Reprise: How Elitist Democrats Betrayed Their Traditional Working Class Base And Gave Trump the Presidency

Stocks and Precious Metals Charts - Between the Crosses, Row By Row

"One of the common failings among honorable people is a failure to appreciate how thoroughly dishonorable some other people can be, and how dangerous it is to trust them."

Thomas Sowell

Today was an option expiration, and we had an additional pop in stocks in order to complete the routing of the bears who piled on to the 'Trump dump.'

The putative reason for today's rally was a statement by the Fed's Bullard about the role that additional QE may play.  I am not sure if this was 'real' or just another reasons to wash and rinse the public.

Next week will be the June option expiration for precious metals on the Comex.

Stocks are at a bit of a crossroads here.  The SP 500 futures and big cap tech in the NDX, for example, have retraced approximately fifty percent of the recent drop, and are both at the midpoint of their respective bull trend channels.

There will be the second estimate of Q1 GDP next week.  I do not think it will be a big mover, since we tend to be forgetful of where we have been, even most recently.

Memorial Day is coming up at the end of this month.  As the poem says, 'take up our quarrel with the foe.'  

Who is 'the foe' of liberty and the pursuit of happiness?  In the answer to that question lies maturity, and wisdom.

Have a pleasant weekend.

Stocks and Precious Metals Charts - Burning Down the House

"Most of us are still too sane to piss in our own cistern, but we allow others to do so and we reward them for it. We reward them so well, in fact, that those who piss in our cistern are wealthier than the rest of us. How do we submit? By not being radical enough. Or by not being thorough enough, which is the same thing."

Wendell Berry


"Our future could be one in which continued tumult feeds the looting of the financial system, and we talk more and more about exactly how our oligarchs became bandits and how the economy just can’t seem to get into gear.

Recovery will fail unless we break the financial oligarchy that is blocking essential reform. And if we are to prevent a true depression, we’re running out of time."

Simon Johnson, The Quiet Coup, May 2009


"But there is a sort of 'Ok guys, you're mad, but how are you going to stop me' mentality at the top."

Robert Johnson, Audacious Oligarchy


"Isn't it a riddle and awe-inspiring that things can be so beautiful, despite the horror? I've seen something wondrous peering through my joy in the beautiful, a sense of its creator...Only people can be truly ugly, because they have free will to separate themselves from this song of praise. It often seems they will drown out this hymn with cannon thunder, curses, and blasphemy. But I have realized they will not succeed. And so I want to throw myself on the side of the victor.”

Sophie Scholl, Munich 1942

Stock options expiration tomorrow, and a precious metals option expiration on the Comex next week.

The action today looked like a dead cat bounce, with a little whiplash to give the amateur options betters a thrill. Here's a suggestion. At least the booze is free in Las Vegas.

Steve Mnuchin and Paul Ryan proved one thing in their respective testimony and press conferences today.

Trump is not the problem— he is a symptom. And so is Hillary.

Let's see what happens tomorrow.

Have a pleasant evening.