Resistance to Tyranny

Is The Everything Bubble Ready to Pop?

"It wasn’t always this way. We never used to get a giant, speculative bubble every 7–8 years. We really didn’t. In 2000, we had the dot-com bubble. In 2007, we had the housing bubble. In 2017, we have the everything bubble. I did not coin the term 'the everything bubble.' I do not know who did. Apologies (and much respect) to the person I stole it from. Why do we call it the everything bubble? Well, there is a bubble in a bunch of asset classes simultaneously. And the infographic below that my colleagues at Mauldin Economics created paints the picture best. I don’t usually predict downturns, but this time I bet my reputation that a downturn is coming. And soon."

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U.S. household stock wealth at highest level since dotcom bubble

"Currently, according to Ned Davis Research, stocks represent 40% of total household financial assets, much higher than the 28.2% average allocation since 1951. There’s been only one other occasion since 1951 in which stock allocation was higher than it is today — at the top of the late 1990s internet bubble, when it rose to 47.5%. Every other major stock market top of the last seven decades, in contrast, occurred when households’ equity allocation was lower than today’s level. At the 2007 stock market top, for example, the allocation peaked at 37.1%."

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Stock Market’s New Threat Is Record Margin Debt

"In the U.S., margin debt is at more than three times the level recorded before the 2008 financial crisis began, and is even greater than its peak in 2000 before the dotcom crash, according to research released last week from the Bank for International Settlements (BIS), the Journal indicates."

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Japanese debt-slavery: more dropping dead from overwork

"Japanese employees work significantly longer hours than their counterparts in the US, Britain and other developed countries. Japan’s employees used, on average, only 8.8 days of their annual leave in 2015, less than half their allowance, according to the health ministry. That compares with 100% in Hong Kong and 78% in Singapore."

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Spain suspends Catalan parliament, threatens ‘greater harm’

"The Madrid government has refused to rule out invoking article 155 of the constitution. The article, which has never been used, makes provision for the central government to step in and take control of an autonomous region if it 'does not fulfil the obligations imposed upon it by the constitution or other laws, or acts in a way that is seriously prejudicial to the general interest of Spain'."

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A.T.F. Spent Millions Unchecked From Cigarette Smuggling Slush Fund

"Thousands of pages of newly unsealed records reveal a widespread scheme — a highly unorthodox merger of an undercover law enforcement operation and a legitimate business. What began as a way to catch black-market cigarette dealers quickly transformed into a nearly untraceable A.T.F. slush fund that agents from around the country could tap."

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DEA Agents Sold Opioids, Stole Cash, and Falsely Identified Drug Suspects

"DEA operatives face federal corruption and conspiracy charges after allegedly engaging in all sorts of shady behavior, from selling drugs themselves to lying under oath, falsifying records, falsely identifying drug suspects, accepting bribes, and stealing cash and other property from the people they arrested. In at least one instance, their behavior led to someone being wrongly imprisoned for more than two years."

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