The $1 Billion Armageddon Trade Placed Against the United States

link to article

Germany's place in Eurozone

from STRATFOR.  Key pullout:  

Germany is achieving by stealth what it failed to achieve in the past thousand years of intra-European struggles. In essence, European states are borrowing money (mostly from Germany) in order to purchase imported goods (mostly from Germany) because their own workers cannot compete on price (mostly because of Germany)

There's also a great article describing the current Eurozone crisis & Germany's choices.

Even though they're from 2010, both articles are awesome -- great background and analysis of issues that aren't going away

My last post on the Debt Ceiling

actually, it's not mine, it's Surowiecki's, and as usual, it's a great, short article that lays it all out


"...if Congress really wants to hold down government debt, it already has a way to do so that doesn’t risk economic chaos—namely, the annual budgeting process. The only reason we need to lift the debt ceiling, after all, is to pay for spending that Congress has already authorized. If the debt ceiling isn’t raised, we’ll face an absurd scenario in which Congress will have ordered the President to execute two laws that are flatly at odds with each other. If he obeys the debt ceiling, he cannot spend the money that Congress has told him to spend, which is why most government functions will be shut down. Yet if he spends the money as Congress has authorized him to he’ll end up violating the debt ceiling..."

STUPID

Gold & Dollar

Long Term trend in Gold from Trader Dan from '09 to '11 along with the performance of the dollar the last 8 months.  Jesse's Cafe is still my go-to place for gold, silver, and dollar charts.

UK GDP

from the BBC

"The economy has effectively flat-lined for nine months and this is very bad news for jobs, living standards, business investment and for getting the deficit down."
"Last June, the OBR [Office for Budget Responsibility] predicted GDP would grow by 2.6% in 2011, but even if the economy gets back on track in quarters three and four this year, it will barely reach 1.2%," said IPPR director Nick Pearce.

Home Prices & Inventories

Love businessinsider.com & their "Chart of the Day" services.  Here's a couple from the MoneyGame section.  You can subscribe for email blasts.

This chart plots the year-over-year change in the 20-city composite, and as you can see, the decline accelerated again, hitting the fastest pace since 2009.
(source -- moneygame chart of the day)

Last week, the NAR reported disappointing existing homes sales.  Here's what makes the number particularly ominous:  Housing supply is continuing its sharp "v" pattern, as it shoots towards 10 months.  As long as this is going up, expect more headaches, lower prices, and overall housing market misery. (via Calculated Risk)

(source -- moneygame chart of the day)

Interactive Eurozone Chart

from the economist

Who Holds the Federal Debt

Great interactive chart here.  You should def. go check it out.  I'll be moving away from the debt stuff this week to actual stuff.  Just back from D.C., so haven't posted in a while