SP 500 and NDX Futures Daily Charts - Goldilocks Today, But Guess Who's Coming To Dinner

"Then Peter began to speak to them: ‘I truly understand that God shows no partiality, but in every nation anyone who fears Him and does what is right is acceptable to Him.'"

Acts 10:34-35

 

“The fine thing about pacts with the devil is that when you sign them you are well aware of their conditions. Otherwise, why would you be recompensed with hell?”

Umberto Eco, The Name of the Rose

Wall Street got the Non-Farm Payrolls number they wanted today.  And from the UK election results as well.

The report came in-line on this month's jobs, with a lot of help from the imaginary jobs cooked up by the BLS Birth-Death model, and there was less wage growth than expected, almost none.

Not to notice that they took the prior months number and cut it about 40%, scraping those jobs forward.  As regular readers know they do this quite a bit.

Given the sloppy numbers on inventory build we saw yesterday, it looks like 1Q might turn out to be a 'kitchen sink' quarter where they shove a lot of the bad news on jobs and GDP, and manage perceptions going forward since few in America ever seem to bother with history, even the history of three months ago.

This is what the financiers like. Lots of underpaid servants, bartenders, busboys, and on-demand workers drones that know their places.

Have a pleasant evening.

Gold Daily and Silver Weekly Charts - Brood of Vipers

“The power and influence of the financial sector threatens a continuation of the regulatory capture that contributed to the financial crisis. Financial firms, too often, have significant say in the appointment of high regulatory officials.

The tendency of some former government officials to obtain highly lucrative positions in the financial sector after leaving government may well act as an inducement to those remaining in government to serve the interest of the financial sector rather than those of the public.”

Brooksley Born, Finance & Society Conference, May 5, 2015

The Western Banks are all over these markets, from commodities to equities. They are creating huge amounts of money debt, and providing it to the financial industry as top down stimulus. What results is little aggregate or 'organic' growth and a series of paper asset bubbles. They should be ashamed but they are too busy plundering to feel any twinge of conscience. They are like a herd of swine, racing for the abyss.

I had to chuckle when the pampered princesses and giggling jackals were talking about the jobs report tomorrow, and said that the ideal situation would be 'a strong jobs number with no wage growth,' a true 'goldilocks' scenario.

I have given up any expectation of reform from within. There will have to be some eye-opening incidents to shake the complacency of the fortunate few.

Non-Farm Payrolls tomorrow.

Have a pleasant evening.

 

 

 

SP 500 and NDX Futures Daily Charts

With the exception of the big dip late last year that the Fed turned into a sharp V bottom, US stocks have been riding an upbroken uptrend fueled by Fed QE stimulus since 2012.

So before you start shorting the market ahead of a failure, think hard about that and keep an eye on the trendlines.

There is no doubt in my mind that we are in an asset bubble. How it resolves will probably be rather ugly, but the timing of this is highly problematic with most of the world's Western central banks pumping liquidity into the banking system and the equity markets.

Non-Farm Payrolls tomorrow. The expected number is around 218,000.  I have highlighted all the key numbers in the economic calendar below.

Have a pleasant evening.

Gold Daily and Silver Weekly Charts - Measuring the Unseen, Calculating the Unknown

"On the 28th of October 1940 Greece was given a deadline of three hours to decide on war or peace. But even if a three day or three week or three year deadline was given, the response would have been the same.

The Greeks have taught dignity throughout the centuries. When the entire world had lost all hope, the Greek people dared to question the invincibility of the Germans, raising against it the proud spirit of freedom."

Franklin Delano Roosevelt

"If the Russian people managed to halt and reverse the German torrent at the doors of Moscow, they owe it to the Greek people, who delayed the German divisions long enough so that they could not bring us down to our knees."

General Georgy Constantinovich Zhoukov

"Until now we used to say that the Greeks fight like heroes. Now we shall say, that heroes fight like Greeks."

Winston Churchill

When the great Persian King demanded the surrender of the weapons from the Greeks at the Battle of Thermopylae, King Leonidas I of Sparta responded drily, molṑn labé (μολὼν λαβέ), meaning, having come, take them.

 

And although most have forgotten, when the whole world was falling into despair, the Greek people dared to defy the seemingly invincible Wehrmacht, and raised the hopes of all nations who yearned to remain free.   Greece in the Second World War.

 

This incalculable principle of the resilience of the human spirit may find some application in any number of situations we see today in our modern world, as it has done so frequently in the past.  

 

The Greeks may stand, and bravely fall again, and the cynics may say, 'see we were right after all.  We told you so.  It is foolish to resist.'  Or it may be some other people, at some other place.  But it will happen.

 

And at least they will have lived, and stood free, and upheld their legacy for a time when they could raise a hand.  And this is something those groveling at the feet of power, making snide remarks, quietly and unheard to themselves, hoping that they will be left for last by the global predator class, may never be able to say. 

 

And this is what frightens the petty despot and the tyrant, and makes a chill run through their heart.   They never know when the people will finally have the will to stand and say, 'enough.' 

 

And so, in retrospect, no matter how powerful, they always seem to finally go too far, into some needless excess of power, some abuse of propriety,  some excessive assertion of vain invincibility, and set into motion their own terrible decline and downfall.  Think of it.  Always.

Have a pleasant evening.