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Dr. Fly

18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.

Shia Labeouf’s #HWNDU Live Stream Camera Shut Down by Museum — Citing Wanton Fuckery

After Trump dominated the election, defeating Hillary Clinton by -3 million votes, a Queens museum, with the help of Shia Labeouf launched a project to install a camera outside the museum, so that leftard could conjoin with one another and sing the praises of their mental disorder — called liberalism.

The results of this project have been nothing less than disastrous.

As a matter of coincidence, I’ve been keeping close tabs on this projects — which became the obsession of the cretins on the 4Chan pol message boards. Instead of a bunch of liberals gathering around to smoke weed and decry the evils of Trump, redpillers stormed the camera, en masse, to tell leftards how they felt.

In other words, the project that was designed to unite leftists to take down Trump ended up being a lightening rod for a sundry of Trump supporters. As such, the museum decided to shut it down — giving final victory to the Hitler fanatics over at 4Chan.
4chan

Here are some hi and lo lights.

A Queens museum said Friday it is shuttering its controversial anti-President Trump exhibit dreamed up by actor Shia LaBeouf, conceding that the installation has become a “flashpoint for violence,” The Post has learned.

A webcam mounted on a wall outside Astoria’s Museum of the Moving Image — titled “HE WILL NOT DIVIDE US” — began filming on Inauguration Day, and was to be in place 24/7, for the duration of Trump’s presidency.

But clashes between pro- and anti-Trump forces were too much for museum brass to justify the art project.

“The installation created a serious and ongoing public safety hazard for the museum, its visitors, its staff, local residents and businesses,” the museum said in a statement.

“While the installation began constructively, it deteriorated markedly after one of the artists was arrested at the site of the installation and ultimately necessitated this action.”

The statement said the controversy led to “numerous arrests” and prompted around-the-clock police patrols.

Those busted included LaBeouf, who was put in cuffs at a late January scuffle at the oddball installation.

Neighbors complained about noisy visitors loitering on their porches in the early morning hours, urinating and smoking marijuana, the local community board said.

Following a deluge of complaints, the 114th Precinct has set up a 24-hour patrol presence outside the museum, the NYPD said.

Community leaders and neighbors said something had to be done.

“Why don’t they put the cam inside the museum? That has been raised by some individuals,” said Community Board 1 District Manager Florence Koulouris.

“The concern is the quality of life. There’s action going on during unacceptable hours. The museum needs to find a way to make the project better for everyone involved,” she said.

Meanwhile, a prominent museum board trustee had slammed the project as misguided, and said it was authorized without her input.

“I was not told. I don’t really know how it happened. I was upset when I found out about it,” said Claire Shulman, a former Queens borough president.

“It was a mistake to do it. It’s unsafe for a public institution to do a project like this,” said Shulman, a Democrat.

“It’s inappropriate for that location. It’s a city building. It’s a city institution. It’s one of the finest institutions in the city.”

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BASE METALS JUMP OUT OF THEIR SOCKS — UNDERLYING EQUITIES LEAVE BEARS IN A TRAIL OF TEARS

I Mctold you “The Fly” was back on his fucking game. The infrastructure play is where it’s at. But more importantly, Trump had a telephone call with the President of China yesterday and didn’t hang up on him, instead ceding to the one China policy. As a result, markets can’t stop jerking off to this news — buoying the shares of anything China related — including BASE METALS.

base

You know how I feel about $CLF (buy it), $UEC and $URG. But do you really know how I feel about zinc? I fucking love the stuff. I sprinkle it on my cereal every morning and pray to the Gods, both olde and the new, for deliverance against the many evils that stand in my way of unfettered greatness.

With 60% of my 140% exposure to this market, I am long $HBM, $TECK and $VEDL — due to their exposure to zinc — a key element (Zn) in galvanizing steel.

Also, my new oil position is higher by 3% today. I’d tell you the ticker symbol, but I promised a member of Exodus the other day that I wouldn’t. Join us in the great halls of distinguished gentlemen and I promise you, it’ll be worth your minor investment in House Fly.

My year to date gains are now in the magnitude of +13%.

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Why I Love $NFLX and Political Persecutions are For Fucking Asshats

Look at this shit.

So the writer of a new $NFLX show said some racist stuff and then went on to create a racist show, dubbed ‘Dear White People.’ The response by the conservatards has been to cancel their Netflix subscriptions, like fucking asshats, because MUH their feelings were hurt. I’d rather shoot myself out from a carnival cannon into a brick wall than cancel my access to House of Cards, Peaky Blinders, Luther and all of the other shit that I watch on that glorious network.

On the left, they’re fucking boycotting anything and anyone that even looked at Trump in a kind way — from Ivanka’s entire clothing line to Uber to Tesla and now Under Armour. For the love of God, even the most likable person in the world, The Rock, entered the arena filled with leftist retards to decry the supportive comments by the CEO of $UAA about Trump as being ‘divisive and lacking perspective.’

The madness has to stop, fuckers. Vote with your ballots, not your wallets. After all, are you going to carry around lists of ‘politically friendly’ companies with you at all times? The next time you visit a restaurant, will you interrogate the head Chef and staff to see if their views on abortion align with yours?

Trump won. Hillary lost. Get over it.

Some people refuse to watch Woody Allen movies due to his unsavory relationship with his adopted daughter. Understand something, he’s most likely a monster, a reprehensible human being — but I still love his movies. Heck, if I were to hold my moral compass up before watching a Hollywood movie, a place littered with degenerates, I’d find myself without any form of digital entertainment. Fuck that.

How about music? Do you believe the losers you’re listening to actually share your values? WHO GIVES A SHIT?

Life is fleeting and unusual. Narratives change, as do hot button political views. I know for a fact many of you supported the Bush wars, but now with the benefit of hindsight know they were complete horseshit. On the other hand, I’m sure scores of you supported Obamacare when it was first announced, but have since soured on it after finding out it actually sucked.

I like what I like and I do not punish myself — just because the CEO of a company has a different opinion about the events taking place on the ground in Nepal. I come from a very diverse background. My step father, whom I love dearly, is a brilliant math scholar — born Morrocan and is Muslim. My wife and my in laws are of South American heritage. My Mother’s side is Italian and my Father’s parents came to America — fresh from the potato fields of Ireland. Everyone has different views, democratards, replictards, apolitcaltards; but we all get along — because politics isn’t everything.

Mostly, it’s theatre for the intrigued.

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$SHLD Explodes Higher After Announcing Draconion Measures to Improve Earnings Trends

I was just in $SHLD yesterday looking for a pair of pants for my youngest son and left empty handed. I’ve never seen a worse run store in my life. It reeked of incompetence, from the textile selection down to the empty registers with no one remotely interested in taking money from shoppers.

Nevertheless, shares are exploding higher (~40%) this morning for a variety of reason. EBITDA came in much better than expected. They’re guiding sales up. They’re closing a shitload of stores, focusing on profitability. Additionally, amended their credit facility and also reduced debt and pension obligations through financial engineering.

Get this, the company is shifting its focus towards online and away from their shitty brick and mortar stores.

Welcome to 1997, fucked faces.

Sears Holdings has initiated a restructuring program targeted to deliver at least $1.0 billion in annualized cost savings in 2017. These savings include cost reductions from the previously announced closure of 108 Kmart and 42 Sears stores. Under the restructuring program, we intend to: Simplify Sears Holdings’ organizational structure, including greater consolidation of the Sears and Kmart corporate and support functions, as well as improve accountability for profitability at our store and online channels; Implement an integrated model to drive efficiencies in pricing, sourcing, supply chain and inventory management; Optimize product assortment at Sears and Kmart stores, using data analytics to better align with preferences of our Best Members focusing on profitable, high-return Best Categories; and Actively manage our real estate portfolio to identify additional opportunities for reconfiguration and reduction of capital obligations.

In addition to the cost reduction target announced today, we continue to assess our overall operating model and capital structure to become a more agile, asset-light and innovative retailer focused on member experience.

On February 10, 2017, the Company entered into an agreement to amend our existing asset-based credit facility. The amendment provides a $140 million increase to available borrowing capacity under our revolver as compared to availability reported at the end of the third quarter of 2016. Sears Holdings concluded the fourth quarter of 2016 with no borrowings and $464 million of letters of credit outstanding, against its asset-based credit facility. The amendment provides immediate additional liquidity and financial flexibility to the Company.

On a pro forma basis, giving effect to the amendment of our credit facility, our total liquidity and liquid assets would have been over $4.0 billion at the end of third quarter of 2016. The amendment will reduce the aggregate revolver commitments from $1.971 billion to $1.5 billion, but will implement other modifications to covenants and reserves against the credit facility borrowing base that improve net liquidity. The amended credit facility is smaller in size, reflecting the Company’s reduced needs consistent with lower inventory levels associated with our transforming business model, which has fewer physical stores and a greater online presence. The amendment also provides additional flexibility in the form of a $250 million increase in the general debt basket from $750 million to $1.0 billion.

We are targeting a reduction in our outstanding debt and pension obligations of $1.5 billion for fiscal 2017 through improving profitability, asset sales, and working capital management. Sears Holdings has contributed almost $4.0 billion to our pension plan since 2005, driven largely by the prolonged low interest rate environment.

“As previously indicated in our January 2017 update, sales declined in the fourth quarter of 2016 compared to the prior year fourth quarter due to a combination of the competitive retail environment and fewer operating stores, as we emphasized improving profitability. Accordingly, we have continued to manage inventory and costs closely resulting in a notable improvement in our short-term operating performance and progress toward our profitability goals.

We expect total revenues of $6.1 billion [vs. $5.68 bln consensus]... Total comparable store sales for the fourth quarter have declined 10.3% [co said comps were trending down 12-13% on January 5], comprised of a decrease of 8.0% at Kmart and a decrease of 12.3% at Sears Domestic. We expect that our fourth quarter 2016 net loss attributable to Sears Holdings’ shareholders will range between $635 million and $535 million, which is inclusive of a non-cash impairment charge related to the Sears trade name of between $350 million and $400 million. This compares to a net loss attributable to Sears Holdings’ shareholders of $580 million in the fourth quarter of 2015, which was inclusive of a non-cash impairment charge related to the Sears trade name of $180 million…

In addition, our preliminary fourth quarter 2016 Adjusted EBITDA was $(61) million, compared to [consensus near -$245 mln] Adjusted EBITDA of $(137) million in the fourth quarter of 2015. This significant improvement in Adjusted EBITDA has been driven by tighter expense control and inventory management.”

This is all pageantry, swirling about the toilet bowl before being deposited into the sewer littered with retail failures. However, with the amount of shorts stuck in this stock, there should be an epic squeeze today.

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WTI Surges on OPEC Cuts, IEA Demand and OECD Oil Stocks News

What a crock of shit. But I’ll take it.

The New World Order, via the OECD, are very busy this morning trying to jimmy oil prices higher — issuing news that could only be viewed positively by traders.

In short, OPEC is cutting production much faster than previously expected. The IAE announced demand for crude is rising and the vampires at the OECD announced global oil stocks fell the most in three years.

Listen to me, you cannot get better news for crude oil. I told you they wanted crude higher. It’s working.

IMG_6404

Source: Briefing

Note that OPEC is currently at 90% compliance with their portion of the coordinated OPEC/non-OPEC output reduction agreement. Saudi Arabia exceeded their portion of the promised 490k barrel/day reduction by 70k barrels/day. Angola & Qatar also cut more than originally expected. IEA also stated the global oil stocks overhang that has weighed on prices should fall by about 600k barrels per day in the next 6 months. Other notable highlights of the report include:

IEA raised global oil demand growth expectations for 2017 to 1.4 mln bpd, up 100k bpd from their previous estimate.
Global oil supplies plunged nearly 1.5 mb/d in Jan, both OPEC and non-OPEC countries produced less.

At 96.4 mb/d, world oil production stood 730 kb/d below a year ago, with OPEC posting its first y/y decline since early 2015.
OPEC crude production fell by 1 mb/d to 32.06 mb/d in Jan.
Lower production was partly offset by higher flows from Libya and Nigeria, which are exempt from cuts.

OECD total oil stocks fell nearly 800 kb/d in 4Q16, the largest fall in three years.

End-Dec inventories were below 3k mb for the first time since Dec 2015. Stocks continued to build in China and other emerging economies, volumes of oil at sea also increased.
After falling by 0.8 mb/d last year, non-OPEC output will grow by 0.4 mb/d in 2017.

Growth is mainly in the Americas, where higher prices are fueling increased investments in US LTO activity and long lead-time projects are coming on stream in Brazil and Canada.

We have the former CEO of Exxon as our Sec of State for Christ’s sake. Get long crude.

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CNN’s Cuomo Equates the ‘N Word’ with Using the Term ‘Fake News’ Against Journalists

These people are unbelievably tone deaf — insulated in their word of fetishes and drugs and all of the worst elements of mankind. Here is neo-liberal Chris Cuomo from CNN, in an interview with Michael Smerconish on Sirius XM yesterday, telling his listeners that saying ‘fake news’ to a journalist is the same, mind you, as calling a black person the ‘N word’ or derogatory term to an Italian (if alive, his father would smack him in the face with a meatball hero).

Nevermind the fact that the ‘N word’ is rooted in hatred for a group of people for nothing other than the color of their skin. Juxtapose that against the term ‘fake news’, used against corrupt journalists and organizations using their platforms to deceive people, purposely, for political/social justard means, and one could make an indelible argument that Mr. Chris Cuomo is, in fact, a fucking moron.

Let’s not forget his infamous foray into the Wikileaks dilemma this summer, telling viewers that it was, in fact, illegal to view the Wikileaks — that they should reserve such a privilege to the professionals in the media.

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Rogue 9th Circuit Court Denies Trump’s Appeal; Trump Responds Saying ‘SEE YOU IN COURT’

The 9th circuit court of appeals voted 3-0 in favor of globalist shills, denying Trump his executive order to ban immigration from dangerous cesspools. In response to the ruling by the 9th circuit, a court viewed as rogue by all standards  (upwards of 80% of their rulings get overturned) — Donald Trump responded in all caps ‘SEE YOU IN COURT’ — which is now trending on Twitter.

Source: American Bar

Interestingly, this comparison of reversal rates reveals that the Federal Circuit has the highest reversal rate at about 83.33%, and the Ninth Circuit has the second highest reversal rate at 80%. The Seventh Circuit has the lowest reversal rate at 55.26%. The median reversal rate is 68.29%. If the courts of appeals were graded on their reversal rates according to a typical first-year law school grading curve,9 their grades would be as shown at below. So the Ninth Circuit and the Federal Circuit end up at the bottom of their “class.” Do reversal rates of 80% and 83%, for the Ninth Circuit and Federal Circuit, respectively, compared to a median reversal rate of 68%, call for the label “rogue” courts?

Hillary chimed in to celebrate the ruling, which prompted an amusing response by a Mike Pence fan account.

BTFO

This isn’t exactly a surprise. Trump is very likely to get his way in the end.

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Wall Related: Mexico Owes Us $21.6 Billion

Reuters has secured non-disclosed documents regarding construction of the southern border wall from another leaker. This is beginning to form a pattern, isn’t it? We knew Trump was an outsider when he was campaigning, derided by both GOP and DNC. But now it’s becoming abundantly clear that neither party will assist in his governance, and instead work towards derailing any of his major efforts.

The original estimate for the wall was $12-15b. Now the DHS is saying $25b, including a sundry of eminent domain issues, as well as environmental concerns.

In all, it will take 3.5 years to complete — all paid for by the magnanimous and beautiful people of Mexico.

President Donald Trump’s “wall” along the U.S.-Mexico border would be a series of fences and walls that would cost as much as $21.6 billion, and take more than three years to construct, based on a U.S. Department of Homeland Security internal report seen by Reuters on Thursday.

The report’s estimated price-tag is much higher than a $12-billion figure cited by Trump in his campaign and estimates as high as $15 billion from Republican House Speaker Paul Ryan and Senate Majority Leader Mitch McConnell.

The report is expected to be presented to Department of Homeland Security (DHS) Secretary John Kelly in coming days, although the administration will not necessarily take actions it recommends.

The plan lays out what it would take to seal the border in three phases of construction of fences and walls covering just over 1,250 miles (2,000 km) by the end of 2020.

With 654 miles (1,046 km) of the border already fortified, the new construction would extend almost the length of the entire border.

Many cost estimates and timelines have been floated since Trump campaigned on the promise of building a wall. The report seen by Reuters is the work of a group commissioned by Kelly as a final step before moving forward with requesting U.S. taxpayer funds from Congress and getting started on construction.

A DHS spokeswoman said the department does “not comment on or confirm the potential existence of pre-decisional, deliberative documents.”

A White House spokeswoman said it would be “premature” to comment on a report that has not officially been presented to the president.

The report said the first phase would be the smallest, targeting sections covering 26 miles (42 km) near San Diego, California; El Paso, Texas; and in Texas’s Rio Grande Valley.

The report assumes DHS would get funding from Congress by April or May, giving the department sufficient time to secure contractors and begin construction by September. Trump has said Congress should fund the wall upfront, but that Mexico will reimburse U.S. taxpayers. Mexico has said it will not pay.

The second phase of construction proposed in the report would cover 151 miles (242 km) of border in and around the Rio Grande Valley; Laredo, Texas; Tucson, Arizona; El Paso, Texas and Big Bend, Texas. The third phase would cover an unspecified 1,080 miles (1,728 km), essentially sealing off the entire U.S.-Mexico border.

The former President of Mexico and professional Trump troll on Twitter, Vincente Fox, is losing his fucking mind over this topic.
ClxfbrBWkAAQ_MB

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Quick Thoughts on $CLF Share Offering

After the close, $CLF announced a share offering of 50m shares to be used for the purposes of purchasing some of its senior notes — which as of tonight trades below par at around $95. This is precisely what a company on the mend is supposed to do — deleverage the balance sheet using the stock as the prime currency.

This is all very bullish — as it demonstrates a keen demand for the shares even at elevated levels.

Cliffs Natural Resources commences offering of 50 mln common shares or up to an aggregate of 57.5 mln Common Shares if the underwriter exercises its option (11.37 +1.85)

Co intends to use a portion of the net proceeds received from the Offering to fund the purchase of certain of its outstanding senior notes due March 2020, October 2020 and April 2021 pursuant to tender offers, including fees and expenses related to the tender offers. The Company intends to use the remaining net proceeds of this Offering for general corporate purposes, including the redemption of a portion of its outstanding senior secured notes and/or the repurchase of additional tender notes.

Bear in mind, this is a company in the midst of a major turn around. In spite of the recent surge, as you can see by the chart below, the stock is way off its highs — set back in 2011.
CLF4

Note the earnings trends have been dreadful, but looking up.

CLF3

And, have a look at the massive drawdown in revenues since the peak in 2011. If we are entering a new era of growth for the industry, those high end revenue numbers can be challenged again. Where do you think the share price will go if that were to happen?

CLF2

The share offering is fodder, subterfuge, for the much bigger story. Take another look at the earnings that were reported this morning and understand that none of that reflected a prospective Trump fiscal stimulus boom.

CLF reported net earnings (attributable to Cliffs shareholders) of $79.1 million or 34 cents per share in the fourth quarter of 2016, versus net loss (attributable to Cliffs shareholders) of $60.3 million or 39 cents per share logged in the year-ago quarter.

Adjusted earnings (excluding one-time items) for the reported quarter came in at 41 cents per share, beating the Zacks Consensus Estimate of earnings of 25 cents.

Sales for the quarter came in at $754 million, surging 58.4% from $476 million in the prior-year quarter. Sales also beat the Zacks Consensus Estimate of $688.5 million.

Full-Year 2016

Cliffs recorded consolidated sales of $2.1 billion in 2016, up 5% from 2015. Net income attributable to the company’s shareholders in the year came in at $174 million or 87 cents per share, against a net loss of $788 million or $5.13 per share recorded in 2015.

This was a  significant report, as it represented the 1st revenue growth quarter since Q3 of 2013 and just the second growth quarter since Q2 of 2012. The last time we saw growth likes this was in early 2010 — as the stock made its way from $20 to $90 over the next two years.

Buy all dips.

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Neocon Never Trumper, Bill Kristol, Wants to Replace ‘Decadent’, ‘Lazy’ White Working Class with Immigrants

One of the most wretched people in America, Bill Kristol, Never Trumper and advocate for ruinous national policy to conduct unending wars abroad, thinks we need more immigrants to replace the lazy white sloth. He compared the recent hordes of savage hordes of immigrants to the Irish and Italians of 100 years ago — suggesting we need ‘new American’s to make it great again.

The only problem with his theories is that they are a fiction, not supported by facts.

Observe, here is the immigration trends, both legal and illegal. Note the spike of the immigration population and juxtapose it against US productivity and GDP growth. In spite of all of these new Irish and Italian fellows entering the country, it seems there is an INVERSE relationship between immigration and national prosperity.

Immigration

(Estimated Illegal Immigrant Population)
population-of-immigrants-in-the-country-illegally

productivity

 

GDP

And here are Bill Kristol’s reprehensible comments, clamoring for ‘new Americans’. The neocons have truly been exposed as globalist warmongering shills this election cycle — no better than the leftist retards running about the streets with cans of pepper spray.

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