Archive for 2015

Chinese Stocks Crash Most Since Feb 2007, Futures Limit-Down After Regulatory Crackdown On Margin-Trading

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

UPDATE:

  • *SHANGHAI COMPOSITE HEADS FOR BIGGEST LOSS SINCE FEBRUARY 2007
  • *CHINA CSI 300 INDEX FUTURES FALL BY 10% LIMIT

*  *  *

Who could have seen this coming?

Having tried and failed once to stem the speculative frenzy in Chinese stocks, regulators took more direct action tonight and suspended three of the biggest securities firms from adding margin-finance and securities lending accounts for three months following rule violations. As Bloomberg reports, Citic Securities, Haitong Securities, and Guotai Junan Securities shares plunged dragguing the entire Shanghai Composite down almost 7% and negative year-to-date.

As Bloomberg adds,

Regulators may have been concerned that stock gains, partly driven by margin financing, are too rapid, according to Hao Hong, a strategist at Bocom International Holdings Co. in Hong Kong. The move came after the Shanghai Composite Index surged 63 percent in six months and brokers including Citic and Haitong announced plans to raise more money to lend to clients.

“Brokerage shares are likely to get hit,” Hong said before the market opened today. “After all, margin financing is one of the reasons for people to be bullish on brokerage stocks, and these stocks have run particularly hard.”

Citic and Haitong, the nation’s biggest brokers by market value, announced plans for share sales that will help fund an expansion of businesses including margin financing. Those two and Guotai Junan were the three largest by assets in a 2013 ranking by the Securities Association of China.

“The regulators are doing this to cool down the stock market,” said Castor Pang, head of research at Core-Pacific Yamaichi in Hong Kong. “Stock market sentiment will definitely go down.”

*  *  *

In addition, China’s currency was sold hard out of the gate – testing 6.2250, its weakest level against the USD this year.





Guest Post: 5 Ways To Unf##k The World

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Submitted by Gary 'Z'McGee via The Waking Times,

Here’s the thing: the earth is not f##ked. The earth will go on evolving with or without us. In fact, in many ways it is better off without us. No, it’s the human world that’s f##ked. Either we adapt and overcome by making cooperation primary and competition secondary, or we’re f##ked. It really is that simple. Unf##king the world will not be a walk in the park. It will be a complete upheaval of what we think we know about how human beings are “supposed” to live on this planet. We’ll have to turn the tables on our egos, our so called leaders, and even our loved ones. We’ll have to outgrow being indifferent and get used to being different. We’ll have to awaken and clear outdated, multigenerational patterns that need interrogation and then integration at a higher vibration. Here are five ways to attempt unf##king an otherwise f##ked up world. Without further ado, let the unf##king begin.

1.) Unf##k Yourself

“To be human is necessarily to be a vulnerable risk-taker; to be a courageous human is to be good at it.” –Jonathan Lear

lion

Before you can unf##k the world, you have to unf##k yourself and then lead by example. Start by questioning everything, especially yourself. Meditate on everything, and then let it go so you are free to create something new. Do it to the nth degree. Question yourself so hard and so ruthlessly that your bones ache with doubt and your soul trembles with uncertainty. And then let that doubt and uncertainty go. Question your devotion to an unhealthy, unsustainable lifestyle. Then brainstorm on ways to live healthier and more sustainably. Question why you tolerate and defend unjust, inept, and corrupt systems of human governance. Then free-associate ways to make it more just, more competent, and more honest. A mindf##k a day keeps the brainwash away. Question why you’re not doing what it takes too become healthier in mind, body, and soul. Interrogate your ego. Cross-examine your soul. Then take the answers and apply them to the natural world. Get out into nature and have a deep, interdependent conversation with Mother Nature using a language older than words, and then discard what insults her soul. Her soul is your soul, after…
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The PunchLine: “The Oil Crash Is No Small Matter…Repurcussions Will Be Extensive”

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Via Abe Gulkowitz’s The PunchLine:

Awkward Beginnings… With all due respect…

What a way to start the year. The crash in oil prices is no small matter. The previous down sweep in energy prices occurred in the midst of the financial crash 0f 2008 and Great Recession. Oil prices soon reversed afterwards and climbed back to dizzying heights, even as world economic and financial recovery remained fragile. This time it would be foolish to bet solely on such a similarly quick snapback. The current bear market for oil may actually be the beginning of a longer and extended period of low commodity prices…

First, the price of oil at $100/bl or above had been an absurdity.

Second, many nations simply cannot afford to curtail pumping oil, even at a loss in the short run.

Third, global growth is proving to be woefully inadequate and uncertain. Even as growth in the U.S. economy is becoming more firmly entrenched, the rest of the major economic engines remain mired, as we have argued for some time, in subpar growth trajectories. The Euro area may be facing another soft patch and remains entangled in both economic and geopolitical crises. The recovery in Japan has been slower than expected. And China continues to grow well below its previous super- track; and it obviously faces headwinds from a volatile real estate sector, awkward debt buildups and massive stockpiles of high-priced commodities.

Fourth, the shale gas revolution has transformed America’s energy markets, with profound effects for economic growth, competitiveness, security, and environmental quality. And the extensiveness of the oil rush in America is also playing a big role in pushing the adjustment on prices.

Naturally, the new weakness in commodity prices will bolster the economies of some countries, but clearly damage others. The strength of the U.S. dollar in the face of a stronger U.S. economy and shift in Fed policy this year, combined with the sharp drop in commodities could expose severe underlying vulnerabilities in situations with significant currency mismatches. The effects of exchange rate movements for the developing world may also become more marked if the duration of the upward climb of the U.S. dollar becomes extended even more. The various repercussions will be extensive; this extremely tense business picture will be detailed herein in 2015.

The…
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Graves Waiting For Bodies: Major War Escalation in Ukraine; In 5 Weeks Ukraine Out of Money

Courtesy of Mish.

We regret having to interrupt feel-good weekend articles with more sobering news. In Ukraine, major battles have broken out over the past couple weeks.

Mainstream media has widely ignored the story because of Greece, then Charlie, and then the Swiss Franc. And of course Western media has no interest in reporting news the rebels are winning.

However, ignoring the story does not make it go away.

Major Rebel Advance

On November 9, 2014, I posted Ukraine Split in Two; Expect Major Rebel Advance.

That advance came later than I expected. But it is here in full force.

Max Keiser provided this accurate headline two days ago: Ukraine Lurches to Full Scale War as Russia Drastically Reduces Gas Supply to EU.

Reader Jacob Dreizin, a US citizen who speaks Russian and reads Ukrainian sent a few emails and videos recently worth posting.

From Jacob …

Hello Mish

Here’s a video that shows a military “cemetery” in Dnepropetrovsk region, Ukraine. Note especially seconds 33 through 51. There are literally hundreds of empty holes in the ground here, waiting for bodies. I read in another source that these graves were dug very recently, probably right before this video was posted on January 8th. Looks like Kiev had been planning an offensive, presumably the one that was just broken up by the rebels in the last few days. I guess it’s cheaper to have the graves dug all at once than to keep calling the backhoe crew over and over.




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Chinese Stocks Crash Following Renewed Crackdown On Margin Accounts

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Who could have seen this coming?

Having tried and failed once to stem the speculative frenzy in Chinese stocks, regulators took more direct action tonight and suspended three of the biggest securities firms from adding margin-finance and securities lending accounts for three months following rule violations. As Bloomberg reports, Citic Securities, Haitong Securities, and Guotai Junan Securities shares plunged dragguing the entire Shanghai Composite down almost 7% and negative year-to-date.

As Bloomberg adds,

Regulators may have been concerned that stock gains, partly driven by margin financing, are too rapid, according to Hao Hong, a strategist at Bocom International Holdings Co. in Hong Kong. The move came after the Shanghai Composite Index surged 63 percent in six months and brokers including Citic and Haitong announced plans to raise more money to lend to clients.

“Brokerage shares are likely to get hit,” Hong said before the market opened today. “After all, margin financing is one of the reasons for people to be bullish on brokerage stocks, and these stocks have run particularly hard.”

Citic and Haitong, the nation’s biggest brokers by market value, announced plans for share sales that will help fund an expansion of businesses including margin financing. Those two and Guotai Junan were the three largest by assets in a 2013 ranking by the Securities Association of China.

“The regulators are doing this to cool down the stock market,” said Castor Pang, head of research at Core-Pacific Yamaichi in Hong Kong. “Stock market sentiment will definitely go down.”

*  *  *





What We Can Learn From The Richest Man In Asia

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Submitted by Simon Black via Sovereign Man blog,

It was nine months ago when we reported that Li Ka-shing, the richest man in Asia, had sold all of his major assets in China.

In 2013 when he started dumping his Chinese property holdings he was being ridiculed and criticized. Everyone was bullish on China’s real estate market.

It turns out you don’t want to bet against a man with a track record like Li’s.

Li Ka-shing’s grasp for major trends is unmatched. And he demonstrated his shrewdness and insight yet again when China’s real estate market went into correction mode last year.

He got out right at the peak of the market.

He recognized that China’s major credit bubble isn’t sustainable. Behind closed doors, the bosses in Beijing know it too.

A recent report by the chief economist at the Bank of Singapore reveals that the Chinese leadership is desperately trying to conceal the effects of excessive credit and engineer a ‘soft landing’.

And yet Chinese credit expansion continues.

Data from the Bank of International Settlements shows that in 2014 credit expansion’s share of GDP growth soared by 14%.

Since the end of 2008, credit expansion has accounted for 79% of China’s GDP growth.

Historical data and analysis shows that such levels of credit expansion inevitably lead to a lot of bad debts that can’t be repaid.

We’ve already seen first ever Chinese corporate defaults as a result of these policies, and we can expect more.

The long-term trend for China is of course, positive, but this doesn’t mean it’s going to be a smooth ride along the way. Nothing goes up or down in a straight line.

Right now, renminbi assets are falling and renminbi is weakening. Capital is fleeing China in fear of a major credit crunch.

Li was one of the first to spot this trend, and he got out.

Moreover, he’s hedging his bets across the board.

His most recent move is to restructure his investment companies and move them to the Cayman Islands.

Li is being very prudent– moving his money and his assets far away to safe, stable locations so that no single government has control over him.

Until now he was very much dependent on a single jurisdiction. He resides in Hong Kong and has…
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Obama’s “Free College-For-All” Handout Explained (In 1 Cartoon)

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

“Other people’s money…”

Source: Indystar via Sunday Funnies





Sneakin’ In To The USA: Remake of Surfin’ USA: Remake of Sweet Little Sixteen

Courtesy of Mish.

For those looking for yet another lighter weekend moment, I can oblige with a trilogy of musical videos to compare.

Rusty Humphries made an entertaining (some may say “politically incorrect” or insensitive) remake of the 1963 Beach Boys hit tune Surfin’ USA, which in turn was actually a remake of Chuck Berry’s 1958 hit Sweet Little Sixteen.

Here are three versions to compare.

Sneakin’ In To The USA – Rusty Humphries

Link if video does not play: Rusty Humphries: Sneakin’ In To The USA

Surfin’ USA – Beach Boys

Link if video does not play: Beach Boys – Surfin Usa (Live, 14 March 1964)

Sweet Little Sixteen – Chuck Berry




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Franc-ly Speaking: What If It Were All A Set Up?

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Via Mark St. Cyr,

Everyone loves a good conspiracy theory debate. Regardless of whether you argue for it, or against, there are times when suddenly the ramifications for plausible truth are realized that overshadow the conspiracy. This is where the plot of truth can get far more sinister than the imagined conspiracy ever could.

Since we’re going into a long holiday weekend here in the U.S. I figured it would be instructive to indulge in a few hypothetical arguments while throwing in a little conspiracy theory to make one think about what just might seem at first blush as unthinkable, might actually be more in line with undeniably plausible as time plays out.

For it will only be “in time” that we’ll know more about what prompted certain actions going forward. And what they may mean to all of us down the road if played out in ways most others would never contemplate.

I make that point because when I first thought about the Swiss National Bank’s (SNB) declaration to rescind its commitment to the Euro peg, I wondered why when just mere days before they assured their commitment to it.

A decision of this scale and magnitude with all its disruption directly thrust upon its own business infrastructure (i.e. The immediate throwing of profits into the waste-heap via a new exchange rate.) there had to be a reason far more onerous to the SNB than previously imagined. And that’s when my first thoughts went to thinking that maybe the SNB – was set up.

I use the words “set up” intentionally and deliberately. Why? Let’s just say today’s Central Bank cartel seems to have more in common with characters and scenarios in an episode of the Sopranos™ than anything else. Too harsh? Fair point. So let’s remember another indecent not all that long ago for some perspective.

Back in early 2011 then head of the International Monetary Fund (IMF) Dominique Strauss-Kahn (DSK) suddenly was charged with rape, sexual abuse, and unlawful imprisonment. DSK at the time was considered the rising star in the world of European monetary policy and politics. So much so that he was also considered a credible challenge to Nicolas Sarkozy for the French presidency. In a blink of an eye all that was wiped from the ledgers. And none seemed…
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First It Refused To Bail Out Its Insolvent Banks; Now Iceland Set To Officially Withdraw European Union Application

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Iceland may be a small country, but when it comes to dealing with big problems it is truly the modern equivalent of David in the battle against the status quo Goliath. First, it was Iceland, and only Iceland, refusing to bail out its banks, when every other western nation was being held hostage by those who stood to lose the most from a financial collapse, and even going so far as throwing some of its banking executives in prison. And now, as MBL reports, Iceland’s con­ser­v­a­tive In­de­pen­dence Party will sup­port a res­o­lu­tion in par­lia­ment to for­mally with­draw Ice­land’s ap­pli­ca­tion to join the Eu­ro­pean Union.

As MBL further reports, yhis was con­firmed to­day by Bjarni Benedik­ts­son, Min­is­ter of Fi­nance and the par­ty’s chair­man, in an in­ter­view with the state broad­caster RÚV.

The EU ac­ces­sion talks were put on hold af­ter the gen­eral elec­tions in April 2013. The elec­tions re­sulted in the In­de­pen­dence Party and the cen­trist Progress Party form­ing a coali­tion gov­ern­ment backed by 38 MPs out of 63 in to­tal. Prime Min­is­ter Sig­mundur Davíð Gunnlaugs­son said ear­lier this month that he ex­pected a res­o­lu­tion with­draw­ing the EU ap­pli­ca­tion to be put to the par­lia­ment soon and For­eign Min­is­ter Gun­nar Bragi Sveins­son, who as Gunnlaugs­son be­longs to the Progress Party, has said it would be sense­less not to with­draw the ap­pli­ca­tion. If any­thing Sveins­son has said there are more ar­gu­ments for do­ing so now than a year ago.

The gov­ern­ment put such a res­o­lu­tion to the par­lia­ment last year but the mat­ter was not con­cluded be­fore sum­mer re­cess. Mainly be­cause of a fil­i­busted which was staged by the op­po­si­tion call­ing for a ref­er­en­dum on the is­sue. As a con­se­quence the gov­ern­ment de­cided to post­pone the mat­ter as it con­sid­ered more press­ing to get other is­sues ac­cepted. Pri­mar­ily laws paving the way for a gov­ern­ment pro­gram to re­duce house­hold debts.

“This is a res­o­lu­tion which we sup­ported last year,” Benedik­ts­son said adding that noth­ing had changed since then. Asked if that meant the con­ser­v­a­tives would sup­port a res­o­lu­tion to with­draw the EU ap­pli­ca­tion he replied: “Yes, we would do that just like we did last time.”

So yes, dear Greece: as you prepare for elections whih may result in the first official departure of a European country from the Eurozone, not only has Iceland…
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Phil's Favorites

Trump and the problem with pardons

 

Trump and the problem with pardons

Courtesy of Andrew Bell, Indiana University

As a veteran, I was astonished by the recent news that President Trump may be considering pardons for U.S. military members accused or convicted of war crimes. But as a scholar who studies the U.S. military and combat ethics, I understand even more clearly the harmful long-term impact such pardons can have on the military.

My researc...



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Zero Hedge

Silver Specs Signal It's Time To Start Buying

Courtesy of ZeroHedge. View original post here.

Authored by John Rubino via DollarCollapse.com,

The gold futures market took a big step towards bullish — or at least neutral — in the past week. Speculators (usually wrong at big turning points) scaled back their long bets while commercials (usually right at turning points) reduced their net short positions.

...



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Insider Scoop

Jefferies Sees 60-Percent Upside In Aphria Shares, Says Buy The Dip

Courtesy of Benzinga.

After a red-hot start to 2019, Canadian cannabis producer Aphria Inc (NYSE: APHA) has run out of steam, tumbling more than 31 percent in the past three months.

Despite the recent weakness, one Wall Street analyst said Friday that the stock has 30-percent upside potential. 

The Analyst

Jefferies analyst ...



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Kimble Charting Solutions

DAX (Germany) About To Send A Bearish Message To The S&P 500?

Courtesy of Chris Kimble.

Is the DAX index from Germany about to send a bearish message to stocks in Europe and the States? Sure could!

This chart looks at the DAX over the past 9-years. It’s spent the majority of the past 8-years inside of rising channel (1), creating a series of higher lows and higher highs.

It looks to have created a “Double Top” as it was kissing the underside of the rising channel last year at (2).

After creating the potential double top, the DAX index has continued to create a series of lower highs, while experiencing a bearish divergence with the S...



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Chart School

Brexit Joke - Cant be serious all the time

Courtesy of Read the Ticker.

Alistair Williams comedian nails it, thank god for good humour! Prime Minister May the negotiator. Not!


Alistair Williams Comedian youtube

This is a classic! ha!







Fundamentals are important, and so is market timing, here at readtheticker.com we believe a combination of Gann Angles, ...

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Digital Currencies

Cryptocurrencies are finally going mainstream - the battle is on to bring them under global control

 

Cryptocurrencies are finally going mainstream – the battle is on to bring them under global control

The high seas are getting lower. dianemeise

Courtesy of Iwa Salami, University of East London

The 21st-century revolutionaries who have dominated cryptocurrencies are having to move over. Mainstream financial institutions are adopting these assets and the blockchain technology that enables them, in what ...



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Biotech

DNA as you've never seen it before, thanks to a new nanotechnology imaging method

Reminder: We are available to chat with Members, comments are found below each post.

 

DNA as you've never seen it before, thanks to a new nanotechnology imaging method

A map of DNA with the double helix colored blue, the landmarks in green, and the start points for copying the molecule in red. David Gilbert/Kyle Klein, CC BY-ND

Courtesy of David M. Gilbert, Florida State University

...



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ValueWalk

More Examples Of "Typical Tesla "wise-guy scamminess"

By Jacob Wolinsky. Originally published at ValueWalk.

Stanphyl Capital’s letter to investors for the month of March 2019.

rawpixel / Pixabay

Friends and Fellow Investors:

For March 2019 the fund was up approximately 5.5% net of all fees and expenses. By way of comparison, the S&P 500 was up approximately 1.9% while the Russell 2000 was down approximately 2.1%. Year-to-date 2019 the fund is up approximately 12.8% while the S&P 500 is up approximately 13.6% and the ...



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Members' Corner

Despacito - How to Make Money the Old-Fashioned Way - SLOWLY!

Are you ready to retire?  

For most people, the purpose of investing is to build up enough wealth to allow you to retire.  In general, that's usually enough money to reliably generate a year's worth of your average income, each year into your retirement so that that, plus you Social Security, should be enough to pay your bills without having to draw down on your principle.

Unfortunately, as the last decade has shown us, we can't count on bonds to pay us more than 3% and the average return from the stock market over the past 20 years has been erratic - to say the least - with 4 negative years (2000, 2001, 2002 and 2008) and 14 positives, though mostly in the 10% range on the positives.  A string of losses like we had from 2000-02 could easily wipe out a decades worth of gains.

Still, the stock market has been better over the last 10 (7%) an...



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Mapping The Market

It's Not Capitalism, it's Crony Capitalism

A good start from :

It's Not Capitalism, it's Crony Capitalism

Excerpt:

The threat to America is this: we have abandoned our core philosophy. Our first principle of this nation as a meritocracy, a free-market economy, where competition drives economic decision-making. In its place, we have allowed a malignancy to fester, a virulent pus-filled bastardized form of economics so corrosive in nature, so dangerously pestilent, that it presents an extinction-level threat to America – both the actual nation and the “idea” of America.

This all-encompassing mutant corruption saps men’s souls, crushes opportunities, and destroys economic mobility. Its a Smash & Grab system of ill-gotten re...



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OpTrader

Swing trading portfolio - week of September 11th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Promotions

Free eBook - "My Top Strategies for 2017"

 

 

Here's a free ebook for you to check out! 

Phil has a chapter in a newly-released eBook that we think you’ll enjoy.

In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

This chapter isn’t about risk or leverage. Phil present a few smart, practical ideas you can use as a hedge against inflation as well as hedging strategies designed to assist you in staying ahead of the markets.

Some other great content in this free eBook includes:

 

·       How 2017 Will Affect Oil, the US Dollar and the European Union

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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Ilene is editor and affiliate program coordinator for PSW. She manages the site market shadows, archives, more. Contact Ilene to learn about our affiliate and content sharing programs.

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