Posted at 9:56 AM (CST) by & filed under

By Greg Hunter’s (Early Sunday Release)

Filmmaker, book author and renowned radio host Steve Quayle says all the bizarre and violent global headlines are telling him we are living in Biblical times. Earthquakes, famine, war, persecution and plagues were all predicted by Jesus Christ in the “End of Days.” Quayle says, “Let’s just take the locust plague. It was the ninth plague of ancient Egypt. The locust plague now that is infecting, eating and devouring Africa and the Middle East, and it’s gone into China. . . . It’s eating its way across Asia. . . . The overview is when Jesus spoke about ‘wars and rumors of wars,’ he also talked about famine. He talked about pestilence. He talked about betrayal. He talked about people who will be persecuted, and people are being persecuted and murdered all over the world who are Christians. It’s now coming to the United States. So, there is a global persecution going on now.”

Quayle goes on to say, “In order to bring about the New World Order, they have to absolutely destroy the old world order. They want no nationalism. They don’t want national identity. They don’t want individual borders, language or culture. They don’t want individual currency. They don’t want anybody that can think outside the official global mindset. Star Trek called it the ‘Borg.’ There is a word I have come up with, ‘Borgicated.’ We’ve all been Borgicated.”


Posted at 9:55 AM (CST) by & filed under In The News.

Bill Holter’s Commentary

Either way, confidence is severely wobbling. Another good read from Erik.

A Game of Confidence or a Confidence Game_001

A Game of Confidence or a Confidence Game_002

Bill Holter’s Commentary

Do you understand what this means? Bye bye petrodollar…and the credit markets in the West while you’re at it!

Saudi Arabia Starts All-Out Oil War: MbS Destroys OPEC By Flooding Market, Slashing Oil Prices
March 8, 2020

With the commodity world still smarting from the Nov 2014 Saudi decision to (temporarily) break apart OPEC, and flood the market with oil in (failed) hopes of crushing US shale producers (who survived thanks to generous banks extending loan terms and even more generous buyers of junk bonds), which nonetheless resulted in a painful manufacturing recession as the price of Brent cratered as low as the mid-$20’s in late 2015/early 2016, on Saturday, Saudi Arabia launched its second scorched earth, or rather scorched oil campaign in 6 years. And this time there will be blood.

brent drop daily_1

Following Friday’s shocking collapse of OPEC+, when Russia and Riyadh were unable to reach an agreement during the OPEC+ summit in Vienna which was seeking up to 1.5 million b/d in further oil production cuts, on Saturday Saudi Arabia kick started what Bloomberg called an all-out oil war, slashing official pricing for its crude and making the deepest cuts in at least 20 years on its main grades, in an effort to push as many barrels into the market as possible.

In the first major marketing decision since the meeting, the Saudi state producer Aramco, which successfully IPOed just before the price of oil cratered…


Posted at 11:02 AM (CST) by & filed under In The News.

Jim Sinclair’s Commentary

Relevant to article below.


Term Repo Record Oversubscribed As Market Liquidity Craters
March 5, 2020

Yesterday, when discussing the most oversubscribed overnight term repo operation yet, in which dealers scrambled to obtain $111.5BN in liquidity from the Fed’s $100BN overnight repo operation, we said that it was “the second day in a row the overnight funding repo operation was oversubscribed (and it is virtually certain that tomorrow’s downsized term-repo will be oversubscribed as well).”

We were right, because moments ago not only did the Fed announce that the latest 14-day term repo was indeed oversubscribed, but it was in fact the most oversubscribed term-repo on record, surpassing even the funding needs indicated at the start of the repo crisis last September.

While the Fed tapered the size of the term-repo operation from $25BN to $20BN as we entered March, the demand for the liquidity it unlocks has not only refused to go down, but has in fact soared, and rose to an all time high of $72.6BN consisting of $45.25BN in Treasurys, $2.5BN in Agency and $24.8BN in MBS tendered to the Fed.


Bill Holter’s Commentary

WOW! The “Bond King” Jeff Gundlach says gold is going a lot higher, doesn’t that mean bonds…and ALL other paper is going “a lot” lower? Do you understand? We assure you, if there is a “seizure” anywhere in credit, there will be a seizure everywhere. Please remember these words!

“Gold Is Going A Lot Higher” – DoubleLine’s Gundlach Warns Of “Seizure In The Corporate Bond Market”

March 5, 2020

The bond market is rallying because The Fed has reacted the seizure in the corporate bond market – which is not getting enough attention.”

That was the sentence that sparked a chin hitting the table moment for anyone watching DoubleLine CEO’s Jeff Gundlach being interviewed on CNBC today. Until now, amid all this equity market carnage, various talking heads – who clearly are not ‘in’ the bond market – have confidently claimed ‘yeah, but it’s different this time, there’s loads of liquidity and credit markets are not showing any signs of pain’… Well that all changed today as the world was told the truth.

Credit spreads have exploded wider in recent days… “the junk bond market is widening out massively…”


Bill Holter’s Commentary

They’re not doing this already? I think this qualifies as a giant “C’mon man”!

Boston Fed’s Rosengren Says Fed May Soon Have To Buy Stocks
March 6, 2020

Three weeks ago, former Fed Chair Janet Yellen incepted the idea that during the next crisis, the Fed should consider expanding the range of assets it would purchase, most notably buying stocks. Our comment to this was that “thanks to Janet Yellen, we now we know that before the current fiat regime of central banks finally ends and before stocks go limits up as the revolution starts, the Fed will order a POMO of, well, everything in one final, last ditch effort to keep social stability by creating the impression that stocks are stable and rising even as society implodes.”

Well, thanks to experiments conducted in a Chinese P-4 biolab, the next crisis appears to have arrived in the form of the coronavirus pandemic, and the idea of the Fed buying stocks is now on the agenda, case in point Boston President Eric Rosengren, who echoed Yellen, and said the Fed should be allowed to buy a broader range of assets – either by change of mandate or through a facility that allows it to buy stocks – if it lacks sufficient ammunition to fight off a recession with interest-rate cuts and bond purchases. In such a scenario, the US Treasury should indemnify the Fed against losses, Rosengren said in the text of remarks scheduled for delivery Friday in New York.

In a situation where both short-term interest rates and 10-year Treasury rates approach the zero lower bound, allowing the Federal Reserve to purchase a broader range of assets could be important.

Excerpt: “In such a case, as Marvin highlighted in his 1999 article, we should allow the central bank to purchase a broader range of securities or assets. Such a policy, however, would require a change in the Federal Reserve Act. … Alternatively, the Federal Reserve could consider a facility that could buy a broader set of assets, provided the Treasury agreed to provide indemnification.


Posted at 10:04 AM (CST) by & filed under In The News.

Bill Holter’s Commentary

Get ready for the flood of liquidity because there is no other tool left.

This Wasn’t Supposed To Happen: One Day After Fed Rate Cut, Repos Signal Record Liquidity Shortage
March 4, 2020

Yesterday morning, when we discussed the sudden spike in liquidity shortage that resulted in both a (record) oversubscribed term repo and the first oversubscribed overnight repo since the start of the repo crisis last September that spawned QE4 and helped its culprit, JPMorgan report record annual revenues, we said that “if going solely by the amount of securities submitted between the term and overnight repo, the overall liquidity shortage today was nearly $180BN, the highest since the start of the repo crisis, and a clear signal to the Fed that it needs to do something to further ease interbank lending conditions.”

Less than an hour later the Fed cut rates by 50bps in its first emergency intermeeting action since the financial crisis.

So with its emergency action now in the rearview mirror, did the Fed manage to stem the funding panic that has gripped repo markets following last week’s market bloodbath? The answer, if based on the latest overnight repo results, is a resounding no.

Moments ago, the Fed announced that its latest repo operation was once again oversubscribed, with the full $100 million amount of repo accepted.


Posted at 9:57 AM (CST) by & filed under

By Greg Hunter’s

The stock market sold off nearly 800 points (Tuesday) on a day when the Federal Reserve gave the biggest interest rate cut since the 2008 financial crisis. It was a surprise .5% cut to a key rate that should have boosted stocks. Instead, the market tanked–hard. Economist and money manager Peter Schiff says, like in the movie “Jaws,” when they see the monster Great White shark they have been hunting, a freaked out crew member says, “We need a bigger boat.” Schiff says, like in Jaws, “The Fed needs a bigger rate cut,” to fight a monster economic problem.

Schiff says, “The Fed is not cutting rates because of the coronavirus.” Schiff explains, “What the Fed is worried about are two things. One is the stock market. The stock market is falling. . . . The market is going down, and the Fed is worried about the reverse wealth effect of deflating this bubble. It’s not cutting rates to stop the coronavirus. It is cutting rates to stop the stock market from falling. It wants to blow air back into the bubble. . . . The other thing they are worried about is the debt. Because of all the rate cuts and all the cheap money policies of the past, we are so massively loaded up with debt now in the federal government, state and local governments, consumers and corporations. We have so much debt that if we have another recession, we have another financial crisis because people can’t pay their bills. They can’t service the debt. The Fed is trying to get out in front of that by cutting rates to ease the burden of servicing debt. So, really, what the Fed is worried about is deflation of their own bubble.”


Posted at 11:21 AM (CST) by & filed under In The News.


Bill Holter’s Commentary

Posted without comment because every thought that comes to mind is either politically incorrect or offensive to someone…especially Californians.

Los Angeles DA’s Husband Pulled Gun On Black Lives Matters Protesters
March 2, 2020

LOS ANGELES — The husband of Los Angeles County’s district attorney pulled a gun on Black Lives Matter protesters, telling them to back off, during a tense, crack-of-dawn demonstration Monday outside the prosecutor’s home.

Protesters knocked on the front door of L.A. County District Attorney Jackie Lacey at 5:40 a.m. PT when her husband, David Lacey, opened up and pointed a weapon, according to Melina Abdullah, a professor of Pan-African studies at Cal State Los Angeles, and protest organizer Justin Marks.

“We heard the gun cocking, and I thought I was being paranoid,” Abdullah told NBC News. “But then he opened the door, leading with the gun. He saw me and lowered it, pointing it at my chest.”


Bill Holter’s Commentary

It doesn’t matter whether coronavirus is a killer or just a garden variety flu bug, there are real world financial ramifications. Some companies just cannot sustain a drop in cash flow like this…the tide is going out so we will soon see who’s naked.

Macau Gaming Revenue Suffers Record Plunge From Virus Blow
February 29, 2020

Casinos in Macau, the Chinese territory that’s the world’s biggest gambling hub, reported a record drop in gaming revenue, as they grappled with the cost of closing down their businesses for 15 days to help contain the deadly coronavirus outbreak.

Gross gaming revenue was 3.1 billion patacas ($386.5 million) in February, down 87.8% from a year earlier, according to data from the Gaming Inspection & Coordination Bureau. In a survey, analysts had predicted a median 90% slide.

The slump follows a decision by Macau’s government to suspend casino operations from Feb. 5 for just over two weeks, dealing another blow to the gambling mecca that’s already struggling to recover from a revenue decline in 2019. The closure was the longest on record and only the second such instance, after a typhoon in 2018 forced a 33-hour shutdown.