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Happy New Year Everyone!!!

It is good to be back and blogging. Quite a few things to cover over the next few days. Including today’s gap down at the open, the sell-off in China and year end window dressing. More on that in a few.

First, let’s concentrate on important macro events that will have severe consequences on the stock market in 2016. Something no one is talking about. In October of last year I have suggested that Mr. Putin end game was not to stabilize Syria, but to wipe out Saudi Arabia. Will Putin Destroy Saudi Arabia?

Not directly, of course, but Iran has now official entered this final chapter on behalf of Russia.

The primary question now is…..will the US Government stand by its long time ally Saudi Arabia or abandon it as it did with every other government? Mr.Putin is betting on the latter and he has a one year window to get it done.

Again, to accomplish a complete victory in the Middle East Mr. Putin must destabilize and collapse Saudi Arabia. I believe that is to be his end game at the present moment. Such a development would deliver a major blow to the US in the region, cement his power and bring the price of oil back up (buy oil?).

And that might actually happen much faster than anyone believes.

Either way, get some popcorn, this will be an interesting story to watch in 2016

End Game In Sight: Putin Declares War On Saudi Arabia. Will The US Respond? Google

AFP Writes: Russian warships cross Bosphorus, en route to Syria

Three Russian warships crossed Turkey’s Bosphorus Strait Thursday en route to the eastern Mediterranean, near the Syrian coast, amid concern in the region over potential US-led strikes in response to the Damascus regime’s alleged use of chemical weapons.

Russia, a key ally of Damascus, has kept a constant presence of around four warships in the eastern Mediterranean in the Syrian crisis, rotating them every few months.

Moscow vehemently opposes the US-led plans for military action against the regime of Syrian President Bashar al-Assad in response to the chemical attack outside Damascus last month.

Russian President Vladimir Putin warned on Wednesday that any US Congress approval for a military strike against Syria without UN consensus would represent an “aggression”.

The Obama administration is hell bent on launching a strike against Syria for what they claim to be a chemical attack on their own people. Of course there is no concrete evidence to the fact, but that is not a deterrent enough for the blood hungry Industrial Military Complex.

Even though popular American opinion is overwhelmingly against attacking Syria, it looks as if this Administration will stop at nothing to settle some sort of a score or to settle some crazy perception that American should stand firm by its principals. I have no idea what principals those are.

With Russian ships racing to support Syria and with Iran basically saying that they will go to war with the US if Syria is attacked, the situation is getting out of control. If history teaches us anything is that in “powder keg” times such as these, even a small incident can set in motion a chain of events that has the potential to lead us into a large scale conflict.

Why is this important from an economic perspective? If some sort of war is set off and with Russia/Iran involved, it can engulf the whole region. That would have an immediate impact on anything and everything from interest rates to oil prices and from the stock market to the job market.

America has enough structural and fiscal problems to keep it busy for decades and as such it should concentrate on domestic issues instead of trying to go to war against Syria. Let’s just hope that nothing happens and cooler heads prevail.

If you can, please share our blog with your friends as we try to get traction. Gratitude!!