MERKEL BLINKS; MARKETS RIP

                   EU Summit – German Taxpayers Gunned Down

What a difference a day makes. Make no mistake, the release of Germany caving agreeing to fresh new German taxpayer money for the PIGS was quite purposefully made during the most quiet hours of the trading day. Seriously, who is watching their trading screen at that hour?

Oh well, EURJPY 50 pip range one day 300 the next; the ripfest continues on a Friday with utter abandon. The algorithm gave only sell signals today, of which I ignored completely. Why? It’s Friday and the probability for squeeze damage is very high. The algo doesn’t read the news, and it doesn’t know it’s Friday either.

There is a giant part of me that is still dealing with the implications of yesterday’s horribly Anti-American Supreme court ruling. Do you fully realize the ramifications of what Chief Asshat John Roberts has done? I’m not at all sure most people do. It means government can make rules regarding your behavior, tax it and punish you for not doing it; there are no limits now to what government can do to individuals.

I hope most of you are preparing to leave Amerika. I hope you are getting your ducks lined up and your affairs settled. What happened yesterday is theft of individual liberty and freedom and it’s only going to get worse. If you can’t see it for what it is, then you are delusional and no better than the Jews who stayed around Nazi Germany in the early 1930’s and pretended nothing bad would happen to them.

Amerika has forever turned the corner, and it is not a good thing. The unlimited universe of activity [or un-activity] that the Government will now tax has no bounds. If you have assets in this country, I would get them out of here as fast as possible; you are now officially a target with a great big red bulls eye on your back.

I can’t bring myself up to the level of a chuckle today. This is serious, and most people are worried what to have at the 4^th barbecue coming up. Like most everything, the sheeple of Amerika think nothing bad can ever happen; but it will and it officially started yesterday.

Have a good weekend everyone.

-vegas

IT’S A DATE!

                           Well, the Greeks Don’t Like Her Much

Sometimes, you just know a date is gonna go bad before it even happens. The hottest girl in high school has a date with the Chess Club president; dazzle her with your opening “King’s Gambit” and then show her your Indian defence – it’s the only chance you got man!

So, Merkel is gonna have a “pre-summit” dinner with Hollande of France; she with all the gold, he the socialist beggar looking for Eurobonds to spread periphery country risk to Germany. That this will end in disaster I’m fairly confident.

No, the real news from this event is this; who’s doing the catering?

If it’s up to Merkel, expect bratwurst with boiled cabbage and plenty of the steamy Kraut stuff, washed down with warm Heineken. Geez, it will take weeks to get the Kraut stench out of the dining room.

If it’s up to Hollande, expect Chilean Sea Bass in white wine sauce, asparagus spears drizzled with lemon sauté, a fresh raspberry soufflé for dessert, and wash it all down with a nice ’93 French Chardonnay [don’t get the ’95, it was a bad year].

“Honey, can we have this French menu tonight?”

“Shut up and eat your macaroni and cheese w/hot dog.”

Of course, if the “date” takes place in Brussels, where they hate both the Germans and the French, whatever they fix I’d have the taste testers in the room pronto.

And like all dates gone bad, where everybody looks to save some face and pretend all is well before it’s over, both will smile for the cameras and say something inane.

“So, Can I call you again Angela?”

“Sure Francois [rolling her eyes], but I got to tell you your chances are about one in a billion.”

“So you’re sayin’ I got a chance!! YESSSSSSSSSS.”

And so “Dumb & Dumber” [European political version] gets played out for all to see.

Don’t you just feel all warm and fuzzy with love stories like this?

Have a good day everyone.

-vegas

EVERYTHING IS FIXED NOW, RIGHT?

                                         Europe In A Nutshell

For you grown-ups out there, this is like watching your kids get a free credit card from their grandparents; not a pretty sight. But not to worry, because everything is now fine in Spain because the smartest-guys-in-the-room have just thrown a check their way to the tune of a “1” with “11” zeroes behind it. Where this money comes from nobody has a clue.

But we are all smart enough to know by now that politicians solve a problem, not by actually solving anything, but by talking about it. Because you see, talking about it to them means it’s on their radar now, and not to worry, we are on it. Uh huh.

The Germans, natch, are expected to lend their AAA credit rating to this hair-brained scheme, but in all things like making sausage and passing out 100 billion Euros, the details are gonna get a bit sloppy. For one, nobody in Germany, except the Pols, are for this. Second, it ain’t gonna matter because on June 17^th, the Greeks say adios to the Euro. And third, as if we need another reason, every other deadbeat sovereign member of the PIIGS gang now wants the same deal as Spain.

“Hey, where’s our hundred billion with no strings attached?”

I swear, it’s enough to make you think the Pols are really in the biz of herding cats. A tough gig no?

                                         Politicians Take Note

Of course, with record spec short positions via the Crimex CME in EURUSD, it’s not really a surprise that we gapped up 100 big ones on the opening in Asia last night. Did you hear the big – WHEEEEW !! – whoosh out of Europe last night? But sadly, with all Ponzi schemes the half-life on this “solution” hasn’t even lasted 12 hours.

And gold? Firmly in control of the Central Planners and weakening as I write.

“But QE3 and QE4; c’mon man, money printing, ya know?”       

Yea, I will make sure and tell that to the prop desk over at JPM that is selling with both hands.”

And so, we find ourselves on countdown to next Tuesday, when we know for sure the Greeks are deadbeats, and the newly emboldened leftists tell Europe to go pound sand with their debt.

 Anybody want to make book on this?

Have a good day everyone.

-vegas