Credit deflation and the reflation cycle to come (part 2)

[TheCountOfNowhere]

1 minute ago, Craig said:

I bought some. 

I own some.

[jamtomorrow]

3 minutes ago, Cattle Prod said:

 

Nice business model guys!! 

Wow - that brought out my second "f***in ell" of the day, and the sun isn't anywhere near the yardarm!

[nirvana]

3 hours ago, TheCountOfNowhere said:

What did I miss

 

 Schlumberger NV

NYSE: SLB

17.86 USD −1.71 (8.74%)

Closed: 25 Jun, 04:34 GMT-4 · Disclaimer

 

the markets are trying to decide if they trust these two dodgy fuckers? 

 

[Green Devil]

Anyone have an opinion on these guys?

 

https://uk.tradingview.com/symbols/NYSE-RIG/

[TheCountOfNowhere]

19 minutes ago, 5min OCD speculator said:

the markets are trying to decide if they trust these two dodgy fuckers? 

 

 

the markets are trying to decide if they trust these two dodgy fuckers...to give them more ?

[janch]

More oil news for our resident expert @Cattle Prod to comment on.  I seem to remember you saying it would be uneconomic to drill in the Arctic.  Also is this a normal thing for Norway to be offering blocks for oil and gas exploration?

https://www.zerohedge.com/energy/norway-expanding-its-arctic-oil-drilling-operations

[nirvana]

7 minutes ago, TheCountOfNowhere said:

the markets are trying to decide if they trust these two dodgy fuckers...to give them more ?

Yes, to give them more crack cocaine in the form of free US dollars 

Talking of which DXY 97.55  

[nirvana]

2 hours ago, Cattle Prod said:

Nice business model guys!! 

But if you put it against the cost of the Iraq war ($2 trilion?), it's a much cheaper way to secure oil supplies.

that's interesting and just shows what a bloody disgrace mankind is.....so not only is fracking a major destroyer of nature, it's a farce in business terms too? hmmmmm

[Harley]

NS&I stopping their overseas cash transfer facility in July.

[sancho panza]

5 hours ago, kibuc said:

I've got to say that this new placement gave me a pause. I don't like the size, I don't like the price, I don't like the fact that I came out of the blue and was tacked on to the end of a multi-news release. I'm going to give them a pass for the old times' sake, but I'll be watching them. I'd hate them to descend to the bottomless pit of their Canadian junior mining peers.

That being said, the market took the financing in its stride and Alexco finished the day on par (if not better) with other silver juniors.

Well-run silver miners with decent assets and solid track record are few and far between, especially if you're looking for pure silver plays. I'd go as far as saying that there're only two such names: Alexco and Silvercrest. Alexco might seem like a better bet for proper leverage due to smaller market cap and being closer to production, but I see Silvercrest as the Kirkland Lake of the silver space. They cannot put a shovel in the ground without digging out 000s grams per tonne. A new resource estimate and PFS is expected by end of year, which should include all those juicy 5k, 8k, 16k hits from Spring plus many more, and if it coincides with silver reaching price levels we except it to reach then Lord have mercy.

Worth noting Silvercrest have 60 bagged since 2015...................................

[sancho panza]

3 hours ago, Cattle Prod said:

Austria goes first with the long dated borrowing at < 1%?! 

 

It's certainly what I'd do if I had access to funding at 1% over 30 years. If more of Europe does this, the US won't be far behind. 30 yr is currently at 1.4% in the US, down from 1.67% in May. @DurhamBorn do you think the Fed is already trying to control the long end for this purpose?

 

Absolutely,who can blame them.I'm amazed these issuances are oversubscribed............says it all about where we are.

[nirvana]

13 minutes ago, Cattle Prod said:

41x transfer value on her DB pension

Kinnel that's unreal, take the money and run......run forest run.....

 

[DoINeedOne]

Royal Mail off loading 2000 management jobs 
-13.4%

[Option5]

6 minutes ago, DoINeedOne said:

Royal Mail off loading 2000 management jobs 
-13.4%

I hope they're all the ones who worked on and lied about the Horizon IT project.

[Wheeler]

54 minutes ago, Option5 said:

I hope they're all the ones who worked on and lied about the Horizon IT project.

They probably work for Post Office Ltd and not RMG.

[TheCountOfNowhere]

3 hours ago, DoINeedOne said:

Royal Mail off loading 2000 WELL PAID management jobs 
-13.4%

By By Bubble

[DurhamBorn]

3 hours ago, Cattle Prod said:

What length do you think pensions are priced on here? My missus just got offered 41x transfer value on her DB pension.

I moved mine from Glaxo 44x i got,nuts,but they base them on 15 year gilt yields mostly.I worked out if i could under perform inflation by 1% a year from 65 id have to live until 122 to be worse off,thats underperform inflation.If i can outperform inflation by 1% id need to be cloned.Mine landed March 12th,id call that perfect timing,though getting a transfer done was a nightmare and i pretty much had to go to an advisor,act like i wanted them to invest it for the rest of my life (and their juicy 2.1% a year fees) and then when transfer went it i moved to me SIPP .They werent happy of course about that but once it was in a normal pension as cash nothing they could do,i launched the transfer a few minutes after it landed so they couldnt invest the money.Yes the Fed are holding down the long end,they are trying to help the government get lots of debt away at really low coupons.The Fed is telling the market we are going to do anything to get inflation,but the market doesnt hear.They are pricing in around 16% inflation over the cycle/decade,i think we will get around 74%,though up to 100% isnt off the table.

 

[Loki]

13 minutes ago, DurhamBorn said:

They are pricing in around 16% inflation over the cycle/decade,i think we will get around 74%

How do you calculate that?  I sort of understand what you mean, but only vaguely.

[sleepwello'nights]

On 24/06/2020 at 09:39, DurhamBorn said:

For anyone holding Telefonica,here are the details on the tax situation of the divis.

Do nothing and take the rights no tax,

Elect to take the cash Spanish Withholding tax of 19%

Sell the rights,no withholding tax,but telephone dealing charges,with Hargreaves these are 1% with a minium of £20/max £40.

I would guess Repsol will be the same.

So option two is a no no of course,so its let the rights become shares,or sell the rights.Repsol do this most years,hopefully Telefonica will as well going forward.

 

What is happening?

Telefonica SA recently announced details of a Stock Dividend to Shareholders as at close of business on 16 June 2020 with a cash option, giving you the right to receive additional Shares or a cash payment. As a holder of Telefonica SA Shares in your Hargreaves Lansdown Account you have been issued with one Right for each Share held at the qualifying time.

What are my choices?

You now have 3 options to consider relating to the Rights and these are explained below in more detail.

 

Option 2 - You can receive a cash payment. If you elect for this option by our noon Tuesday 30 June 2020 deadline you will receive a cash payment of EUR0.193 per Right. The proceeds will be subject to a 19% Spanish withholding tax, i.e. you will receive EUR0.15633 per Right after tax. Cash proceeds are expected from 3 July 2020 and will be converted to Sterling upon receipt subject to the prevailing exchange rate at that time our standard currency conversion fees.

 

 

 

Not to forget that with option 2 you have the benefit of the taxation agreement with Spain that the Spanish withholding tax is reclaimable when you submit your UK self assessment return. Whether you are liable for any tax is subject to your other dividend and total income.  

[DurhamBorn]

2 hours ago, Loki said:

How do you calculate that?  I sort of understand what you mean, but only vaguely.

US treasury coupons across the spectrum compounded.

[Loki]

Just now, DurhamBorn said:

US treasury coupons across the spectrum compounded.

Is that all of them averaged then compounded or just the 30Y?

[TheCountOfNowhere]

https://www.thisismoney.co.uk/money/markets/article-8460623/Another-Covid-crash-way-IMF-warns-investors.html

[sancho panza]

17 minutes ago, TheCountOfNowhere said:

https://www.thisismoney.co.uk/money/markets/article-8460623/Another-Covid-crash-way-IMF-warns-investors.html

Market unlikely to crash now the IMF has called it.

[TheCountOfNowhere]

Just now, sancho panza said:

Market unlikely to crash now the IMF has called it.

Was an odd thing to say i thought. You think they want a crash

[sancho panza]

17 minutes ago, TheCountOfNowhere said:

Was an odd thing to say i thought. You think they want a crash

Probabaly looking to draw out some more funding for their slush fund for retiring bankers.It was ever thus.

The people who cause the bubble are rarely the ones to see the end coming.