SP 500 and NDX Futures Daily Charts - Ship of Fools

Retail sales came in much worse than expected with Sales ex-auto dead flat.

The Empire manufacturing number came in 'better than expected.'

The equity market was in a float up mood in light volumes.

CPI out tomorrow. I doubt it will have much meaningful content.

Weekend Reading: And What Then of the Other?

And who in this story is 'the other?'

Are there more than one?   Who is not 'the other?'

And behold, a certain lawyer stood up and tested Him, saying, “Master, what shall I do to inherit eternal life?”

Jesus said to him, “What is written in the law? How do you understand it?”

And the lawyer answered Him saying, “‘Thou shalt love the Lord your God with all your heart, and with all your soul, and with all your strength, and with all your mind, and your neighbor as yourself.’”

And Jesus said to him, “You have answered rightly; do this and you shall live.”

But the lawyer, wanting to justify himself, said to Jesus, “And who is my neighbor?”

And Jesus answered him saying, “A certain man went down from Jerusalem to Jericho, and fell among thieves, who stripped him of his belongings, assaulted him and departed, leaving him half dead.

And by chance there came down a certain priest that way. And when he saw him, he passed by on the other side.

And likewise a Levite, when he was at the place, came and looked at him, and passed by on the other side.

But a certain Samaritan, as he journeyed, came to where he was. And when he saw him, he had compassion for him. He went to him and bound up his wounds, pouring oil and wine on them. And he set him on his own beast, and brought him to an inn and took care of him.

And on the next day when he departed, he took out two pieces of silver, and gave them to the host and said to him, ‘Take care of this man.  And if  you spend more, when I come back this way I will pay you.’

Which of these three do you think was a neighbor to him that fell victim to the thieves?”

And the lawyer said, “He that showed mercy to him.” Then Jesus said, “Go you, and do likewise.”

Bill Moyers: Weapons Of Mass Distraction and Bending Towards Justice

Gold Daily and Silver Weekly Charts

Intraday commentary on the German gold situation here.

There was some cross current discussion between Fed heads today, with regard to the future of quantitative easing and the state of the real economy.

It is good to note that the Banks have just slashed their estimates for US GDP for this quarter. The recovery is illusory, unless you restrict yourself to the gated communities and lofty towers of the pampered elite and ignore the state of the great bulk of your people.

Something must be done, of course, but the credibility trap is an obstacle to genuine progress. So until then, it is extend and pretend.

I see that Larry Summers is making a strong push to be the new Chairman of the Federal Reserve. It is hard to tell what is true and what has been planted by the financiers in the news, but Obama is said to view this favorably.

Proverbs 26:11 comes to mind.    'As a dog returns to its vomit, so a fool repeats his folly.'

Have a pleasant weekend.

SP 500 and NDX Futures Daily Charts - Another Record Close on the SP 500

Despite the faux exuberance from Wells Fargo and JPM earnings reports, the market action seemed 'heavy' even with the light volumes.

I thought it was notable that JPM made most of its profit from investment banking and 'trading.'

The market looks tired after a remarkably parabolic run.

NAV Premiums of Certain Precious Metal Trusts and Funds - A Rose By Any Other Name

"People always overdo the matter when they attempt deception."

Charles Dudley Warner

Just watching, and waiting.

Speaking of overdoing the matter, a reader informs me that the Fed has changed some names in their Monetary Base Report H3.

Excess Reserves are now called Balances maintained that exceed the top of the penalty-free band

Now, is that just a new bureaucratic euphemism, or is the Fed tipping its intention to start penalizing certain reserve categories held by the Banks with negative interest rates? And if penalties on reserves are enacted, what if anything does that imply for interest paid on savings deposit accounts and other savings vehicles?

Is that a calculator in Ben's pocket, or is he just glad to see us?