Business

Amid the last two weeks of exuberant short squeeze in crude oil (and anything energy related), investors pulled over $400 million from USO (the largest oil ETF). This week's $348 million outflow is just shy of the record $354 million outflow in Dec 2013. As these outflows hit so bullish positions in oil ETFs have been dropping and bearish positions building once again.

The biggest Oil ETF fund outflow since Dec 2013...

Chart: Bloomberg

As bulls pull back and bears re-emerge (after their record-breaking squeeze)...

Last night we reported that the PBoC is now considering a Tobin tax on FX transactions.

The follows reports that a series of big name money managers - or, as China calls them, “speculators,” “predators,” and “crocodiles” - have placed outsized bets against the yuan.

Authored by John Mauldin via MauldinEconomics.com,

Everyone is missing the serious problem that ultra-low interest rates have created for retirees.

Pension funds are still assuming that future returns will be in the 7½–8% range. And as people get older and have no practical way to go back to work, pension funds that are forced to reduce payments in 10 or 15 years (and some even sooner) will destroy the lifestyles of many.

Remember last week, when China was "fixed" because after the National People's Congress a record-smashing short-squeeze hyped on the back of stimulus hope sent Iron Ore prices soaring 20% in a day? Well that's all over...

Last week, analysts and traders alike were stunned by "the departure from fundamentals" as "the iron ore and steel markets have gone berserk."

With Valeant down nearly 50%, and Pershing Square fielding an unknown number of margin calls and redemption requests as of this moment, Bill Ackman just did the only thing he could do at this moment: send a letter to anyone who still cares, defending his disastrous investment, yet again.

Pershing Square Holdings, LTD. Sends Communication to Investors Regarding Valeant

Dear Pershing Square Investor,