Fookie Putting in a Hell of a Base

http://www.barrons.com/quote/stock/hk/xhkg/1929/interactive-chart

...price trading above a rising 50 DMA

Happy Talk-LOL

http://www.investing.com/analysis/traders-want-anything-but-currencies-200140297

...I thought only The Donald used the word terrifying.

7/6/16 Price Inflation Index...+63*

* any positive value favors SLV over TLT. This is a secular measure which last turned positive in fall of 2010.

7/6/16 Grounding Indexes... +124+10/+35+0*

*both are negative for global equity inflation and global price inflation, however between the two SLV beats out SPY.

Bulls Need To Work This Last 90 minutes.

...if they can maintain these levels the day will finish risk on from the closing bells in Europe. This will set up Japan and then Europe.

Added another 1% XIV, and get this...sold 10% of UUP and bought FXB making it equal weight with FXA.

To get silver moving on a fundamental basis rather than bubbling, FXY must come down and FXA go up.

So Why Aren't Bush/Blair War Crime Cell Mates?

http://www.bbc.com/news/uk-politics-36712735

...beats me.

Adding TLT to Hole #5.

TLT was pushed out of hole #2 by GLD/SLV, but given the buy it signaled yesterday I've decided to share hole #5, which was reserved exclusively for cash.

What this means is that one minute after opening this morning the GA will be at 100% sail with cash making up 8% and other assets 92%.

This should make the owners of the GA very happy knowing their ship is moving as fast as the winds can carry it.

Seems like years ago (actually only a month) that the GA was setting sail for England of all places--LOL.

Those Silver Loving Commies.

http://www.theepochtimes.com/n3/2107610-after-bitcoin-chinese-go-crazy-about-silver/

...if anyone knows how to bubble an asset it's those gambling Chinese.

Holes Filled Up Perfectly Today!

Hole #1 @ 100% capacity holding 2:1 FXY:UUP (30%)

Hole #2 @ 100% capacity holding 2:1 SLV:GLD (30%)

Hole #3 @ 45% long capacity holding EWS/SPY, and IWM* (30%)

Hole #4 @ 50% long capacity holding VXX. (2%)

Hole #5 MM default with a minimum holding of 8%.

* net long capacity could be reduced down to 22% tomorrow if EFA short (EFZ) is purchased.

7/5/16 Price Inflation Index +38+25

7/5/16 Grounding Indexes +114+12/+35+2

La Nina is Here!

http://southeastagnet.com/2016/07/05/la-nina-is-suddenly-here/

...again the pattern is to start in the south and work it's way up towards Canada.

Creeping Drought Begins.

http://droughtmonitor.unl.edu/Home/TabularStatistics.aspx

...for the continuous USA it's dryer this week than last, and dryer than one year ago.

Both the Pound and Aussie are in risk-off mode today with the pound suffering more than AU.

What this means is that both equity inflation and price inflation are lower, read deflation, but that price inflation is a better relative performer. Best to own SLV vs. SPY.

...let me say the GA is very happy holding 2/1 Yen/UUP today.

Daily Price Inflation Index +13.

Along with the soundings I'll also post the daily price inflation index, which on 7/1/16 turned positive for the first time in four years!

Got to Live Up to My Name.

The #2 hole of the GA (30%) maximum is designed to hold one of four types of cargo: SLV, GLD, TLT, or TFB. Currently the hole is comprised of 1:1.5 TLT/SLV, but will be changed in composition July 5th, to 1:2 GLD/SLV.

As global growth remains positive this ratio will not change, but when it turns negative then the ratio flips 2:1 SLV/GLD.

Silver loves inflation + growth while gold loves inflation + recession or stagflation.

Even though there is no sign of a slowdown GLD will be carried as an insurance policy against it happening...in moving into gold from silver and back again I'm living up to my handle.

The minimum PM the hold will carry is 10% of the 30% maximum so long as the long term inflationary trend holds. Short-term trades can move as much as 67% of the hole (20% of port) into cash.

4th July Sending SLV Up with a Bang.

Global markets have SLV up 5% with US markets closed and another shot at boosting the metal Tues. morning. There was a huge spike in the tarnishing stuff at the Chinese open.

July 5th Setting Up as a Huge Purchase Day.

Filling out the silver allocation, adding to EWS, SPY, and picking up IWM.

Also likely to be adding another 1% to XIV.

Estimated that the ships holds will be 80% full by the close.

Still Leading Cat.

Crescat reported 5/31/16 YTD numbers with their flagship Global Macro Hedge fund up 1.6%. For the same date GA was up 3.36%.

http://seekingalpha.com/article/3985864-crescat-capital-q216-investor-letter-china-qe-dwarfs-japan-eu?page=2

...they are still on the China bear side, while I'm now a China bull.

Yep, record high for the zeros.

Match Race.....Week #26

GA up .13% for the week as silver buying was initiated. For the YTD +4.30%.

ASAIX lost a bit of ground -.41% standing at -2.66% YTD. QGMIX had another great week up +1.04% now at -2.71% YTD.

7/1/16 Grounding Indexes +103+3/+33-2

Intra-day Rock Report...and Implications.

The global equities market rocks will undoubtedly close higher exceeding yesterdays peak of +96 (equity deflation). This bodes poorly for global equity advances.

The real story is the second rock number which will close below +35 and off the peak of +36 made three days ago.

This number is the price deflation of real assets. As it moves lower price inflation is the order of the day, and THE best price inflation asset is SLV.

Time to fire up the barbie.

Silver and Commodities Starting to Scare TLT?

...TLT loves lower growth, but hate higher inflation. With the run up in commodities and especially silver will the long bond holders give up and run into the 'poor man's gold' as they did in the fall of 2010.

Stay tuned.

PS Can't imagine anything worst than being short SLV this week.

Sails are Dropping as Fast as the Deckhand Can Move.

Picked up 5% more TLT

Moved 2% FXY to FXA

Picked up 2% More SLV.

Picked up 3% EWS...Go China!

Picking up 3% SPY @ Opening.

Silver Purchases to Continue...Provided

The deflationary set of rocks, currently at +35, either holds constant or decreases. If the number does fall it will draw money out of the yen and into the aussie.

Speaking of the aussie, AU is holding a PM election on Sat. so a pop or plunge is likely Mon-Tues. currently the race is 50/50 which means the market will be surprised no matter who wins.

Commodities Love La Nina!

https://www.washingtonpost.com/news/capital-weather-gang/wp/2016/06/30/july-outlook-as-la-nina-builds-the-temperatures-in-d-c-could-soar/

...yep, what I've been talking about is here. National weather patterns for July show above normal temps over the entire US with rainfall deficiency especially is south. Growing cotton is going to be difficult. Nice to see that Nebraska is projected to be wet.

This is the way she creeps up the nation with drought, starting south and then over a year or so working her brown fingers up to Canada.

Is Commodity Financialization Dead Ahead?

http://www.marketwatch.com/story/commodities-are-crushing-it-in-2016-heres-why-2016-06-30

...the last time the world experienced lasting commodity financializtion was during the 2003-2008 period lasting five years, with oil bubbling to a peak of $150 barrel.

If 2016 = 2003 and will run until 2021 I certainly don't want to miss out on that.

All About Geography.

Aristotle though the earth was round and hotter moving to the equator.

Da Vinci thought the earth much older than calculated by Genesis, paving the way for Darwin.

Franklin determined the worlds weather patterns and ocean currents.

Einstein mapped out the universe and its orgin.

THE four greatest geniuses ever born produced all had a hand in making the world and universe understandable.

Silver Now at 5.5% with Max. 30%.

6/30/16 Grounding Index +96+2/+35-1*

Price deflation rocks +35 getting smaller favoring silver.

Link might be bad, please try again.

Your Forgetting the BDI/Fookie.

...scs does a good share of business in the UK. Globally China much more important.

Rearranging and Adding to the Holes.

Currencies now stand at 65% FXY / 33% UUP 2% FXA

SLV will likely be at 3+% at the close also adding TLT by a like amount.

PSQ and EFZ are still holds, but barely.

XIV is now at 1%, with a possible 4% max.

Balance is MM.

BDI Pointing North.

http://stockcharts.com/c-sc/sc?s=%24BDI&p=D&yr=3&mn=0&dy=0&i=t22888294726&r=1467283677580

...interesting pattern of lower highs, and lower lows for last three years. On an up tick now breaking above both 50/200.