07 May 2019

The Political Elite and the Rise of Global Populism


"What the two sets of party elites also share is contempt for their parties’ base of activists, voters and non-donor constituencies. Aside from paying them lip service during election season, Republican elites have no use for their base of religious voters, anti-immigrant activists and small-business people...

Similarly, Democratic Party leaders have no use for the priorities of their voters and activists, who by large margins support Medicare-for-all, the Green New Deal and an end to our militarized foreign policy...

The realization of how little the agendas of ordinary people matter to the elites of both parties has made it a lot more acceptable for their betrayed bases to look for alternatives, which would have been unthinkable a decade ago. In fact, this realization is the genesis of the populist moment in current American politics."

Bill Blum, Democratic [and Republican] Elite Could Care Less About the Life of the Party


“Incestuous, homogeneous fiefdoms of self-proclaimed expertise are always rank-closing and mutually self-defending, above all else.”

Glenn Greenwald


“People with advantages are loathe to believe that they just happen to be people with advantages. They come readily to define themselves as inherently worthy of what they possess; they come to believe themselves 'naturally' elite; and, in fact, to imagine their possessions and their privileges as natural extensions of their own elite selves.”

C. Wright Mills


"Propaganda is the executive arm of the invisible government."

Edward Bernays

There is no point in trying to persuade and cajole the various party elites, of either side of the aisle, to redirect their attention back to the American public. Their minds and hearts belong to the donor class and the power elite, and while they may pay lip service to reform and rights and the public welfare, their venal instincts bring them around to follow the money, every time.

Obama betrayed the progressiver trust in the mandate he was given for reform.  That is a difficult but key admission towards freeing oneself from the unthinking herd.   And abandoning the ''lesser of two evils' rationale.

Have you ever wondered why there are effectively only two parties in this vast America?

Trump talks a good game as well, albeit more loudly and more crudely and more shamelessly, but he is betraying his own base of supporters as well.  He is remarkably adept at shifting the blame, and blowing all the familiar dog whistles when his natives get restless.   The benefit to him is that he is riding a wave of irrational anger and backlash, and he feeds and channels it like most unscrupulous demagogues do so well.

The American people soundly rejected Hillary and her party apparatus which was made evident in the last election. And as a result of what could have been a learning experience the Democrats may talk a good game about change, and then the party elite serve up who— the corporatist party hack Joe Biden, probably the least reform-minded and progressive candidate in the field.  And all the courtiers to corporate power in the media and the other enabling organizations fall immediately into line.

And try to shame anyone who disagrees or dissents from the prevailing narrative.

Liberals like to pride themselves with their intellectual sophistication and high-principled judgement, as compared to 'the deplorables.'   Conservatives do the same thing, with a strong emphsis on morality and common sense.

But when it comes to it, they both will stand by and accept terrible injustice, if not outright crimes, and toss aside the very principles for which they apparently stand. For the sake of winning.  But oh no, not for their own benefit, but for the sake of 'justice' for the right kind of people.  Never mind the methods they must regretfully employ.

They will bend themselves into logical knots, and paint their hypocrisy with rationales designed to let them keep their pride and sense of being better than the rest, whom they despise.  They are the most noble, untainted by the things that they despise.  But they embrace what they hate in other guises.

They will do it for the sake of 'the party,'  for winning, for the continuing power of an organization which has been waylaid by a relatively small group of the servants of the powerful few, and primarily serves itself, while couching its actions as 'the lesser of two evils.'

For the sake of victory over the forces of evil these jokers will make Faustian bargains, for the sake of expediency and some higher good, with the same thought and care with which they change their underwear.

Change will come. But it will be jarring, and disruptive.

Winning....






06 May 2019

Stocks and Precious Metals Charts - Saving Private Equity


"There is no worse mistake in public leadership than to hold out false hopes soon to be swept away. The British people can face peril or misfortune with fortitude and buoyancy, but they bitterly resent being deceived or finding that those responsible for their affairs are themselves dwelling in a fool's paradise."

Winston Churchill


“Those entrapped by the herd instinct are drowned in the deluges of history. But there are always the few who observe, reason, and take precautions, and thus escape the flood. For these few gold has been the asset of last resort.”

Antony C. Sutton

Just charts tonight.

The futures reversed and are selling off after hours as the US says it will increase China tariffs on Friday.

And the paint on the tape was barely dry.

Have a pleasant evening.



Physical Metal Holdings of Trusts and Funds


"What these experiences have taught me is that even when people are warned of a previously founded case or even a conviction, they still routinely underestimate the pathology with which they are dealing.”

Anna Salter

The spice must flow.



03 May 2019

Stocks and Precious Metals Charts - 'The Envy of the World'- Bloomberg Cites 'the Endless Rally'


"Anyone who bought stocks in mid-1929 and held onto them saw most of his or her adult life pass by before getting back to even.”

Richard M. Salsman


"Ordinarily, the financial risk in a market, and hence the risk to the economy at large, is limited because the assets traded are finite. There are only so many houses, mortgages, shares of stock, [bars of gold], bushels of corn or barrels of oil in which to invest.

But a synthetic instrument has no real assets. It is simply a bet on the performance of the assets it references. That means the number of synthetic instruments is limitless, and so is the risk they present to the economy. Synthetic structures referencing high-risk mortgages garnered hefty fees for Goldman Sachs and other investment banks.  They assumed an ever-larger share of the financial markets, and contributed greatly to the severity of the crisis by magnifying the amount of risk in the system.

Increasingly, synthetics became bets made by people who had no interest in the referenced assets.  Synthetics became the chips in a giant casino, one that created no economic growth even when it thrived, and then helped throttle the economy when the casino collapsed."

Carl Levin, US Senator


"From the least to the greatest, all of them are greedy for unjust gains;
and from prophet to priest they all deal falsely.
They have treated the suffering of my people carelessly,
saying, ‘all is well’ when there is no safety.
They act shamefully, they commit terrible offenses;
and yet they are not ashamed,
and do not even know how to blush.
Therefore they shall fall among those who fall."

Jeremiah 6:13-15


"We can all agree that AMERICA is now #1.    We are the ENVY of the WORLD — and the best is yet to come!"

Donald J. Trump


"Easy is the descent into hell;
The door to death and darkness stands open, day and night.
But to retrace one's steps, to return once more
to the pure clean air, and cheerfulness and life:
That is our task, that is our true labour."

Vergil

Maybe it won't be so bad this time.   The Fed does own a printing press, and the rationales for using it freely are becoming increasingly persuasive to those who would deceive and be deceived.

Gold and silver may have found a bottom here, now that the antics of the bank which has been driving prices lower to make good on their short bets are almost done.

The available physical supply at these prices has continued to tighten, especially for gold.

Stocks are soaring to highs.   Or as Bloomberg noted today, stock buybacks from corporations flush with tax cut money are fueling an 'endless rally.'
"If individuals aren’t enthusiastic, who’s buying stock and pushing prices up? It’s impossible to know precisely, but one set of usual suspects is clearly doing a lot of the heavy lifting: corporations themselves. They’ve had plenty of profits in recent years, which have been boosted by federal tax cuts, and have used a chunk of them to buy back their own stock. Share repurchases rose 22 percent in the first quarter, to an estimated $270 billion, according to Bank of America Corp., easily eclipsing the amount of money withdrawn from mutual funds. That companies don’t see more opportunities to invest in their actual businesses—say, in factories and research and development—instead of shares may be a bad omen for growth, but for now it’s keeping the party going."

Michael Regan, The U.S. Stock Market Can’t Stop, Won’t Stop Its Endless Rally

This could be quite impressive, both in the extent of the high, and in the ferocity of its descent.

As I seem to recall, those who bought and held stocks in 1929 did not break even again until most of their life was past, in the 1950's.

Have we truly given ourselves and our childrens' futures over to such reckless and arrogant characters?   It appears to be so.

Sooner or later a crash is coming.  And it may be terrific.

What has been hidden wll be revealed.  What is secret will be made known.

From our oasis to yours, have a pleasant weekend.