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apppro’s take for 05/12/2013 07:30 am EST

Bloomberg’s (is a) hack – Shades of Murdock?

                If Bloomberg had done this to George Clooney or even worse Beyonce – ALL HELL WOULD BREAK LOOSE! Demand Congressional hearings and OVERSIGHT NOW!

Wall Street: How Much Does Bloomberg Know? at CNBC07:22pm EDT

Bloomberg bars reporters from client activity AP09:05pm EDT

 

Question 1: When the reporters accessed clients’ info on their Bloomberg Terminals, were they able to also see TRADES of $JPM & $GS and than use insider info to trade on that themselves???

Question 2: How MUCH did Michael Bloomberg KNOW & when did he know it?

Added Question 3: Didn’t Bloomberg out the JPMorgan London Whale, and where the hell did they get that information??

 

BLOOMBERG SPYING SCANDAL ESCALATES: Reporters Used Terminals To Spy On JPMorgan During 'London Whale' Disaster

 

The 5 Golden Rules:

3. Institute some rules on how the media ’reports’ news in order to prevent rumor-boarding. Not censorship… just sensibility & responsibility.

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apppro’s take for 05/11/2013 01:30 pm EST

Schrödinger's Cat—Looking inside the Fed’s Box!

                There are several ways of interpreting the cat in the poisoned box scenario. Personally I find the Big Bang one the best:

 That until we open that box, no one really knows whether the cat is dead or alive.

 

                Right now the asylum we call the stock market is debating when and how the Fed will end its so-called QE program. Not going to get into the debate on whether QE’s benefits were real or not, all I will do is repeat my Main Saying: Don’t blame the Fed… it’s not their fault we allowed a few SHORT-term traders/traitors to use QE $’s to CREATE ‘put spreads’ INSTEAD of CREATING JOBS! In this case “the box” is the Fed ending the QE policy, and until we open that box we will not really know whether the economy is dead or alive.

                The real issue now is that some are trying to decide even before we seal that cat up in that box, whether he will come out dead or alive. In a recent article Joshua M Brown really tried to make some sense of some of these speculations The End is Where We Start From. I give him credit for it, but he too is missing the real point. Like the 2nd more complicated way of interpreting Schrödinger's Cat That it’s maybe OUR actions OUTSIDE of that box which will determine the cat’s fate. Here as in my “Butterfly Effect” (see 05/04/13) scenario: The more we trade/bet and/or try to manipulate things to determine the cat’s fate, the more the cat has the chance of blowing himself up and we will not need to have opened the box to know what the outcome is.

                So WHAT if the Fed slowly ends that misguided practice of “Twisting into the Wind”!? So WHAT if the Fed starts to slowly cut back on dumping all that cheap money into the system!? Virtually ALL of it has gone to hedgies to play games and gamble, anyway. Hedge Funds Rush Into Debt Trading With $108 Billion Very little has ended up in the hands of Main St or even the companies that should have used it to build factories and hire new employees. Would it be so terrible if these hedgies had to cut back on their addiction? Would it be so terrible if these hedgies had to pay a little more interest % to do their gambling? Would it matter to anyone whether their profits were slightly less? Simplistic, maybe so, but when it comes down to it – the damn truth! To all you economists and experts out there: Exactly how much of an effect on Qualcomm putting chips into iPhone’s would a gradual reduction in QE $ have? If you answer honestly you know the outcome would be nil to none. Confidence in tomorrow will increase QUALCOMM’s spending – not hedgies trading on WMD ETF’s in nano seconds.

                What we are now allowing are HFT crazies to use “Heat Seeker” algo’s to troll the air waves searching for any keywords that may give the machines any insight into what the Fed will or will not do. In his above article, Brown speculates that a WSJ reporter John Hilsenrath has some inside track to the Fed and that whatever he writes is what will be. “So let it be written. So let it be done!” Maybe he does, but the issue is NOT Hilsenrath’s ramblings, but how the damn machines tried to trade our markets over what might have been his ramblings. On Thursday we had another mini flash https://pbs.twimg.com/media/BJ574cCCMAEC9sm.jpg:large and my friend immediately sent me a text saying it was speculation over this VERY Hilsenrath possible article. No one knew what was going to be written or even if there was going to be an article. The machines saw their keywords through their “heat seekers’ and BAM the ‘vacuuming’ algo’s took over and down we go. “Is this any way to run a business?”

                So what’s my point? The point is that we have NOT opened that box yet and the cat is still alive. BUT MORE IMPORTANTLY: These daily HFT ‘flashes’ based on speculation or whatever the flavor of the day hedgie trade is on will kill that damn cat long before we even think of opening the box! I am not saying the Fed is right, god no! Bernanke’s Mistress Elizabeth TBTF comments on Friday certainly prove that he has gone over to the Dark Side. No, what I am saying is that we let us humans take control of the situation and calmly try to take the progress we have already made to the next level. Hopefully if that is done with reason the next level will be a slow and steady RISE UP!

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apppro’s take for 05/04/2013 09:00 am EST

The Butterfly Effect… Then & NOW!

 “In chaos theory, the butterfly effect is the sensitive dependence on initial conditions, where a small change at one place in a deterministic nonlinear system can result in large differences to a later state.” In 1972, Philip Merilees postulated:

Does the flap of a butterfly’s wings in Brazil set off a tornado in Texas?”

That was then and this is NOW:

Does the put on of a ‘butterfly trade’ in New York create even a single job in Texas?”

 “The Put Butterfly Trade” Talk about chaos!

                When I listen to that insanity promoted by CNBC all I am reminded of is a person taking their social security check to the track and figuring out ways to gamble it on horses. Or even worse, a person taking their welfare check to the local 7-Eleven to gamble it away on the daily numbers by boxing or line bets! Now, what we are allowing these hedgies to do is to take all of the Fed’s QE cheap money and piss it away on useless HFT SHORT-term option trading, while creating NO LONG-term progress with it.

Main Saying: Don’t blame the Fed… it’s not their fault we allowed a few SHORT-term traders/traitors to use QE $’s to CREATE ‘put spreads’ INSTEAD of CREATING JOBS!

                THIS IS NOT investing! We have created a form of legalized gambling (Note: That it usually pays lowest tax rate.) glorified by segments of the media! This creates no LONG-term jobs or growth. It truly serves NO purpose whatsoever in promoting OUR COLLECTIVE prosperity. This SHORT-term mentality creates NOTHING, but uncertainty, fear, angst, and hate.

What is wrong with all of us? Description: Description: Description: Description: Thumbnail

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apppro’s take for 04/28/2013 10:00 am EST

“Spring Swoon… knock it off with the negative waves!”

                Truly hated to use that CNBS term as my title, but I figured I would get more reads this way. I would have preferred if we changed that to “Spring Shove it up the Shorts’ A**!”, because that is what it really should be!

                Everyone is sitting on pins & needles waiting for a sell-off, which most call the infamous ‘correction’. I wrote about this 1 year ago

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Main Slogan: “It’s The Mentality Stupid”

A SHORT-term mentality does NOT build bridges.

A SHORT-term mentality does NOT create jobs.

A SHORT-term mentality does NOT create prosperity.

A SHORT-term mentality creates NOTHING, but uncertainty, fear, angst, and hate.

Main Principle: “It’s NOT how much you make, BUT rather how LONG it took you to make it!”

STOP the INSANITY NOW! - #StIN

Revised Tax Rules:

1. Capital gains 5+ years* - 5% tax on capital gains

2. Capital gains 2 > 5 years* ** - 15% tax on capital gain

3. Capital gains 1 > 2 years* - 35% tax on capital gains

4. Capital gains 6 > 12 months - 45% tax on capital gains

5. Capital gains under <6 months - 55% tax on capital gains

6. Most critical of all — Institute a capital gains tax of 65% on ALL short sales not directly tied to a long buy by a regulated hedge fund.

*Quasi Buffett Rule > Anyone whose main source of ‘income’ (retired persons excluded) that comes directly from capital gains, should be taxed at never less than the 1>2 year 35% rate—no matter what the cg term length.

** Dividends are taxed at this level—15%.

Main Saying: Don’t blame the Fed… it’s not their fault we allowed a few SHORT-term traders/traitors to use QE $’s to CREATE ‘put spreads’ INSTEAD of CREATING JOBS!

OPERATION DIRECT DEPOSIT

Fed SELLS longer dated Treasury’s and uses that money to buy LOCAL STATE infrastructure bonds.

Lehman’s Principle: The confidence destruction of an entire entity based on SHORT-term re-evaluation of LONG-term holdings due to unrestricted RUMORmongering and GANGshorting! Basically, taking a 30-YEAR something and basing it on a 30-SECOND whatever! End Mark-To-Market M2M!

The 5 Golden Rules - #The5GoldenRules

1. Immediately, reinstate the Up-Tick Rule.

2. Crack down on naked short selling. Require stock certificate #'s when a short sale needs to be covered, including ETF’s.

                a. Stop the shorting of ALL ETF’s. This is just legalized naked shorting—makes no sense.

3. Institute some rules on how the media ’reports’ news in order to prevent rumor-boarding. Not censorship… just sensibility & responsibility.

4. Pass a Wind-Fall Capital Gains Tax of 65% on ALL short sales not directly tied to a long buy by a regulated hedge fund!

5. Have ALL ETF’s trade on a 20-minute delayed basis. Get these instruments of mass destruction back to what they were supposed to do: mimic mutual funds. NO pre or aftermarket trading.

“EXPORT THE CRAP OUT OF NATURAL GAS!” - Tax Plan

Þ Institute a 10% EXPORT TAX to be paid by the buyer at the point of export.

· Apply 8% DIRECTLY to paying down the deficit, ONLY.

· Apply 2% to help fund our Superfunds Cleanup.

· So that NG prices never go crazy, have that tax increase the higher NG gets. For example, if NG gets to $5.50 the tax increase to 20%, $7.50 the tax becomes 30%, ETC. Therefore the buyers wont’ want it and the prices will be held in check.

Truly the MOST disgraceful BUT truthful quote of not only 2012 but the last 10 years!

“What’s more important if you’re a hedge fund manager… making your quarter or impoverishing Europe?” 06/25/2012

 

The Most DISGRACEFUL quote of 2012, so far!

  “Carly, stop thinking about the Nation and how good it would be for SqauwkBox!” 03/22/12

The BEST quote of 2011

 “As long as people keep putting the excess money into gold, it is not going to do any good for the economy!” 04/27/11

 

The Most DISGRACEFUL quote of 2011

 PANIC… that’s what we try to bring every day here!” 09/30/11

 

The 2nd Most DISGRACEFUL quote of 2011

 "There should be a Fast Money Nobel Prize!" 10/10/11

 

In the 2012 elections vote for:

NONE OF THE ABOVE  Too late now I guess!