23, 2015

quick note

I almost definitely got 100% on my Polisci test last night. Part of it's because while the test had some questions on IR theory and I had studied enough, it also had some questions on history - and I was there.

Seriously. There was a short answer question on the Cold War. Dude, I was there. I lived through the cold war. I grew up with the 60 Minutes stories on American-backed terror squads murdering nuns, and yet they were the good guys. I was 19 when the Alexanderplatz demonstration happened. I had profs in the Russian department interrupting regularly scheduled classes to talk to us about the importance of the coup against Gorbachev and the rise of Yeltsin. The poor kids of today don't even understand the movie War Games.

Anyway. Just a note to say I haven't disappeared. I'm just at work right now. I'll have some links about gold later. For the time being, lemme just say I am really enjoying the action in the gold miners: they're constantly trying to shake out the longs, but then the miners keep inching higher and higher despite the moribund gold price.

And meanwhile, everyone and their sister continues to print negative articles on gold.

I'm ringing the bell right here and saying that we've seen the bottom.

OK, maybe not the bottom in shitty worthless stocks like Pilot or B2, but at least the bottom in the senior miners generally.

Friday video: for fuck's sake, a Marine Girls video? Quit it already.

Seriously? They sold like 500 records in the early 80s.

But now you can watch a video by Tracey Thorn's highschool band the Marine Girls on YouTube.

BTW, her autobiography Bedsit Disco Queen is a really terrific book, and about the most readable and enjoyable biography I've come across. It basically spans from her early highschool discovery of punk, up to about where she recorded "Protection" with Massive Attack and "Missing" became a worldwide hit.

Great book, you can find it on Amazon, you have no excuse, I'm not even remotely an EBTG fan and I loved the book.

Thursday, October 22, 2015

Morning news

I guess yesterday's US market dive was the result of all that Valeant bullshit. It was funny to see Zerohedge post a list of all the other companies that Ackman owns, and then see that followed up by selling in those companies. Yes, let's sell things owned by Bill Ackman! Because reasons!

The question is, does the market use this Valeant bullshit as an excuse to begin rolling over? Here's SPY:

The chart does look like it wants to roll over. There's your dumbass resistance line that Whitey is always fixated on, at about $203, and there's SPY turning back at that point. MACD is turning down, RSI(14) turns down at 60... seems like a perfect setup.

Then again, the EZ is threatening further QE, which would be a good way to provide a boost to world consumption. In which case there's no reason to sell the US.

Well, I guess the test will be whether SPY turns back up at the EMA(10), in which case this was just a bit of healthy consolidation. Maybe SPY even drops as far as the SMA(50) or the Bollinger mean - I mean, you can't stay 2% above the mean for 2 weeks straight without some massive buying strength.

Oh well. Only one bit of news today, and it's Schadenfreude:

der Spargel - Germany used slush fund to win World Cup bid. Yet another example of the rampant corruption at the heart of the German economy. My god, they're more corrupt than Greece!

Tuesday, October 20, 2015

A bit of news

Got a polisci test Thursday, would rather study than post. Still, here's a couple news bits for ya:

New Deal Demoncrat - weekly indicators. He thinks things are starting to look bad.

Bloomberg - ooh aah the Chinese are selling US debt. Who were the clowns who suggested this would lead to an interest rate crisis? Cos it turns out they're wrong. The debt market doesn't care because there's still strong demand for US debt.

John Quiggin - Locke's Road to Serfdom. Betcha you didn't know that John Locke himself was an advocate of having a slave class. In fact, if you're an economics student, I know you didn't know, because they never made you read the original authors.