Jim’s Mailbox

Posted at 8:28 AM (CST) by & filed under Jim's Mailbox.

Jim/Bill,

Very disconcerting!

Graham Summers gives a heads up.

CIGA Wolfgang Rech

Is This the Reason the Fed is Freaking Out?
July 24, 2019

Posted in Central Bank Insanity By The Phoenix On July 24, 2019

Just what exactly is terrifying the Fed?

Over the last week, multiple Fed officials have surfaced to suggest the Fed needs to start cutting interest rates right now.

Indeed, on Thursday, John Williams, who runs the NY Fed (the branch in charge of market operations) suggested the Fed needs to cut rates to ZERO again.

Not 2%, or 1%, ZERO.

This is happening at a time when economic data is rebounding, unemployment is below 4% and GDP growth is north of 3%.

So what exactly is going on? What does the Fed know that has it so terrified, because it’s obviously not the US economy.

1)   Deutsche Bank (DB) is imploding.

Sitting atop over $49 trillion in OCT derivatives, DB is like Lehman Brothers 2.0. And despite the best efforts of management and the authorities, the bank is imploding. DB shares were rejected by resistance last week, ending the “hope bounce” from recent moves to curtail the blow up.

More…

 

 Jim/Bill,

The public is being duped and nobody is even trying to hide it!

Read this…CAREFULLY:

“After May’s unexpected plunge, US Durable Goods Orders were expected to rebound modestly but instead, thanks to huge downward revision, Dur Goods surged 2.0% MoM… but at the weakest in 3 years on a YoY basis”

Note that Durable Goods surged ONLY because May orders had a huge downward revision!

Are the markets THAT stupid to react to this crap?

Gold drops $10 immediately on this news, despite a weaker DXY.

If people are smart, they’ll take this opportunity purchase gold…on sale.

CIGA Wolfgang Rech

Durable Goods Tumble Year-Over-Year Despite June Rebound
July 25, 2019

After May’s unexpected plunge, US Durable Goods Orders were expected to rebound modestly but instead, thanks to huge downward revision, Dur Goods surged 2.0% MoM… but at the weakest in 3 years on a YoY basis

This is the biggest MoM jump since Aug 2018…

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The noisy aircraft orders segment continue to oscillate, affected by Boeing also.

Nondefense aircraft new orders +75.5%

Defense aircraft new orders -32.1%

But we note that year-over-year, Dur Goods Orders (NSA) are down 4.5% – the weakest in 3 years…

More…