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Monthly Archives: September 2017

Prime Minister of Barbuda/Antigua After Irma: ‘Unprecedented’ Destruction, Island ‘Barely Habitable’

In what is being described as a ‘storm for the ages’, or Donald Trump’s grande distraction, Hurricane Irma burnt through the island of Barbuda today, leveling most of the country. According to its Prime Minister, 95% of the buildings in the country have been damaged or destroyed. The damage was so extensive and ‘unprecedented’, he said the island is now ‘barely habitable.’

“Barbuda is literally rubble,” Prime Minister Gaston Browne of Antigua and Barbuda told an interviewer with ABS TV/Radio Antigua.

“The entire housing stock was damaged,” Browne said after visiting the island. “It is just a total devastation.”

Irma is still sustaining winds at 185mph for 33 hours straight, a new record.

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Reminder: Experts Have Been Warning Us About Global Warming Since the 1930s

I will not pretend to be a scientist in this blog, or even claim to know the very first thing about global warming or lack thereof. I am more interested in human narratives, how they are woven, and the basis from which they were formed. Just like in stocks, when listening to an analyst, I like to know the historical performance of his/her previous picks.

Now that we have a very active hurricane season again, all of the self-made climatologists are out shilling for their global agendas. It’s all very convenient, reminiscent of sudden calls for gun control following a mass murder.

Doing a cursory search of the NY Times archives, I found several articles warning Americans of the perils of global warming, several dating back to the early 1930s.

In the article below, dated May 15th, 1932, the NY Times cites scientific research that said the center of Greenland was ~9,000 ft thick and the edges ~4,000.


Today, according to a report out by experts…

…1,000m or 3,200 ft around the edges and 2,500m at the center or 8,200ft, roughly a 10% reduction from 75 years ago. Bear in mind, the instruments used to measure the thickness of the ice was rudimentary at best, back in 1932, so there must be some margin for error. Having said that, given the frantic panic, this is hardly a rate of change worthy of panic.

Here are some other articles from yesteryear.

Circa 1933, NY Times

Lastly, back in 1984, there were some skeptics — those who called out the global warming panickers of the 1960s and instead claimed that that ice sheets were instead getting ticker.

EXPERTS QUESTION SEA-RISE THEORY

Specialists in polar ice caps have expressed doubts about a rise in sea level that has been predicted as a consequence of the expected warming of world climates.

Some experts, in fact, now suspect that the sea level may fall.

Two reports on probable climate change were issued last October, one by the National Academy of Sciences and the other by the Environmental Protection Agency. Both suggested there would be substantial rises in worldwide sea levels if, as suspected, there was a rise of several degrees in global temperatures.

Such a rise would be caused by the effects of carbon dioxide delivered to the atmosphere by steadily increasing combustion of fuels. That gas absorbs infrared heat radiation from the earth instead of allowing it to escape into space, acting somewhat like the glass in a greenhouse.

Scientists at the environmental agency suggested that heating of polar latitudes would melt enough ice to raise sea levels four to seven feet by the year 2100. The academy report said a less radical rise of two feet was ”likely” in the next century, but added, ”More rapid rates could occur subsequently if the West Antarctic ice sheet should begin to disintegrate.” Forecasts Are Challenged

These predictions were challenged last week at the latest in a series of seminars on global habitability being held at Columbia University. It brought together Government and academic specialists to discuss the future of the Antarctic ice sheet.

In the past there have been far more ominous predictions regarding that ice sheet than those suggested in last October’s reports. In 1964 it was proposed that virtually the entire ice cap at the bottom of the world sometimes slips into the sea, raising global sea levels more than 200 feet, enough to flood many coastal lands and cities.

Such dramatic predictions fell out of fashion, and attention focused on the ice covering West Antarctica, that part of the continent south of the Americas. As pointed out at the Columbia seminar by Dr. George H. Denton of the University of Maine, an authority on the ice of West Antarctica, much of it rests on land thousands of feet below sea level.

Because such ice readily breaks off into icebergs it is thought to be more vulnerable to discharge than continental ice. Since it is a mile or more thick, its entry into the oceans would raise sea levels several feet.

It has been widely assumed that, between the last two ice ages, some 125,000 years ago, the climate was hotter than it is now and sea levels were 10 or 20 feet higher. Coral reefs formed in that period on some oceanic islands suggest such a high stand of the sea. These two lines of evidence were taken to mean that the West Antarctic ice dispersed into the oceans in that period. Past Assumptions Are Questioned

New evidence, however, questions both arguments, Dr. Denton said. While sea floor sediment in the North Atlantic suggests it was unusually warm there, it is beginning to appear the climate of the Southern Hemisphere was much like that of today. The coral reefs may be high, he added, not because the oceans were high but because the islands have risen.

Likewise the response to greater warmth is difficult to predict, Dr. Denton said. More moisture may be carried to the Antarctic hinterland, increasing snowfall there and the Antarctic ice ”may even expand,” he said.

The Antarctica’s interior is so high and cold there is virtually no melting and some scientists believe there would not be much, even if the climate warms. The critical area is along the coasts, where ice discharges as icebergs.

As pointed out by Dr. Arnold Gordon of Columbia’s Lamont-Doherty Geological Observatory, the behavior of the ocean along the coast may be a controlling influence. A change in oceanic circulation in response to warming of the atmosphere could, for example, alter the extent to which deep water wells upward along the rim of Antarctica and beneath its coastal ice shelves.

The two shelves through which most West Antarctic ice reaches the sea are considered keys to the fate of that region’s ice cover. They are the Ross Ice Shelf on the Pacific side and the Filchner and Ronne ice shelves facing the Weddell Sea on the Atlantic side. Each shelf is fed by broad ice streams flowing from the hinterland.

The shelves are thought to hold back the flow of ice and there has therefore been concern that they might be unstable. As stated by Dr. Robert H. Thomas, manager of the polar oceans program of the National Aeronautics and Space Administration, the conclusion seems ”unambiguous” that, if the shelves go to sea, the ice of West Antarctica ”will collapse.”

The seaward edge of the shelves breaks off into icebergs. Should this process accelerate, specialists believe it could drain much of the ice from West Antarctica in a matter of centuries. Hence, in the last few years, there have been extensive studies of the ice cover.

Dr. Ian M. Whillans of the Institute of Polar Studies at Ohio State University said these studies had revealed no ”dramatic” changes either in West Antarctica or on the Ross Ice Shelf. He cited various ”catastrophic hypothesis” regarding that ice and added, ”Perhaps we should also consider the possibility that it is stable.”

There appeared to be a consensus that too little was known about the factors controlling growth and shrinkage of the ice sheet to predict its response to warming. ”The more ingredients you put into a cake,” said Dr. Thomas, ”the more ambiguous it gets.”

I wonder what experts will be writing about 75 years hence.

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A Really Bad Analyst From Baird Just Said $AMZN Might Buy $KSS

I’ll tell you what. If AMZN actually buys the biggest piece of shit in the strip mall, KSS, I will reveal my identity from inside the fucking vortex of Hurricane Irma. I will fly down to Miami, tie myself to a strong tree, and give you shit-heads the play by play, whilst holding an American flag.

On this analyst note, shares of KSS jumped by 5%. This is a good example of an analyst being irresponsible beyond belief.

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Traders Who Profit Off Natural Disasters Are Evil

On the news of Hurricane Irma shattering an old record for sustaining winds of 185mph, I bought some PGTI — because people will need them HURRICANE RESISTANT windows in the not-too-distant future. In the event a miracle happens and Florida isn’t shredded down to the sewer pipes, I bought an insurance outfit, UVE, in order to profit from the lack of destruction post Irma.

If the ‘Cane should swing left and barrel down the Gulf of Mexico sideways, I suspect the oil industry will enter a period of extreme crisis — which is why I am long OAS.

My final two ways to profit off of Hurricane Irma is to be long FIZZ — because people will become parched after running for cover. I suspect they’re cleaning out their local grocery stores right now, as we speak, to buy out all of the La Croix inventory. Am I right?

Lastly, some estimates suggest that the damages inflicted upon Florida could amount to a clownish figure of $300 billion. If you paired that number with the ~$200 billion inflicted by Harvey, I imagine our banking sector might become impaired, at least for a short while. To hedge the downside, I am long FAZ.

These are all my new discretionary trading ideas. My quantitative strategies are all jogging on fine, comporting themselves with both dignity and honor.

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Latest Settlement Boosts Madoff Victims Payout to 72 Cents on the Dollar

For all the drama, the Madoff fiasco, helped by unprecedented clawbacks, has resulted in victims of Bernie being reimbursed for 72 cents on the dollar of principal invested. Some of you have lost more than 28 cents on the dollar during the past month.

The latest settlement was with the Irish Investment Fund, who was accused of helping ‘open up the floodgates’ for European cash to invest with evil Bernie. They settled out of court for $687 million — the largest settlement in 6 years.

Thanks to the tremendous work of Picard, to date, $12.7b of $17.5b of principal has been recovered.

The deal “is the latest in a series of highly successful negotiations and mediations,” Oren Warshavsky, one said Picard’s lawyers at Baker& Hostetler LLP, said in a statement. Two recent settlement with funds related to Thema put total recoveries since June at more than $1 billion, he said.

Wait, it gets better. The US Department of Justice will set up a $4 billion fund to compensate the victims, essentially making them whole.

The trustees who’ve been toiling away to recover the money are reportedly getting paid $850 per hour — amounting to well over $1b in fees.

The good news? Zero dollars come from the victims, instead from a fund overseen by SIPC designed to support customers of failed broker dealers.

In other words, the lawyer fees are being booted by tax payers.

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NY Sports Talk Radio Host, Craig Carton, Arrested by FBI — Charged with Gambling Inspired Securities Fraud

I never liked Craig Carton. When I used to follow fools-ball, I was a big fan of NY’s #1 talk radio station — WFAN — with one marked exception to the morning show, which was hosted by Craig Carton and Boomer Esiason.

Apparently, my instincts were correct — as the FBI charged Carton with securities fraud today, for bilking investors for millions. The details are murky and I still don’t fully understand all of the details. One thing is for certain, he had indebted himself for millions at two casinos, in addition to $825,000 to one person — perhaps someone that didn’t like to be owed money.

To remedy the situation, Carton thought it was a good idea to risk his career, family, and freedom to conduct a boneheaded Ponzi scheme by selling investors ‘tickets’ — which amounted to a staggering $5.6m.

Apparently, Carton was soliciting investors to buy blocks of tickets to his live events at a discount, enabling them to resell them at a profit. This is high tier degeneracy.

In a separate civil case unveiled on Wednesday, the Securities and Exchange Commission said Carton had racked up millions of dollars in gambling debts to casinos and others by the time he began soliciting investors in the ticket scheme, in which he told investors he had access to millions of dollars worth of tickets to concerts by Katy Perry, Justin Bieber, Adele and other performers.

Carton negotiated for $10 million in financing from an unnamed hedge fund to help purchase tickets in return for a cut of the profit from the resale of the tickets, according to the government’s complaint dated Tuesday and filed at the federal court in Manhattan. But they planned to use the financing to pay back debt instead.

The government said the fraud took place from September through December last year. The complaint details emails and text messages in which the men tried to figure out how to juggle debts with incoming investor money.

In a September email, Wright discussed with Carton and a third unnamed individual more than $1 million in debt shortly coming due: “Run to Costa Rica, change name, and start life all over again — may not be an option.”

“As you know it’s a game,” Wright told Carton in an October email, according to the government’s complaint.

The hedge fund, though unnamed by the government, was described as a “global investment management firm based in New York.”

Carton and his co-defendent, Michael Wright, were charged with securities fraud and conspiracy and now face 45 years in prison.

“Behind all the talk, the Carton and Wright show was just a sham, designed to fleece investors out of millions ultimately to be spend on payments to casinos and … other personal debt,” said U.S. Attorney Joon Kim.

Here’s Boomer Esiason telling his listeners today that his partner was arrested.

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Getting Involved with Hurricane Irma — Nature’s Profit Center for Traders

I’m getting long a Ft. Lauderdale based property insurance company — UVE — because I am praying to the Lord that Hurricane Irma will turn south and destroy Mexico instead of America.

Let us pray,

Dear Lord please do not smite the degenerates in Miami, for they do not know what they do. Instead, if I might be so bold, take your tool of natural destruction, Hurricane Irma, are wield it against the evil Mexicans — who cause our peace loving nation great pains via their ILLEGAL BORDER CROSSINGS.

Amen

Fly

To hedge that bet, I also bought PGTI — because Jeff Piotrowski said Irma is gonna knock down fucking skyscrapers — blowing out windows 30 stories up — reducing the city of Miami to a smoldering ashtray, which will take 6 months to get supplies into because all of the rubble and broken windows will be in the way.

PGTI produces hurricane proof windows, siding, and other building supplies.

I am now fucking ready.

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Don’t Look Now, But Gold is Approaching 3 Year Highs

This is a very serious happening. I do not want you to laugh at me, whatsoever, during the reading of this post.

Gold is on the verge of breaking out to the upside, this time for real.

Over the past 2 years, the cryptofags have stolen the thunder from the ‘hard money’ homos in the gold patch. I do believe we’re beginning to bear witness to a serious crisis in confidence in the blockchain, thanks to China throwing the ban hammer on the ICO schemes.

Alas, GLD is at 1 year highs and within an earshot of 3 yr highs.

If this move is legit, you will start to see some serious asset allocations in the sector, one that is woefully beaten down from the highs. Some of today’s outliers included DRD, HMY, AUY, NGD and MUX.

In all, the sector has tracked in line with the S&P 500 this year, higher by 13% — hardly exuberant.

To put some valuation perspective on the sector, the last time gold was truly in a bull market, back in 2005-2007, price to sales ratios were 7.5x, more than twice as expensive as present valuations. Inside Exodus, we provide historical valuation data for all sectors, industries and stocks, measuring PE’s, P/S, and P/B ratios.

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Storm Chaser Jeff Piotrowski Panics: Rooftops Will Be Ripped Off, Windows 15-30 Stories High Blown Out

Emmy award winning storm chaser, Jeff Piotrowski, just did a gloomy Periscope, warning people to evacuate Florida, saying a storm of this magnitude will lay waste to wherever it hits.

“You don’t want to experience it. I promise you.When your house starts coming apart and your buildings and walls start collapsing, the boards start punching through the house like torpedoes, like missiles — it’s unbelievable what’s going to happen.”

Having experienced some of the major hurricanes in person, Jeff painted a grim picture of roof tops being torn off, both house and hotels, windows blowing out up to 15 to 20 stories highs — power failures and ‘catastrophic’ damage that will take months to repair.

If you’re wondering about the intensity of this storm, I strongly advise you to watch his Periscope below and heed his dire warnings.

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FLORIDA BRACES FOR ANNIHILATION: HURRICANE IRMA CLOCKING IN AT 200MPH SURFACE WINDS

The good folks at the NOAA2 just recorded Hurricane Irma’s surface winds at ~200mph, barreling towards the lesser Antilles. The current trajectory of the storm has it wiping out all of Miami, or perhaps swinging west and laying waste to the Florida keys. Either way, insurance stocks (UVE, HCI, HRTG, FNHC) in Florida are positively doomed.

Here is the latest reading on this great storm of death and cataclysm.

The storm is clocking in at 913.1 mb.

To put this in context, Hurricane Katrina clocked in at 902mb and this system hasn’t even reached the coast yet.

An update from Guadalupe.

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