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I'm quite serious.

After nearly 10 years of writing on the various schemes and scams that have and continue to destroy your financial and personal future I have observed only commentary in response including (1) the law will simply be more-ignored (yet they won't do anything about it), (2) bleating that if you just vote for {democrats|republicans|martians|the-man-with-a-tardis} it will all be fixed despite 30+ years of evidence to the contrary, (3) you should buy ghold (which will be $50,000/oz "soon"), (4) you should read books written by men intended to control more men using the threat of eternal hellfire as their premise (how come nobody can prove it?) or (5) just BTFD and you'll get rich (how'd that work in 2008?)

Well, citizens, after much reflection I must accept that you're Macrostomum hstrix.


You quite-clearly have been ****ing yourself in the head.

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Ah...... yeah.

Top White House aides emailed Hillary Clinton on at least one of several private email accounts during her first year in office, suggesting President Obama's staff knew about the secretary's controversial email arrangement as early as 2009.

Clinton's chief of staff, Cheryl Mills, passed Clinton's private email address to David Axelrod, then a senior Obama adviser, in June 2009.

Weeks later, Axelrod sent a note of sympathy to the secretary after learning she had fallen and hurt herself.

Mills ensured Clinton was comfortable sharing her private email address again in September 2009 before giving it to Rahm Emmanuel, Obama's chief of staff.

Remember, the AP was told in March that the White House had no idea Clinton was using her own email server while in office.

That never passed the laugh test (really, nobody ever sent Clinton an email on an address that wasn't ".gov"?) but now we have documentary proof that this claim was a lie.

Where are the articles of impeachment?

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Now granted, he had been shot and then run over a few times with a truck, and isn't looking so good.

But if you shove a stick up, well, you know where you can replace his busted-up spine for a bit and the idiots in the "markets" will respond to him holding the sign...... for a while.

The problem with this is two-fold:

  • Greece is a tiny component of GDP.  There was never an actual financial risk out of Greece; rather, had Tsipras (incidentally, anyone care to take a wager on the half-life of his government at this point?) held his cards and been backed by his people there was a crack at breaking the strangulation of the banksters over in Europe.  It appears that, as has been the case in the past, someone's going to have to do something unlawful and violent for that to happen -- and that is now very unlikely until math makes conditions intolerable to the point of literal privation, at which point it will become simply a matter of grabbing the pitchfork -- or chainsaw -- in an attempt to fill an empty belly.

  • China is not, on the other hand, a "tiny" component of GDP.  Not only is the margin debt problem there severe, not only is the P/E there off-the-charts, but people are now borrowing in the "peer-to-peer" (read: scam) and unregulated market to continue to play!  Further, technically the market there is broken; last night was confirmatory on the slope of the decline, showing that the so-called "bounce" in the early hours was just a snapback from a trend-break.  Oh, and speaking of which recently I pointed out that the trend break was something you would get no warning on until you had lost 20% of your investment (which, if you're geared up, and the P2P folks over there are allowing gearing as high as 10:1 you're in big trouble!)

As for the US market we have the same sort of problem, but unlike the Chinese market (which exhibited a classic 3-wave parabolic blow-off pattern) we have only seen two such moves.  But this is extremely dangerous for the investor as the trend from the 2009 low, confirmed in late 2010 and then again with two challenges in 2012 (neither of which was actually hit but price got within a breath of it) is not known to be valid or whether it will violate until price hits 1800 as of today.

That's kind of ugly, being a roughly 15% decline from the recent top, and more than 10% from here.

We are, in the present tense, in a rather dangerous place right now from a chart perspective, and the Chinese market blow-up is something to definitely pay attention to.  In early 2007 you got a warning; indeed, that was one of the markers that led me to start looking very closely at the macro-level health of economies and markets world-wide.  It provided you roughly six months of warning before things started to get dicey here in the US, and more than a year before it all went to hell.

History almost never repeats in the markets, but it usually rhymes and right now I hear an odd resonance coming from the general direction of the east....

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So UBER is a "Great thing", right?

Well, no.  In fact it's a cash furnace disaster, just as were so many alleged "companies" in the late 1990s.

Uber Technologies Inc. is telling prospective investors that it generates $470 million in operating losses on $415 million in revenue, according to a document provided to prospective investors.

The term sheet viewed by Bloomberg News, which is being used to sell $1 billion to $1.2 billion in convertible bonds, doesn’t make clear the time period for those results. The document also touts 300 percent year-over-year growth.

Uh huh, sure.  We'll lose more money faster but make it up in volume.

I've heard that many times, starting with Microport in the 1980s.  They went under.  Then I heard it dozens of times in the 1990s, and they all went under too.  Now we're hearing it again, and they too will go under.

“These are substantially old numbers that do not reflect business activities today,” Uber spokeswoman Nairi Hourdajian said in an e-mail. Hourdajian declined to say why the numbers are being used to promote a current funding round.

Uh huh.  This is why they're being used in a current funding campaign, right?

Probably not.

The company is trying to raise $2 billion from a credit line and it funded $1.6 billion more in convertible bonds earlier this year.  What's the huge "need" unless the company is burning cash at a furnace-style pace and thus, absent it, would be in jeopardy of shriveling up into a prune and dying?

I have long argued that most of the so-called "sharing" economy is nothing more than regulatory arbitrage; finding ways to cheat on various laws that impose costs which will eventually be blocked by the governments involved as it impairs tax revenue.

Oh sure, it looks good at the outset, but that doesn't mean they'll be able to continue onward with that model on a durable and forward basis.  And yet that's the premise all of these firms have -- they have durable, ongoing businesses.

I think not.

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2015-07-01 06:00 by Karl Denninger
in 2ndAmendment , 130 references

It's not the weapon folks.  In fact, a common vehicle is far more deadly than a gun in untrained (or inadequately-trained) hands.  Witness here....

At least three people have died and 34 more are injured after a man purposely drove through a crowd in Graz, Austria on Saturday, according to CNN.

The driver, identified by the Graz City Council in a statement as a 26-year-old male, intentionally used his SUV as a weapon, according to CNN.

So what are you going to do about that?  There's nothing you can do -- any city street can be turned into a monstrous scene in seconds should a murderous bastard decide to do so, and what's worse is that he or she comes with a built-in set of armor (in the form of the vehicle!) in doing so.

Oh, finally, exactly what device would you use to stop such a person with a two-ton weapon of destruction under their control?

Why I think that would be called "a gun."

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