LONG Monday! I should have gone to be earlier but was following the news......
US Navy Seals Retire Osama Bin Laden
By now I am sure all know what happened last night. I congratulate the US Navy Seals, the intelligence community, and President Obama for making this happen. This kind of operation is very dangerous, but I think 1000X times more scary for US enemies than some random missile shot from a drone. There are issues that concern me, but that's for another time.
The First Busted Bubble Everyone is Sure Of
I never thought I would witness it, but the destruction of the "silver bubble" may well be the first one that everyone and their brother is sure of in real time. I actually have a ton of thoughts on this but I am pressed for time and so must be brief.
-Margin requirement hikes keep coming, and another occurred this afternoon. Many think this is normal for a volatile commodity, but is it really? I don't have all the information in front of me but 4 hikes in a 5 day span seems high. If every commodity that has been up is done this way then fine.
-Who would want to sell a huge position at the least liquid time in the market to guarantee a huge drop? This question begs for an answer. Anyone have one? Either a big position got very scared and sold at any price, a forced liquidation (how, was silver down that much Friday?), or "other" which will always get plenty of ink and attention. My best idea is that a monster levered player got liquidated, I want to know who so I don't have to bail them out!
-Unless silver was THE ONLY vehicle for hot money, I think market players would be wise to note what is going on. If hot money flows are that nervous, silver may be the first of many things to get firebombed soon. Could be the canary in the coal mine for the "reflation" trade. It is hard for me to see the S&P going ever higher if momentum spots are being closed out. Unless silver is the only irrational bubble in the markets right now.
As is this bears watching for many reasons.
Due to strong demand, I cropped the barracuda pictures so I can post a couple here.
I want to be up front; THERE WILL BE NO PICTURES of Economic Disconnect performing "Have You Ever Seen the Rain" in Karaoke nor any pics of me dancing to "Poker Face". There is a technique in The Force that allows a user to flash blind all cameras in the area to avoid pictures being taken. I used it!
Anyways, here is the big barracuda my wife caught and reeled in (15 minute fight!). The thing about this fish was how very wide it was. The Captain was very excited (click for larger view):
Here are some of the teeth from these things:
Nasty. Almost Honey Badger like.
Have a good night.