We begin this morning with a few remarks, though not as in depth as the Saturday Peoplenomics report, on how the “trade deal” hyped all-to-hell-and-gone last week is largely phony.
The short reason is politics. Since trade deals involve what? Revenue. And all revenue bills must begin in the House of Representatives. And the House is controlled by what (recently insane) party? Suddenly, all should become clear. Trade is a propaganda battle.
But, just in case it’s not, you need only look at the early (5:20 AM) futures (Dow -117) to realize that I’m not the only one who’s seen “the play.”
While CNBC advised traders earlier this morning to “Hold the ‘champagne’: What Chinese state media are saying about the trade talks…” there is another story which almost certainly will be buried by the US corporate-controlled media complex.
It’s on the front page of the official Xinhua English site. And it says, in so many words, is that US Trade Deal or not, “China’s foreign trade up 2.8 pct in first three quarters.” Not only that, but China would obviously cut a more palsy-walsy U.S. trade deal with a radical U.S. socialist president. They’re playing us for time.
While Liz Warren has been showing strength, Bernie Sanders is back blasting, too, which looks good to Chinese (global empire-building) powers. “Billionaires could face up to 97.5 percent tax rates under Sanders’ plan: economists” is Marxist Playbook chapter two, isn’t it? China will keep playing Trump for time, as they roll a Colombo-like “...derr’s juss one more ting, shir…” Foot drags ahead.
Trump may not like being played, but he’s got a mirage to manage. If you take the financial ebullience of America out of the election ads, there’s not much to talk about.
This brings into focus, for our deeper-thinking readers, the idea something ain’t quite right. Especially, when our Peoplenomics Global Aggregate Index was up a shade more than 2-percent last week. Where the hell did that come from? (G20 QE Deluxe, of course!)
What’s going on?
No substantive trade deal, democrats in the House will block anything meaningful anyway. Europe is about to be over-run by another wave of Middle East refugees. The Houthi’s still want to take-down the Saudis and grab their few nukes (bought from Pakistan) for Iran to use later on Israel. And, despite China trying to work both sides of the war-ready India-Pakistan stand-off, there’s little in the way of New, Got To Have It technology to drive the next round of global economic expansion.
PLUS the new high tech is AI and Robots and they don’t make jobs once built – they consume them. Oh boy, we’re screwed then.
So, what’s’ the real deal?
Today’s Monday Crackpot Theory (MCT, not to be confused with the oil) is that Globalist Revolutionaries are making a run at Sovereign Countries. In other words, the globalistas are pulling the strings of everything, in order to more-completely dominate world activity.
After successfully running-up markets on easily sold puffery (like trade) last week, we expect the globalistas will now take things down several notches in their push to agglomerate the remaining sovereign world.
Running up markets last week enables them to sell high (shorting). They would then expect to cover (buying low) in a couple of weeks when Life becomes very scary.
What? Didn’t get the memo?
Two biggies come Halloween this year: BREXIT for one.
Latest there is “Pound Weakens As Brexit Deal Prospects Dim:” and “Brexit talks continue in Brussels ahead of crunch summit.”
Although Wikipedia doesn’t come out and say “tone-deaf, globalists shoved the joining of the European Union down unwilling British throats” they do report that when “…51.9% of participating voters voted to leave, the UK government formally announced the country’s withdrawal in March 2017, starting a two-year process that was due to conclude with the UK withdrawing on 29 March 2019. As the UK parliament thrice voted against the negotiated withdrawal agreement, that deadline has been extended twice, and is currently 31 October 2019. An Act of Parliament requires the government to seek a third extension if no agreement is reached before 19 October.”
As you can see, (in crooked Globalist fashion) the Pro-EU faction is still trying to hornswoggle the Brits back into paying for a regional super-government which has done nothing to stop the Muslim Reconquest of Europe. Why? Because the EU saw selling-out regional autonomy for the short-term economic stimulative benefits of unchecked immigration as preferable to being responsive to “folks back home.” European liberalism at its worst.
Meantime, the WTO clears U.S. to target EU goods with tariffs over Airbus. But that won’t put Boeing’s MAX back in the air on U.S. schedules any faster.
The Second Biggie on the Plate is the U.S. Fed meets on the 29th and 30th of this month. Obviously, if the US market can now be shoe-horned into a steep decline, the Fed could get scared. So, instead of dropping a quarter point, the globalistas’ wet dream is a half-point. When the US goes tango-uniform because of soaring debt, the globalistas will bail us through a massive tax increase back on us. Global conquest will be complete and America will no longer even pretend to be “free.”
While the prospect of “More free money” is generally stimulative, a CNBC summary reminds us “Market may be expecting more rate cuts than the Fed will deliver, meeting minutes show.”
This morning, after a weekend to “dry out” Wall Street may be coming to terms with all of this, so for a day (or three, or 10) we wouldn’t be looking for a huge rally.
There’s really not much else to worry about. So let me pepper you with a few headlines of interest.
Pass the Pepper
Nobel gets it wrong, again. “Nobel in Economics Is Awarded for Work Toward Alleviating Poverty.” I say “wrong again” because in our (jaundiced) view of world affairs, we don’t see any evidence any of theories working. Instead, we still see factional power plays and the use of immigration to stimulate economies of both the US and Europe.
As Fortune points out, there is still “The Need for New Economic Theory: CEO Daily.” Nobel papers, notwithstanding.
Times Sinks: “Fly Fishing Is the New Bird-Watching” reports the New York Times. They skipped-over the “pan-fried they’re great” part.
Fox rakes it in with: “Why Americans say ‘fall’ over ‘autumn’.” Slow news day for them, too, we figure. They overlooked the real point: Americans have become lazier and dumber. Three letters to spell FALl versus five to spell AUTuMN. Couldn’t they have at least mentioned that? Sheesh.
De-electrifying: While we await feedb ack in our Comments section about the PG&E power blackouts which likely took some Tesla charging off line, we also notice that “$35 Billion: UK Faces Huge Loss From Electric Vehicle Adoption” See? Oilman2 is still right. Gasoline and diesel work when the lights are out. Unlike Tesla’s and Bitcoins. Proof that we’re living in “colliding universes.”
Speaking of Oil: Saudi Aramco Says Damage From Drone Attacks That Plunged World Oil Market Into Chaos Is Already Fixed. Let’s start a 30-day timer for the Houthi’s to come back for another go at it. Might go 60, but that’d be the high end.
Around the Ranch (ATR)
The latest “dream antenna” began to take shape Saturday and Sunday: An Extended Double Zepp for 40-meters 50-feet up fed with 450-ohm super low-loss ladder line all the way back to a classic 2-KW Johnson Matchbox. A few parts still needed, but should have some SWR measurements and signal reports by next weekend.
Texas White-tail Deer Youth season opens on October 26th. That’s gotten me to thinking about a new business model to help people amortize their kids. Rent them out to hunters for the Youth Season. (Then, take ’em down to the border and rent them out there, too…) OK, this sounds a little sick, but that’s the world we live in marching toward Soylent Green. Love the stories of 5-year olds bagging a 10-point, though.
Cocktail talk: The most unsuitable parents still seem to spawning the most children. Until liberals learn that math matters globally and how Fibonacci penciled out rabbit populations, we either crash the world with not enough jobs in a zero growth environment (imploding the economy – which is predicated on constant-growth). Then get a massive Crash. OR we eat the last of the planetary agar. *We assume you know “The Fibonacci sequence was discovered by studying population growth.”
We’re not sure how the latter case, global autoerotic asphyxiation will work when we run out of everying, but we figure be plant food before the robots figure out humans have only limited uses.
Which gets to a mind-stretching thought: Given a billion years to evolve (and self-engineer) could robots and AI eventually transition into a harmonious biological sphere? Like the one this once was?
While you ponder that, I’m penciling out what the Eurostox Index being down 0.67% means for the US. Aggregated Markets theory says the US would be inclined to follow. So round Friday to 26,817 and that would be a 179-point equivalent US decline. We’ll see how that works out.
(An alternate calculation averaging German, French, and British markets offers 0.5866 percent down early so that would only be a Dow decline of 157 today, but again, no telling what ballistic headlines will do to perfect economic theory…which is why we will get up again tomorrow morning.)
Today’s “deep work” is the first chapter of the next Peoplenomics book: “ Suitcase Between Your Ears.” Since you can’t take money with you , what’s a rational person do to properly “pack for the afterlife” if there is one? Which we think there is…
Write when you get rich,