Doomberg on the EU’s Carbon Credits: https://doomberg.substack.com/p/a-banana-worth-squeezing?r=9ozk&utm_campaign=post&utm_medium=email “To me, left unchecked, the price of carbon goes to infinity.” – Lawson Steele On Friday, October 24, 2008, Volkswagen’s (VW) stock closed at EUR 210 per share, down 50% over the prior two weeks. Like many manufacturing companies, VW was reeling from the global financial crisis. BecauseContinue reading “The Market Clearing Price for a National Suicide Pact”
Category Archives: Supply Chain
Supply Chain Systemic Risk
James Rickards explains the obvious: https://dailyreckoning.com/the-great-supply-chain-collapse/ The Great Supply Chain Collapse What’s at the root of the supply chain breakdown? That’s a critical question but the answer is almost irrelevant. The supply chain is a complex dynamic system of immense scale. It is of a complexity comparable to the climate as a system. This meansContinue reading “Supply Chain Systemic Risk”
BTC – the Biden Trade
ZH: https://www.zerohedge.com/geopolitical/biden-mulls-cutting-russia-swift-ahead-putin-call-nuclear-option-response-ukraine With the United States cutting back its own oil production in the name of “climate”, and fueling double-digit inflation, why would we consider shooting ourselves in the foot over Ukraine? Well, maybe Hunter Biden knows – he’s pulled enough dough out of Ukraine’s oligarchs for himself with “10% for the Big Guy.” OneContinue reading “BTC – the Biden Trade”
Bonds Away!
The US bond market may be closed, but it was fully open in China, and locals took advantage of this fact to do one thing: sell. In the aftermath of our viral post “”Catastrophic” Property Sales Mean China’s Worst Case Scenario Is Now In Play“, China property firms bonds were hit with another wrecking ball onContinue reading “Bonds Away!”
Peak Ponzi: Domino Theory
Evergrande: Companies like Evergrande. Junk companies borrowing USDs at 20%+ comprising ~35 “significant” companies representing 12.5% of the current market cap of the Red Ponzi property sector has already lost some $500 billion to date. These companies develop and sell the 85% of homes bought as investment property – speculators – facing to be a seriousContinue reading “Peak Ponzi: Domino Theory”
Ball. Court. Germany: how do you like those 2000EURs/month heating bills?
Gold, Goats, and Guns: https://tomluongo.me/2021/10/06/european-energy-crisis-gas-you-think-burning/ The European Gas Crisis keeps hitting new high after new high as gas prices around the world go ballistic. While this isn’t just a European problem, if you read the MSM, that’s all they seem to care about. You know, it snows in Japan as well folks, and China.Continue reading “Ball. Court. Germany: how do you like those 2000EURs/month heating bills?”
Coal for Christmas – China’s Supply Chain in Crisis
Human Terrain: https://fortisanalysis.substack.com/p/coal-for-christmas In mid-April 2021, I began receiving reports from sources in China and the United States that certain regions in China had begun to experience ongoing power disruptions at their warehouses and manufacturing facilities. Most notable of these was in south China’s Guangdong megaregion, where in June operations at the Taishan Nuclear PowerContinue reading “Coal for Christmas – China’s Supply Chain in Crisis”
Blackouts in the Red Ponzi
Container Shipping’s Latest Shock: Blackouts in China The Loadstar Factories in at least ten Chinese provinces have either cut output or closed temporarily this month, after government-imposed power cuts to curb carbon emissions. By Friday, at least 10 publicly listed companies told the Shanghai and Shenzhen stock exchanges their factory output had been hit byContinue reading “Blackouts in the Red Ponzi”
Peak Red Ponzi?
If so, now what? If there is a “one and only one” place to go to understand macro-markets, it is Jeffrey Snider of Alhambra Investments. Jeffrey’s EuroUniversity series should be a masters program for anyone in or into the markets. Read each post several times to lock it in. Jeffrey’s pitch today – the RedContinue reading “Peak Red Ponzi?”
Die Deutschen brauchen das Gas. Or, if you prefer …Немцам нужен газ
Here’s Tom Luongo spelling out the obvious: https://tomluongo.me/2021/07/24/nordstream-2s-hard-lesson-in-reality-for-everyone/ Nordstream 2’s Hard Lesson in Reality for Everyone For more than six years everyone who is anyone in a politically sensitive position in Europe and the U.S. has wrung their hands over the Nordstream 2 pipeline. From the moment it was announced the howls of pain couldContinue reading “Die Deutschen brauchen das Gas. Or, if you prefer …Немцам нужен газ”
Econophysics2020 