Watch Yourselves

Finishing the day, I’d like to remind you that sometimes things can get extremely out of hand – by a factor of 6 beyond anything you ever thought possible.

Resting in my office from a busy day, I’m finally sitting down to catch up on some pieces and finding my breath.

$ERY, after all, just smashed through all moving averages, and is now on the high side of the range, inside of a single session. ERY is basically a trade against gasoline and to a lesser extent, oil. Does that feel like “normal” behavior to you.

The plush leather of my chair beneath me radiates heat from the sunlight leaking in. And the cold air of the 9th floor office mingles with differentials of warmer current from the dry, ninety degree heat from outside.

There were an expansive multitude who were counting on more easing. I warned you incessantly that this was not such a straightforward issue. I cannot help you now.

Far below, I see the many talentless hedge fund managers caught long commodities beyond their capacity to handle.

The margin calls are about to begin.