Stockman’s Corner

The old Wall Street adage that the market takes an escalator up and an elevator down got a live fire demonstration today. Not only did the 1191 point drop in the Dow set a historic single day point record, but it means that we’ve lost 3,227 Dow points in the last four days. Hence our […]

Baghdad Bob Pisani finally got it right today when he noted that during the previous 10 hours the Dow futures had been on a vertigo-inducing roller-coaster.

Today the yield on the central benchmark security of the entire $90 trillion global bond market, the 10-year US Treasury note, hit an all-time low of just 1.31%.

Let it be said that historians will surely marvel—and at some point soon—about the grand delusion of the present era. Namely, the near universal belief that central bankers could print, peg and palaver the main street economy into unfailing expansion and ever rising prosperity and that there were essentially no macro-risks to soaring stock prices

The level of Fed group-think sophistry, circularity and plain old humbug has gotten so bad that there is nothing left to do other than what the British Navy would have done if the Eccles Building had been there in 1814. Namely, burn it to the ground.

Yesterday we noted that the world’s third richest man, Bernard Arnault with a net worth of $108 billion, owed a modest debt of gratitude to the genius central bankers at the ECB.

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At some point there is no antidote for credulity unhinged, and today we may have approached very close thereto.

During the last 24 hours Barry and the Donald have gotten into a “mine is bigger than yours” squabble with respect to US economic growth.

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