The Bond Vigilantes Are Back----Just In Time To Stop Trumponomics

Early Wednesday the yield on the 10-year US treasury note tagged 2.4o%. That means it's up 65 bps since election day and 105 bps from the post-Brexit low in July. You can call that the return of the bond vigilantes, and just in the nick of time. We have always been skeptical of the Trump economic program because it really wasn't one; it was just a collection of aspirations, quips, bromides and wrong-headed panaceas like the big infrastructure build. As we said in Trumped!

The Durable Goods Orders report is another data series sending a stark warning to investors. That warning not apparent in the headline numbers or mainstream media reports. This post will show you the real data and the danger it portrays. That will enable you to preserve your capital in the massive stock market adjustment that’s just over the horizon. We can’t see it yet, but it’s there.

If Steve Bannon is going to be the chief White House political and policy strategist, Donald Trump is in deep trouble before he even gets started. But the problem is not the mainstream media's baseless caricature of him as some kind of white supremacist. What's actually troubling are the views on which the liberal press gives him a thumbs up...

The Wall Street Journal reported today that existing home sales, “rose in October for the second straight month to a new cyclical high despite rising prices and shrinking inventory, a sign housing demand remains buoyant as the year comes to a close.” The headline was less cautious.

This is about as irrational as it gets. Financial markets are heading straight into a perfect storm of central bank failure, bond market carnage, a worldwide recession and a spectacular fiscal bloodbath in Washington. Investors should be heading for the hills with all deliberate speed.