EurAnalysis

I'm outta here. Going to visit wife's sister. C u guys later!

You might be right. Silver and CAD are not absorbing all the liquidity but what are they seeing in Euro Bonds in this situation?

Enjoy

http://img2.timeinc.net/ew/dynamic/i...e-poster_l.jpg

Short dated bond spreads are still contracting somewhat, but at a much slower pace than before.

Inspirational.

First of all..reading is so much easier when you start it off with some visual candy. More importantly, I appreciate you taking the time to lay this out like this. I will certainly look through this with my charts and watch going forward the process you've described. It may be matter of fact info for some..but not for this trader.

Thanks again.

Fierce battle between the bulls and the bears today. Keep a close eye on the markets and bond yields. Double top this morning and double bottom just now (or is that a triple bottom). A whole 7 pip spread since I left to do grocery shopping and to grab some lunch.

Wheeeee! Off 1.7 pips from double (or was that triple) bottom!

If you want the ECB's Asmussen's take on how the EuroZone plans to fix the debt crisis, here it is...

A "must read" for anybody who wants to understand the ideal fix... if only the citizens of Europe are willing to suffer through the changes required.

It is translated from German so you'll have to excuse the grammatical errors.

.

We've just broken the spread barrier from that double (or was it triple) bottom and you're now in the green by 1.2 pips! What a great play by the bulls at stopping that downtrend the bears thought they had going!

A straight forward no nonsense opinion about Merkel and Germany by Graham Summers.

In my email so here it is...

August 27, 2012

Angela Merkel Just Revealed the Truth About Europe

For several months now, I've been stating that the world's central banks are in a bind. That bind is that their monetary policies are becoming less and less effective at placating the markets while the consequences of said policies (higher costs of living, the targeting of troubled banks in the credit market, etc.) are increasing.

As a result of this, central banks have begun resorting to more and more "verbal intervention" or promises to "act" without ever acting.

We received confirmation of this over the weekend when Angela Merkel chastised Germany Bundesbank Head Jens Weidmann for stating that an ECB policy of buying bond was like a dangerous drug.

Angela Merkel tried to calm a growing storm over euro zone crisis strategy on Sunday after the Bundesbank likened ECB bond-buying plans to a dangerous drug and a conservative ally of the German leader said Greece should leave the currency bloc by next year.

The comments, from central bank chief Jens Weidmann and a senior figure in the Bavarian Christian Social Union (CSU), Alexander Dobrindt, point to mounting unease in Germany with the policies being used to combat the three-year old debt crisis.

Domestic criticism has narrowed Merkel's room for maneuver at a time when Greece is in dire need of more aid and policymakers are scrambling to prevent contagion from enveloping big countries like Spain and Italy.

Two days after Greek Prime Minister Antonis Samaras visited Berlin and made an impassioned plea for politicians there not to talk up the possibility of a Greek euro exit, Merkel herself sent a warning to allies who have said the euro zone would be better off without its weakest link.

"We are in a very decisive phase in combating the euro debt crisis," Merkel told public broadcaster ARD in an interview. "My plea is that everyone weigh their words very carefully."
http://www.reuters.com/article/2012/08/26/us-eurozone-idUSBRE87P0AI20120826

For over two years now, we've been hearing time and again that the European crisis was "solved" and that things would improve. It's obvious now that all of those claims were lies. Indeed, we're now at the point that politicians are openly asking central bankers not to discredit attempts to prop up the markets.

Let me ask you, how desperate do things have to be that a politician asks a central banker not to use certain words during public appearances?

The answer: very, very desperate.

Indeed, the situation in Europe is fast approaching a crescendo. The German Constitutional Court votes on whether the ESM bailout fund is even legal on September 12. If it doesn't, it's the end of the EU as we know it.

Could this happen? The majority of Germans are fed up with Greece, worried about inflation, and want the Deutsche Mark back. Also bear in mind that Angela Merkel is up for re-election next year. So the courts could in fact rule the ESM is unconstitutional which would end the EU right then and there.

But, for the sake of argument, let's say that Germany does ratify the ESM and the ESM is given a banking license (which Germany says will never ever happen). Even then Spain and Italy are supposed to fund 30% of it!

So even in a best case scenario, the bankrupt nations asking for bailouts are going to fund 30% of the very bailout fund that will bail them out!?!?

You couldn't make this stuff up if you tried.

Make no mistake, the crisis in Europe is far from over. If anything, we're fast approaching the REAL storm over there: when countries actually start defaulting and leaving the Euro.

When this happens, we will see the return of systemic risk. And the US will not prove immune to it. Europe is the single largest economy in the world. It's also China's single largest trade partner. If the EU goes down, it will send ripple effects around the globe. And with China entering a hard landing and the US re-entering a recession the potential for another 2008 type event is higher than at any point in the last three years.

Graham Summers

http://kingworldnews.com/kingworldne...onfidence.html

Gold, Jim Grant, Bernanke, Draghi & A Collapse In Confidence





Today four-decade veteran John Hathaway spoke with King World News about what a prominent Fed watcher, and friend of his, warned him about: “Here’s a guy who’s been watching the Fed since 1970, maybe longer, and he said, ‘They are in danger of losing their credibility.’ When you think about it, the dollar, as Jim Grant has always put it, is a ‘faith-based currency.’ The credibility of the Fed is integral to that confidence the world has in the dollar, and the dollar’s value.”



The prolific manager of the Tocqueville Gold Fund also said, “So if that credibility, which I think is shot, once that veil of confidence is removed, you just don’t know what the market reactions could be.” Hathaway also discussed the recent action in gold: “It’s characteristic of bull markets that when they enter their most dynamic reversals or breakouts, nobody is on board. And it almost has to be that way because who is going to buy at the top?”



Here is what Hathaway had to say: “Back in February, he (Bernanke) gave testimony before Congress that said, ‘Further QE is off the table.’ That was a very significant moment because gold got hammered once he made that statement. Since then, there were several other occasions where, either through the Fed minutes or in Congressional testimony, he said, ‘No more QE.’”








http://kingworldnews.com/kingworldne...peimage_22.png

The market began to think that was it for Operation Twist. Then, lo-and-behold, at the end of June they decided to extend Operation Twist, which is neutral in terms of the Fed balance sheet, but is really designed to put a cap on long-term interest rates. As the summer progressed, the numbers for the economy were lackluster at best.



Here we are going into Jackson Hole, where all of the central bankers get together for a few days in Wyoming, and they are now talking up QE. And this time you are hearing them talk about open-ended bond buying by the Fed....

“The day after Bernanke speaks, then Draghi speaks, and it may just be a scenario of coordinated quantitative easing in Europe and in the US.



So here is a huge turnabout in terms of the story line that’s been plaguing gold for the last year. Really, what’s most interesting to me is the credibility of the Fed. I have a friend who’s a Fed watcher, and I’ve known him for many years, and he’s just completely dismayed.



He said, ‘The Fed basically has three tools. It has a very strong ability to influence short-term rates. That still holds. They have some ability to influence long-term rates. And then they have their word, their pronouncements, their credibility.’



Here’s a guy who’s been watching the Fed since 1970, maybe longer, and he said, ‘They are in danger of losing their credibility.’ When you think about it, the dollar, as Jim Grant has always put it, is a ‘faith-based currency.’ The credibility of the Fed is integral to that confidence the world has in the dollar, and the dollar’s value.



So if that credibility, which I think is shot, once that veil of confidence is removed, you just don’t know what the market reactions could be. I think that’s a very important shift in the story line for gold over the last year.



Obviously we have to wait for whatever they are going to say in the next week at Jackson Hole, but I think that (lost confidence in the Fed) is very, very important to where we are headed.”



Hathaway had this to say regarding gold: “It’s characteristic of bull markets that when they enter their most dynamic reversals or breakouts, nobody is on board. And it almost has to be that way because who is going to buy at the top? It’s going to be the guy’s who sold at the low.



We could revisit last year’s high around $1,900, and you will still have a lot of the market saying we are just forming a double top. So I think gold probably has to go through $1,900, print $2,000, and look like it’s going higher to get people excited. But I think we are going to see that.”

It was a very silent day, started with the opposite reaction of the german market, until the highly-anticipated speech by Fed member, which talked about nothing. Anyway: my boyfriend got 11.3 winner pips today. Not bad anyway

Good night, good fight

http://finviz.com/fx_image.ashx?rela...16736896205000

Which one will it be? USD or Euro??? Cast your votes!

http://a2.sphotos.ak.fbcdn.net/hphot...66216881_n.jpg
THE MESSAGE OF THE GEORGIA GUIDESTONES
The New 10 Commandments of The New World Order erected in the state of Georgia.

Too complicated to understand as an average Joe reading it for the first time. If I understand it correctly or only half of it; If I request bailout, I must come out with 30% for the EuroZone to bail me out 100%?

That's like I am chest deep in quicksand and if yelling for help, all the people watching yell back at me 'Go find a rope then throw at us and we will pull you out'. To make it worst all the rescue team are watching while the helicopter could simply throw a line to pull me out.

The Ammussen's speech only plea and suggestion must do this and do that but nothing concrete has been done. Everybody is watching, some with conflict of interests only may pull me out when nose deep in the quicksand. But now I can still survive, so no worry?

Budget deficit in US; raising tax is impossible to make up the deficit other than take away what has been given to the people; health care, medicare & social security. If this is done to take away the people's very basic needs then anarchy is imminent and the domino effects spread all across the world to follow.

So what is the solution to all of this? Maybe someone knowledgeable can explain it better with simple plain language.

That explains a lot so what will happen to the money in the broker and the bank? Force Majeure nobody to claim? Why all the troubles now if all of it is coming to and end

It's all an illusion. Take the red pill




Outside of this illusion...
Money, Oil and precious metals are worthless.
Food, water, guns and ammunition are priceless.