It has been so long, we forgot what it's like for the "smart money" (hedge funds, private clients and institutional clients) to put money to work into the market instead of rushing to unload their exposure to corporations buying back their stock (in near record amounts).
"Energy needs lower prices to maintain financial stress to finish the rebalancing process; otherwise, an oil price rally will prove self-defeating as it did last spring,” Goldman’s Jeffrey Currie recently wrote, on the outlook for crude going forward.
The rally off the lows has largely stemmed from the market’s hopes for an output freeze from Russia, the Saudis, and everyone else who isn’t Iran. Producers will meet in Doha next month to try and hammer out an agreement, but as we’ve documented exhaustively, the whole effort is farcical at best.
US Home prices rose 5.75% YoY according to Case-Shiller (the fastest rate since July 2014) as it appears the Chinese buyers are migrating south from Canada with Portland, Seattle, and San Francisco reported the highest year-over-year gains among the 20 cities with another month of double digit annual price increases. Home prices continue to climb at more than twice the rate of inflation amid a suply shortage as West Coast propertty markets become "Vancouvered."
The greatest short-squeeze on record is over and now the great global oil glut in history, largest inventories since The Great Depression, and global growth demand collapsing fundamentals are being priced back in. WTI Crude is now down 10% from its highs a week ago, back to near 2-week lows and near a $37 handle.
Can we just get another random 'Doha' meeting headline...
Submitted by Charles Hugh-Smith of OfTwoMinds blog,
Always remember who's selling whom, and who's in charge.
Everyone who isn't willfully blind knows that the Corporate (mainstream) Media doesn't give the same coverage to Bernie Sanders as it does to his opponent, Hillary Clinton. Bernie's rallies go unmentioned, his victories are given short shrift and his personal narrative--practically ideal for media glorification--is mentioned in passing, if at all.