Morning 12-18

Most Markets Drifting but GBP down, .5% after dropping 1.53% yesterday as the Threat Of hard Brexit resurfaces.

Random bits of News:

2019 will be the fourth best year ever for global stocks. It only took every central bank conducting QE simultaneously, for the first time since the financial crisis ( Zerohedge)

(Bloomberg) — China’s central bank lowered the rate it charges on shorter-term loans to lenders and injected $29 billion into the financial system before an expected bout of tighter liquidity next month

The Ifo Business Climate Index in Germany rose to 96.3 in December from an upwardly revised 95.1 in the previous month, easily beating market expectations of 95.5. That was the strongest reading since June, boosted by an improvement in companies’ assessment of the current situation, as well as their expectations. Across sectors, sentiment improved among manufacturers and service providers, but deteriorated among traders and constructors.

 Latest Spending  bill,$1.4 trillion , to keep Government open for the upcoming fiscal year likely to be signed by trump next week, Deficits don’t much matter anymore. Part of the new deal repeals some taxes, which will leave a shortfall of $400 B in revenue over the next decade, Sell more bonds!! Via Bloomberg “Tax reductions in he spending bill will cost $426.3 billion over a decade, according to the non-partisan Joint Committee on Taxation. The bill would renew a series of industry-specific expired tax breaks for biodiesel, renewable energy, and alcoholic beverages. The legislation also repeals three taxes funding the Affordable Care Act: a medical device tax, a health insurance fee and an excise tax on high-cost health plans.”

Bitcoin taking it on the chin again From Bloomberg “ A lot of chatter over the catalyst for this systemic and major selling has been associated with a Chinese cryptocurrency scammer allegedly liquidated his stolen horde via over-the-counter markets. The initial sell-off by Plus Token caused a domino effect, causing mass liquidations.As NewsBTC.com’s Yashu Gola reportsPlusToken, a fraud scheme that duped investors of more than $2bn, dumped huge bitcoin stockpiles from its anonymous accounts, according to Chainalysis.”

Fed Ex -7% pre market as they lower outlook for second quarter in a row

Tesla may drop prices 20% in China

Markets:

 No Economic Relapses today, EIA numbers at 9:30, Trump Impeachment vote tonight  is a no event.

Bonds up a touch Bunds down Gold -.3%, palladium .25% oil trading down .5% after bearish API storage numbers showing builds across the board. Nat Gas -1.9% as Christmas Warm up expected.

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