The HFT hologram that is our markets rose steeply overnight, the current ramp began right on the support level of the current channel that you can clearly see in this daily chart of the SPX:
Along with the bounce off support, the dollar is down a little, bonds are off a little, oil recovered all of yesterday’s losses and some, gold & silver are down pretty substantially with gold possibly having put in a small double-top, and most food commodities are higher.
The only data to report this morning comes from the morally bankrupt Mortgage Broker’s Association where the current claim is that Purchase Applications rose .2%, but the Refinancing Index fell by a supposed 6.3% in the week prior. Their data is not trustworthy, here’s Econoday:
Low rates aren't boosting demand for refinancing or home purchasing, according to the Mortgage Bankers Association whose refinance index fell for the third straight week, down 6.3 percent in the September 2 week, with the purchase index up only 0.2 percent to hold near record lows. The 30-year mortgage rate, down nine basis points in the week to 4.23 percent, is near the record the low of last October. The 15-year rate, down eight basis points at 3.41 percent, is at a record low. This report offers very timely indications on the housing market as will this afternoon's commentary in the Beige Book.
Right, can’t wait for the mysterious “Beige Book” to talk, as if anything the “Fed” mutters ever has any ring of truth to it.
Boy, that Mitt Romney really got out in front of Obama with his “59 Step” program to fix the economy, LOL. A picture of the Joker just popped into my head while Romney's "Obama hasn't a clue" words reverberate through cyberspace. No wait, a circus tent full of clowns might be a more fitting visual. None of his points are on target, none. It was the same with every President in recent memory – none can truly tackle the impossible math of debt.
Why? Because it is that very debt that is their power base.
Let that sink in for a minute… it's a very important statement.
Follow the money and you’ll find that private banks charge interest on loans made to the government to cover deficit spending – they do so through the bond and treasury markets. Where did the money they lent come from? It came from nothing – they created it from thin air in order to “purchase” that debt and then charge you interest.
Do the private banks have any incentive for the government to rein in deficit spending? Of course not, they profit from it!
They then take that money, and other money created from nothing, and use it to finance the campaigns of every swinging dick with half a brain who wants to run for President. Their financing creates the strings that control the puppet who perpetuates the current central banker paradigm. Any candidate who does not support that paradigm doesn’t receive the financing and thus is not electable in what has become a billion dollar made for television fluff drama.
And that’s why the impossible math of debt is the very power base that gives rise to more of the same idiocy. Just a slightly different foul aroma – this one spewing forth very weird religious undertones and other self-professed self-deceptive “moral high road” proclamations.
Whatever, I will personally do whatever I can to break this sick and perverted chain of puppetry, that starts by refusing to participate in their charade. Since the power base is the bond market, that is the place that should be receiving no support from the people. Not that it matters, because the banks are now so fully in charge that they have been allowed to print money from nothing to keep that power base from collapsing.
And thus we circle back around to the fact that the power base isn’t coming down without major league “other events” occurring. Occur they will, they are in progress at this time and the pace is exponential keeping time with the rise of the impossible exponential math.
Prior to the last election I stated that it doesn’t matter who the puppet is, they will have a very rough time because of the economy which will refuse to truly heal. Double so for the next puppet.