U.S. Economy: Retail Sales Climbed in August

[8537]

Private sector jobs.

Private sector jobs have been growing at a clip of about 100k a month this year.

There has been a divergence between the household survey and nonfarm payrolls. There are many divergences in the data sets. That means we are at an inflection point in the economy. Either we are going to accelerate or decelerate. I thought we were going to decelerate but the stock market is acting like we are going to speed up.

? Looks like markets think quantitative easing inflation is speeding up, not necessarily job creation.

You sure as heck don't see that in TIPS.

WTF is up with Nucor's single stock flash crash today?

That's a good question

 

[loosecannon]

More inside baseball, manipulating secondary factors. Inflation stifles wealth creation. The debt isn't the problem, it's the net worth that is the problem.

yeah well, the same slight of hand that hopes tax cuts will spur future econ growth and tax receipts and that underlies our entire monetarist economy assumes that wealth will be generated from today's debt.

It is the same basic premise as that of stocks, investments, capitalism.

I don't support it, but our entire economy from tip to toe is based on debt as the driving force behind investment and growth. Every kind of debt included.

Debt is the ultimate cause of inflation.

it's based on money and politics. debt is the outcome of the two.

debt is how money is created.

 

[loosecannon]

It's John Williams shadowstats chart updated 2 days ago. The Fed is pouring money into the system buying up 10 year treasuries. Banks have to do something else with their money now.

The Jackson Hole Summit featured the Fed asserting that they would buy 10 year bonds IF the situation called for it, right?

And even if they did how does that force banks to lend?

You are leaving out far more than you are saying.

Banks were borrowing short term money at near zero & buying 10 year bonds making 3.5% on money that was not even theirs. They were in no way interested in lending money when they could do nothing & make big bucks. Now they have lend to business, people or carry trade in order to make money.

The Fed just prints up a bunch of money & buys up all the bonds from 1 month to 10 year duration at near zero rates driving the bankers away. This will cause a lot more inflation than just the overnight rates.

It looks as tho much of the cash distributed thru the commercial banks via the QE efforts is being used to buy yen instead of lending to consumers.

I still haven't seen any evidence of commercial lending increases beyond refis.

The Japanese are responding now by printing money to buy dollar reserves to force the dollar up and the yen down. I expected that. But this can't end well.

We could get into really serious trouble if the EU, Japan, China and US all begin a currency manipulation war based on a giant influx of fiat money. This kind of shit used to be considered an act of war.

 

[KissMy]

The Jackson Hole Summit featured the Fed asserting that they would buy 10 year bonds IF the situation called for it, right?

And even if they did how does that force banks to lend?

You are leaving out far more than you are saying.

Banks were borrowing short term money at near zero & buying 10 year bonds making 3.5% on money that was not even theirs. They were in no way interested in lending money when they could do nothing & make big bucks. Now they have lend to business, people or carry trade in order to make money.

The Fed just prints up a bunch of money & buys up all the bonds from 1 month to 10 year duration at near zero rates driving the bankers away. This will cause a lot more inflation than just the overnight rates.

It looks as tho much of the cash distributed thru the commercial banks via the QE efforts is being used to buy yen instead of lending to consumers.

I still haven't seen any evidence of commercial lending increases beyond refis.

The Japanese are responding now by printing money to buy dollar reserves to force the dollar up and the yen down. I expected that. But this can't end well.

We could get into really serious trouble if the EU, Japan, China and US all begin a currency manipulation war based on a giant influx of fiat money. This kind of shit used to be considered an act of war.

We all knew this day would come. That is why I bought a ton of gold on election day 2008 after I saw a democrat sweep. They wish to devalue the currency to take value from the rich & give it to the irresponsible to pay for their enormous debts that threaten the economy. Gold was $715 on election day. It has almost doubled. They have created a larger percentage of money than FDR in the 1930s during the great depression when gold went from $20 to $35. History repeats.

 

[uscitizen]

? Looks like markets think quantitative easing inflation is speeding up, not necessarily job creation. Have you seen the new high gold & silver made today? We are still at an inflection point with no catalyst & the yield curve is being smashed. WTF is up with Nucor's single stock flash crash today? Stocks are not headed higher at a faster rate than true inflation.

along sector lines, Barrons has semi conductors flat for the rest of the year, software seems to be okay, but tech. is slowing down...that will think affect x-mas sales drastically as well. Gold is going to 1500, by May if that long, , deflation scares be damned.

nothing affects xmas sales.


ever.

Au conrare.

 

[loosecannon]

Oh boy!

Japan's decision to single-handedly intervene in currency markets to drive down its currency's value complicates a U.S. and European bid to persuade export-powerhouse China to let its yuan appreciate.

Amid growing global pressure for Beijing to let its yuan rise in value to help rebalance uneven global trade, analysts warn that Japan's unilateral action risks spurring an era of beggar-thy-neighbor policies as countries try to devalue their way to prosperity.

Already on Wednesday, Colombia's central bank said it was starting to buy at least $20 million daily to slow the rise in its peso currency and Brazilian Finance Minister Guido Mantega said he was "watching the game" and wouldn't stand by if others weakened their currencies at Brazil's exporting expense.

In Thailand, business leaders are urging policymakers to keep the baht's value from rising excessively so that its industrial sector doesn't suffer, and analysts see a risk that Thailand and other Asian nations may follow Japan's path.

Tokyo's solo intervention in currency markets was not unexpected. The yen had hit a 15-year high that was a threat to Japan's recovery, and officials in Tokyo had been threatening to intervene for weeks.

U.S. lawmakers, embarking on the first of two days of hearings into China's currency policies, let their anger show on Wednesday at the two Asian trade giants while venting frustration at the difficulty in shrinking trade imbalances.

"China is not the only country with a predatory exchange rate policy," said U.S. House of Representatives' Ways and Means Committee Chairman Sander Levin, describing Japan's intervention as "a deeply disturbing development."

"What's happening is that China's actions have affected Japan, and now Japan's actions affect us," he said.

Analysis: Japan yen tactic muddles bid to drive yuan up | Reuters

So while we lament the evils of protectionism in the midst of a WW recession we secretly sneak into currency manipulation warfare.

And so it begins and can't end well

 

[uscitizen]

It will end?

 

[loosecannon]

weeeelll
[ame=http://www.youtube.com/watch?v=glhrczA1ru4]YouTube - Robert Earl Keen[/ame]