David Einhorn's back talking "jelly donuts." Who gives this idiot money to manage?

Remember David Einhorn? I showed you back in Feburary how he was going short commodities and industrial stocks. The Dow Jones INDUSTRIALS was at 15,500. Now it's 18,500.

Now he says get ready for more "jelly donuts." That's how these little boy Wall Street idiots who think they know something, talk. Jelly donuts, as in, more rate cuts. Or, as they call it, "stimulus."

Meanwhile, companies are beating earnings left and right, home sales are at an 8-year high. Wholesale inflation is picking up. There's wage pressures growing. Government spending is on track to set a new record this year.

And he's talking rate cuts.

That's your signal to sell Treasuries.

Who the hell gives these guys money to play with? Crazy!

We crushed it here at MNE! Sorry, no one even came close.

First I want to address a post I put up here the day of the conclusion of the Fed meeting when I said the stock rally (that day) wouldn't last and that we'd stall.

Well, that didn't happen, obviously.

However, that shouldn't diminish the fact that I said here, here, here, here and here (and probably a lot more places, but I am too lazy to look) where I said you gotta buy stocks and I gave you the reason: flows.

Two things: the flows are back and market sentiment is now shifting to very bullish.

The market is in a sweet spot now with sentiment aligned with direction (and fundamentals). It's going a lot higher and the only chance you'll have for a correction will be when the Fed raises rates. And it will. When that happens there will be some sort of bearish knee-jerk reaction and you'll have a chance to buy, however, by that time the stock market could be significantly higher.

By the way, remember all those people who were panicking and saying "sell" and there would be a catastrophe? Remember the RBS call? They were all completely and utterly wrong.

The "low hanging" fruit is probably gone. Maybe not. Depends on your definition of low hanging. I like really low hanging, like when people are selling like crazy. That's when I buy because it's like the idiots are just giving you their money. Take David Einhorn's money, remember?

There could be a "low hanging fruit" trade right now and that's shorting Treasuries. Even the idiots now think the Fed will never be able to raise. (After years of telling us how rates were going to skyrocket.) Short Treasuries. NO ONE is talking about that except, you guessed it, right here on MNE. Like, we always scoop everyone.

Which brings me to the economy. If you are thinking recession because the deficit is too small, forget it. No chance. The flows are big and this stock market rally, which will continue, will boost confidence and spending.

The people with the forecasts based on deficits for the last three years should just man up and throw in the towel.

Once again we got it all right here by looking at flows. It's all about flows or, mostly about flows anyway.

Oh yeah, how about the "oil bottom" call that I made back in January? Maybe a little early, but the market is 30% higher now. Not bad.

And what about the dollar going down? And gold rallying? Franco with metals prices bottoming, too. Jeez, I almost forgot those.

I swear, this site should have a million visitors a month. It's crazy that we don't.

Like I said, I must suck at marketing.

Win David Einhorn's money (or his clients' money)

David Einhorn is the best contrarian indicator you can imagine. The guy loses on everything. He's taken over the mantle from Bill Gross.

After six years of falling commodity prices guess what Einhorn is betting on? Falling commodity prices. He is shorting industrial stocks.

This is the guy who bought gold because he thought that QE and the monetary operations of the Fed and other central banks would create hyperinflation.

What a genius.

(Who gives these guys money? Their parents?)

He got crushed last year on bad stock bets.

The only time this guy ever made money was when he shorted stock and got his pals in the media to make up fake, negative stories about the company. I interviewed him on my radio show some years back and questioned him about one of those episodes where it was well documented that he went after a viable company and spread dirt just to make money.

Einhorn is scum. Guys like him are scum. They suck and they're totally clueless.

Go get yourself some money. Buy commodities, buy industrial stocks. I'm doing it.

Folks, this is almost too easy. These guys make it too easy.

Juliet Chung and Carolyn Cui — Hedge Funds Versus Nascent (Communist) Superpower

Some of the biggest names in the hedge-fund industry are piling up bets against China’s currency, setting up a showdown between Wall Street and the leaders of the world’s second-largest economy.

Kyle Bass’s Hayman Capital Management has sold off the bulk of its investments in stocks, commodities and bonds so it can focus on shorting Asian currencies, including the yuan and the Hong Kong dollar.

It is the biggest concentrated wager that the Dallas-based firm has made since its profitable bet years ago against the U.S. housing market. About 85% of Hayman Capital’s portfolio is now invested in trades that are expected to pay off if the yuan and Hong Kong dollar depreciate over the next three years—a bet with billions of dollars on the line, including borrowed money.… 

Across the Curve
Hedge Funds Versus Nascent (Communist) Superpower
Via the WSJ:
By Juliet Chung and Carolyn Cui

Was I right or was I right? Stupid eventually sinks to the bottom.

Back in 2012 I wrote an article about hedge fund little boy, David Einhorn.

(Click on the image above to read the entire post.)

In that post I talked about how Einhron was at some conference and made some really stupid idiotic comments like these:

"Norway is the only country in the world which can finance itself."

"China is misunderstood and is not an investment opportunity because it doesn't have enough money to feed the economy."

Norway can "finance" itself? Yeah, um, is that a revelation? (He's right, but for the wrong reasons.)

And China doesn't have enough yuan? Is he serious?

I think at that conference or shortly thereafter Einhorn announced that he had a huge position in gold because he said that he had dinner with Bernanke and was scared shitless at the answers to the questions he  posed to the former Fed Chairman. His thoughts went something like, "Wow, all this QE and 'money printing' is going to create hyperinflation."

Right...he didn't even BEGIN to understand monetary operations. Nothing. Nada. Zilch. Totally fucking clueless.

And NOW we see this:

Hahahaaha!!!!!!! The gods have delivered!!

Einhorn has deservedely been slaughtered in gold. He's Schiff with a bigger purse and maybe not for long!

These guys are the worst...the absolute, worst. As far as I am concerned they cannot lose money quick enough. If governemnt won't "euthanize" them, which they won't, then maybe they'll just die off from their own stupidity. But that's probably wishful thinking because I'm sure they'll  just get their bought politicians friends to enact laws and policies that force their victims to pay them back for all their losses.

Yes, Einhorn's a billionaire and for the life of me I will never be able to figure out how that happened. If Einstein were alive today he'd have trouble with that, too, and by the way, Albert Einstein was arguably one of the smartest humans to ever walk the planet, but he made like $60k per year in today's money. Just sayin'.

What irony...Einsten and Einhorn. The names sound very similar, but BOY, what a difference.

Ira Sohn conference is underway: last year's big idea...buy gold

Well, the annual get together of that elite cadre of egotistical, clueless, financial bozos is underway again. No, I'm not talking about a JP Morgan board meeting, but rather, the Ira Sohn investment conference.

Last year's big idea? Buy gold. That worked out well, didn't it?

I wrote about it, here.

The "fabulous" life of hedge funder David Einhorn? Really?

Businessinsider ran a story on the "fabulous" life of David Einhorn. Oh really? Well here's a picture of his wife.

Sorry, I'd rather be Tom Brady.

Einhorn's just another spoiled little rich kid with a hedge fund who has a knack for conducting bear "raids" on good companies, just like his friend, Bill Ackman. I had him on my radio show once and grilled him over his attack on Allied Capital. The firm ultimately succumbed, but not before a protracted fight.

And when it comes to economics Einhorn is an idiot who spouts the same debt-doomsday/gold standard nonsense like all the other clueless hedge funders.

Personally, I'd like to see guys like Einhorn taxed to death with the money given, that's right, GIVEN, to regular working folks. But of course, that's never going to happen.

Einhorn's funky jelly donuts

Hedge fund operator, David Einhorn, wrote a piece in the Huffington Post today where he talked about his investments in gold and why he was using gold as a hedge against what he termed, the Fed's "Jelly Donut Policy."

Einhorn claims that the Fed's policies are akin to eating Jelly donuts--they taste good, but too many of 'em will make you sick. Specifically, he's talking about the Fed's supposed, "easy money policies." (His term.)

Easy money? Since the Fed began its extraordinary measures back in 2008, it has removed more than $400 billion worth of interest income from the economy. If Einhorn thinks that's the same as eating a jelly donut, he must be eating some pretty funky donuts.

And excuse me but, gold???? That's the trade this "elite" trader comes up with??? Wow! Now THERE'S some out of the box thinking! I guess it doesn't bother Einhorn that the American public, by a large majority, now consider gold to be the world's safest investment.

Gee, that sounds familiar. As in, 2006, when the public considered real estate to be the safest investment? How well did that work out?.

Apparently Einhorn doesn't feel the slightest bit of angst being aligned with such an "elite" group of investors.