Submitted by Charles Hugh-Smith via OfTwoMinds blog,
Solutions abound, but not within our centralized state-cartel neofeudal system.
Not to rain on the new administration's parade, but one question needs to be asked of any new administration: will tax cuts and more federal borrowing/ spending fix what's broken in the U.S./global economy?
With Chinese liquidity markets turmoiling, bonds crashing, and gold premiums soaring, it appears growing concerns over capital controls tightening has sent Chinese fleeing into Bitcoin as a way to escape the mainland restrictions. Bitcoin is up over $30 today to its hghest since Dec 2013...
We first warned of this 'outlet' for Chinese capital in September 2015 when Bitcoin was trading around $200... its just topped $830...
Update: the FT writes that the Italian govt set to take a stake between 50% and 70% in Monte dei Paschi, up from the current 4% stake, as part of the government's third bailout in as many years. As the FT adds, "the government rescue, which had long been resisted in Rome, is designed to draw a line under the slow-burn crisis in Italian banking that has alarmed investors and become the main source of concern for European financial regulators."
It remains to be seen if Germany, long a critic of state bailouts, will be as agreeable.
Following API's reported across the board inventory draws, DOE refuted this and saw a surprise notable 2.256mm build (most in 5 weeks). Cushing inventories fell very modestly (biggest draw in 2 months) and Gasoline and Distillates also saw further inventiry dras. Production slid very modestly. WTI is being sold on this print, testing back to a $52 handle.
API
DOE
By EconMatters
We pay attention when people shut down manufacturing plants, and GM and Ford are doing this very act, we discuss the implications for the industry and overall economy in this video. We told investors that a lot of dogshit stocks are being moved up in this rally.