Mad news is bad news

The Shanghai and all other Chinese indexes got down to 3042 in their morning session during our night. Then of course in the afternoon, they all shot up again. The robotic nature of this nonsense reminds me of the gold tracker market in 2006-9, when China would buy tonnes overnight, and then America would sell tonnes the following morning. But ooooh noooo said the ‘experts’ at the time – the market isn’t manipulated.

Anyway, the pavanne continues – but be careful to get your hay under cover before it the new Noah starts thinking of building an Ark. UK futures are off 0.5%. Barclays is negotiating (aka pleading whinily) to get out of Brazil as fast as it can – see last night’s Slogpost. I wouldn’t mind betting that the next sick kid on that block proves to be Mexico.

Two months ago, Mexico hoped for whopping incomes from an offshore oil-rights auction. But things being as they are in this total global slump recovering global economy of ours, the world glut of oil doesn’t need any more black stuff pouring into the already overflowing can. The Mexicans sold just 2 out of the 14 fields on offer.

Juan Carlos Zepeda, head of the country’s National Hydrocarbons Commission – and thus bossing this Mission Impossible – is going to have another go in two days time.The prices are going to be lower, and Senor Zepeda expects more bidders. Then in December he’s going to try and flog off the onshore fields.

Zepeda avers, “It’s more challenging, it’s a bit more painful, but in the end, it will make the industry stronger.” I wish him luck, because he’s going to need ‘it’. I’m just unclear about what the ‘it’ is. Excuse my incorrectness here, but based on his surname, I sort of expect the bloke to have a mile-wide moustache, large hat and be covered in ammo belts. ZepedaMex

Sad to relate, in this sense he’s a bit of a disappointment. He doesn’t look as if he’s about to wave a six-shooter around and say “Hey Greeengo, buy my oilfields or tomorrow dey gonna be eatin’ you down in the canteeena….”

The long-term ‘big prize’ for Mexico is selling off the deep fields where risks are greater but returns potentially enormous. I think given the nature of the world and energy now, that’s going to be a very long long term indeed. And I’m wondering how Mexico will survive while it waits. The country’s futures look very sick, and the pesos sicker still. There’s a sense of death’s door about it; and as George Carlin once remarked, “If yer think bein’ sick is awful, trust me on this one – bein’ dead really sucks”.

As and if Yellen does something silly about rates, South America is going to be a gigantic basket case. I continue through family connection to be well informed on how the glitz bricks sector is taking tons of money from the risky brics….but just when you thought gold was also starting to look as if it might revert to fundamentals too, this happened in the last hour:

goldsilverdump28915I included silver to show you the astonishingly twinned and no doubt purely coincidental slump in the prices during the same minute.

Gold has risen $40 in the last fortnight. Somebody has clearly decided that sort of thing could start a gold rush, and we don’t want that oh dear me no we don’t, ‘cos we got trouble right here in Reserve City, with a capital T and that rhymes with G and it stands for GOLD.

It’s a strange world, but I leave you for the moment with news that London Mayor Boris Johnson “has an answer to the obesity crisis” in Britain. And in an unrelated news item, Yasser Arafat has discovered the secret of eternal life.


Recently at The Slog: It’s a mad, mad, mad, mad, mad, mad, mad, mad modelm


  1. Boris is correct in a way, about sports fields. Here in Germany competitive sport is worshipped. No wonder they win World Cups and Gold this and that. What he’s wrong about is the incorrect side of the calorie equation. Calories in = calories out is not entirely the case. “Calories out” is okay but if the “calories in” are crap then noone is going to want to move.

    There are three things to get rid of to lose weight:

    1. Sugar.
    2. Sugar.
    3. refer to 1 and 2 above.

    I am passionate about this one as I have lost 11kg through cutting sugar and wheat down. Never even tried to diet, that’s for “wimmin”. it just melted off. As someone whose mother died of complications from diabetes/leukemia I think I found the magic healing elixir. it was inside my body all along.


  2. The junior gold share ETF looking very interesting here. Down 90 per cent from its peak. Gold mining picking up in Aus and Canada where their dollars have plumetted. With the lower oil prices now quite profitable again.


  3. ‘total global slump’ which is described with the words ‘recovery’ by politicians and bankers give an insight into their lexicon.


  4. ‘Noah starts thinking of building an Ark?
    In the year 2015, the Lord came unto Noah, who was now living in England and said, “Once again, the earth has become wicked and over-populated, and I see the end of all flesh before me.
    Build another Ark and save 2 of every living thing along with a few good humans.” He gave Noah the CAD drawings, saying, “You have 6 months to build the Ark before I will start the unending rain for 40 days and 40 nights.
    Six months later, the Lord looked down and saw Noah weeping in his yard – but no Ark.
    “Noah!” He roared, “I’m about to start the rain! Where is the Ark?”
    “Forgive me, Lord,” begged Noah, “but things have changed. I needed Building Regulations Approval.
    I’ve been arguing with the Fire Brigade about the need for a sprinkler system.
    My neighbours claim that I should have obtained planning permission for building the Ark in my garden because it is development of the site even though in my view it is a temporary structure.
    We had to go to appeal to the Secretary of State for a decision. Then the Department of Transport demanded a bond be posted for the future costs of moving power lines and other overhead obstructions, to clear the passage for the Ark’s move to the sea. I told them that the sea would be coming to us, but they would hear nothing of it.
    Getting the wood was another problem. All the decent trees have Tree Preservation Orders on them and we live in a Site of Special Scientific Interest set up in order to protect the spotted owl. I tried to convince the environmentalists that I needed the wood to save the owls – but no go!
    When I started gathering the animals, the RSPCA sued me. They insisted that I was confining wild animals against their will. They argued the accommodation was too restrictive, and it was cruel and inhumane to put so many animals in a confined space.
    Then the County Council, the Environment Agency and the Rivers Authority ruled that I couldn’t build the Ark until they’d conducted an environmental impact study on your proposed flood. I’m still trying to resolve a complaint with the Equal Opportunities Commission on how many BMEs I’m supposed to hire for my building team.
    The trades unions say I can’t use my sons. They insist I have to hire only CSCS accredited workers with Ark-building experience. To make matters worse, Customs and Excise seized all my assets, claiming I’m trying to leave the country illegally with endangered species.
    So, forgive me, Lord, but it would take at least 10 years for me to finish this Ark.”
    Suddenly the skies cleared, the sun began to shine, and a rainbow stretched across the sky. Noah looked up in wonder and asked, “You mean you’re not going to destroy the world?”
    “No,” said the Lord. “The British Government are already in the process of doing it.”


  5. +100 – in the 70’s TPTB decided that we should all eat low fat (what they don’t tell is that low fat usually = high sugar), hence today’s problems. I recently bought a WeightWatchers ready meal, and after watching Jamie’s ‘Sugar Rush’, weighed out how much sugar was in it. 7.5 teaspoons!! And in a WeightWatcher’s individual serving of yoghurt (about the same volume as a cup of tea), 3.5 teaspoons. I wouldn’t dream of putting that much sugar in anything other than baking a cake. And that’s supposedly a ‘healthy option’ meal.


  6. Ahh yes the stately pavane ( one ” n” ) . Not to be confused with the vulgar Tango Martinez or indeed
    Padam ( village in India or Edith Piaf standard take your pick)

    Then there is the ” Mexican Accountant” to whom someone like John Wayne would have said
    in one if his films ( possibky The Alamo ) ” Are you a Mexi- CAN or a Mexi-CANT ?!”

    We shall see.


  7. Can we also throw Alan Rusbridger in there too as he even gives the git a platform to write in.

    Never ever did I dream I’d end up hating the Guardian


  8. Yes JW, things are not feeling or looking good in the markets. Most likely Gold and Silver are being toyed with by day traders to earn enough margin to pay the basics. Yields in most sectors are awful, and we are now being threatened with a cashless society, negative interest rates , deflation and all the other tax you til the pips squeak nonsense. There is – imho- only one way to protect one’s wealth – forget pm’s, it’s been trashed already. I would buy a couple or three acres @ up to £K15/acre – but choose carefully – water and roadside situation. Get down and dirty and grow the vegetables to sell at the farm gate/ shops / market. A lot cheaper to set up than fish and chips – the classic cash business. (8 people out of 100 won’t have what it takes, but success is surely as good as it gets. Invest in a highly profitable cash/barter business. I’d take a bottle of whisky for 20 cauliflowers anyday of the week. Are you getting my drift?


  9. @ Gurney
    ‘…..a thick jumper or 2 or some firewood might be another alternative…’
    That should protect your portfolio nicely fella. Is this smartass or just ignorant? A bag of carrots would keep you happy anyday.


  10. @ Jeremy and Miss A .Spot on ,a good read is Escape the Diet Trap by Dr J Briffa ,concurs with your views about sugar cos sugar and starch cause the body to produce insulin which in turn switches the hungry switch to on
    Programme about weight watchers on the TV a while back.CEO said it was a brill business model because the failure rate was so high ,people kept on returning only to fail again.Kerrching.


  11. Pure, White And Deadly: How sugar is killing us and what we can do to stop it.
    By John Yudkin.
    Written about 30 years ago now, and ridiculed by the USFDA and all those who had a financial interest in the sugar industry.
    Unfortunately for them, it’s all proved true, not that that has any effect, because the sugar industry lobby is extremely powerful.


  12. According to Robert Lustig, Yudkin lost his Professorship over that book and it was suppressed. I have a copy. Even better is “Sugar Blues”.


  13. Hmmmm…interesting. I bought and read the John Yudkin book, back in The UK, many years ago. I was impressed with it. The sugar industry has long tried to put the blame on fats (any, and all fats) to deflect scrutiny of the extremely harmful effects of refined sugar. I didn’t know he had lost his tenure over it, though. There was a British guy, in the 19th century, Dr Thomas Allinson (a Doctor of Medicine), who advocated whole grain bread and fibre (fiber), to prevent diverticular disease of the colon. The orthodoxy of the time advocated a low fibre diet, and he was struck off the medical register, for his views. He then set up his own company producing whole grain flours…which is still in business today ! As it turned out, he was quite right, Current nutritional advice is to consume whole grains ! It seems you risk a lot if you dare to stick your head above the parapet of established dogma…even if YOU are right


  14. @Jeremy Stocks

    It took a while, but I now view almost every Guardian article as some sort of gatekeeper ploy. Reading their reporting of Syria, Ukraine and Corbyn has pushed me over the edge and if it wasn’t for Seumus Milne and the occasional Monbiot piece, I would have abandoned the Graun a couple of years ago.

    I agree that Rusbridger bears considerable responsibility for whitewashing the crimes of the Bliarites and I am staggered that he still gives Slick Tone a platform..


  15. Oh sad bugger that I am I even remember the Tom Allinson advert “Bread wi’ nowt tekken out”!

    Many years ago I bought an unglamorous cookbook “Nourishing Traditions” by Sally Fallon which promised to challenge “Politically Correct” diet information. Following my discovery of the Paleo Diet (a nightmare for a family cook) I dug the book out again, with better knowledge of what “Political correctness” is – cultural marxism which is downright evil.

    I still cook with wheat but I use organic whole wheat grains which I grind in my small mill and use direct fresh with all the extra bits still in. The kids eat their baked stuff now with a regular “I’m full!” which means it is working.

    I have recently discovered that my body is perfectly able to heal itself on its own given the chance. Raging sugar in the blood left me out of control all the time.

    I’m exploring Qi Gong, yoga asanas and other stuff now which for a bloke who used to come down at midnight after his mum died and east a glass of milk and eat five Twix (having had to stop drinking beer by the crate), is quite a change….

    “Yes there are two paths you can do down but in the long run there’s still time to change the road you’re on” Stairway to Heaven” Robert Plant/Led Zeppelin.


  16. Same cut sugar and carbohydrates replaced with fats and protein it has also stayed off-amazing.Do you think we are being told a few porkies about carbs?


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s