October 25: Daily Contrarian Reads

Slouching Toward Election Day—Hillary’s Election Will  Bring Blame Where It Belongs

I’m more comfortable about Hillary — though I won’t vote for her — because it will be salutary for the ruling establishment to unravel with her in charge of it. That way, the right people will be blamed for the mismanagement of our national affairs. This gang of elites needs to be circulated out of power the hard way, under the burden of their own obvious perfidy, with no one else to point their fingers at. Her election will sharpen awareness of the criminal conduct in our financial practices and the neglect of regulation that marked the eight years of Obama’s appointees at the Department of Justice and the Securities and Exchange Commission.

Bankruptcy Bust: How Zombie Companies Are Killing the Oil Rally

Their owners may be bankrupt, but the sprawling mines of Wyoming’s Powder River Basin are still churning out coal. It is the same story in oil fields along the Gulf Coast and with shale-gas wells in the Rocky Mountains…….Energy investors have long hoped that falling prices would solve themselves by driving producers into bankruptcy and stanching the flood of excess supply. It turns out that while bankruptcy filings are up, they have barely impacted fossil-fuel markets.

Why The Red Suzerains Are Again Scrambling To Stop The Rising Dollar/Falling Yuan

China did what it was supposed to do in accumulating, purportedly, the largest stockpile of forex “reserves” in human history. In fact, the Chinese made that forex the very basis (subscription required) for their internal financial mechanisms with regard to money and market liquidity. And yet, for “some” reason, China was subjected to great strain and even open disorder anyway; forex reserves don’t seem to have quite the effect or give quite the ability economists have expected for nearly the past two decades. Instead, to try and quell outright hysteria in August, and surely starting before it, the PBOC certainly resorted to swaps, forwards and likely an entire array of wholesale re-orientations. For a time, they, like Thailand in early 1997, appeared to work; it was certainly enough to fool economists.

Impoverished by Too Much Money

“It’s over!” Raúl Ilargi Meijer, a regular contributor to David Stockman’s Contra Corner newsletter, explains that the “entire model our societies have been based on for at least as long as we ourselves have lived is over!”…….None of this will come as a surprise for Diary regulars. We know nothing makes people poorer faster than too much “money.”

The Financial Crises of  1987,1997, 2007 And What They Tell Us About What Comes Next

Next year ends in a 7. If you’re superstitious or a little loose with statistics, that makes us due for another financial crisis. The biggest one-day stock drop in Wall Street history happened in 1987. The Asian crisis was in 1997. And the worst global meltdown since the Great Depression got rolling in 2007 with the failure of mortgage lenders Northern Rock in the U.K. and New Century Financial in the U.S….The point is that crackups come fairly regularly. And some of the prerequisites for the next one do seem to be falling into place.

Why “Progressives” Love the New Cold War

The Clinton campaign’s full-scale effort to turn this election into a referendum on Vladimir Putin is causing liberals like Katrina vanden Heuvel, editor of The Nation, and Glenn Greenwald, the energizing force behind The Intercept, much heartburn…… Clinton has likened Putin to Hitler – and hasn’t that always been the prologue to a regime change operation by the United States? Remember that Saddam Hussein was supposed to be the Iraqi incarnation of Hitler. Yugoslav President Slobodan Milosevic was also another “Hitler.” If we go back far enough, we can recall how George Herbert Walker Bush said that Manuel Noriega was “worse than Hitler.”

Why $50 Oil Will Vanish Soon: The OPEC Cartel Can’t Get It Done

Finally, for all the confused oil bulls (and algos), here is an attempt at laying out the odds of an OPEC production cut from the perspective of 4 key producers…..Still think an OPEC production cut deal is imminent? Then we have a bridges in Saudi Arabia for sale to the highest bidder.

Hillary Clinton At Work: The Brutal Murder Of Gaddafi And The Destruction of Libya

The classified emails prove beyond any doubt that what took place in Libya was a monstrous crime for which those responsible have yet to be held accountable….. Of the two, it is Clinton who was filmed clapping her hands and laughing at the news of Muammar Gaddafi’s murder in 2011. It is Clinton who pressed for the military intervention that ended in Libya’s destruction. And it is Hillary Clinton who has the gall to present herself as a moral giant in comparison to her rival for the US presidency.

The Washington War Party Is Salivating For A Clinton Victory

The propaganda campaign is driven by a consensus among the major think tanks of Official Washington, where there is near universal support for Hillary Clinton, not because they all particularly like her, but because she has signaled a return to neocon/liberal-hawk strategies.s Greg Jaffe wrote for the neocon-dominated Washington Post on Friday, “In the rarefied world of the Washington foreign policy establishment, President Obama’s departure from the White House — and the possible return of a more conventional and hawkish Hillary Clinton — is being met with quiet relief.

Wikipedia  Founder: Why Edward Snowden Is A Hero And Should Be Pardoned

The many positive developments catalyzed by Snowden can’t fully undo the harm that mass surveillance has done to people’s creativity and free exchange of ideas. We know there has been a chilling effect…..That said, a brave young American whistleblower has given us the most important tool in our fight to reclaim the Internet: knowledge…For his act of conscience, he deserves our overwhelming appreciation.