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Market Update – Friday 03/08/19 4:00 PM EST

The SkyNet SellBots had the upper hand in the overnight futures, sending US stocks sharply lower at the open of trading on Wall Street. From there, the BuyBots stepped right up and mounted a respectable rally into the close, significantly cutting the day’s losses.

The DJIA closed down 23 points (0.1%), and the NASDAQ dropped 19 points (0.2%).

Stay tuned as the battle of the SkyNet StockBots continues!

03/14/19 – Tyler Durden: Why Despite Disastrous Start, The “World’s Most Bearish Hedge Fund” Is Short Everything

Several years ago, we first described Horseman Capital’s Global Fund, as “the world’s most bearish hedge fund” for a simple reason: of all existing asset managers, Horseman may be the one with the biggest and longest net short in history (during the longest bull market in history). Indeed, as shown in the chart below, after last going net short in 2011, Horseman has gone over 7 years being net bearish the market, with its latest net exposure a whopping -88.14%, and a gross short position an unprecedented 160%. Read More.

03/13/19 – Brandon Smith: The Global Economic Reset Begins With An Engineered Crash

For a few years now, since at least 2014, the phrase “global economic reset” has been circulating in the financial world. This phrase is used primarily by globalist institutions like the International Monetary Fund (IMF) to describe an event in which the current system as we know it will either die out or evolve into a new system where “multilateralism” will become the norm. The reset is often described in an ambiguous way. IMF banking elites will usually mention the end results of the shift, but they say little about the process to get there. Read More.

03/08/19 – Tyler Durden: Chinese Stocks Crash As Rare Sell Rating Shocks Traders

The question whether Beijing will tolerate another stock market bubble – one which it appeared to carefully cultivate until now – got an answer on Friday when Chinese stocks crashed, tumbling the most in five months. And it all started with a single sell rating.

The Shanghai Composite tumbled 4.4% to close below the key 3,000 point level, ending an 8 week rally, with the Shenzhen Composite and Chinext all following. Read More.

03/08/19 – Tyler Durden: Goldilocks Is Over: Global Stocks Tumble On Fresh Growth Fears, China Crash

Just days after Goldman warned that the Goldilocks rally is over, a selloff swept across world markets with global stocks set for their biggest weekly drop since December, after a plunge in Chinese stocks set the tone for global markets on Friday, with equities in Europe sliding alongside U.S. futures amid growing concerns about the state of US-China trade negotiations and global growth following yesterday’s ECB shocking GDP downgrade. The yen climbed with gold as investors once again scrambled to buy safe Read More.

03/06/19 – Jesse Columbo: Risks Are Rising In Global Corporate Debt

The OECD recently published a paper called “Corporate Bond Markets in a Time of Unconventional Monetary Policy,” which showed that outstanding global corporate debt has surged over the past decade in both advanced and emerging economies alike. Total outstanding corporate debt increased by 70% from $5.97 trillion in 2008 to $10.17 trillion in 2018 in advanced economies, and has soared 395% to $2.78 trillion in emerging economies.Read More.

03/06/19 – Tyler Durden: US Trade Deficit Soars To $621BN, Highest Since 2008 As Goods Deficit Hits Record

Confirming last week’s advance goods data which saw the biggest trade deficit on record in December, moments ago the BEA reported that the U.S. trade deficit soared to a 10-year high of $621 billion in 2018, jumping by $68.8 billion, or 12.5 percent in the year, and crushing Trump’s pledges to reduce it, as tax cuts boosted domestic demand for imports while the strong dollar and retaliatory tariffs weighed on exports. Read More.

02/28/19 – Tyler Durden: “We Are Not Bearish, But…” – Private Equity Giant Says It’s Time To Sell

One week after PIMCO’s chief investment officer of global credit, Mark Kiesel, told Bloomberg that now is the time to start selling risk as “the market has priced in a lot of good news right now” and with all major asset classes overbought, the Pimco CIO “would be tilting the portfolio towards high quality Treasuries, agencies, investment-grade corporate bonds, owning less high-yield and owning less levered companies” adding that “this has been a situation where the rising tide has lifted all boats”, another financial icon has echoed this call. In its latest Global Perspectives note, private equity giant KKR, has issued a similar warning on publicly traded stocks: It’s time to sell the rally. Read More.

02/16/19 – -Tyler Durden: Gundlach: Corporate Debt Blowup Will Unleash “Turmoil” In The Next Recession

Though he missed the torrid rebound in stocks during the first six weeks of 2019 (US stocks have, by at least one measure, experienced their best start to a year since 1991, when Gundlach didn’t expect the rebound to start until later in the year), Doubleline Capital founder Jeffrey Gundlach’s warnings about the risks endemic to the US corporate debt market (and the ballooning deficit) still resonate with thousands of investors, who are warily approaching the end of the business cycle with a mounting sense of paranoia.Read More.

02/15/19 – Sven Henrich: Bears Are Right

After 8 weeks of non stop rallying the bear mocking is back which is ironic. Why? Well, because bears are right. About what? Well, everything. Yes stock markets have been screaming higher in recent weeks on hopium and central banks turning dovish, but ironically that’s as a reaction to bears being right. How can that be? Read More.

02/14/19 – Charles Hugh Smith: What Happens When More QE Fails to Reverse the Recession?

The smart money is liquidating assets, paying off debt and moving capital into collateral that isn’t impaired by debt or speculative valuations. The Federal Reserve’s sudden return to “accommodative” dovishness in response to the stock market’s swoon telegraphs its intent to fire up QE once the recession kicks into gear. QE (quantitative easing) are monetary policies designed to ease borrowing and the issuance of credit, and to prop up assets such as stocks and real estate. Read More.