Monday, August 24, 2015

Lord Stirling's News Blog EUROPE



 Lord Stirling's News Blog EUROPE

Holy Shroud of Turin

  Powerful prayer to St. Michael the Archangel - video ~ link
AVE MARIA - by Helene Fischer - video ~ link
ORTHODOX CHERUBIM HYMN - video  ~ link  
AVE MARIA by Perry Como - video ~ link 

Pray for Peace

On the Road to the Third World War

Armageddon also means that the Second Coming of Christ is near


Carnage on world stock markets spurs global meltdown fears ~ link ~ Everyone thought that this would happen in September or October!  Stirling  
A continued selloff in Chinese shares is wreaking havoc across the global market, with the US industrial average Dow tumbling more than 1,000 points.  Fears that China’s economy might be headed for a dramatic slowdown have sparked a heavy selling of equities.

The slump in US markets added to steep losses in Europe and Asia. The Standard & Poor’s 500-stock index and the Dow Jones plunged more than five percent and the Nasdaq fell over eight percent. In Europe, the Stoxx Europe 600 was down 6.9%. In China, the benchmark Shanghai composite index ended the day 8.5% lower and Japan’s Nikkei closed 4.6% in the red.

The government’s intervention to devalue the yuan two weeks has triggered a panic selloff, with many fearing the world’s second largest economy might be in a worse shape than thought.

Examples of just how broken the market was this morning ~ link

With 4,500 'crash' events this morning, we thought it worth surveying some of the carnage that 'liquidity-providing' high-frequency scapegoats left in their wake at the open... 

Is THIS Black Monday Crash the BIG ONE? - It does not matter ~ link

After losing 11% last week, Shanghai this morning was down almost -9% at one point, after lunch went back up to -6.5%, and ended its day at -8.49%. A Black Monday for sure, but is this the BIG ONE? It really doesn’t matter one bit. Unless perhaps you persist in calling your self an investor, in which case we pity you, but not for losing your shirt. Because God knows we’ve said enough times now that there are no functioning markets anymore, and therefore no-one who can rightfully lay claim to the title ‘investor’.

Plenty amongst you will be talking about economic cycles, and opportunities, and debate how to ‘play’ the crash, but all this is useless if and when a market doesn’t function. And just about all markets in the richer part of the world stopped functioning when central banks started buying assets. That’s when you stopped being investors. And when market strategies stopped making sense.

Central banks will come up with more, much more, ‘stimulus’, but what China teaches us today is that we’re woefully close to the moment when central banks will lose the faith and trust of everyone. After injecting tens of billions of dollars in markets, which thereby ceased to function, the global economy is in a bigger mess then it was prior to QE. The whole thing is one big bubble now, and we know what invariably happens to those.

Almost NO Liquidity ~ link

Curious why few if any traders can actually execute any trades, whether buys or sells? The reason is that despite the relative calmness of the index prints, what is going on beneath the surface is an unprecedented wave of constant halt and unhalts as all stop levels were taken out, many in circuit breaker territory, making it virtually impossible for any matching engine to, well, match buyers and sellers.

Here is a sample:

NASDAQ goes positive for the day - Mission Accomplished by the Plunge Protection Team ~ link ~ Also see: DOW up 1,000 points from opening lows ~ link ~ linkChina is an example of the fact that this type of intervention cannot continue in the face of widespread belief in the failure of the economic system!  Stirling  

 A message for the suckers (investors) from Wall Street.

The DOW just made the Largest One-Day Round-trip in History ~ link

The U.S. stock market just took the largest roundtrip ever.    Specifically, in the first 3 hours and 40 minutes of trading today, the Dow posted the largest intraday swing in history:

This came hot on the heels of the largest weekly increase in volatility in history.

Forget the Dips - Sell the Rips ~ link ~
So the Fed is keeping its foot planted squarely on the neck of savers and retirees for the contemptible purpose of keeping the Wall Street gamblers in free carry trade money, thereby hoping to trigger another stock market up-leg in its misbegotten campaign to generate economic growth by showering the 1% with fantastic “wealth effect” windfalls. 
Yet notwithstanding its sheer humbuggery, any such Fed confected headline is likely to catalyze another face-ripping frenzy of dip buying, accompanied by a chorus of Wall Street pitchmen announcing that the market has bounced off “support”, and the bull is ready for another upward sprint. Do not buy this dip, even the crater now forming. It does not represent “value”; it embodies a nasty trap owing to the unfolding collapse of the worldwide central bank driven financial bubble that has been expanding for more than two decades. 

Rolling a Wheelbarrow of Dynamite into a crowd of Fire Jugglers ~ link ~  

John Hussman has the right to gloat on this Black Monday morning as global stock markets meltdown under the weight of central bank created debt, insane debt financed corporate buybacks, and stock valuations rivaling 1929 and 2000 levels. He has been scorned, ridiculed and laughed at by the Ivy League educated sociopathic Wall Street titans of greed and avarice. Only in a warped, manipulated, corrupt, rigged financial world would those who speak the truth, use facts, and honestly assess the markets based on historical relationships would a man like John Hussman be abused by the elitist Wall Street lemmings. He has too much integrity and class to lower himself to the level of Wall Street hucksters. His letter this week is heavy on substance, facts, and sound reasoning. Therefore, it is of no use to CNBC cheerleaders or Wall Street shysters. His lessons are timeless.

Rather, the key lesson to draw from recent market cycles, and those across a century of history, is this:
Valuations are the main driver of long-term returns, but the main driver of market returns over shorter horizons is the attitude of investors toward risk, and the most reliable way to measure this is through the uniformity or divergence of market internals. When market internals are uniformly favorable, overvaluation has little effect, and monetary easing can encourage further risk-seeking speculation. Conversely, when deterioration in market internals signals a shift toward risk-aversion among investors, monetary easing has little effect, and overvaluation can suddenly matter with a vengeance

Did the Crisis of Our Lifetimes Begin Last Week ~ link ~ Events now underway are part of a major shift in Human History.  If you don't understand this you are stupid!  Stirling  

Gerald Celente: Gold is the Safe Haven for Collapse ~ link

Gerald Celente, a top trends researcher, is “bullish on gold and contends, “Gold has been looked upon as when all else fails, there is gold. People will be looking for a safe haven commodity when this all begins to collapse. You are going to see riots in Brazil and more riots in Venezuela. I just got back from Italy. There are migrants everywhere. You got a war in Libya. You got a war in Syria. You got a war in Iraq. You got a war in Yemen. You got a war in Afghanistan. You have destabilization from Mali to the Congo, central Africa to Sudan to Somalia. These people are flooding out into Europe. There is no way of stopping this wave because besides the wars, you have crashing commodity prices. Commodities were holding these countries together as they were exporting it to China when China was manufacturing. This is when the Americans and Europeans were buying. What you are looking at are crises coming from many different levels. We are talking about economy, geo politics and civil wars to regional wars and social unrest.” 

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