Stockman’s Corner

This is going from the ridiculous to the sublime. After pumping $107.3 billion of freshly manufactured cash into the bond pits yesterday (via two TOMOs and one POMO), the monetary whores of Liberty Street had the red lights on again this AM.

Specifically, Caterpillar lowered its FY EPS range to $10.90 to $11.40, which is now well below the low end of last quarter’s estimate of $12.06 to $13.06. The revised guidance now assumes modestly lower sales in 2019, or in other words a continuation of the dismal trend observed in Q3.          

Our unhinged Keynesian central bankers are now literally strangling the last remnants of honest price discovery in the financial system owing to their moronic belief that ever lower interest rates are the magical key to economic advancement.

We repeat: When you have to bomb a cement plant that was storing weapons for one “ally” (the Pentagon-supported Kurdish YPG/SDF) so that another “ally” (the CIA-funded Arab FSA) doesn’t seize them, and this happens in the context of a sovereign nation that Washington had illegally attacked and occupied for no reason of homeland security whatsoever…why then the jig is up!

By a vote of 354-60 yesterday the U.S. House of Representative proved that Imperial Washington is addicted to war, and that the level of ignorance, bellicosity and mendacity among the people’s representative has reach appalling heights.