S&P Closes Above 2000 For First Time On Lowest Volume Day Of Year

For the last 2 weeks, the US Dollar has surged – hitting new 13-month highs today amid JPY and EUR weakness – and for the last 2 weeks, US stock and bond markets have rallied (leaving 30Y yields implying the S&P is 130 points rich or yields are 25bps too low). S&P tops 2,000, Nasdaq closed up for 10th day in a row, Russell outperformed on major short-squeeze, Trannies slid red for the week. Today saw modest Treasury weakness (30Y +2bps, 2Y -1bps) but still lower on the week; gold ($1285), silver ($19.50), and oil ($94) gained on the day – despite USD strength – as copper dropped 1%. Credit markets remain unimpressed by record-er highs in stocks. VIX decoupled from equity strength today as NASDAQ options feeds broke. Volume was an utter disaster… that is all.

 

Nothing to see here, move along…

 

S&P 500 (cash) topped yesterday's highs early on (thank you resting stops)… 2000.02 close!!

 

as The Close was all critical to keep the dream alive…

 

"Most Shorted" stocks once again bore the brunt of the squeeze higher…

 

Which led Russell 2000 to dramatically outperform as Trannies tumbled – leaving Transports red on the week…and closing at the lows…

 

Some context for this move…

 

VIX decoupled as BATS and NASDAQ broke and options feeds went full retard…

 

The USD Index broke to new 13-month highs today…

 

But the last 2 weeks have seen USD demand flood both stocks and bonds in the US…

 

Credit continues to ignore the exuberance…

 

HY-IG spread is back at 250bps – practically unchanged on the year (thoug IG is notably tighter in recent weeks as investors shift to up-in-quality trades)

 

Early strength in PMs was battered back into submission around the normal 8amET witching hour… Oil rose on the day…

 

Quite a day in Gold futures…

 

Charts: Bloomberg




via Zero Hedge http://ift.tt/1pDS3yG Tyler Durden

If You Already Own a Gun, Federal Judge Says, Making You Wait 10 Days to Get Another One Is Unconstitutional

In a
decision
handed down last week and published today, a federal
judge rules that California’s 10-day waiting period for gun
purchases is unconstitutional as applied to people who already own
firearms and have passed a background check. The law was challenged
by Jeff Silvester and Brandon Combs, California gun owners who
would like to buy new firearms without having to wait 10 days
between paying for them and picking them up. U.S. District Judge
Anthony Ishii agreed with them that the requirement imposes an
unjustified burden on their Second Amendment rights.

Ishii rejects the state’s argument that California’s waiting
period qualifies as a longstanding, widely accepted gun regulation
of the sort that the Supreme Court has
deemed
“presumptively lawful.” He says there is no evidence
that any jurisdiction imposed such a requirement in 1791, when the
Second Amendment was adopted; in 1868, when 14th Amendment made the
Second Amendment binding on the states; or at any point in between.
Even today, waiting periods are unusual: California is one of just
three states that (along with the District of Columbia) impose a
waiting period on all gun purchases. Another seven states have
waiting periods for certain gun purchases.

California argued that its waiting period 1) allows time for a
background check, 2) discourages impulsive acts of violence, and 3)
facilitates investigation of straw purchases. In practice, Ishii
observes, a background check takes “anywhere from 1 minute to 10
days,” and once it is completed, the first justification for a
waiting period no longer applies. “For those who already own a
firearm and are known to be trustworthy due to the licenses that
they hold and a history of responsible gun ownership,” he says,
“there is no justification for imposing the full 10-day waiting
period.” Ishii also questions the relevance of the second
justification as applied to current gun owners, since they already
have the means to act on their violent impulses.

Regarding the third justification, Ishii writes, “There is no
evidence that the legislature implemented the waiting period laws
in order to give law enforcement the opportunity to investigate
straw purchases.” He also notes that such investigations are
usually not completed within 10 days. In any case, he says,
“applying the full 10-day waiting period to all transactions for
purposes of investigating a straw purchase, in the absence of any
reason to suspect that a straw purchase is in fact occurring, is
too overbroad.” 

Applying “intermediate scrutiny,” Ishii concludes that
California has not demonstrated a “reasonable fit” between a 10-day
waiting period, as applied to current gun owners, and its asserted
goals. To satisfy that test, “the regulation must not be
substantially broader than necessary to achieve the government’s
interest.” Ishii emphasizes that he is not passing judgment on the
constitutionality of the waiting period as applied to people who do
not already own guns, an issue the plaintiffs did not raise.

[via
Eugene Volokh
]

from Hit & Run http://ift.tt/1nzjOnh
via IFTTT

Shikha Dalmia on Why Obama is Leading from Behind on Racial Justice

Racial JusticeBarack Obama’s presidency was supposed to usher
an era of post-racial healing in America. But the racial unrest
following the shooting of Michael Brown shows that, if anything,
the opposite has happened.

The police officer may have been justified in shooting Brown, an
unarmed teenager, six times at close range, notes Reason Foundation
Senior Analyst Shikha Dalmia—or maybe he wasn’t. But communities
can overlook an unjustified killing if it isn’t reflective of a
larger trend—just as they can overreact to a justified killing if
it is.

And there is certainly a trend of black targeting both in
Ferguson and America. Yet President Obama could muster nothing but
the most anodyne statements, showing that the cause of racial
justice might need someone other than a mealy mouthed, black
Democrat who is sweet on Big Government.

View this article.

from Hit & Run http://ift.tt/1tafl1u
via IFTTT

Obama Promises to Fix Vet Problems, Bipartisan Pressure Against Executive Action on ISIL, GOP Makes a Video Game: P.M. Links

  • In North Carolina today,
    promising to “fix what is wrong” with the government’s treatment of
    veterans, President Obama
    announced
    19 policy changes on issues ranging from suicide
    prevention to mortgage applications. Sen. Kay Hagan (D-N.C.), who
    is up for re-election,
    criticized
    the prez, saying, he “has not yet done enough to
    earn the lasting trust of our veterans and implement real and
    permanent reforms at the VA.”
  • “I do not believe that our expanded military operations against
    ISIL are covered under existing authorizations from Congress,” says
    Sen. Tim Kaine (D-Va.). There’s a
    bipartisan push
    to stop executive action in Iraq.
  • Gov. Rick Perry (R-Texas) called the abuse of power charges
    against him unconstitutional and asked the judge to dismiss them.
    In tangential news, Mexico has dismissed as
    “absurd”
    Perry’s claim that Islamic fundamentalists could enter
    the U.S. through Mexico.
  • Florida, Arizona, and Vermont head to the polls today for their

    gubernatorial primaries
    while Oklahoma has a runoff. Ohio
    doesn’t vote today, but Ed FitzGerald’s (D) campaign
    has imploded
    , essentially guaranteeing incumbent John Kasich
    (R) retains his throne.
  • As Ukraine and Russia met today for peace talks, Russian
    regular soldiers were
    discovered and captured
    inside Ukraine. “Wait a minute. This
    isn’t where I parked my tank,” one said with feigned surprise.
  • Israel and Palestine have agreed to a
    long-term ceasefire
    . Are you holding your breath?
  • The National Republican Senatorial Campaign put out an

    arcade-style computer game
    . Your character is an elephant, you
    jump on the heads of “taxers,” and then you wonder if this is
    really the GOP’s best bid to prove that it’s “with it.”

Follow Reason and Reason 24/7 on
Twitter, and like us on Facebook. You
can also get the top stories mailed to you—sign up
here
.

from Hit & Run http://ift.tt/1vMMu1l
via IFTTT

Investor Net Worth Drops To New All Time Low, NYSE Reveals

One can debate whether or not margin debt as reported by the NYSE has any relevance in a world in which the retail investor is long gone, and where the marginal buyer are hedge funds (and primary dealers who use excess reserves as collateral for marginable derivatives and futures) who fund themselves using far more arcane “shadow” repo conduits as we have explained previously, it is indisputable that the leverage statistics disclosed monthly by New York Stock Exchange provide a useful glimpse into how the broader market is obtaining “dry powder” to keep BTFATH.

And while in July margin debt did dip modestly from near all time highs hit back in June when total margin debt was virtually tied with the previous record, at $464 billion, it was that other metric tracked by the NYSE, namely Investor Net Worth, calculated by subtracting margin debt from the notional represented in free credit cash accounts and credit balances in margin accounts, that was the notable highlight in the July report: at a negative $182.1 billion, a decline of $6.3 billion from the prior month, investor Net Worth has never been lower.

This happens to be a deficit which is more than twice as large as the net worth shortfall reached during the last market bubble, which hit ($79) billion, peaking during the quant freakout in the summer of 2007 and subsequently surging to a record high of $184.6 billion in August 2008, as repo desks closed all margin positions with virtually any and every counterparty, leaving everyone in a position of record high “net worth.”

Does this, or anything else, matter in a market that is exclusively centrally-planned by the central banks and various HFT algos? We urge you to direct your questions, rhetorical as they may be, on this topic to either the NY Fed or its oftentime execution trading arm, Citadel.

Source: NYSE




via Zero Hedge http://ift.tt/VMjoCr Tyler Durden

A Third of Obamacare’s Federal Exchange Contracts Are Already Over Budget

Earlier this summer, the Government
Accountability Office reported that, all told,
HealthCare.gov—Obamacare’s federally run insurance exchange
system—has
cost
about $840 million, with more expenses on the way as an
army of tech contractors and the federal government continue to
work slowly toward completion. 

Now, thanks to the Office of the Inspector General (IG) at the
Department of Health and Human Services (HHS), we have some more
detail on the costs and contracts associated with building the key
technological infrastructure for the law. 

According to the
report
, which was released today,the total value of the 60
contracts associated with the build out of HealthCare.gov is about
$1.7 billion, with contract values ranging from as little as
$69,000 all the way up to about $200 million.

Those values could end up higher. In a footnote, the report
explains that these are expected values, and that they could be
more if “modifications” are made to the scope of work in the
contracts. 

Given the state of the federal government’s exchange, and the
delays and cost overruns it has seen so far, it seems likely that
the actual costs will end up being higher. Of the 60 contracts, 20
had already gone over budget by February of this year, according to
the IG report. Seven of those 20 were over budget by at least 100
percent.

The back end of the exchange, which handles critical financial
transactions between the government and the insurance industry, was
supposed to be complete last year, then delayed until January of
this year, then delayed further, and now isn’t expected to be
complete until sometime in 2015. 

from Hit & Run http://ift.tt/1pDEmzJ
via IFTTT

Who Cares If a Baby Has Three Parents?

Mitochrondria transferThe creepily named Human
Fertilisation and Embryology Authority in the United Kingdom is
thinking about approving an in vitro fertilization (IVF) technique
aimed at curing mitochondrial diseases. Mitochondria are tiny
powerplants with their own small geneomes that float by the
hundreds in the cytoplasm of cells. One in 2,500 children are born
with diseases associated with broken mitochondria.

To prevent children from being born with these diseases,
fertility specialists are proposing to
implement two procedures
: (1) maternal spindle transfer and (2)
pro-nuclear transfer. In maternal spindle transfer genes are taken
from nucleus the egg of the prospective mother whose mitochondria
are defective and installed into a donor egg with healthy
mitochondria from which nuclear genes have been removed. The
reconstituted egg is then fertilized. In pro-nuclear transfer
involves taking nuclear material from a fertilized egg before the
nuclei of the sperm and egg have fused and installing it into a
donated enucleated egg.

Treating mitochondrial diseases in embryos actually began in the
United States in 2001 when researchers at a fertility clinic in New
Jersey transfered cytoplasm containing healthy mitochondria from
donor eggs into the eggs of women whose mitochondria were
defective. Before the regulators at the Food and Drug
Administration (FDA) outlawed it, nearly 20 children were born as a
result of the procedure. In this case, healthy donor mitochondria
were mixed with defective maternal mitochondria.

The Independent
reports
that researchers are now checking 17 of the
now-teenaged children to see how they are faring. That’s fine, but
Independent is suggesting that if researchers find something wrong
that would impact the decision to go forward with the similar
technique in Britain. It shouldn’t. From The
Independnent
:

The findings of the follow-up will be keenly scrutinised by
Britain’s fertility watchdog, the Human Fertilisation and
Embryology Authority (HFEA), which is charged with making sure that
a similar technique called mitochondrial donation is safe.

“We do not know of any follow-up of children born as a result of
cytoplasmic transfer but we would certainly want to know the
results of such a follow-up,” said an HFEA spokesman.

As noted, the earlier cytoplasm transfer technique involved
mixing healthy and defective mitochondria; the new procedures do
not. Nevetheless, the results of the follow up study will surely be
of interest to people who want to avail themselves of these
techiques, but the decision to use these IVF techniques to prevent
mitochondrial diseases should be made by the would-be parents.
After all, they are the people who will reap the rewards and bear
the burdens of being parents.

from Hit & Run http://ift.tt/1mOiCwe
via IFTTT

Cops Shoot Suicidal Kansas Teen Sixteen Times

Joseph JenningsAnother body in the “war
zone
” cops operate in.
Via KCTV in Kansas City
:

Ottawa police were called about 7:50 p.m. on Saturday to
Orscheln Farm and Home at 2008 S. Princeton St. on a report of a
person reportedly armed with a gun.

Deputies with the Franklin County Sheriff’s Office also
responded to the call.

When officers arrived, they made contact with the person, later
identified as Joseph Jennings, in the parking lot.

During the encounter, officers with the Ottawa Police Department
and Franklin County Sheriff’s Office were involved in a
shooting.

Jennings was treated at the scene for gunshot wounds and
transported to an Ottawa hospital where he later died.

“Why did it take them shooting him 16 times at least for them to
bring him down and go and take care of what they needed to take
care of?” Jennings’ aunt, Brandy Smith said.

Ottawa Police Chief Dennis Butler said officers did what they
were trained to do.

“They reacted based upon the training that they’ve been given
from the academy,” Butler said. “We were thankful that no officer
was injured from protecting themselves from risk of great bodily
harm.”

Jennings’ aunt insists
the 18-year-old was unarmed but might have made a movement cops
mistook as reaching for a gun. Jennings was suicidal and had just
left the hospital three hours earlier—she says she yelled at police
not to shoot and that they know the teen, who police dealt with the
day before. She says her husband tried to intervene to tackle
Jennings but cops wouldn’t let him.

Cops won’t comment while the Kansas Bureau of Investigation
investigates the shooting. The county attorney reportedly told
Jennings’ aunt they “certainly feel bad for your loss.”

The police chief claims cops were protecting themselves from
bodily harm, a condition under which he says it is legal for police
to use deadly force.

from Hit & Run http://ift.tt/1BZGTZO
via IFTTT

Monks and Martyrs: A Controversial Perspective on Dissent in 21st Century America

Two months ago, I highlighted a powerful video from Warren Pollock in the post: Video of the Day – The Religion of Consumerism. Today, I am highlighting another one of his videos.

While this one is no less interesting, it’s likely to be quite a bit more controversial. He poses questions that philosophers have no doubt pondered from the very first moment human beings came together to organize into centralized political structures.

Namely, what is the responsibility of a citizen in a society in which the majority is ruled by a small minority? By living passively within this system has a citizen de facto given his or her consent to the minority? If so, is that citizen therefore ultimately responsible for the fate of the society as a whole?


Protect your wealth – Buy Gold and Silver Bullion with Goldbroker.com


continue reading

from Liberty Blitzkrieg http://libertyblitzkrieg.com/2014/08/26/monks-and-martyrs-a-controversial-perspective-on-dissent-in-21st-century-america/
via IFTTT