SP 500 and NDX Futures Daily Charts - Dog Days of Summer

Today was a very sleepy day in the US markets.  

One might think that most of the adults on Wall Street left early for their Summer homes and the beaches, having held off the threat of a market plunge with which we began this week.

If you look to the SP 500 chart in particular you will see that the SP futures are in a symmetrical triangle which is a 'decision point.'  In a strong uptrend it is more often a continuation pattern, but at this point I would judge it to be much more of the crossroads, after the long bull run in stocks.

Next week is likely to be quiet UNLESS we see more exogenous surprises, most likely from overseas, in places such as Greece, the Ukraine, or China.

The organic action in the market is of much less influence than in a healthy market, and the major indices in particular seem to be firmly in the hands of the trading desks and their HFT algos.

The swings in volatility, if they continue in their Jekyll & Hyde manner of the recent past, may likely culminate in the establishment of a very visible major top, and a serious correction into the Autumn.

But that is just a possibility for now, although many will make the call in the hopes of a hit.

Have a pleasant weekend.

The Real News - 9/11 The Man Who Knew Too Much

"Mass surveillance is not about protecting people;  it is about social control.

The shadow government is its own enterprise, and it rewards those who pay obesiance quite richly"

Here is the second segment of a fascinating five part interview about the deep state and the mechanics of what some might call corporatism.

You may watch all five segments of this interview at The Real News here.  Note that they are listed in descending order on the site, so start from the bottom up to see them in order.

Gold Daily and Silver Weekly Charts - And Quiet Flows the Con

"As flies to wanton boys are we to the gods.
They kill us for their sport."

William Shakespeare, King Lear

Gold and silver took a break from the last few days, as the yellow dawg and silver rocket slumped a little on the porch after chasing the volatility of the markets around the barn.

That disruption was caused by the China currency devaluations which reminded those who have not been paying attention that a) there is a currency war underway, b) there is no sustainable economic recovery despite rosy reassurances and the facade of statistical growth, and c) there are a number of bubbles in financial assets that have been functioning primarily as wealth transfer mechanisms, and are wobbling in a manner that could bring the economy back to the brink once again.

The Bucket Shop was its usual quiet self yesterday as there were no deliveries to speak of, and no observable action in the warehouses.

Let's see how the metals can go out for the week in tomorrow's trade.  Recall that these macro changes tend to happen slowly, and as far as reform of the markets is concerned, there has been very little if any.

Have a pleasant evening.

SP 500 and NDX Futures Daily Charts - Whiling Away the Stabilization Phase of the Markets

"...further, the distinction between military and commercial space systems – combatants and noncombatants – will become blurred.  Information systems will become an important focus of attack, particularly for U.S. enemies seeking to short-circuit sophisticated American forces. And advanced forms of biological warfare that can 'target' specific genotypes may transform biological warfare from the realm of terror to a politically useful tool.

This is merely a glimpse of the possibilities inherent in the process of transformation, not a precise prediction. Whatever the shape and direction of this revolution in military affairs, the implications for continued American military preeminence will be profound.

...the process of transformation, even if it brings revolutionary change, is likely to be a long one, absent some catastrophic and catalyzing event – like a new Pearl Harbor. "

The Project For a New American Century, Rebuilding America's Defenses

The Project For a New American Century was a think tank founded in 1997 by Robert Kagan and William Kristol, with John Bolton, Bruce Jackson, and Devon Gaffney Cross as Directors.  Robert Kagan is the husband of Victoria Nuland.  PNAC was replaced in 2006 by the 'Foreign Policy Initiative' which was also founded by Kristol and Kagan.

In addition to promoting 'neo-conservative' policies within the Clinton, Bush, and Obama Administrations, the organization issued a major position paper called Rebuilding America's Defenses which you may read about here.

PNAC was a leading proponent for regime change and the wars in Iraq, etc.  Here is a list of the original signatories although there is no evidence that they specifically approved of this position paper.  There is a list of contributors on the last page of the paper itself.

A 'genotype' refers to a person's genetic (racial) characteristics (heritage) as well as any specific genetically related disorders such as Down Syndrome,  muscular dystrophy, etc.

The US equity markets were in a 'stabilization phase today, after the big push to get the major indices up off support yesterday, resulting in a remarkable rally.

China continued to devalue the yuan last night for the third time, but by a lesser amount.  They also held a press conference to try and smooth out any panic from the markets.

Have a pleasant evening.