Posts Tagged ‘Taiwan’

China and the U.S.: Too Big to Fail

China and the U.S.: Too Big to Fail

china - TIME By Jeffrey Wasserstrom, courtesy of TIME

 

Beijing has fervently denounced U.S. President Barack Obama’s plan to sell more arms to Taiwan, and loudly demanded that he break his coming date with the Dalai Lama. Is this proof that China-U.S. relations have entered a radically new and deeply worrisome phase?

It’s tempting to see it that way. There has been much talk of China ruling the world and the clash of civilizations this would prompt. Much has been made of the notion that Chinese leaders have been showing an unexpected cockiness vis-à-vis the U.S. of late, tightly controlling what Obama did when in China, refusing to follow American leads in Copenhagen and then lambasting Secretary of State Hillary Clinton for criticizing Beijing in a Jan. 21 speech on Internet freedom. But it’s a temptation worth resisting.

China’s long, slow return to great-power status is of historic importance and something that will lead to recalibrations of many diplomatic relationships, including that between Washington and Beijing. But as foolish as it would be to ignore this, it’s equally foolish to see too much novelty in headline-grabbing stories that fit neatly within established patterns. Chinese officials have expressed outrage before about meetings between foreign leaders and the Dalai Lama. And the Taiwan arms tale follows an even more familiar script. There’s nothing new about a U.S. Administration announcing, as Obama’s just did, that it’s going to sell military hardware to Taiwan. Nor is there anything new about Beijing treating this announcement as proof that the U.S. lacks respect for Chinese sovereignty and for the principles of the "one China" policy that, since the 1970s, has provided the groundwork for relations between the two.

Both sides need to guard against overstating the extent to which the landscape of the international order has changed and against treating China’s rise as a more exotic development than it actually is. Keeping these four things in mind should help:

• Just as all politics is local (to a degree), all diplomacy is domestic (to a large extent). China’s dramatic growth may have increased its ability to be less deferential toward the U.S. But when officials loudly proclaim that foreign leaders should steer clear of the Dalai Lama, lash out against Clinton’s "information imperialism" or stoke popular indignation about Taiwan, their motivation is largely a desire to…
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THE GREAT LIQUIDITY RACE – WHY GOLD WILL SOAR

THE GREAT LIQUIDITY RACE – WHY GOLD WILL SOAR

bull marketCourtesy of The Pragmatic Capitalist

Paul Tudor Jones appears to have shifted from the bear market rally camp to the bull market camp.  As of our last update he was firmly in the position that the market had rallied too much and was due for a downturn.   Late last summer Tudor Jones stated his desire not to chase the 45% rally in stocks and rather, buy into an autumn downturn in anticipation for a year end rally:

While 45% is nothing to ignore, one should take into account that the S&P through July 31 is still down more than 20% on a price basis year-over-year. The bottom line is that we are not inclined to aggressively chase the market here. Rather, we eye a better opportunity to be long equities into year-end on a potential autumnal pullback.

He has changed his tune a bit now and believes the economy has the potential to remain quite robust into Q2 of 2010 as Fed policy remains accommodative, the dollar remains weak and inventory de-stocking continues:

The forceful policy response to avert depression tail risks posed by the financial crisis has likely unleashed a wave of liquidity which is probably greater than that of 2001-2003.  Our job is to identify the best performing assets of this “Great Liquidity Race.”  At present, it appears those assets are gold, emerging market equities denominated in local currencies, and commodity related stocks.

Liquidity is making its way into bond purchases by banks, into equity markets, into capital flows to emerging markets and into international reserve accumulation and related diversification away from the dollar.  This will be the trend over the next quarter—or two—even before discussing potential portfolio shifts within it.

Due to this easy money approach he is becoming heavily invested in gold and other precious metals as he expects metals to win the “great liquidity race”:

“precious metals exposure has been increasing and is currently the largest commodity exposure.  As a result we have included, for this quarter, a separate discussion on gold as an appendix.  I have never been a gold bug.  It is just an asset that, like everything else in life, has its time and place.  And now is that time.”

In the bond market he likes Curve Flatteners as inflation is likely to pick-up in the coming quarters. …
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Kimble Charting Solutions

Bull Case For Stocks, Testing Critical Breakout Level, Says The Inspector!

Courtesy of Chris Kimble

Some price points lend themselves to potential turning points. Is the S&P at one of those price points? The inspector suggests it is!

This chart looks at the S&P 500 over the past couple of years. Fibonacci was applied to the 2018 highs and 2018 lows.

The rally off the December 2018 lows, has the S&P testing its 161% extension level at (1).

While at this extension level, momentum is the 2nd highest in the past 5-years.

The Fibonacci extension level becomes a price point where some stock market bulls need/want to see...



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Zero Hedge

Rabobank: "Imagine London In Full Lockdown"

Courtesy of ZeroHedge View original post here.

Submitted by Michael Every of Rabobank

Imagine London in full lockdown. Hard? Well, Chinese authorities just decided to issue a Wuhan travel ban, locking down a city with more inhabitants than London. Stopping the spread of the new SARS-like corona virus is the aim, as more and more cases of contagion have been reported, for which the majority are pointing at Wuhan being the place of origination. The WHO delayed its decision on whether to brand the situation as an a public health emergency of international concern and is expected to report on its deliberations today. Meanwhile, China reported 8 new ...



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Insider Scoop

9 Technology Stocks Moving In Wednesday's After-Market Session

Courtesy of Benzinga

Gainers

Teradyne, Inc. (NASDAQ:TER) shares increased by 11.6% to $82.10 during Wednesday's after-market session. The most recent rating by Evercore ISI Group, on January 13, is at Outperform, with a price target of $85.00.

PTC, Inc. (NASDAQ:PTC) shares rose 8.1% to $86.43. The most recent rating by Barclays, on November 04, is at Overweight, with a price target of $81.00.

Akoustis Technologies, Inc. (NASDAQ:...



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Phil's Favorites

"It Just Keeps Getting Crazier" - Options Speculation Reaches Record High

Courtesy of ZeroHedge

Despite the fact that the bond market refuses to sell-off (as it should in a well-behaved market sending stocks to record-er and record-er highs each and every day), the levered long crowd has never been more "all-in" than they are right now.

While stocks are at record highs, bond yields are plumbing 2 month lows...

Source: Bloomberg

However, there are some notable anomalies in the VIX term structure that could become problematic in the next few days. As contracts expire, so the very steep term structure (fueling lots of short-vol-tilted carry trades) will flatten...

...



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The Technical Traders

TRADING STRATEGIES FOR GDXJ, SPY, BONDS, AND NATURAL GAS

Courtesy of Technical Traders

Chris Vermeulen joins me today to shares his trading strategy for 4 different markets. While most of these markets are not correlated he has reasons for why he is long in each. Pick and choose where you want to deploy your capital.

Get Chris’ Trade Signals Today – Click Here

...

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Chart School

RTT browsing latest..

Courtesy of Read the Ticker

Please review a collection of WWW browsing results. The information here is delayed by a few months, members get the most recent content.



Date Found: Monday, 16 September 2019, 05:22:48 PM

Click for popup. Clear your browser cache if image is not showing.


Comment: This chart says SP500 should go back to 2016 levels (overshoot will occur of course)



Date Found: Tuesday, 17 September 2019, 01:53:30 AM

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Comment: This would be HUGE...got gold!


...

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Members' Corner

The War on All Fact People

 

David Brin shares an excerpt from his new book on the relentless war against democracy and how we can fight back. You can also read the first, second and final chapters of Polemical Judo at David's blog Contrary Brin.

The War on All Fact People 

Excerpted from David Brin's new book, the beginning of chapter 5, Polemical Judo: Memes...



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Lee's Free Thinking

Why Blaming the Repo Market is Like Blaming the Australian Bush Fires

 

Why Blaming the Repo Market is Like Blaming the Australian Bush Fires

Courtesy of  

The repo market problem isn’t the problem. It’s a sideshow, a diversion, and a joke. It’s a symptom of the problem.

Today, I got a note from Liquidity Trader subscriber David, a professional investor, and it got me to thinking. Here’s what David wrote:

Lee,

The ‘experts’ I hear from keep saying that once 300B more in reserves have ...



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Digital Currencies

Cryptos Have Surged Since Soleimani Death, Bitcoin Tops $8,000

Courtesy of ZeroHedge View original post here.

Bitcoin is up over 15% since the assassination of Iran General Soleimani...

Source: Bloomberg

...topping $8,000 for the first time since before Thanksgiving...

Source: Bloomberg

Testing its key 100-day moving-average for the first time since October...

...



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Biotech

Why telling people with diabetes to use Walmart insulin can be dangerous advice

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

 

Why telling people with diabetes to use Walmart insulin can be dangerous advice

A vial of insulin. Prices for the drug, crucial for those with diabetes, have soared in recent years. Oleksandr Nagaiets/Shutterstock.com

Courtesy of Jeffrey Bennett, Vanderbilt University

About 7.4 million people ...



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Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

...

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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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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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