Inflation is Here and the Fed Wants More

The Fed failed to hike interest rates in March despite the “data” hitting levels at which the Fed said it would hike. Indeed, the Fed even lowered its expected number of rate hikes for this year from four to two!
This confirms for us that the Fed does indeed want inflation.
In the last few weeks, several Fed officials, most notably Fed Vice-Chair Stanley Fischer stated not only that inflation was appearing in the US but that this is something the Fed “would like to happen.”

Federal Reserve Cartel’s Main objectives; Manipulate Markets and The Masses

“If Congress has the right to issue paper money, it was given to them to be used by and not to be delegated to individuals or corporations.” ~ President Andrew Jackson.

The weapon of choice is money, and central bankers utilize this weapon merciless to rain misery on the unknowing masses by purposely creating boom and bust cycles. Since Fiat was created, bankers have fed off the misery they have wrecked on humanity. How do they feed off this misery? They no longer take from Peter and give to Paul; they make sure that Peter and Paul try to rob each other and everyone else to survive. They control the game, and you are just a pawn in this game. The only day the outcome will change, is when the masses stand up and revolt. However, we would not hold our breath for that day as the masses are notorious for their delayed reactions. Many great men, former presidents included are of the same opinion.

Silver Lows – Silver Ratios

Silver prices as this is written (March 23) are down 60 cents on the day.  Scary …  no, probably a normal correction.
Yes, paper silver prices on the COMEX are “managed” for the benefit of traders, banks and others large enough to manipulate the prices.  It makes sense that if a bank, which owns the regulators and can “work” the prices to their advantage  …  will do so.

Beware of March Non Farm Payrolls. They Have the Worst Record than any Other Month

The table below shows the consistency of misses (actual figure below consensus forecasts) in March NFPs over the last three years. In fact, NFP figures for the month of March have come in below forecasts in 7 out of the last 8 March reports with an average miss of -59k.
Most strikingly & recently, last year’s March report showed a 126K reading, well below consensus of 245K. Interestingly, that 129K reading was revised down to 88K one month later.

How Pension Plans Are Coping With Financial Repression w/FRA

Professor and CEO of Create-Research Amin Rajan shares his knowledge with an in depth interview on Risk Mitigation and how European Pension Plans are Coping with Financial Repression with FRA Co-Founder Gordon T Long .
Amin Rajan worked as an economic forecaster in the UK treasury for over 8 years, and since then has been focusing on investment matters driven by macro investment behaviors catering to pension funds, insurance companies and wealth managers.

FTSE 100: Positioning for Long Term

Over the last year, the FTSE 100 has come under pressure as investors have taken profits and we are seeing increased speculation that the economic will be able to withstand future increases in interest rates.  This has created some interesting opportunities to buy in at very cheap levels as valuations in equities are still trading near the lows for the period.  Bullish positions in the FTSE 100 represent something of a contrarian view in the current environment but from a risk/reward perspective this view is clearly favorable.

Gold Firms Up On Dovish Yellen Commentary

Precious metals prices have been on a tear higher since the outset of 2016 as concerns about the pace of US policy tightening combined with growing global uncertainty sent gold to the highest levels since February of 2015.  Although commentary from more hawkish Federal Reserve members in the previous few weeks raised speculation that another US rate hike could come as soon as April, Chairwoman Janet Yellen extinguished those expectations with her more dovish tone.  Citing the downside risks to the current pace of global economic expansion combined with reduced confidence in the outlook for monetary policy normalization, Yellen sent the US dollar tumbling with investors embracing gold, driving the precious metal nearly 1.65% higher over the session.  A crumbling outlook combined with a drive towards data dependency in decision-making has seen hawkish sentiment shift more neutral, benefiting precious metals near-term.

Stock Market More Upside Following Tuesday’s Fed Talk – Will It Continue Higher?

Briefly: In our opinion, no speculative positions are justified.
Our intraday outlook is neutral, and our short-term outlook is neutral. Our medium-term outlook remains bearish, as the S&P 500 index extends its lower highs, lower lows sequence:
Intraday outlook (next 24 hours): neutral
Short-term outlook (next 1-2 weeks): neutral
Medium-term outlook (next 1-3 months): bearish
Long-term outlook (next year): neutral

Crude Oil Price Meets Support

Trading position (short-term; our opinion): No positions are justified from the risk/reward perspective.
On Tuesday, crude oil lost 2.06% ahead of the American Petroleum Institute’s weekly inventory report. Thanks to this drop, light crude closed another day under $39, but reached important support zone. Will it encourage oil bulls to act in the coming days?

NYT Ignores Greatest Nuclear Threat

The hugely destructive power of nuclear weapons can end life on earth.

NYT editors want them kept from “terrorists,” ignoring state terrorists, especially America and Israel, an alliance posing the greatest of all threats.

An earlier article discussed the devastating effects of a thermonuclear attack on New York – likely if America launches nuclear war on Russia, an unthinkable real possibility.

Stock Market Good Follow-Through Day

The stock market indices had a nice follow-through to yesterday’s rally in the morning as they gapped up, ran hard in the first thirty-forty minutes and reached their session highs. By midday they pulled back in falling wedges, resulting in an afternoon rally back. The resistance was too much for the markets, and they pulled back in the last hour, but still closed positive on the day.
Net on the day, the Dow was up 83.55 at 17,716.66. The S&P 500 was up 8.94 to 2063.95, 9 points off the high, so it gave back about half the gains. The Nasdaq 100 was up 23.16 to 4490.88, 23 points off the high, also giving back about half.

Stock Market Worst Case Scenario = 73% Down From Here

As the stock market gyrates higher and lower in a fairly narrow range, the spokesmodels and talking heads on breathlessly regurgitate the standard bullish mantra designed to keep the muppets in the market. They are employees of a massive corporation whose bottom line and stock price depend upon advertising revenues reaped from Wall Street and K Street. They aren’t journalists. They are propagandists disguised as journalists. Their job is to keep you confused, misinformed, and ignorant of the true facts.

Gold Royalty Companies Continue to Progress

The large gold royalty companies remain among our top holdings, notwithstanding the high valuations and our comments on the overall gold market and short-term concern on the gold stocks.

Osisko Gold Royalties Ltd. (OR:TSX, $12.90) is all cashed up, as its two core royalties proceed well. It has about CA$650 million available for investments (of which CA$260 million is cash), after spending about CA$220 million in the last year on several royalties.

Friday The Day…Any Day The Day?…… Stock Market At Trend Line Resistance…..

The fed market is on a mission. It wants to change the way we look at technical analysis for good. Or at least for a long time to come when the next bear market kicks in. That’s likely a long way off since the fed will serve and protect for a long time to come as she is basically promising low rates for years to come as mentioned in her speech yesterday. She wants to create inflation. She doesn’t want to do it through the market, but since the global economy stinks there basically is no other way to do it. She uses words that she knows will excite the market masses. Every word carefully planned. Every word with a meaning behind it. While she’s not a very good talker, she is a very convincing. It doesn’t matter how she says it that matters. It’s what she says. So with the promise of low rates and more stimulus if need be, we can’t seem to find a top in the market, even though it’s grossly overbought and flashing some negative divergences now on the daily chart.

Stock Market Window Dressing May be Over

SPX made its high a few minutes after 11:00 am. I don’t expect to see a lot of movement today, but the quarterly window-dressing appears to be over. The critical 4.3-year support is now at 2050.00. The short-term trendline support is at 2042.00.
Today’s volume was below average and it appears that short covering may be exhausted. I had expected to see stock buybacks to end much earlier than this, but some may have decided it is better to apologize if caught. The stock buybacks facilitated a lot of insider liquidations.

Price Controls May Be On the Way

Paul-Martin Foss writes: If you thought negative interest rates were as bad as it could get with central banks, you might be in for a surprise. Central banks have been so spectacularly unsuccessful with their accommodative monetary policies that they are discussing pulling out all the stops to get the results they want. They fail to realize that the reason prices aren’t rising is because they really want and need to fall. Bad debts weren’t liquidated during the last financial crisis, the debtors were merely bailed out. Overpriced assets weren’t allowed to be reduced in price. Central banks pumped trillions of dollars into the economy to attempt to paper over the recession. Market forces want to drive prices down, while central banks attempt to prop them up. So what to do when central banks aren’t getting their way?

New Legislation Permits FDIC to Seize Bank Deposits for Bail-Ins

The world will soon be facing a tsunami of defaults on bad debts. This will include municipal or local government defaults, governments “defaulting” on promises they’ve made to the people (Social Security, Medicaid), a default on the social contract between society and politicians such as the one in Cyprus (a default on the notions of private property and Democracy), stealth defaults on debts in the form of inflation and finally, of course, outright sovereign defaults.

Martin Armstrong: ”Collapse In Government Is Incoming, Markets Are Going To Start Responding!”

FRA Co-founder Gordon T. Long delineates political developments and their consequences on the global economy with Martin Armstrong, founder of Armstrong Economics.
Martin Armstrong began his studies into market behavior when first becoming fascinated by the events during the Crash of 1966. He pursued his studies of economics searching for answers behind the cycle of boom and busts that plagued society both in Princeton and in London. He began to do forecasting as a service to institutional cash market players in gold that included Swiss banks.Armstronghad the unusual background in computer science in hardware and software and was perhaps the first to begin to apply his diverse knowledge from two fields together. He began creating a global model in the mid-70s and was publishing the results from about 1972.