K.I.S.S.

Drunk trades

Banks don’t need HFTrading platforms and front-running servers, just hire drunken blacked-out traders. Click here. This funny and sad all at the same time.

Martin Armstrong’s latest blog post dated September 28, 2012

Click here for Martin Armstrong’s latest blog post dated September 28, 2012 regarding the move from Public investment into Private investment. Short, but good, post.

John Williams

John Williams latest real stats are out. You pay for the detail, well worth the money. Here is the summary:

– Unusually Large 2nd-Quarter Revisions: Headline GDP Growth Dropped to 1.3% from 1.7%,
Theoretically Equivalent GDI Dropped to 0.2% from 0.6%
– Plunging Automobile and Commercial Aircraft Sales Savaged Durable Goods Orders
– August Household Income Took a Hit

Your acknowledgement

Creative accounting is going on at all levels, in every country, in every business. There is the official balance sheet based in an alternative universe where QEp works. And there is the balance sheet based in reality. And you can chose to acknowledge those facts or not.

Mark Grant of Out of the Box quotes groovygirl’ favorite author, Thoreau, but he misses the key word,  “important”. Groovygirl has actually calculated in a 24-hour period all the information that comes across her phone, emails, TV, internet, etc. And less than 1% of it was actually important. That is a lot of wasted time, energy, and money. And about fifty percent of the information or more was a half-truth or completely false that required more time, energy, and money to verify. Give me the woods….

Poor Mr. Grant is going to drop dead from stress.

Groovygirl thinks we should bring back the ticker, it was much better at letting everyone know when something was really happening. As Jesse Livermore can attest to. If anyone knows of software that turns the real electronic ticker into sound, let me know. I will buy it.

The last part of his post shows us that definitions of “not there” and “not counted” are the difference between broke and solvent and rolling hill and cliff. Last part is good.

Click here.

Side musing: There is an old investment saying that gg has always thought of as very wise. Profit and loss of an investment are determined at the point of sale after taxes and loss/gain of currency are calculated in. groovygirl explained this concept to many people before the crash in the tech bubble and in the housing bubble. And she quotes it now, before the bond bubble bursts. Rich on paper is not necessarily rich. Solvent on paper is not necessarily solvent.

You must do the due diligence to find out what is on the “off balance sheet” of the businesses, bonds, countries, etc. you chose to invest in.

Mr. Rubino comments on the K-Wave

Excellent article over at MarketShadows. Click here.

gg agrees with this article.

It might be a loss of confidence in the dollar, euro and yen, manifesting in hyperinflation. It might be the bond markets discovering they’re being conned, “pushing interest rates up in a spasm that’s too fast and widespread for central banks to counter…” We don’t know, we can only watch and try to prepare for the most salient risks.

It is sell everything day

It is a “sell everything not nailed down” day. Gold is getting hammered but seems to have support in the low 1740’s so far.

Derivatives

good 15 minute video on derivatives…

Be careful

Chinese firm is openly producing tungsten-filled gold bars and coins. Keep a sharp look out. Click here.

Here are some options:

Click here.

Here.

Or go to a coin dealer for a professional opinion-chemical test.

Celente

Click here for an interview with Gerald Celente with USAwatchdog.