And Derivatives Walk
Like the Conservation of Energy, Information and Matter, Wealth simply does not disappear.
Wealth does change hands or transform its appearance.
Prima facie evidence is the FAZ Triple Levered Derivative Based High Risk/High Reward $1.2 Billion daily reset compounding Exchange Traded Fund.
We and Big4 subscribers bought FAZ low with Trailing Buy Stops as close [...]

The Next Big Thing?
We note in opening, after a week of repeated Coronal Mass Discharge and a weekend of M-Class flares, the 22-year-plus record Solar Sunspot Minimum awoke with surprising strength.
At present, GeoElectroMagnetic GEM conditions are Unsettled, with Northern Lights seen as far south as Michigan, strong weather, and communication, market and power outages.
The NOAA [...]

With all the ingredients for a perfect economic storm…
Today we come out of the market closet as an astronomer.
The timing is good, with active solar sunspot flare events and NOAA space weather warnings as we enter the upswing of what may be the strongest 11-year sunspot cycle in over a century.
http://www.nws.noaa.gov/
http://www.swpc.noaa.gov/forecast.html

It turns out space weather [...]

If we look at the Federal Reserve Z1 Flow of Funds Reports and listen to the Fed Chairman’s Testimony on The Hill, we may come to a startling confirmation:
Governments are out of money.
The President admitted this some time ago, although the idea caused so much cognitive dissonance most people forgot it.
http://zerohedge.blogspot.com/2009/05/barack-obama-we-are-out-of-money.html

Those that listen to the [...]

Will Debt Forgiveness Work?
One Friday in the San Francisco Financial District after work, a group of movers and shakers got together at Harrington’s Pub for a liar’s dice game that rocked their foundations and changed their lives.
There was such intense play, they ran out of Federal Reserve Notes. They played with cigarettes, matches and [...]

Via Default and Misdirection
By Rich Cash
Barbers, bartenders, beauticians, daycare workers, shoe-shiners and taxicab drivers may readily confirm popular wisdom the USA will inflate its way out of debt, like Zimbabwe today or the Weimar Republic over four generations ago with wheelbarrow money for a loaf of bread or a single ounce gold coin [...]

By Rich Cash
With Shadowstats.com 1980 methodology CPI at 10%, perhaps it is time to finally face financial reality.
http://www.shadowstats.com/alternate_data/inflation-charts

We are not going up anymore. We are going down.
CPI methodologies were repeatedly revised in the 80s and 90s by government economists to reduce government COLA Cost of Living Adjustments.
This also disguised the [...]

We can tell by viewers it is now unpopular to be a realist.
But that’s the way it seems, just as the fool on the hill saw the sun going down and understood the world spinning round.
No offense to W + 0 = W0e…
http://www.youtube.com/watch?v=RYA8wHC5Ebg 3:02

At serious turning points, it is easy to get emotional or think [...]

The good old retrospectoscope now shows a 160% countertrend rally in IYR Real Estate iShares that just ran 13% above its 45 target.
Not bad for bottom-feeders.

http://stockcharts.com/charts/gallery.html?iyr
Not only did Real Estate Investment Trust bottom-feeders find value, they got income up to 9%, albeit with the occasional dividend cut from firms with declining cash flow and falling [...]

Heck of an Asset Inflation We’re Not Having Brownie…
You don’t get to be head of the Fed without being a pretty darn good poker player, bluffing with a straight face you are not tightening, while in fact you are.
Nowhere was this more evident today than with 90-Day Treasury Bills, which today hit Six-month highs at [...]