Saturday, December 8, 2012

As The World Turns

By, Chris Rossini
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Below you'll find snapshots of how major markets around the world ended the week.

U.S. - Dow Jones Industrial Average +.99%

China - Shanghai Composite Index +4.12%

Japan - Nikkei +.86%

UK - FTSE +.81%

Germany - DAX Composite +1.52%

Spain - Madrid General Index -.71%

Brazil - Bovespa Stock Index +1.76%

Israel - Tel Aviv 25 Index -.12%

Switzerland - Swiss Market Index +1.53%

Gold -.67%

Silver -1.40%

Crude Oil -3.12%

U.S. Dollar Index +.13%

Euro -.46%

U.S. 30YR T-Bond Yield +.72%

1 comment:

  1. During the week endind December 7, 2012, the Shanghai Shares, $SSEC, traded by CAF, which had been performing very poorly ever since QE1 was introduce, rose 4.1% this week, largely on a rising Yuan, CYB.

    Commodities, DBC, and USCI, traded lower, as Precious Metals, JJP, traded lower, as Gold, GLD, fell through a consolidation triangle, and Silver, SLV, traded sharply lower. Spot gold, $GOLD, traded lower to $1,705; support is lower at $1,680 and $1665; support for GLD is 162. Oil, USO, traded lower; and Unleaded Gas, UGA, fell sharply lower. Natural Gas, UNG, fell to support, and its chart looks like it could break sharply lower. Bespoke Investment Group reports Gasoline inventories soar by most in more than 10 years. Base Metals, DBB, traded lower; Copper, JJC, a measure of the Shadow Banking System in China, traded lower. Timber, CUT, traded to a new high.

    Total Bonds, BND, traded up to a new high of 84.99, before closing lower this week at 84.81. Peak Debt is being attained.

    The Dollar, $USD, UUP, has traded lower over the years since its peak in 2002, on US Central Bank credit liquidity and easing, until it recently rose from $79.00 on September 14, 2012, and is now trading at its 50 day moving average, at $80.42, as the Euro, FXE, rose to a new rally high of 129.99, pushing the Swiss Franc, FXF, to a triple top high of 106.24, before the Euro, traded lower to 128.26. The chart of the world major currencies, DBV, shows that they jumped to a new high of 26.02, and the chart of emerging market currencies, CEW, shows they are approaching their Sept. 14, 2012, high.

    The world has passed through Peak Monetization. Generally speaking individual currencies globally are failing to rise higher on debt monetization, that is currency debauchery of the world central banks neoliberal finance. The world is passing through Peak Monetization, meaning that the world central banks are unable to stimulate further global growth and corporate profitability. Debt monetization is no longer able to leverage World Stocks, VT, higher.

    The Euro currency, FXE, has peaked out. Monetizing of debt is one of two factors that caused the Euro, FXE, to peak out and trade lower this week; and as result Italy, EWI, and Spain, EWP, traded lower from their rally high and both the European Financials, EUFN, and the European Shares, VGK, manifested bearish harami candlesticks, at the top of ascending wedges, suggesting that the rally in these shares is now complete. The other factor for that caused the Euro to peak out and trade lower, is an ongoing political leadership crisis in both Italy, and in Europe as a whole.

    This week’s rally and fall in the Euro, FXE, stimulated Peak Currency and Peak Credit. Of note, Peak Stock Wealth, occurred September 14, 2012 as world stocks, VT, topped out.

    The Fiat Money System was replaced by The Diktat Money System on December 7, 2012, as the Euro, FXE, traded below 1.30.

    The failure of neoliberalism’s seigniorage, that is moneyness, has introducing the Age of Austerity and the Age of Debt Servitude, where people will come to trust in the Diktat Money System, where diktat serves as currency, credit, and wealth, as exemplified in Egypt, EGPT, and Argentina, ARGT.