investmentwatchblog--2020-12-21--SolarWinds is going to crash further on Monday – 6th day in a row

Even more bad news came in for SolarWinds over the weekend , and SolarWinds is going to crash again on Monday .
It ’ s the next FireEye , except the stock price is going downward .
Recap of what happened previously : -SolarWinds stock crashed over the past 6 days non-stop .
-SolarWinds software was used to attack 18,000 very , very big name customers ( you ’ ve already read the news ) .
More and more bad news is coming in , and 18,000 is only what has been found in the initial investigation .
-Instead of @ @ @ @ @ @ @ may have traded on insider information and sold their stock .
Oh , and their CEO “ just happened to leave ” too .
-Lots of incompetence shown throughout .
For example , using password of “ solarwinds123 ” for their critical server .
Every day some people thought it was the dip and they could buy it .
Nope , it will crash again this Monday .
Let ’ s take a look at what ’ s new over the weekend : -SolarWinds is freaking out every government agency in the world @ @ @ @ @ @ @ is freaking out every financial institution because they got hacked too -SolarWinds is freaking out basically every large organization in the world -A large bulk of SolarWinds revenue comes from the US government .
The US Cybersecurity and Infrastructure Security Agency ( CISA ) asked every government agency in the US to remove this bad SolarWinds software .
This might become legally binding so that they can make a scapegoat out of SolarWinds .
-The management has basically said nothing on this , even days after this was reported .
-US politicians are @ @ @ @ @ @ @ war .
If you want to know the last time this happened…well , never .
-Nobody has a freaking clue of what ’ s the extent of this as every day there are more and more findings every hour .
-To let you understand the scale of this , every single cyber security organization is working on this because their customers got hacked .
Every single government in the world is checking to see what secrets have been stolen .
Every single news agency is rushing to report this , and likely already @ @ @ @ @ @ @ you know someone ) is working on checking this and figuring out how to remove SolarWinds software from their organization .
-SolarWinds is going to get sued to the ground by their customers and partners , not only for this hack but for their non-response .
Oh and their customers are going to say goodbye too .
-Think some customers and partners will stick with SolarWinds ?
Maybe .
But they can ’ t , because Microsoft ( which controls your computer ) is forcing the removal of SolarWinds software regardless .
-How @ @ @ @ @ @ @ ’ s been called the “ Hack of The Decade ” .
The bad news ain ’ t going away after one week .
You want to see how bad this is ?
-Every government ( and organization ) is freaked out —US Government , us-cert.cisa.gov/ncas/alerts/aa20-352a —Canadian Government , cyber.gc.ca/en/alerts/solarwinds-security-incident —UK and European Government , www.bloomberg.com/news/articles/2020-12-14/u-k-government-nato-join-u-s-in-monitoring-risk-from-hack —New Zealand Government , www.cert.govt.nz/it-specialists/advisories/solarwinds-orion-vulnerability-being-actively-exploited/ —And more unreported and I didn ’ t bother searching -Every single cyber security organization is working on this , which means their customers or they are affected —FireEye www.fireeye.com/blog/threat-research/2020/12/evasive-attacker-leverages-solarwinds-supply-chain-compromises-with-sunburst-backdoor.html —Microsoft blogs.microsoft.com/on-the-issues/2020/12/17/cyberattacks-cybersecurity-solarwinds-fireeye/ @ @ @ @ @ @ @ www.crowdstrike.com/blog/identity-security-lesson-from-recent-high-profile-breaches/ —Symantec symantec-enterprise-blogs.security.com/blogs/threat-intelligence/sunburst-supply-chain-attack-solarwinds —Carbon Black community.carbonblack.com/t5/Knowledge-Base/All-Products-What-are-the-SolarWinds-Sunburst-Recommendations/ta-p/98423 —And more unreported and I didn ’ t bother searching Oh , did I forget to mention there was literally double the trouble over the weekend ?
www.reuters.com/article/usa-cyber-solarwinds/second-hacking-team-was-targeting-solarwinds-at-time-of-big-breach-idINKBN28T0SZ What ’ s the best way I can profit from this ?
Disclaimer : This information is only for educational purposes .
Do not make any investment decisions based on the information in this article .
Do you own due diligence or consult your financial professional before making any investment decision .

by emmabananaz
Even more bad news came in for SolarWinds over the weekend, and SolarWinds is going to crash again on Monday. It’s the next FireEye, except the stock price is going downward.
Recap of what happened previously:
-SolarWinds stock crashed over the past 6 days non-stop.
-SolarWinds software was used to attack 18,000 very, very big name customers (you’ve already read the news). More and more bad news is coming in, and 18,000 is only what has been found in the initial investigation.
-Instead of doing something about the news, management may have traded on insider information and sold their stock. Oh, and their CEO “just happened to leave” too.
-Lots of incompetence shown throughout. For example, using password of “solarwinds123” for their critical server.
Every day some people thought it was the dip and they could buy it. Nope, it will crash again this Monday.
Let’s take a look at what’s new over the weekend:
-SolarWinds is freaking out every government agency in the world, including in the US.
-SolarWinds is freaking out every financial institution because they got hacked too
-SolarWinds is freaking out basically every large organization in the world
-A large bulk of SolarWinds revenue comes from the US government. The US Cybersecurity and Infrastructure Security Agency (CISA) asked every government agency in the US to remove this bad SolarWinds software. This might become legally binding so that they can make a scapegoat out of SolarWinds.
-The management has basically said nothing on this, even days after this was reported.
-US politicians are calling the SolarWinds attack an act of war. If you want to know the last time this happened…well, never.
-Nobody has a freaking clue of what’s the extent of this as every day there are more and more findings every hour.
-To let you understand the scale of this, every single cyber security organization is working on this because their customers got hacked. Every single government in the world is checking to see what secrets have been stolen. Every single news agency is rushing to report this, and likely already did. Every single large organization (you know someone) is working on checking this and figuring out how to remove SolarWinds software from their organization.
-SolarWinds is going to get sued to the ground by their customers and partners, not only for this hack but for their non-response. Oh and their customers are going to say goodbye too.
-Think some customers and partners will stick with SolarWinds? Maybe. But they can’t, because Microsoft (which controls your computer) is forcing the removal of SolarWinds software regardless.
-How bad is the SolarWinds hack? It’s been called the “Hack of The Decade”. The bad news ain’t going away after one week.
We are primarily funded by readers. Please subscribe and donate to support us!
You want to see how bad this is?
-Every government (and organization) is freaked out
—US Government, us-cert.cisa.gov/ncas/alerts/aa20-352a
—Canadian Government, cyber.gc.ca/en/alerts/solarwinds-security-incident
—UK and European Government, www.bloomberg.com/news/articles/2020-12-14/u-k-government-nato-join-u-s-in-monitoring-risk-from-hack
—New Zealand Government, www.cert.govt.nz/it-specialists/advisories/solarwinds-orion-vulnerability-being-actively-exploited/
—And more unreported and I didn’t bother searching
-Every single cyber security organization is working on this, which means their customers or they are affected
—FireEye www.fireeye.com/blog/threat-research/2020/12/evasive-attacker-leverages-solarwinds-supply-chain-compromises-with-sunburst-backdoor.html
—Microsoft blogs.microsoft.com/on-the-issues/2020/12/17/cyberattacks-cybersecurity-solarwinds-fireeye/
—Palo Alto Networks www.paloaltonetworks.com/solarstorm-rapid-response
—Cisco blogs.cisco.com/security/talos/solarwinds-supplychain-coverage
—CrowdStrike www.crowdstrike.com/blog/identity-security-lesson-from-recent-high-profile-breaches/
—Symantec symantec-enterprise-blogs.security.com/blogs/threat-intelligence/sunburst-supply-chain-attack-solarwinds
—Carbon Black community.carbonblack.com/t5/Knowledge-Base/All-Products-What-are-the-SolarWinds-Sunburst-Recommendations/ta-p/98423
—And more unreported and I didn’t bother searching
Oh, did I forget to mention there was literally double the trouble over the weekend? www.reuters.com/article/usa-cyber-solarwinds/second-hacking-team-was-targeting-solarwinds-at-time-of-big-breach-idINKBN28T0SZ
What’s the best way I can profit from this?
Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence or consult your financial professional before making any investment decision.


investmentwatchblog--2020-12-22--We’re On A Highway To Hyperinflation

We’re On A Highway To Hyperinflation

Well , here we go again .
The U.S. House of Representatives just passed a $ 900 billion stimulus package , and we are being promised that it will provide a real “ boost ” to the economy .
Of course we were told the exact same thing about all of the other “ stimulus packages ” that have been passed since the beginning of the pandemic .
Most importantly to many Americans , $ 600 stimulus payments will soon be sent out directly to the American people .
If you are married and have three kids , you will @ @ @ @ @ @ @ because each member of your family is counted equally for this round of stimulus payments .
But it won ’ t just be U.S. citizens that will be receiving free money .
According to Michelle Hackman of the Wall Street Journal , families of illegal immigrants will now be eligible as well… In addition , there is a tremendous amount of pork in the spending package that the House just authorized .
The following comes from Zero Hedge… Not surprisingly , the bill passed the House by a vote of 359 to 53 @ @ @ @ @ @ @ 53 members of the House that tried to stand up and do the right thing , because this bill should have never been passed .
It is being reported that the bill was 5,593 pages long , and our representatives were only given a few hours to read it… It is going to take weeks before we learn all of the insidious things that were snuck into this bill , because that is how long it is going to take for ordinary citizens to read it .
As for members of Congress , @ @ @ @ @ @ @ ever end up reading the entire thing .
Our system of government is so broken , but most of the population doesn ’ t seem to care .
And most Americans also don ’ t seem to care that all of this ridiculous spending is literally destroying the bright future that our children and our grandchildren were supposed to have .
You see , the truth is that we don ’ t have 900 billion dollars to spend on a stimulus package .
Instead , the federal government will have to borrow 900 @ @ @ @ @ @ @ creates out of thin air .
Needless to say , injecting 900 billion more dollars into the economy is going to be yet another massive shock for the money supply .
Even without this new stimulus package , M2 has been rising at an exponential rate since the start of the pandemic due to all of the previous stimulus packages that Congress approved and all of the “ quantitative easing ” that the Federal Reserve has been doing .
Prior to 2020 , we had “ inflation ” , but now we have @ @ @ @ @ @ @ .
In the short-term , $ 600 payments will help ease the economic suffering of tens of millions of Americans .
But in the long run , we are going down the exact same path that Venezuela , Zimbabwe and the Weimar Republic went down .
As I have explained to my regular readers repeatedly , just about everyone in Venezuela is a millionaire today , but just about everyone is also living in poverty because their money is almost absolutely worthless .
Unfortunately , most Americans are not interested in discussing the @ @ @ @ @ @ @ spending is having .
Instead , social media is full of angry comments about how these $ 600 stimulus payments are not nearly large enough .
Just check out what some of the people on Twitter are saying… Eli Yudin : Members of Congress got paid $ 130,000 to spend 9 months arguing about whether we deserve $ 600 Robert Reich : People are starving and the GOP has the nerve to hand over a one-time $ 600 check , as the Pentagon spends $ 2 billion a day .
The cruelty is @ @ @ @ @ @ @ : $ 600 … No thank you !
Sudan : $ 700,000,000…HELL NO !
@ BlessUSA45 : Leader of both party ’ s celebrating while laughing their asses off at us because they actually believe we are delighted to get our 600 dollar check from them .
@ marie32318459 : “ i am very proud of this deal , because we came together , BI partisan ” this is unacceptable .
9 MONTHS , getting paycheck after paycheck with American tax dollars and then come up with this “ spit-in-the face ” 600 @ @ @ @ @ @ @ on this ?
# eattherich Allegedly Legendary : @ SpeakerPelosi Americans need monthly cash assistance for all , # Med4All and a real plan to get people back to work .
Not a $ 600 dollar one-time check .
You ’ ve given tax cuts in the billions and bailouts but don ’ t help the American people .
# StimulusChecksOrStrike This is one of the big problems that happens once you start cruising down the road to socialism .
People always want more .
And actually Joe Biden is promising much more @ @ @ @ @ @ @ the White House .
Giving people free money is a fast way to win votes , but it is also going to destroy the value of our currency .
If M2 continues to rise at an exponential rate , what do you think that is going to do to the cost of living in this country ?
We all know the answer to that question , and if our paychecks do not keep pace that means that our standard of living will be going way down .
I have been warning that our @ @ @ @ @ @ @ meltdown , and now it is starting to become a reality right in front of our eyes .
Throughout human history , once currency devaluation reaches an exponential phase things always have ended badly .
And now it is our turn .
We ’ re on a highway to hyperinflation , and our maniacal free spending politicians are behind the wheel .

by Michael Snyder
Well, here we go again. The U.S. House of Representatives just passed a $900 billion stimulus package, and we are being promised that it will provide a real “boost” to the economy. Of course we were told the exact same thing about all of the other “stimulus packages” that have been passed since the beginning of the pandemic. Most importantly to many Americans, $600 stimulus payments will soon be sent out directly to the American people. If you are married and have three kids, you will get a total of $3,000, because each member of your family is counted equally for this round of stimulus payments.
But it won’t just be U.S. citizens that will be receiving free money. According to Michelle Hackman of the Wall Street Journal, families of illegal immigrants will now be eligible as well…
Family members of unauthorized immigrants are now eligible to get stimulus checks under the $900 billion deal reached last night. That eligibility is retroactive, so adults excluded last time could get up to $1800 now
In addition, there is a tremendous amount of pork in the spending package that the House just authorized. The following comes from Zero Hedge…
And now, on to the pork… which includes billions to foreign countries, US military weapons purchases which go above and beyond their budgets, $40 million for the Kennedy Center, and nearly $200 million so that federal HIV/AIDS workers overseas can buy cars and car insurance, among other things.
Not surprisingly, the bill passed the House by a vote of 359 to 53.
I would like to applaud the 53 members of the House that tried to stand up and do the right thing, because this bill should have never been passed.
It is being reported that the bill was 5,593 pages long, and our representatives were only given a few hours to read it…
Several members of Congress are taking to social media to complain about the handful of hours they have to read the 5,593-page spending bill. Early Monday afternoon, the behemoth piece of legislation was uploaded, and House Speaker Nancy Pelosi scheduled a vote for the evening.
It is going to take weeks before we learn all of the insidious things that were snuck into this bill, because that is how long it is going to take for ordinary citizens to read it.
As for members of Congress, I doubt that any of them will ever end up reading the entire thing.
Our system of government is so broken, but most of the population doesn’t seem to care.
And most Americans also don’t seem to care that all of this ridiculous spending is literally destroying the bright future that our children and our grandchildren were supposed to have.
You see, the truth is that we don’t have 900 billion dollars to spend on a stimulus package.
Instead, the federal government will have to borrow 900 billion new dollars that the Federal Reserve creates out of thin air.
Needless to say, injecting 900 billion more dollars into the economy is going to be yet another massive shock for the money supply. Even without this new stimulus package, M2 has been rising at an exponential rate since the start of the pandemic due to all of the previous stimulus packages that Congress approved and all of the “quantitative easing” that the Federal Reserve has been doing.
Prior to 2020, we had “inflation”, but now we have definitely entered a “hyperinflationary” phase.
In the short-term, $600 payments will help ease the economic suffering of tens of millions of Americans.
But in the long run, we are going down the exact same path that Venezuela, Zimbabwe and the Weimar Republic went down.
As I have explained to my regular readers repeatedly, just about everyone in Venezuela is a millionaire today, but just about everyone is also living in poverty because their money is almost absolutely worthless.
We are primarily funded by readers. Please subscribe and donate to support us!
Unfortunately, most Americans are not interested in discussing the inflationary impact that all of this reckless spending is having. Instead, social media is full of angry comments about how these $600 stimulus payments are not nearly large enough.
Just check out what some of the people on Twitter are saying…
Eli Yudin: Members of Congress got paid $130,000 to spend 9 months arguing about whether we deserve $600
Robert Reich: People are starving and the GOP has the nerve to hand over a one-time $600 check, as the Pentagon spends $2 billion a day. The cruelty is staggering.
VeBee: You and I : $600 … No thank you! Sudan : $700,000,000…HELL NO !
@BlessUSA45: Leader of both party’s celebrating while laughing their asses off at us because they actually believe we are delighted to get our 600 dollar check from them.
@marie32318459: “i am very proud of this deal, because we came together, BI partisan” this is unacceptable. 9 MONTHS, getting paycheck after paycheck with American tax dollars and then come up with this “spit-in-the face” 600$ and they actually congratulating each other on this?
#eattherich
Allegedly Legendary: @SpeakerPelosi Americans need monthly cash assistance for all, #Med4All and a real plan to get people back to work. Not a $600 dollar one-time check. You’ve given tax cuts in the billions and bailouts but don’t help the American people. #StimulusChecksOrStrike
This is one of the big problems that happens once you start cruising down the road to socialism.
People always want more.
And actually Joe Biden is promising much more “stimulus” once he gets into the White House.
Giving people free money is a fast way to win votes, but it is also going to destroy the value of our currency.
If M2 continues to rise at an exponential rate, what do you think that is going to do to the cost of living in this country?
We all know the answer to that question, and if our paychecks do not keep pace that means that our standard of living will be going way down.
I have been warning that our financial system is headed for an epic meltdown, and now it is starting to become a reality right in front of our eyes.
Throughout human history, once currency devaluation reaches an exponential phase things always have ended badly.
And now it is our turn.
We’re on a highway to hyperinflation, and our maniacal free spending politicians are behind the wheel.


Bank Accounts Shrink

The November retail sales report wasn ’ t good .
It shows the need for additional stimulus .
Many will criticize the $ 600 checks and the 11 weeks of $ 300 in unemployment insurance , but it will have a significant impact on spending to start the year .
Of course , many want more money , but that ’ s not up to us .
We just play the hand we are dealt .
The checks probably won ’ t impact December retail sales , so another weak report is coming since there have been more shutdowns and @ @ @ @ @ @ @ they go out early next week that would bump up results in December ) .
It ’ s notable that stock investors are ignoring the weakness in consumer spending as the S & P retail ETF is up 27 % since October 30th .
They agree with the consumer survey we detailed in a previous article that said consumers expect the highest spending growth since July 2016 .
It ’ s important to look at the report even if you choose to ignore it for trading .
You can ’ t just turn @ @ @ @ @ @ @ in March .
You will have a discontinuous understanding of the macro framework .
Headline monthly retail sales growth was -1.1 % which missed estimates for -0.3 % and the lowest estimate by 4 tenths .
Plus , October ’ s reading was revised lower by 4 tenths to -0.1 % .
There was an easy comp and growth was still bad .
Furthermore , core retail sales growth was -0.5 % which missed estimates by 6 tenths and the lowest estimate by 2 tenths .
Again , October ’ s numbers were @ @ @ @ @ @ @ % .
There is a big difference between yearly retail sales growth with and without food services because of the pandemic .
Indoor dining is closed in NYC , so the results will be even starker in December .
Retail sales growth including food services fell from 5.5 % to 4.1 % .
Without food services , growth was fell from 8.3 % to 7.1 % .
The chart above shows the breakdown of the report .
There was some stocking up on food and beverages like in March and April , but @ @ @ @ @ @ @ from this isn ’ t working because investors see this as temporary now that we have the vaccines .
Moderna ’ s vaccine was approved on Friday .
Do not get fooled into thinking high consumer spending growth is sustainable without fiscal help or a reopening of the economy .
This is a very unstable situation .
Just because stocks show confidence , doesn ’ t mean it will go smoothly .
It also doesn ’ t mean it won ’ t .
As you can see from the chart below , the @ @ @ @ @ @ @ accounts is shrinking across all income quartiles .
It ’ s on an unstainable path towards the negatives .
The next fiscal stimulus will buy the economy a couple of months before trouble awaits again .
As we have said previously , the stimulus in the spring was the most successful fiscal policy in decades .
The timing is what we are most impressed with because Congress usually acts like it has for the past months – that is slow and ineffective .
There are contracting real time data points on consumer spending @ @ @ @ @ @ @ .
The BAC card spending data looks good and Chase ’ s data looks bad .
Maybe the truth is in the middle .
The chart below shows the 7 day average of card spending growth has been below last year the entire season .
Non-seasonally adjusted total retail sales growth was 2.5 % in November , so it seems like this is too low .
Chase spending growth is -5.4 % in the holiday shopping season .
That being said , most of the decline has come after Black Friday which the @ @ @ @ @ @ @ retail sales report could end up being a bloodbath .
We might see negative job creation and negative yearly retail sales growth .
Remember , we think when the economy reopens next year , there will be a burst in spending on group indoor activities that haven ’ t been allowed under COVID-19 restrictions ( think concerts ) .
Cheap Stocks Used To Do Well We are seeing extreme criticism of value investing .
Many say value stocks are bad businesses and deserve to be cheap .
They say you shouldn ’ t @ @ @ @ @ @ @ low multiple stocks .
Maybe most do deserve low multiples , but good investors should find the ones that deserve higher multiples .
The counterpoint about making money just buying low multiple stocks is you can argue growth investors are just buying high growth stocks .
However , high growth investing has been a winning strategy even though it is simplistic .
Cheap stocks had a really great run from the mid 1970s to 2007 as you can see from the chart above .
The wheels have fallen off in the past few @ @ @ @ @ @ @ until November when value had its best month ever .
If value regains its mojo in 2021 , there will be a sea change in how markets price assets .
Commodity stocks will be winners again .
The semiconductors are part of the growth trade gone maniacal .
As you can see from the chart below , just like in the late 1990s , the SOXX semiconductor index has gone vertical .
It is over 3.5 standard deviations above its 200 week moving average .
These returns won ’ t continue as valuations @ @ @ @ @ @ @ side , you have growth stocks issuing shares and on the other side you have value stocks buying them back .
The imbalance will subside due to the law of supply and demand .
It ’ s just a matter of how great the insatiable demand for speculation in growth stocks gets .
The November retail sales report wasn ’ t good and the December one will probably be worse .
Bank accounts are shrinking .
The stimulus will help bridge the gap between January and when the economy reopens .
Value stocks @ @ @ @ @ @ @ to see higher inflation and economic growth to get a phase change .
Of course , you can make a bet with higher odds if the value stock you invest in has strong fundamentals ( deserves a higher multiple ) .
The semiconductor index has risen out of control just like in the late 1990s .

by UPFINA
The November retail sales report wasn’t good. It shows the need for additional stimulus. Many will criticize the $600 checks and the 11 weeks of $300 in unemployment insurance, but it will have a significant impact on spending to start the year. Of course, many want more money, but that’s not up to us. We just play the hand we are dealt.
The checks probably won’t impact December retail sales, so another weak report is coming since there have been more shutdowns and initial claims have increased (although if they go out early next week that would bump up results in December). It’s notable that stock investors are ignoring the weakness in consumer spending as the S&P retail ETF is up 27% since October 30th. They agree with the consumer survey we detailed in a previous article that said consumers expect the highest spending growth since July 2016.
It’s important to look at the report even if you choose to ignore it for trading. You can’t just turn off your macro screens and come back in March. You will have a discontinuous understanding of the macro framework. Headline monthly retail sales growth was -1.1% which missed estimates for -0.3% and the lowest estimate by 4 tenths. Plus, October’s reading was revised lower by 4 tenths to -0.1%. There was an easy comp and growth was still bad. Furthermore, core retail sales growth was -0.5% which missed estimates by 6 tenths and the lowest estimate by 2 tenths. Again, October’s numbers were revised lower to 0% from 0.2%.
🇺🇸 #Retail sales fall ill as the holiday season starts Headline -1.1%
Core -0.5% Consumer cut back on:
Clothing -6.8%
Restaurants -4.0%
Electronics -3.5%
Driving/Gas -2.4%
Cars -1.7%
Furniture -1.1% Online sales soft +0.2% They bought more
Food +1.6%
Building material +1.1% pic.twitter.com/iP5KUSae4A — Gregory Daco (@GregDaco) December 16, 2020
There is a big difference between yearly retail sales growth with and without food services because of the pandemic. Indoor dining is closed in NYC, so the results will be even starker in December. Retail sales growth including food services fell from 5.5% to 4.1%. Without food services, growth was fell from 8.3% to 7.1%. The chart above shows the breakdown of the report. There was some stocking up on food and beverages like in March and April, but the trade to buy firms that benefit from this isn’t working because investors see this as temporary now that we have the vaccines. Moderna’s vaccine was approved on Friday.
Bank Accounts Falling
Do not get fooled into thinking high consumer spending growth is sustainable without fiscal help or a reopening of the economy. This is a very unstable situation. Just because stocks show confidence, doesn’t mean it will go smoothly. It also doesn’t mean it won’t.
As you can see from the chart below, the yearly change in people’s checking accounts is shrinking across all income quartiles.
Median balances for lower-income households were up 45 y-o-y in Oct, but that’s down from ~100% gain in April t.co/wPQD8jYe11 pic.twitter.com/zp8M8lxcpy — Nick Bunker (@nick_bunker) December 16, 2020
It’s on an unstainable path towards the negatives. The next fiscal stimulus will buy the economy a couple of months before trouble awaits again. As we have said previously, the stimulus in the spring was the most successful fiscal policy in decades. The timing is what we are most impressed with because Congress usually acts like it has for the past months – that is slow and ineffective.
We are primarily funded by readers. Please subscribe and donate to support us!
This Wasn’t A Good Holiday Shopping Season
There are contracting real time data points on consumer spending which we have mentioned in prior articles. The BAC card spending data looks good and Chase’s data looks bad. Maybe the truth is in the middle. The chart below shows the 7 day average of card spending growth has been below last year the entire season. Non-seasonally adjusted total retail sales growth was 2.5% in November, so it seems like this is too low.
“…total spending in the period from 4 weeks before Black Friday through December 14 is down 5.4% from the equivalent period in 2019” – JPM using data from 30 million Chase credit and debit card holders pic.twitter.com/xWgIuk6D71 — Sam Ro 📈 (@SamRo) December 18, 2020
Chase spending growth is -5.4% in the holiday shopping season. That being said, most of the decline has come after Black Friday which the BAC data agrees with. The December retail sales report could end up being a bloodbath. We might see negative job creation and negative yearly retail sales growth. Remember, we think when the economy reopens next year, there will be a burst in spending on group indoor activities that haven’t been allowed under COVID-19 restrictions (think concerts).
Cheap Stocks Used To Do Well
We are seeing extreme criticism of value investing. Many say value stocks are bad businesses and deserve to be cheap. They say you shouldn’t be able to make money just buying low multiple stocks. Maybe most do deserve low multiples, but good investors should find the ones that deserve higher multiples. The counterpoint about making money just buying low multiple stocks is you can argue growth investors are just buying high growth stocks. However, high growth investing has been a winning strategy even though it is simplistic.
also crazy is how consistently well value (just buying cheapest quintile stocks) works for decades goes gangbusters post .com bubble until ~2007…post GFC it totally stops working and underperforms massively pic.twitter.com/PFhmg1qCxu — Ray (@heartof_thesea) December 17, 2020
Cheap stocks had a really great run from the mid 1970s to 2007 as you can see from the chart above. The wheels have fallen off in the past few years. 2020 accelerated that trend up until November when value had its best month ever. If value regains its mojo in 2021, there will be a sea change in how markets price assets. Commodity stocks will be winners again.
Super High Semiconductor Index
The semiconductors are part of the growth trade gone maniacal. As you can see from the chart below, just like in the late 1990s, the SOXX semiconductor index has gone vertical. It is over 3.5 standard deviations above its 200 week moving average.
$SOX | Semis are over 3.5std above their 200wma. As we saw in 99', over-extension like this can lead to further over-extension. But… 🤷♂ pic.twitter.com/2F1g2pbATs — Alex Barrow (@MacroOps) December 18, 2020
These returns won’t continue as valuations are too high. On the one side, you have growth stocks issuing shares and on the other side you have value stocks buying them back. The imbalance will subside due to the law of supply and demand. It’s just a matter of how great the insatiable demand for speculation in growth stocks gets.
Conclusion
The November retail sales report wasn’t good and the December one will probably be worse. Bank accounts are shrinking. The stimulus will help bridge the gap between January and when the economy reopens. Value stocks imploded up until November. You need to see higher inflation and economic growth to get a phase change. Of course, you can make a bet with higher odds if the value stock you invest in has strong fundamentals (deserves a higher multiple). The semiconductor index has risen out of control just like in the late 1990s.


investmentwatchblog--2020-12-22--Something Strange Going On With Covid-19, Once ‘Hope’ Arrived Then Bang! This Happened…

For Links Referenced In Video See ; bit.ly/3hfheH2

For Links Referenced In Video See;
bit.ly/3hfheH2
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investmentwatchblog--2020-12-22--Congress Terminates Fed’s Emergency Lending Program

In today ’ s show , you will learn why Congress terminated the Fed ’ s Main Street Lending Program @ @ @ @ @ Steve right , what the Chicago National Activity Index says about the U.S. economy , @ @ @ @ @ Treasury Bond auction went , how hedge-fund managers are positioned in the futures market with @ @ @ @ @ the Dollar , and why contracting credit leads to lower Treasury yields .

In today’s show, you will learn why Congress terminated the Fed’s Main Street Lending Program, how the Fed proved Steve right, what the Chicago National Activity Index says about the U.S. economy, how today’s 20-year Treasury Bond auction went, how hedge-fund managers are positioned in the futures market with a focus on Treasuries and the Dollar, and why contracting credit leads to lower Treasury yields.
We are primarily funded by readers. Please subscribe and donate to support us!


investmentwatchblog--2020-12-22--Prepare yourself for what is coming! The Rise of the Technocrats

13 min long video that spells it “ All ” out .
Educate yourself folks !
His argument about Musk @ @ @ @ @ of the video shows the conditioning we have all been experiencing .

13 min long video that spells it “All” out. Educate yourself folks! His argument about Musk and StarLink at the end of the video shows the conditioning we have all been experiencing.
We are primarily funded by readers. Please subscribe and donate to support us!
h/t Ralph


investmentwatchblog--2020-12-22--Markets Aren’t about “Using” People: Markets Help People Attain Their Goals

A very common rip on market arrangements is that they use people .
For instance , I have come across many versions of “ love people and use things rather than loving things and using people.
” As Paul Heyne expressed the sense of it , “ such a system seems somehow to violate our profound moral conviction that nothing is more valuable than individual persons , and that each person ought to be treated as a unique end , never as a means to some further end.
” The irony is that those who love liberty derive their endorsement @ @ @ @ @ @ @ individuals .
As Leonard Read wrote , “ An individualist…looks upon society as the upshot , outcome , effect , recapitulation incidental to what is valued above all else , namely , each distinctive individual human being.
” What Do We Mean by “ Use ” ?
So why have “ market arrangements use people ” criticisms persisted , even though the central defense of such arrangements is that it benefits the individuals involved ?
In large part , it comes from sloppy misuse of the word “ use.
” While there is @ @ @ @ @ @ @ people , use has different meanings .
Use can mean “ utilize or employ , ” with no implication of harm to others .
That is what we mean when we say someone uses a hammer .
It is also what happens when people voluntarily provide their services to advance others ’ purposes in markets .
In contrast , use can also mean “ abuse or harm , ” particularly as a result of force or fraud .
That is what we mean when we say , “ you pretended to care about @ @ @ @ @ @ @ me.
” The first meaning is consistent with either imposing no harm on others or benefitting them ( as in mutually acceptable market arrangements , which individuals would not otherwise enter into ) ; the second meaning requires that others are harmed .
And not clearly distinguishing the different meanings introduces serious confusion .
Some people may be fooled by hearing that , “ You use others in markets ; using people harms them.
” But that is far less likely if you clarify which meaning of “ use ” you have in @ @ @ @ @ @ @ willingly supplied services , therefore you harmed them ” will convince far fewer people .
So language misuse , abetted by sloppy thinking , can transform mutual benefits from uncoerced market exchanges into the fantasy of exploitation theory .
Ends and Means , Not Ends or Means There is another logical problem that arises when we say we should treat people solely as ends in themselves and never as means for our purposes .
It is not an “ either/or ” choice .
Those we deal with voluntarily are both ends in themselves @ @ @ @ @ @ @ our ends .
What each of us offers others in voluntary arrangements is means to better advance others ’ ends .
But to treat goods and services others provide us voluntarily as means to our ends does not demean them as individuals ; it is simply inherent in mutual benefit .
To miss that distinction and so condemn such arrangements as the unethical use of others comes very close to the self-contradictory assertion that nothing mutually beneficial is allowable .
Instead , we should laud rather than lambast a system that can dovetail @ @ @ @ @ @ @ multitudes of different individuals , without abusing them or their rights , to expand what can actually be achieved .
Letting Others Pick How to Best Advance Their Ends Further , when people freely choose their arrangements , we need to notice that doing so respects others as important ends in themselves in a crucial way that is absent when others dictate what is allowable .
Under freedom , every individual can choose for themselves how to best use the means they have at their disposal to advance their own ends .
To @ @ @ @ @ @ @ primarily do this indirectly , exchanging our means for the means others control , as when I exchange my labor for your money ( i.e.
, claims on resources ) , which I then use to advance the ends I choose , is to make a serious analytical error .
Mutually voluntary arrangements are those whose participants each believes best advance their ends without violating others ’ similar pursuit of their ends .
And what can better advance others ’ ends than letting them choose how to use their current means most productively @ @ @ @ @ @ @ Wicksteed wrote in The Common Sense of Political Economy , voluntary economic relations ease “ the limitations…of their own direct resources…by the very act that brings a corresponding liberation to those with whom they deal… [ leaving ] no room to bring against it the charge of being intrinsically sordid and degrading.
” How “ Using ” Others Beats Benevolence in a Complex World Further , the hypothetical ideal of solely treating people as objects of benevolence rather than utilizing their services through mutually beneficial exchanges is unattainable .
As Wicksteed put it @ @ @ @ @ @ @ would prevent our taking an equally active interest in every one ’ s affairs.
” In any society larger than an immediate family , we simply can not know enough to organize relationships based on benevolence .
Consider the sheer number of transactions and transactors involved in our economic arrangements .
Vast numbers of people are involved for even the simplest products , much less more complex ones .
In such circumstances , the alternatives are not coordinating relationships via exchange ( another name for persuasion ) or via charity , but between @ @ @ @ @ @ @ far less well , if at all , because it exceeds our knowledge and capabilities .
Claims that market arrangements involve the unethical “ using ” of others are of lengthy pedigree .
But they are also of questionable merit .
They rhetorically transform the utilization of other individuals ’ services in ways that benefit all parties involved into “ using ” others to their imagined detriment .
They treat the issue as a choice between treating others as means or as ends , when people are ends in themselves and the providers @ @ @ @ @ @ @ advance their ends .
Honoring others as ends in themselves also means letting them choose which use of their means can best achieve their ends .
And if we were to reject letting individuals utilize their services for others voluntarily , as they see fit , it would leave us with only benevolence as the basis of all our relationships .
In a complex world , however , that would not advance the good we do for one another ; it would destroy many of the forms of social cooperation that voluntary arrangements @ @ @ @ @ @ @ on them daily .
Consequently , careful thinking , not cowed or manipulated by misleading arguments , should lead us to reject the “ market arrangements use people ” criticism .
If we accept the premise that individuals and their development are our ultimate ends , the voluntary arrangements they evolve are , as Friedrich Hayek pointed out , among society ’ s greatest creations , not its nemesis.Author : Gary M. Galles is a Professor of Economics at Pepperdine University and an adjunct scholar at the Ludwig von Mises Institute .
His @ @ @ @ @ @ @ choice , economic education , organization of firms , antitrust , urban economics , liberty , and the problems that undermine effective public policy .
In addition to his most recent book , Pathways to Policy Failures ( 2020 ) , his books include Lines of Liberty ( 2016 ) , Faulty Premises , Faulty Policies ( 2014 ) , and Apostle of Peace ( 2013 ) .

by Gary Galles via Mises
A very common rip on market arrangements is that they use people. For instance, I have come across many versions of “love people and use things rather than loving things and using people.” As Paul Heyne expressed the sense of it, “such a system seems somehow to violate our profound moral conviction that nothing is more valuable than individual persons, and that each person ought to be treated as a unique end, never as a means to some further end.”
The irony is that those who love liberty derive their endorsement of market arrangements from the primacy of individuals. As Leonard Read wrote, “An individualist…looks upon society as the upshot, outcome, effect, recapitulation incidental to what is valued above all else, namely, each distinctive individual human being.”
What Do We Mean by “Use”?
So why have “market arrangements use people” criticisms persisted, even though the central defense of such arrangements is that it benefits the individuals involved? In large part, it comes from sloppy misuse of the word “use.”
While there is widespread moral condemnation of “using” people, use has different meanings. Use can mean “utilize or employ,” with no implication of harm to others. That is what we mean when we say someone uses a hammer. It is also what happens when people voluntarily provide their services to advance others’ purposes in markets. In contrast, use can also mean “abuse or harm,” particularly as a result of force or fraud. That is what we mean when we say, “you pretended to care about me, but you were just using me.”
The first meaning is consistent with either imposing no harm on others or benefitting them (as in mutually acceptable market arrangements, which individuals would not otherwise enter into); the second meaning requires that others are harmed. And not clearly distinguishing the different meanings introduces serious confusion.
Some people may be fooled by hearing that, “You use others in markets; using people harms them.” But that is far less likely if you clarify which meaning of “use” you have in mind. “You utilized others’ willingly supplied services, therefore you harmed them” will convince far fewer people. So language misuse, abetted by sloppy thinking, can transform mutual benefits from uncoerced market exchanges into the fantasy of exploitation theory.
Ends and Means, Not Ends or Means
There is another logical problem that arises when we say we should treat people solely as ends in themselves and never as means for our purposes. It is not an “either/or” choice. Those we deal with voluntarily are both ends in themselves and the means by which we advance our ends.
What each of us offers others in voluntary arrangements is means to better advance others’ ends. But to treat goods and services others provide us voluntarily as means to our ends does not demean them as individuals; it is simply inherent in mutual benefit. To miss that distinction and so condemn such arrangements as the unethical use of others comes very close to the self-contradictory assertion that nothing mutually beneficial is allowable. Instead, we should laud rather than lambast a system that can dovetail the often incompatible plans and purposes of multitudes of different individuals, without abusing them or their rights, to expand what can actually be achieved.
We are primarily funded by readers. Please subscribe and donate to support us!
Letting Others Pick How to Best Advance Their Ends
Further, when people freely choose their arrangements, we need to notice that doing so respects others as important ends in themselves in a crucial way that is absent when others dictate what is allowable. Under freedom, every individual can choose for themselves how to best use the means they have at their disposal to advance their own ends. To miss the fact that just because we primarily do this indirectly, exchanging our means for the means others control, as when I exchange my labor for your money (i.e., claims on resources), which I then use to advance the ends I choose, is to make a serious analytical error.
Mutually voluntary arrangements are those whose participants each believes best advance their ends without violating others’ similar pursuit of their ends. And what can better advance others’ ends than letting them choose how to use their current means most productively as they see it? As Phillip Wicksteed wrote in The Common Sense of Political Economy, voluntary economic relations ease “the limitations…of their own direct resources…by the very act that brings a corresponding liberation to those with whom they deal…[leaving] no room to bring against it the charge of being intrinsically sordid and degrading.”
How “Using” Others Beats Benevolence in a Complex World
Further, the hypothetical ideal of solely treating people as objects of benevolence rather than utilizing their services through mutually beneficial exchanges is unattainable. As Wicksteed put it, “The limitation of our powers would prevent our taking an equally active interest in every one’s affairs.” In any society larger than an immediate family, we simply cannot know enough to organize relationships based on benevolence. Consider the sheer number of transactions and transactors involved in our economic arrangements. Vast numbers of people are involved for even the simplest products, much less more complex ones. In such circumstances, the alternatives are not coordinating relationships via exchange (another name for persuasion) or via charity, but between coordinating relationships via exchange or coordinating them far less well, if at all, because it exceeds our knowledge and capabilities.
As Paul Heyne encapsulated the issue:
When money prices, rather than concern for each other as persons, coordinate social transactions, social cooperation becomes possible on a more extensive scale. Those who would like to force all social transactions into the personal mode do not realize how much of what they now take for granted would become wholly impossible in the world of their ideals…They are ignoring the incredible complexity of the system of social cooperation by means of which we are fed, clothed, housed, warmed, healed, transported, comforted, entertained, challenged, inspired, educated and generally served.
Conclusion
Claims that market arrangements involve the unethical “using” of others are of lengthy pedigree. But they are also of questionable merit.
They rhetorically transform the utilization of other individuals’ services in ways that benefit all parties involved into “using” others to their imagined detriment. They treat the issue as a choice between treating others as means or as ends, when people are ends in themselves and the providers of the means for others to best advance their ends. Honoring others as ends in themselves also means letting them choose which use of their means can best achieve their ends. And if we were to reject letting individuals utilize their services for others voluntarily, as they see fit, it would leave us with only benevolence as the basis of all our relationships. In a complex world, however, that would not advance the good we do for one another; it would destroy many of the forms of social cooperation that voluntary arrangements have produced so dependably that we rely on them daily.
Consequently, careful thinking, not cowed or manipulated by misleading arguments, should lead us to reject the “market arrangements use people” criticism. If we accept the premise that individuals and their development are our ultimate ends, the voluntary arrangements they evolve are, as Friedrich Hayek pointed out, among society’s greatest creations, not its nemesis.Author:
Gary Galles
Gary M. Galles is a Professor of Economics at Pepperdine University and an adjunct scholar at the Ludwig von Mises Institute. His research focuses on public finance, public choice, economic education, organization of firms, antitrust, urban economics, liberty, and the problems that undermine effective public policy. In addition to his most recent book, Pathways to Policy Failures (2020), his books include Lines of Liberty (2016), Faulty Premises, Faulty Policies (2014), and Apostle of Peace (2013).


investmentwatchblog--2020-12-22--Remember when Trump wanted to give you $1200 back in October? But Pelosi gave you $600 a few months

Remember when Trump wanted to give you $1200 back in October? But Pelosi gave you $600 a few months later instead

But Pelosi gave you $ 600 a few months later instead t.co/xfrf9k2co6 Remember when Trump wanted to give you $ @ @ @ @ @ The BALLS on `` THIS… '' , at Christmas Time !
Calls thousands of dollars @ @ @ @ @ crumbs '' but believes $ 600 after 10 months of lockdowns is a `` stimulus @ @ @ @ @ shut me up , I 'm coming .
2021 .
@ Fiobaio @ RealSaavedra # @ @ @ @ @ # lasvegas pic.twitter.com/WTht5mvwSy Remember , those who are shutting down our economy have n't missed @ @ @ @ @ .
We are not in this together .
# 1 .
Democrats refused a bill @ @ @ @ @ ago that would 've doubled the amount of money in the stimulus package # 2 @ @ @ @ @ Congress that means that the House , which is controlled by the Democrats , voted @ @ @ @ @ so did Democrats in the Senate pic.twitter.com/xvvzxEuF6o

But Pelosi gave you $600 a few months later instead t.co/xfrf9k2co6
Remember when Trump wanted to give you $1200 back in October?
The BALLS on "THIS…", at Christmas Time! Calls thousands of dollars in tax cut savings "crumbs" but believes $600 after 10 months of lockdowns is a "stimulus". They'll never shut me up, I'm coming. 2021. @Fiobaio @RealSaavedra #veteransfortrump #keith #artist #lasvegas pic.twitter.com/WTht5mvwSy
Remember, those who are shutting down our economy haven't missed a paycheck since lockdown began. We are not in this together.
#1. Democrats refused a bill from the Trump admin months ago that would've doubled the amount of money in the stimulus package
#2. If the bill passes Congress that means that the House, which is controlled by the Democrats, voted in favor of it and so did Democrats in the Senate pic.twitter.com/xvvzxEuF6o
— Ryan Saavedra (@RealSaavedra) December 21, 2020


investmentwatchblog--2020-12-22--They need to be made liable for censorship.

The “ Facebook-owned social-media giant Instagram ” is characterizing “ well-established criticisms ” of Joe Biden and his 1994 crime @ @ @ @ @ ” reports blogger Glenn Greenwald .
A post on the platform “ said nothing more @ @ @ @ @ chosen running mate , Kamala Harris , has herself said ” — namely , that @ @ @ @ @ contributed to the mass incarceration of Americans generally and African Americans specifically.
” Indeed , @ @ @ @ @ criminal-justice experts and politicians from both parties ” have said the same .
Yet Instagram @ @ @ @ @ label on the post , saying it had “ no basis in fact.
” A @ @ @ @ @ a disseminator of disinformation for voicing long-standing and well-documented criticisms of ” Biden is a @ @ @ @ @ future in which unseen tech overlords police our discourse by unilaterally arbitrating truth and falsity @ @ @ @ @ and impermissible ideas and rigidly impose the boundaries of acceptable debate .
”

NY POST: Big Tech’s Sinister Pro-Biden Bias.
The “Facebook-owned social-media giant Instagram” is characterizing “well-established criticisms” of Joe Biden and his 1994 crime bill as “False,” reports blogger Glenn Greenwald. A post on the platform “said nothing more than what Biden’s chosen running mate, Kamala Harris, has herself said” — namely, that the ’94 law “contributed to the mass incarceration of Americans generally and African Americans specifically.” Indeed, many “media outlets, criminal-justice experts and politicians from both parties” have said the same. Yet Instagram plastered a “False” label on the post, saying it had “no basis in fact.” A tech giant declaring someone “a disseminator of disinformation for voicing long-standing and well-documented criticisms of” Biden is a scary preview of “a future in which unseen tech overlords police our discourse by unilaterally arbitrating truth and falsity, decree what are permissible and impermissible ideas and rigidly impose the boundaries of acceptable debate.”


investmentwatchblog--2020-12-22--HER REFUSAL TO ANSWER IS ALL THE ANSWER YOU NEED:

Pelosi Repeatedly Refuses To Answer CNN About Why She Rejected Bigger Stimulus Bill Before Election .
Democrat House Speaker Nancy Pelosi repeatedly refused to answer a question from a CNN reporter on Sunday about why she decided to accept a smaller stimulus package now , which she claimed was not nearly enough , after she refused to accept a much larger deal from the Trump administration prior to the election .
“ Pelosi wouldn ’ t answer my question about why the $ 900 billion deal is more acceptable to her than the $ 1.8 trillion offer Mnuchin made to @ @ @ @ @ @ @ s Manu Raju said .
“ Pelosi wouldn ’ t call on me at the press conference , which is becoming a pattern , even though just five reporters were there .
She left the press conference as I asked her the question .
And she ignored my question in the hallway as well.
” “ Asked again in the hallways why this proposal is more acceptable than the Mnuchin plan , Pelosi didn ’ t respond .
But Schumer , who was walking with her in the hallway , said : ‘ @ @ @ @ @ @ @ continued .
“ It ’ s true that McConnell and Senate Republicans objected to Mnuchin ’ s $ 1.8 trillion plan , but so did Pelosi , who said in October : ‘ This proposal amounted to one step forward , two steps back .
’ ”

Pelosi Repeatedly Refuses To Answer CNN About Why She Rejected Bigger Stimulus Bill Before Election.
Democrat House Speaker Nancy Pelosi repeatedly refused to answer a question from a CNN reporter on Sunday about why she decided to accept a smaller stimulus package now, which she claimed was not nearly enough, after she refused to accept a much larger deal from the Trump administration prior to the election.
“Pelosi wouldn’t answer my question about why the $900 billion deal is more acceptable to her than the $1.8 trillion offer Mnuchin made to her this fall,” CNN’s Manu Raju said. “Pelosi wouldn’t call on me at the press conference, which is becoming a pattern, even though just five reporters were there. She left the press conference as I asked her the question. And she ignored my question in the hallway as well.”
“Asked again in the hallways why this proposal is more acceptable than the Mnuchin plan, Pelosi didn’t respond. But Schumer, who was walking with her in the hallway, said: ‘Ask Mitch McConnell,’” Raju continued. “It’s true that McConnell and Senate Republicans objected to Mnuchin’s $1.8 trillion plan, but so did Pelosi, who said in October: ‘This proposal amounted to one step forward, two steps back.’”


investmentwatchblog--2020-12-22--For Those Who Haven’t Figured It Out, The Stimulus Bill Will Take From You a LOT More Than the $600

For Those Who Haven’t Figured It Out, The Stimulus Bill Will Take From You a LOT More Than the $600 They Are Giving You

Some are actually happy about the $ 600 they ’ ll be receiving while not realizing that it actually takes far more than that away from you .
It ’ s like someone handing you $ 600 while removing $ 20,000 from your bank account .
In other words , a net loss… by a lot .
And there are people thankful for this .
“ I don ’ t care about anything else .
Just happy I ’ m getting my $ 600.
” • $ 100,000,000 to NASA , because , who knows why .
• $ 20,000,000,000 @ @ @ @ @ @ @ • $ 300,000,000 to the Endowment for the Arts - because of it • $ 300,000,000 for the Endowment for the Humanities/ because no one even knew that was a thing • $ 15,000,000 for Veterans Employment Training / for when the GI Bill is n't enough • $ 30,000,000,000 for the Department of Education stabilization fund/ because that will keep people employed ( all those zeros can be confusing , that ’ s $ 30 BILLION ) • $ 300,000,000 to Public Broadcasting / NPR has to be bought by the Democrats @ @ @ @ @ @ @ / Who knows how we are going to use it • $ 720,000,000 to Social Security Admin / but get this only 200,000,000 is to help people .
The rest is for admin costs • $ 25,000,000 for Cleaning supplies for the Capitol Building / I kid you not it ’ s on page 136 • $ 7,500,000 to the Smithsonian for additional salaries • $ 35,000,000 to the JFK Center for Performing Arts • $ 25,000,000 for additional salary for House of Representatives • $ 3,000,000,000 upgrade to the IT department at @ @ @ @ @ @ @ Agency of International Development • $ 100,000,000 to Essential Air carriers pg .
162 .
This of note because the Airlines are going to need billions in loans to keep them afloat ( $ 100,000,000 is chump change . )
• $ 40,000,000,000 goes to the Take Responsibility to Workers and Families Act This sounds like it ’ s direct payments for workers pg .
164 • $ 25,000,000 to the FAA for administrative costs pg .
165 • $ 526,000,000 Grants to Amtrak to remain available if needed through 2021 pg .
@ @ @ @ @ @ @ doesn ’ t go unused ) Hidden on page 174 the Secretary has 7 days to allocate the funds & notify Congress • $ 5,000,000 Salaries and Expensive Office of the Inspector General pg .
172 What DOES ALL of this have to do with the Virus ?

Some are actually happy about the $600 they’ll be receiving
while not realizing that it actually takes far more than
that away from you.
It’s like someone handing you $600 while removing $20,000
from your bank account.
In other words, a net loss… by a lot.
And there are people thankful for this.
We are primarily funded by readers. Please subscribe and donate to support us!
“I don’t care about anything else. Just happy I’m getting my
$600.”
via thedonald.win:
$300,000,000 for Migrant and Refugee Assistance pg.. 147 DA FUQ?! $10,000 per person for student loan bailout $100,000,000 to NASA, because, who knows why. $20,000,000,000 to the USPS, because why not $300,000,000 to the Endowment for the Arts - because of it $300,000,000 for the Endowment for the Humanities/ because no one even knew that was a thing $15,000,000 for Veterans Employment Training / for when the GI Bill isn't enough $435,000,000 for mental health support $30,000,000,000 for the Department of Education stabilization fund/ because that will keep people employed (all those zeros can be confusing, that’s $30 BILLION) $200,000,000 to Safe Schools Emergency Response to Violence Program $300,000,000 to Public Broadcasting / NPR has to be bought by the Democrats $500,000,000 to Museums and Libraries / Who knows how we are going to use it $720,000,000 to Social Security Admin / but get this only 200,000,000 is to help people. The rest is for admin costs $25,000,000 for Cleaning supplies for the Capitol Building / I kid you not it’s on page 136 $7,500,000 to the Smithsonian for additional salaries $35,000,000 to the JFK Center for Performing Arts $25,000,000 for additional salary for House of Representatives $3,000,000,000 upgrade to the IT department at the VA $315,000,000 for State Department Diplomatic Programs $95,000,000 for the Agency of International Development $300,000,000 for International Disaster Assistance $90,000,000 for the Peace Corp pg. 148 $13,000,000 to Howard University pg. 121 $9,000,000 Misc. Senate Expenses pg. 134 $100,000,000 to Essential Air carriers pg. 162. This of note because the Airlines are going to need billions in loans to keep them afloat ($100,000,000 is chump change.) $40,000,000,000 goes to the Take Responsibility to Workers and Families Act This sounds like it’s direct payments for workers pg. 164 $1,000,000,000 Airlines Recycle and Save Program pg. 163 $25,000,000 to the FAA for administrative costs pg. 165 $492,000,000 to National Railroad Passenger Corporation (Amtrak) pg. 167 $526,000,000 Grants to Amtrak to remain available if needed through 2021 pg. 168 (what are the odds that doesn’t go unused) Hidden on page 174 the Secretary has 7 days to allocate the funds & notify Congress $25,000,000,000 for Transit Infrastructure pg. 169 $3,000,000 Maritime Administration pg. 172 $5,000,000 Salaries and Expensive Office of the Inspector General pg. 172 $2,500,000 Public and Indian Housing pg. 175 $5,000,000 Community Planning and Development pg. 175 $2,500,000 Office of Housing
What DOES ALL of this have to do with the Virus?
h/t dr0id


investmentwatchblog--2020-12-22--THE EXODUS IS HERE: New York Lawmaker Begs Goldman Sachs Not to Go to Florida: ‘Please Don’t Leave U

THE EXODUS IS HERE: New York Lawmaker Begs Goldman Sachs Not to Go to Florida: ‘Please Don’t Leave Us.’

Rep. Thomas Suozzi ’ s message to the ( likely ) soon-to-be departing financial firm Goldman Sachs had the sound of an 80s love ballad : don ’ t go , baby .
“ Please don ’ t leave us , ” the New York congressman said on CNBC following news that the multibillion-dollar investment bank is likely to bolt New York City for Florida .
“ We ’ re in a desperate time in New York right now .
We need you .
You ’ re important to us .
We want you to stay.
” There ’ s @ @ @ @ @ @ @ situation is desperate .
The state was facing a $ 13 billion budget deficit and an exodus of people before the coronavirus arrived .
The pandemic , and the draconian and bungled response to it from lawmakers , has only made the situation worse .
The 36,000 New Yorkers who died with or of the coronavirus is a higher death toll than 95 percent of the countries in the world , in large part because of Gov .
Andrew Cuomo ’ s order that forced nursing homes to admit discharged COVID-19 patients .
@ @ @ @ @ @ @ spread of the virus have ravaged the state ’ s economy .
New York ’ s unemployment rate stands at 9.6 percent , higher than all but two US states , and its aggressive enforcement of lockdowns has devastated commerce .
The New York Times recently estimated that one-third of small businesses in the state may be gone forever .
Many of the perks of being in New York have vanished , which has hastened the exodus from the Big Apple and resulted in a drain on the greatest of all resources : @ @

via fee.org:
Rep. Thomas Suozzi’s message to the (likely) soon-to-be departing financial firm Goldman Sachs had the sound of an 80s love ballad: don’t go, baby.
“Please don’t leave us,” the New York congressman said on CNBC following news that the multibillion-dollar investment bank is likely to bolt New York City for Florida. “We’re in a desperate time in New York right now. We need you. You’re important to us. We want you to stay.”
There’s no question that New York’s situation is desperate. The state was facing a $13 billion budget deficit and an exodus of people before the coronavirus arrived. The pandemic, and the draconian and bungled response to it from lawmakers, has only made the situation worse.
The 36,000 New Yorkers who died with or of the coronavirus is a higher death toll than 95 percent of the countries in the world, in large part because of Gov. Andrew Cuomo’s order that forced nursing homes to admit discharged COVID-19 patients. Meanwhile, government efforts to slow the spread of the virus have ravaged the state’s economy.
New York’s unemployment rate stands at 9.6 percent, higher than all but two US states, and its aggressive enforcement of lockdowns has devastated commerce. The New York Times recently estimated that one-third of small businesses in the state may be gone forever. Many of the perks of being in New York have vanished, which has hastened the exodus from the Big Apple and resulted in a drain on the greatest of all resources: people.


investmentwatchblog--2020-12-22--JOURNOLISM: Republican Mackenzie Kelly Wins Austin City Council Runoff. Local Paper Declines to Cove

JOURNOLISM: Republican Mackenzie Kelly Wins Austin City Council Runoff. Local Paper Declines to Cover It.

In a stunning upset , Republican Mackenzie Kelly defeated Democrat incumbent Jimmy Flannigan in Austin ’ s District 6 runoff Tuesday .
Kelly ran on a platform that includes restoring police department funding and ending the city ’ s permissive homeless camping ordinance .
She won with 52 % to Flannigan ’ s 48 % , a margin of just about 700 votes overall .
Kelly ’ s win , and Republican Jennifer Virden ’ s near-win in District 10 , may signal a major shift in Austin voters ’ thinking .
The Democrat-dominated city was already up in arms @ @ @ @ @ @ @ allows homeless people to camp just about anywhere they want all over the city ( except city hall ) since the council passed it unanimously in the summer of 2019 .
That has led to encampments under overpasses and even on the fringes of neighborhoods all over Austin .
Those camps are unsanitary and unsafe ; one of them recently burned .
Then the pandemic struck , and Mayor Steve Adler took an authoritarian approach that has , among other things , badly damaged the city ’ s once-vibrant live music scene ( @ @ @ @ @ @ @ SaveOurStages became a force in the city because Adler and the city council ’ s policies are harming one of Austin ’ s trademarks , destroying many residents ’ ability to make a living at all .
Then the riots struck , and the Austin city council sprinted without thinking at all toward defunding its already short-staffed police department .
The city council sliced about $ 140 to $ 150 million , about a third , from that budget .
The mayor and city council never considered the likely consequences on crime rates @ @ @ @ @ @ @ business climates .
They just did what the radical activists told them to do .
Crime soared .
The city council has shown no signs of caring about it .
They have instead promoted a woke “ social contract ” that is , well , infantile .

In a stunning upset, Republican Mackenzie Kelly defeated Democrat incumbent Jimmy Flannigan in Austin’s District 6 runoff Tuesday. Kelly ran on a platform that includes restoring police department funding and ending the city’s permissive homeless camping ordinance. She won with 52% to Flannigan’s 48%, a margin of just about 700 votes overall.
Kelly’s win, and Republican Jennifer Virden’s near-win in District 10, may signal a major shift in Austin voters’ thinking. The Democrat-dominated city was already up in arms over the homeless camping ordinance, which allows homeless people to camp just about anywhere they want all over the city (except city hall) since the council passed it unanimously in the summer of 2019. That has led to encampments under overpasses and even on the fringes of neighborhoods all over Austin. Those camps are unsanitary and unsafe; one of them recently burned.
Then the pandemic struck, and Mayor Steve Adler took an authoritarian approach that has, among other things, badly damaged the city’s once-vibrant live music scene (and his own credibility). #SaveOurStages became a force in the city because Adler and the city council’s policies are harming one of Austin’s trademarks, destroying many residents’ ability to make a living at all.
Then the riots struck, and the Austin city council sprinted without thinking at all toward defunding its already short-staffed police department. The city council sliced about $140 to $150 million, about a third, from that budget. The mayor and city council never considered the likely consequences on crime rates or the city’s living and business climates. They just did what the radical activists told them to do. Crime soared. The city council has shown no signs of caring about it. They have instead promoted a woke “social contract” that is, well, infantile.


investmentwatchblog--2020-12-22--WELL, IT’S INSURANCE: No Big Car Insurance Refund during COVID-19? You Aren’t Alone.

• In the spring , insurance companies were happy to say they would be refunding some premiums due to the @ @ @ @ @ first , things looked fine , with some issuing full-month or half-month refunds .
• @ @ @ @ @ re closer to a new spring than the old one , the consumer-protection advocacy group @ @ @ @ @ landscape and found that billions in profits were not returned .
• The solution , @ @ @ @ @ for state governments to mandate refunds for these overpayments , since driving was way down @ @ @ @ @ ’ t drive quite as much in 2020 as they did in 2019 , for @ @ @ @ @ When the pandemic hit the U.S. in a big way this spring , auto insurers @ @ @ @ @ about how they would be refunding millions of dollars worth of their customers ’ payments @ @ @ @ @ as the pandemic has continued and continued , customers have not benefited as much as @ @ @ @ @ to the U.S. Public Interest Research Group ( PIRG ) Education Fund .

In the spring, insurance companies were happy to say they would be refunding some premiums due to the COVID-19 pandemic. And at first, things looked fine, with some issuing full-month or half-month refunds.
But now that we’re closer to a new spring than the old one, the consumer-protection advocacy group U.S. PIRG has studied the landscape and found that billions in profits were not returned.
The solution, U.S. PIRG said, is for state governments to mandate refunds for these overpayments, since driving was way down this year.
Drivers didn’t drive quite as much in 2020 as they did in 2019, for obvious, COVID-related reasons. When the pandemic hit the U.S. in a big way this spring, auto insurers made a lot of noise about how they would be refunding millions of dollars worth of their customers’ payments back to them. But as the pandemic has continued and continued, customers have not benefited as much as they should have, according to the U.S. Public Interest Research Group (PIRG) Education Fund.
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www.caranddriver.com/news/a35020026/car-insurance-refund-coronavirus-disappointing/


investmentwatchblog--2020-12-22--TRUNALIMUNUMAPRZURE! Biden Gets Vaccine, but Does He Understand It?

Yet despite his own vaccination experience , Mr. Biden is still talking as if there ’ s a huge problem he will be called upon to solve .
According to a Bloomberg report on Washington ’ s latest massive goring of taxpayers , Mr. Biden seems to think there ’ s much more Covid spending to come : Biden on Sunday said he applauds Congress ’ s bipartisan agreement , but he described the package as providing “ temporary relief.
” “ This action in the lame duck session is just the beginning .
Our work is far from over @ @ @ @ @ @ @ including other actions his administration plans to take .
“ Immediately , starting in the new year , Congress will need to get to work on support for our COVID-19 plan , for support to struggling families , and investments in jobs and economic recovery.
” The economy is awash in money ; politicians just need to let people use it .
Americans suffering economically are suffering from shutdowns , which never worked as intended , inflicted enormous collateral damage and are now becoming untenable with the arrival of vaccines .
Washington ’ @ @ @ @ @ @ @ .
Biden is still talking as if there ’ s a huge problem he will be called upon to solve , ” is consistent with the attitude of Joe ’ s former boss .
As Victor Davis Hanson wrote in 2014 Listen to the president and one would think that he was in office during the financial crisis that began on September 15 , 2008 .
For the nth time , Obama reminded the nation on 60 Minutes of the financial meltdown he inherited .
That is his usual way of suggesting to @ @ @ @ @ @ @ hope for normal times after six years of his own governance .
In truth , Obama entered office on January 20 , 2009 — over four months after the collapse of Fannie Mae and Freddie Mac that precipitated a general financial meltdown .
Obama might at least admit that when he entered office the panic had largely passed .
The tools needed to deal with it that he embraced had months earlier been implemented by someone else .
Indeed , Obama was president for just a few months before the recession that began @ @ @ @ @ @ @ — well before the effect of any of the policies , good or bad , could have taken effect .
VDH ’ s article was headlined , “ Welcome to Fantasy Island.
” Mr. Roarke ’ s white linen suit is being re-tailored even as we speak to be a perfect fit for Joe ( and can always be taken in for Kamala if need be ) .

via WSJ:
Yet despite his own vaccination experience, Mr. Biden is still talking as if there’s a huge problem he will be called upon to solve. According to a Bloomberg report on Washington’s latest massive goring of taxpayers, Mr. Biden seems to think there’s much more Covid spending to come: Biden on Sunday said he applauds Congress’s bipartisan agreement, but he described the package as providing “temporary relief.”
“This action in the lame duck session is just the beginning. Our work is far from over,” Biden said in a statement including other actions his administration plans to take. “Immediately, starting in the new year, Congress will need to get to work on support for our COVID-19 plan, for support to struggling families, and investments in jobs and economic recovery.”The economy is awash in money; politicians just need to let people use it. Americans suffering economically are suffering from shutdowns, which never worked as intended, inflicted enormous collateral damage and are now becoming untenable with the arrival of vaccines. Washington’s work is over.
“Mr. Biden is still talking as if there’s a huge problem he will be called upon to solve,” is consistent with the attitude of Joe’s former boss. As Victor Davis Hanson wrote in 2014
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Listen to the president and one would think that he was in office during the financial crisis that began on September 15, 2008. For the nth time, Obama reminded the nation on 60 Minutes of the financial meltdown he inherited. That is his usual way of suggesting to the American people that they could hardly hope for normal times after six years of his own governance. In truth, Obama entered office on January 20, 2009 — over four months after the collapse of Fannie Mae and Freddie Mac that precipitated a general financial meltdown. * * * * * * * * Obama might at least admit that when he entered office the panic had largely passed. The tools needed to deal with it that he embraced had months earlier been implemented by someone else. Indeed, Obama was president for just a few months before the recession that began in December 2007 ended in June 2009 — well before the effect of any of the policies, good or bad, could have taken effect.
VDH’s article was headlined, “Welcome to Fantasy Island.” Mr. Roarke’s white linen suit is being re-tailored even as we speak to be a perfect fit for Joe (and can always be taken in for Kamala if need be).
h/t Ed Driscoll


investmentwatchblog--2020-12-22--China Lifts Restrictions On Foreign Energy Investment

China has lifted restrictions on foreign investments in all energy sectors , including fossil fuels , new energy sources , and electricity generation excluding nuclear power , the country ’ s State Council Information Office said in a white paper published on Monday .
The paper , ‘ Energy in China ’ s New Era ’ , discussed the steps the world ’ s largest oil importer has taken to reform access of foreign companies to its energy industry , saying that “ Market access for foreign capital in the energy sector has been extended , private investment is growing @ @ @ @ @ @ @ diverse.
” “ China has accelerated reforms such as the deregulation of the oil and gas exploration market and the circulation of mining rights , reform of the pipeline network operation mechanism , and the dynamic management of crude oil imports , ” the Chinese government said in the white paper .
In 2019 , China lifted restrictions on foreign investment in oil and natural gas exploration and production , opening its oil and gas sector to foreign participation without a requirement to form joint ventures with local companies .
The government also @ @ @ @ @ @ @ construction and operation of pipeline networks for gas and heat supply in cities with a population of more than 500,000 residents .
The country is now promoting the energy industry in pilot free trade zones such as Guangdong , Hubei , Chongqing , and Hainan , and supports further opening up of the entire oil and gas industry in the China ( Zhejiang ) Pilot Free Trade Zone .
China , a major importer of natural gas , is also looking to attract investments in shale gas developments by easing restrictions on foreign @ @ @ @ @ @ @ to boost its natural gas production while its demand continues to grow .
Faced with rising natural gas and liquefied natural gas ( LNG ) imports to meet growing demand , China is trying to raise its domestic gas production , including by setting up incentives for shale gas and coalbed methane production .

By Tsvetana Paraskova
China has lifted restrictions on foreign investments in all energy sectors, including fossil fuels, new energy sources, and electricity generation excluding nuclear power, the country’s State Council Information Office said in a white paper published on Monday.
The paper, ‘Energy in China’s New Era’, discussed the steps the world’s largest oil importer has taken to reform access of foreign companies to its energy industry, saying that “Market access for foreign capital in the energy sector has been extended, private investment is growing, and investment entities have become more diverse.”
“China has accelerated reforms such as the deregulation of the oil and gas exploration market and the circulation of mining rights, reform of the pipeline network operation mechanism, and the dynamic management of crude oil imports,” the Chinese government said in the white paper.
In 2019, China lifted restrictions on foreign investment in oil and natural gas exploration and production, opening its oil and gas sector to foreign participation without a requirement to form joint ventures with local companies. The government also removed last year the access restrictions to construction and operation of pipeline networks for gas and heat supply in cities with a population of more than 500,000 residents.
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The country is now promoting the energy industry in pilot free trade zones such as Guangdong, Hubei, Chongqing, and Hainan, and supports further opening up of the entire oil and gas industry in the China (Zhejiang) Pilot Free Trade Zone.
China, a major importer of natural gas, is also looking to attract investments in shale gas developments by easing restrictions on foreign entities and subsidizing costs in a bid to boost its natural gas production while its demand continues to grow.
Faced with rising natural gas and liquefied natural gas (LNG) imports to meet growing demand, China is trying to raise its domestic gas production, including by setting up incentives for shale gas and coalbed methane production.
By Tsvetana Paraskova for Oilprice.com


investmentwatchblog--2020-12-22--The Washington Post: “Every time you listen to Bing Crosby’s ‘White Christmas,’ about five people ha

The Washington Post: “Every time you listen to Bing Crosby’s ‘White Christmas,’ about five people have died from the coronavirus

SERIOUS QUESTIONS - What will happen when it is proven that EVERY DOMINION VOTING MACHINE FLIPPED VOTES FROM TRUMP TO @ @

Every time you listen to Bing Crosby’s “White Christmas,” about five people have died from the coronavirus between the beginning and the end of the song. t.co/Rpuc9mDsuz
— The Washington Post (@washingtonpost) December 19, 2020


investmentwatchblog--2020-12-22--Rand Paul calls out Republicans. Rand Paul doesn’t give a damn!

Senator Rand Paul just went off on the Senate floor over the COVID-19 stimulus bill about to be passed through @ @ @ @ @ NUKE on Dems after finally agreeing on COVID-19 relief : www.youtube.com/watch ?
v=wL3in…

Senator Rand Paul just went off on the Senate floor over the COVID-19 stimulus bill about to be passed through congress. WATCH McConnell drop NUKE on Dems after finally agreeing on COVID-19 relief: www.youtube.com/watch?v=wL3in…
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investmentwatchblog--2020-12-22--Institutional Investors Are Piling into Bitcoin

If I asked you how many hospital beds the U.S. has , what would you say ?
Two million ?
Five million ?
Try 924,000 .
That ’ s right : The U.S. currently has under 1 million hospital beds for a population of approximately 330 million , according to the American Hospital Association ( AHA ) .
By my calculation , that comes out to 28 beds per 10,000 people .
This is the real threat posed by the pandemic , as I see it .
Supply-demand imbalances can often be favorable when we ’ re talking about asset @ @ @ @ @ @ @ ideal during a global health crisis .
As of today , more than a third of Americans live in areas that are critically short on intensive care unit ( ICU ) beds .
All of Southern California—a region that ’ s home to around 25 million people—is now at 0 % availability .
And it ’ s not just beds .
Hospitals in half of the states are reporting severe shortages in nurses , doctors and other staff .
I have only admiration for our nation ’ s frontline medical workers , many @ @ @ @ @ @ @ this holiday season .
On behalf of everyone at U.S .
Global Investors , I extend my sincerest gratitude .
The greatest gift we can give them is for us to remain safe and follow precautionary recommendations .
Fed Commits to Keep Buying at Least $ 120 Billion of Bonds Each Month Last week the Federal Reserve left interest rates near zero and committed to continue its bond-buying program until “ substantial progress ” has been made regarding employment and inflation .
Initial jobless claims increased for the second straight week , hitting @ @ @ @ @ @ @ most since early September .
I was floored to see just how much the Fed is buying—and will continue to buy—each month .
The central bank is gobbling up as much $ 120 billion of debt , split between $ 80 billion of Treasuries and $ 40 billion of mortgage-backed securities ( MBS ) .
The size of the Fed ’ s balance sheet now stands at a staggering $ 7.36 trillion , or 34 % of gross domestic product ( GDP ) .
Fed policy has crushed the U.S. dollar , now @ @ @ @ @ @ @ since 2017 .
Last Thursday , the U.S. Dollar Index , which measures the currency against those of other major economies , traded below 90 for the first time in more than two years .
This has all been very supportive of hard asset prices and haven demand .
Gold notched its third straight week of gains and is currently poised to have its best year since 2010 , when the yellow metal advanced nearly 30 % .
Copper , meanwhile , has now advanced for seven straight weeks and is trading at @ @ @ @ @ @ @ years .
This Time It ’ s Different : 2020 Crypto Rally Driven by Institutional Investors And then there ’ s Bitcoin .
The world ’ s biggest cryptocurrency has surged nearly 220 % this year , touching an all-time high of $ 23,717 in intraday trading last Thursday .
Ethereum , meanwhile , has shot up almost 400 % this year to around $ 640 , which is still down 31 % from its record high .
I ’ ve seen numerous market “ experts ” declare this another crypto bubble similar @ @ @ @ @ @ @ the current run-up is driven not just by retail investors but also big-name investors , institutions , hedge funds and more .
Those include people like billionaire investor Paul Tudor Jones , who ’ s buying Bitcoin in response to unprecedented money-printing , as well as firms like Massachusetts Mutual Life Insurance ( MassMutual ) , which purchased $ 100 million of the digital currency earlier this month .
Although $ 100 million is a relatively small position for the insurance company , it was enough to turn some heads .
“ MassMutual @ @ @ @ @ @ @ in the Bitcoin adoption by institutional investors , ” JPMorgan strategists wrote in a recent note to clients .
“ One can see the potential demand that could arise over the coming years as other insurance companies and pension funds follow MassMutual ’ s example.
” Another Bitcoin bull is Scott Minerd , chief investment officer of Guggenheim Investments , which has $ 233 billion in total assets under management ( AUM ) .
Speaking to Bloomberg on Wednesday , Minerd said he believes Bitcoin should be worth—are you sitting down ?
— @ @ @ @ @ @ @ on Bitcoin ’ s scarcity and relative valuation to gold as a percent of GDP .
“ Bitcoin actually has a lot of the attributes of gold and at the same time has an unusual value in terms of transactions , ” he said .
Crypto miners and blockchain firms have likewise done well this year .
I ’ m pleased to tell you that HIVE Blockchain Technologies was up nearly 2,800 % on Friday , which has pushed its market cap above C $ 950 million .
This puts it on a @ @ @ @ @ @ @ billion valuation before the end of 2020 .
Keep in mind that cryptos is still extremely volatile .
Bitcoin , for instance , has a daily standard deviation of plus or minus 5 % .
They may not sound like a whole lot until you compare it to gold , which has a daily standard deviation of only 1 % .
Coinbase Files for IPO ; Robinhood IPO Could Come as Early as Q1 of 2021 Soon there may be another way for investors to participate in cryptocurrencies besides buying them outright or @ @ @ @ @ @ @ a press release last week , the North American crypto trading platform Coinbase said it submitted paperwork with the Securities and Exchange Commission ( SEC ) .
The Silicon Valley unicorn is valued at an estimated $ 28 billion , according to data firm Messari , and sees around $ 1 billion in trading volume every day .
Coinbase isn ’ t the only online exchange that ’ s weighing a public offering .
Robinhood , the six-year-old trading app favored by younger , less experienced investors , is eyeing the first quarter @ @ @ @ @ @ @ .
After stocks collapsed in March and April of this year , the number of people who downloaded and started using Robinhood surged to 13 million , up from 2 million three years earlier .
These millennial investors beat Warren Buffett at his own game , buying up distressed airline stocks at a time when the Berkshire Hathaway chief was selling .
Before listing , Robinhood will need to deal with recent complaints brought against it by regulators in Massachusetts , which allege the brokage firm “ lured ” inexperienced investors by turning @ @ @ @ @ @ @ , Robinhood agreed to pay $ 65 million to settle SEC investigations into how it generates revenue from business deals with high-speed trading firms .
Robinhood ’ s potential listing in Q1 of 2021 would follow a banner year for companies going public , particularly tech companies .
As of December 18 , there have been 470 IPOs on the U.S. stock market , a little more than double the amount last year .
Three of the 10 biggest U.S. tech IPOs of all time , in terms of capital raised , occurred @ @ @ @ @ @ @ management firm Snowflake raised $ 3.36 billion on its opening day , a sum beaten slightly by DoorDash ( $ 3.37 billion ) and Airbnb ( $ 3.50 ) in December .
These have been monster deals that demonstrate just how valuable intangibles really are .
Take a look at Airbnb .
The company , which does not own any hotels or properties of its own , now has a higher valuation than the combined market caps of Marriott , Hyatt and Hilton combined .
As others have pointed out , this trend @ @ @ @ @ @ @ only accelerating .
Facebook , the world ’ s biggest content purveyor , produces little to no content of its own .
Alibaba , the world ’ s biggest retailer , has no inventory .
Uber , the world ’ s biggest taxi service , owns no taxis .

by Frank Holmes, CEO, U.S. Global Investors
If I asked you how many hospital beds the U.S. has, what would you say? Two million? Five million?
Try 924,000. That’s right: The U.S. currently has under 1 million hospital beds for a population of approximately 330 million, according to the American Hospital Association (AHA). By my calculation, that comes out to 28 beds per 10,000 people.
This is the real threat posed by the pandemic, as I see it. Supply-demand imbalances can often be favorable when we’re talking about asset prices, but they’re not ideal during a global health crisis.
As of today, more than a third of Americans live in areas that are critically short on intensive care unit (ICU) beds. All of Southern California—a region that’s home to around 25 million people—is now at 0% availability.
And it’s not just beds. Hospitals in half of the states are reporting severe shortages in nurses, doctors and other staff.
I have only admiration for our nation’s frontline medical workers, many of whom have not seen any respite this holiday season. On behalf of everyone at U.S. Global Investors, I extend my sincerest gratitude. The greatest gift we can give them is for us to remain safe and follow precautionary recommendations.
Fed Commits to Keep Buying at Least $120 Billion of Bonds Each Month
Last week the Federal Reserve left interest rates near zero and committed to continue its bond-buying program until “substantial progress” has been made regarding employment and inflation. Initial jobless claims increased for the second straight week, hitting 885,000 in the week ended December 12—the most since early September.
I was floored to see just how much the Fed is buying—and will continue to buy—each month. The central bank is gobbling up as much $120 billion of debt, split between $80 billion of Treasuries and $40 billion of mortgage-backed securities (MBS).
The size of the Fed’s balance sheet now stands at a staggering $7.36 trillion, or 34% of gross domestic product (GDP).
click to enlarge
Fed policy has crushed the U.S. dollar, now on track to record its worst year since 2017. Last Thursday, the U.S. Dollar Index, which measures the currency against those of other major economies, traded below 90 for the first time in more than two years.
click to enlarge
This has all been very supportive of hard asset prices and haven demand. Gold notched its third straight week of gains and is currently poised to have its best year since 2010, when the yellow metal advanced nearly 30%. Copper, meanwhile, has now advanced for seven straight weeks and is trading at its highest price in close to eight years.
This Time It’s Different: 2020 Crypto Rally Driven by Institutional Investors
And then there’s Bitcoin. The world’s biggest cryptocurrency has surged nearly 220% this year, touching an all-time high of $23,717 in intraday trading last Thursday.
Ethereum, meanwhile, has shot up almost 400% this year to around $640, which is still down 31% from its record high.
click to enlarge
I’ve seen numerous market “experts” declare this another crypto bubble similar to 2017. But unlike then, the current run-up is driven not just by retail investors but also big-name investors, institutions, hedge funds and more.
We are primarily funded by readers. Please subscribe and donate to support us!
Those include people like billionaire investor Paul Tudor Jones, who’s buying Bitcoin in response to unprecedented money-printing, as well as firms like Massachusetts Mutual Life Insurance (MassMutual), which purchased $100 million of the digital currency earlier this month.
Although $100 million is a relatively small position for the insurance company, it was enough to turn some heads.
“MassMutual’s Bitcoin purchases represent another milestone in the Bitcoin adoption by institutional investors,” JPMorgan strategists wrote in a recent note to clients. “One can see the potential demand that could arise over the coming years as other insurance companies and pension funds follow MassMutual’s example.”
Another Bitcoin bull is Scott Minerd, chief investment officer of Guggenheim Investments, which has $233 billion in total assets under management (AUM).
Speaking to Bloomberg on Wednesday, Minerd said he believes Bitcoin should be worth—are you sitting down?—$400,000. HIs outlook is based on Bitcoin’s scarcity and relative valuation to gold as a percent of GDP.
“Bitcoin actually has a lot of the attributes of gold and at the same time has an unusual value in terms of transactions,” he said.
Crypto miners and blockchain firms have likewise done well this year. I’m pleased to tell you that HIVE Blockchain Technologies was up nearly 2,800% on Friday, which has pushed its market cap above C$950 million. This puts it on a trajectory to hit a C$1 billion valuation before the end of 2020.
click to enlarge
Keep in mind that cryptos is still extremely volatile. Bitcoin, for instance, has a daily standard deviation of plus or minus 5%. They may not sound like a whole lot until you compare it to gold, which has a daily standard deviation of only 1%.
Coinbase Files for IPO; Robinhood IPO Could Come as Early as Q1 of 2021
Soon there may be another way for investors to participate in cryptocurrencies besides buying them outright or investing in miners like HIVE. In a press release last week, the North American crypto trading platform Coinbase said it submitted paperwork with the Securities and Exchange Commission (SEC).
The Silicon Valley unicorn is valued at an estimated $28 billion, according to data firm Messari, and sees around $1 billion in trading volume every day.
Coinbase isn’t the only online exchange that’s weighing a public offering. Robinhood, the six-year-old trading app favored by younger, less experienced investors, is eyeing the first quarter of 2021 as a potential IPO target. After stocks collapsed in March and April of this year, the number of people who downloaded and started using Robinhood surged to 13 million, up from 2 million three years earlier. These millennial investors beat Warren Buffett at his own game, buying up distressed airline stocks at a time when the Berkshire Hathaway chief was selling.
Before listing, Robinhood will need to deal with recent complaints brought against it by regulators in Massachusetts, which allege the brokage firm “lured” inexperienced investors by turning investing into a game. Last week, Robinhood agreed to pay $65 million to settle SEC investigations into how it generates revenue from business deals with high-speed trading firms.
A Banner Year for IPOs
Robinhood’s potential listing in Q1 of 2021 would follow a banner year for companies going public, particularly tech companies. As of December 18, there have been 470 IPOs on the U.S. stock market, a little more than double the amount last year. Three of the 10 biggest U.S. tech IPOs of all time, in terms of capital raised, occurred in 2020. In September, data management firm Snowflake raised $3.36 billion on its opening day, a sum beaten slightly by DoorDash ($3.37 billion) and Airbnb ($3.50) in December.
click to enlarge
These have been monster deals that demonstrate just how valuable intangibles really are. Take a look at Airbnb. The company, which does not own any hotels or properties of its own, now has a higher valuation than the combined market caps of Marriott, Hyatt and Hilton combined.
As others have pointed out, this trend of valuing intangibles ahead of tangibles is only accelerating. Facebook, the world’s biggest content purveyor, produces little to no content of its own. Alibaba, the world’s biggest retailer, has no inventory. Uber, the world’s biggest taxi service, owns no taxis.