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Funds increase their short positions.
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JonSCKs
Posted 1/9/2016 06:53 (#5022604 - in reply to #5022586)
Subject: More on deflation..


This Aljazeera article is from the August meltdown period..

( http://america.aljazeera.com/opinions/2015/8/currency-wars-and-the-... )

but it still describes the players.. China et all.. today as well.

The deflationist continue to argue that Crude is on track to go to zero and the dollar rallies to the moon..

In the article it mentioned that US Jobs would contract.. instead we got a larger then expected bump in employment this week.  Everyone says that KSA is gonna continue pumping Crude at a loss.. I believe the REAL reason KSA is pushing crude prices down is they are trying to punish Iran after the Obama administration signed an agreement to lift Nuclear sanctions against Iran..  Afterall the one with N Korea has worked smashingly well..  ?!?  Faux News said it was the same people negotiating both deals... and they are now working for Hitlery..  "can't make this stuff up.."

All KSA has to do is tell OPEC it wants to cut production 2 myn bbls per day and Crude would probably double over night.. at some point this card will get played.  Furthermore, as the strong dollar imports deflation from outside.. the US Fed will act.. "only a matter of time."

which will keep US interest rates in the crapper.. Anyone want to buy US Stock market right now?  

Amazon was only trading at 985 x's earnings at the end of the year.. 

http://davidstockmanscontracorner.com/the-next-big-short-jeff-bezos... )

That's what you short...

KSA may hang in there for awhile on the low Crude.. until they act.. or most analyst think that by 3rd Quarter 2016 Crude will come into balance... then the deflationist will be on the run..  Given the length of shorts now... I don't see how we wait that long.

??? 

Expect to hear more doom and gloom stories from the bears as they try to get out of their positions.. like the one floated below..

( http://talk.newagtalk.com/forums/thread-view.asp?tid=603665&mid... )

later.. 



Edited by JonSCKs 1/9/2016 07:02
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