The Latest

Washington Had Christmas Yestderday: $50 Billion Goes Out The Door At Fiscal Year-End

Last year, the government spent about $50 billion the week before October 1, according to NPR’s Shankar Vedantam. That total included apparent impulse buys like artwork worth $562,000 for the Department of Veterans Affairs, and toner cartridges worth $144,000 for the Department of Agriculture, as noted last year by The Washington Post. It also included $178,000 worth of “Cubicle Furniture Rehab” for the U.S. Coast Guard.

Contra Club

Three Reasons Why The Stock Market Top Is In

Those who believe the stock market can continue rising despite the end of the Fed’s “free money for financiers” programs are implicitly claiming that the pool of greater fools is still filled to the brim. Simply put, speculating with leveraged free money and extending credit to marginal borrowers is not sustainable or productive…….

The Hong Kong Warm-Up: China Land Sales Down 50% Y/Y

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Bloomberg adds that land sales in 300 cites followed by Soufun fell almost 50% Y/Y to 415.9 billion yuan in 3Q, while residential land sales declined more than 50% to 265.3b yuan in 3Q….And once a few hundred million Chinese wake up and realize that the “wealth effect” portrayed by the blue bar above has been obliterated, the riots currently taking place in Hong Kong will be a gentle warm up for what the People’s Liberation (sic) Army will be about to face.

Good Work Fed: US Now More Unequal Than Roaring Twenties And Ancient Rome (Slaves Included!)

As we previously noted, only the highest income earners have seen any gains in compensation since the crisis began around 2007 to the current ‘recovery’ tops. It is perhaps not entirely surprising then that, the total income controlled by the Top 1% is drastically above that of the slave-included times of Ancient Rome and as high as the peak in the roaring 20s.

Euro Pols Peddling Greece Is Fixed Scam: Never Mind Debt At Peak 175% Of GDP And Unemployment Still 27%

To this it should be noted that de facto, the Greek government remains as bankrupt as ever. An official government insolvency was only avoided by a mixture of bail-out funding, letting private creditors eat some losses (while not imposing any losses on the ECB’s holdings of Greek government bonds at the same time), and creative accounting.

“Yo” – This Market is Set For a Major Correction

But Alibaba is not even the best example of this current Fed-induced social media frenzy. The paragon of “irrational exuberance” would have to be the social media app called YO. What is the intellectual property behind this life-changing technology you ask? Brace yourselves; it just sends friends the thought provoking message “Yo”……..

Contra News & Views

Washington Had Christmas Yestderday: $50 Billion Goes Out The Door At Fiscal Year-End

Last year, the government spent about $50 billion the week before October 1, according to NPR’s Shankar Vedantam. That total included apparent impulse buys like artwork worth $562,000 for the Department of Veterans Affairs, and toner cartridges worth $144,000 for the Department of Agriculture, as noted last year by The Washington Post. It also included $178,000 worth of “Cubicle Furniture Rehab” for the U.S. Coast Guard.

Uncle Sam’s $8 Trillion Annual Debt Churn: Why Washington Is Pertrified Of Honest Interest Rates

But that does not count the huge amounts of U.S. Treasury securities that the federal government must redeem each year. When these debt instruments hit their maturity date, the U.S. government must pay them off……. In fiscal year 2013, redemptions of U.S. Treasury securities totaled $7,546,726,000,000 and new debt totaling $8,323,949,000,000 was issued.

The Other Regime Change: How Hillary & Co. Smacked Washington’s Japanese Vassal Into Line

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The American-triggered regime change in Ukraine at the Western end of the Eurasian continent has been widely discussed. Less noticed, if at all, has been the American-triggered change of government in Japan four years ago as part of the so-called ‘pivot’ aimed at holding back China on the Eastern end. The two ought to be considered together, since they share a purpose known as ‘Full Spectrum Dominance’……

Japan’s Looney Tunes Economics: The Deflation Lie And The Yen Trashing Disaster

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The slide of the yen since late summer has brought it to a level some 40 percent lower against the euro and US dollar than just two years go. Yet still Japan’s Prime Minister Shinzo Abe and his central bank chief Haruhiko Kuroda warn that they have not won the battle against deflation. That caution is absurd — all the more so in view of the fact that there was no deflation in the first place.

Why The Goldman Tapes Are Important: They Prove “Macro-Prudential” Regulation Is A Crock

Our financial regulatory system is obviously dysfunctional. But because the subject is so tedious, and the details so complicated, the public doesn’t pay it much attention. That may very well change today, for today — Friday, Sept. 26 — the radio program “This American Life” will air a jaw-dropping story about Wall Street regulation, and the public will have no trouble at all understanding it.