Tipping Into Turmoil – Be Safe, Keep Cash
Jumbled headlines out there.
1. Beijing’s toxicity in air breaks the topside of the scale.
|A Breakdown Of What Exactly Is In Beijing’s Filthy Air|
2. Caterpillar writes off half a quarter of earnings on entire Chinese investment.
|Reuters : Caterpillar writes off most of China deal after fraud|
3. NY Former Fed Governor Timothy Geithner alleged to have tipped off certain banks on interest rate cuts in 2007.
>> Is this as bad as Libor manipulation ?
|Reuters : Fed official alleges Geithner may have alerted banks to rate cut|
4. China’s Wealth Gap gapping wider.
|XinHua News : The rich-poor gap index Gini coefficient in China reached 0.474 in 2012, higher than the warning level of 0.4 set by the United Nations|
|South China Morning Post : China lets Gini out of the bottle over wealth gap|
(I ts a page out of SINGAPORE !! Keep them meek and make them rich ! So they live and work and vote for greed !
South China Morning Post : Corrupt Communist Party officials have fled with USD1 trillion as of 2012. No wonder LONDON house prices are their highest since 2008 !
5. The Algerian hostage bloodbath with most hostages errrrr…. MIA. So vengeance time.
Thus, we have China calling out the on-line propaganda team.
|South China Morning Post : Beijing orders its 2.06 million ‘#propaganda workers’ to get microblogging|
|Business Insider : China’s Massive Propaganda Team Has Been Ordered To Spread ‘Positive Energy’ Online|
More here courtesy of CCCC : http://www.chinasmack.com/2013/videos/militaristic-chinese-waitress-group-performance-goes-viral.html
6. Obama was sworn in for his second term and is also following the Singapore style by surrounding himself with like minded people.
Obama’s Cabinet of yes men
7. Quality of job creation is deteriorating all around the world.
Ranks of working poor increasing
Global jobless to hit record 200 million this year: ILO
Its only the 3rd week of January but I have a sinking feeling in the pit of my stomach. Plus we have a Junk Bond Rally nearing exhaustion (Reuters).
BOJ has just announced open market purchases of bonds from Jan 2014 and target inflation at 2%. I think the market is totally properly confused and the Jaws of Death is coming down.