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By Tyler Durden

President Obama had a close encounter today.

Shortly after the president delivered his commencement address at the Air Force Academy’s graduation ceremony in Colorado, a Thunderbirds fighter jet crashed south of Colorado Springs just after the team had performed at the Air Force Academy’s graduation. The pilot safely ejected. According to the Denver Post, the crash happened minutes after the Thunderbirds’ F-16 jets flew over President Obama and others at the ceremony. Photos from the scene showed the white jet upright and seemingly intact in a field.

The Thunderbirds had just finished their traditional performance at the Air Force Academy graduation, screaming overhead just as the graduating officers tossed their white hats into the sky. The jets then did multiple fly-bys over the academy’s football stadium, where the ceremony took place, blasting by in tight formations or looping high overhead. There was no obvious sign of trouble with any of the jets during the performance.

Obama was still at the stadium taking photographs and greeting attendees in a private area during the air show that lasted about half an hour south of Colorado Springs. News of the crash broke while Obama’s motorcade was returning to Peterson Air Force Base for his flight back to Washington. The crash occurred about 15 miles south of Peterson Air Force Base, where Air Force One was waiting to take off.

Obama briefly met with the pilot who crashed, shaking hands with him before he departed on Air Force One. Press Secretary Josh Earnest said the president “thanked the pilot for his service,” according to a pool report.

Watch the latest video at video.foxnews.com

Benjamin Newell, spokesman for the Air Force’s Air Combat Command in Langley, Va., said the crash happened as the pilot was returning to Peterson Air Force Base. He said the crash resulted from a “mishap.” Newell said it’s extremely rare for a Thunderbirds pilot to crash, saying they are among the best pilots in the Air Force and chosen specifically, because of their ability, to be a part of the program.

“We are unable to release the specifics at this time,” Newell said, citing an ongoing investigation. The pilot was able to walk away from the crash unhurt, Air Force officials said, but was being evaluated. “It’s a very traumatic event,” Newell said of an ejection.

“This is a very rare thing for them and in the Air Force overall,” Newell said.

The Thunderbirds said no one was hurt on the ground in the crash and that there is no hazard to the public. The cause of the crash was not immediately known, the Thunderbirds said in a statement.

The AP video below shows the Thunderbirds in action moments before the crash

In a separate incident, just hours later, a U.S. Navy Blue Angels F-18 crashed, the Navy public affairs office at the Pentagon said. The Blue Angels had been in the Smyrna, Tennessee, area for practice, according to the flight demonstration squadron’s Twitter account. According to CNN, one person died in …read more

Source: Air Force Jet Crashes Moments After Flying Above President Obama

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By Tyler Durden

Submitted by Marcus Williamson via Medium.com,

You may have seen the adverts, like the one above, or the headlines:

‘A quarter of a million’ UK students now using sugar daddies?—?BBC

Meet the sugar baby who’s had 10 sugar daddies – and has found love with one?—?Mirror

Things Are Thriving In The “Modern Hooker Economy”?—?Zerohedge

For those of you who aren't aware of what is going on here exactly, well let me cease your virginity on the matter.

This will be a non technical, yet comically financial style review of the rapidly growing industry, the areas which will be covered are the following:

1. The market securities (Students)

2. The market participants (Old men)

3. The market exchange (SeekingArrangements)

4. The market regulations (SeekingArrangements Blog Tips)

5. The effects of the marketplace on society (Why this is bad…)

* * *

1. The Market Securities

The marketplace has several asset classes ranging from single mothers to males, but more recently a new asset has been added.

Students

Students differ somewhat to existing securities due to their inherently different risk profile. Said differently, this is how much they cost compared to what they can in theory ‘deliver’ to the purchaser.

The method on which they have arrived in this marketplace is also different, they have been cornered, and now are being exploited.

Without further ado, let me introduce the asset class formally:

Sugar Babies, Female

A sugar baby

These securities are the supply element of the marketplace. There has been a recent spike in supply with over 250,000 UK students recently joining. Currently the most active tranches (Universities) can be seen below:

The fresh inflows are quickly assimilated into the marketplace, thanks to near insatiable market depth. The young, high yield securities are then bought, consumed, transferred between their counter-parties, then discarded (usually, but not always).

Sugar Guide for new Babies

They will typically set the buyer back £600-£2000 per month. Securities (Students) which have recently had an IPO (they signed up to a sugar daddy platform), can often be purchased for below intrinsic value (they don’t know how much money to ask for). However although an enhanced entry opportunity is present, they carry an unrated risk profile.

2. The Market Participants

The solid backbone to the marketplace; providing great market depth and consistent demand. The market participants are typically male, ranging from 30–50 years in age, with a dash of social instability. They are called Sugar Daddies.

Sugar Daddies

A not so gentle Gentleman

These form the demand within the marketplace; the counter-parties to Sugar Baby securities. They look to strike an ‘arrangement’ if the securities features fetch the right price.

Their investment profiles (desires) are clearly defined, and they look to acquire a portfolio of as many securities as needed to fit their risk / reward ratio.

However, Sugar Daddies have been known to crowd securities, forcing valuations higher. This often leads to a undesired …read more

Source: The Rise Of ‘Soft’ Prostitution

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By Tyler Durden

Today was yet another one of those days where you just have to laugh… (warning NSFW)

As the Treasury yield curve collapses to its lowest since 2007 with the S&P within a couple of percent of record highs…

Simply put – Bernanke broke the 'market' in the summer of 2011.

Futures show the farce once again as whatever weakness was seen overnight – red arrows – (in this case a failed OPEC meeting and drop in crude) was suddenly panic bid as US equities opened (green shaded regions)…

On the day, an ugly open was manically bid until the European close and then again into the NYMEX close…before a late day panic buying spectacle

Another day, another VIX-driven surge in stocks to make sure S&P regains 2,100 (because it makes perfect sense to sell down protection ahead of tomorrow's “most important ever” payrolls print)

The last two days have been one non-stop short-squeeze in cash markets…

Bonds entirely decoupled from stocks today…

What happens next? S&P Futs perfectly top-ticked last week's highs

The US Dollar dipped and ripped today to end unch, but lower on the day…JPY strengthened for the 3rd day in a row…

Commodities once again were mixed… all ending the day relative unchanged despite some major swings (not how oil ramped twice to unch on the week and still fell back)

Crude was once again just crazy… dropping on OPEC's fail and then ripping to the API stops on the DOE 'draw' data then fading once stops were run…

Charts: Bloomberg

Bonus Chart: Small Caps ain't cheap

…read more

Source: Dip-Buyers Panic Bid Stocks As Yield Curve Crashes To 9 Year Lows

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By Tyler Durden

Via The Economic Cycle Research Institute,

With all eyes on the timing of the Fed’s next rate hike, the reality remains that the U.S. economy will stay in a growth rate cycle (GRC) downturn. What we wrote around the time of the December rate hike remains true today: “With the GRC downturn set to deepen, a full-blown rate hike cycle remains improbable” (USCO Essentials, December 2015).

Notably, if the Fed does manage a mid-year rate hike – which itself is uncertain – that would amount to the longest gap on record between the first and second rate hikes.

A full-fledged rate hike cycle comprised of a succession of rate increases remains unlikely in the absence of a GRC upturn, which is not on the horizon. Furthermore, a recession starting late this year or early next year cannot be ruled out. Thus, rate cuts remain on the table over the coming year. Meanwhile, prospects for further rate hikes may run into other difficulties, given the global economic outlook.

In that context, ECRI’s 20-Country Coincident Index Growth Diffusion Index (20CIGDI, Chart), measuring the proportion of the 20 economies regularly monitored by ECRI whose coincident index growth rates have improved over a 12-month span, has already plummeted to a 38-month low. Please recall that, in the summer of 2014, in contrast to an upbeat consensus, ECRI predicted a global slowdown on the basis of this data and its long leading index counterpart, noting that, “with the 20CIGDI having rolled over and the [20-Country Long Leading Index Growth Diffusion Index] also in a cyclical downturn, reports of easing growth are likely to become more widespread internationally” (ICO, July 2014).

That became amply evident in the commodity price downturn that began around that time, as oil demand fell below expectations. Subsequently, the oil price decline was framed as an oversupply problem, as oil producers decided in the fall not to cut production.

Today, cyclical slowdowns are more widespread internationally than at any time in almost three years. Given the Fed’s recent emphasis on global growth, this may create another obstacle to its rate hike plans.

…read more

Source: Rate Hike "Cycle" Remains Unlikely

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By Tyler Durden

Submitted by Charles Hugh-Smith of OfTwoMinds blog,

Short, intense directed apprenticeships that teach students how to learn on their own to mastery are the future of higher education.

So it turns out sitting in a chair for four years doesn't deliver mastery in anything but the acquisition of staggering student-loan debt. Practical (i.e. useful) mastery requires not just hours of practice but directed deep learning via doing of the sort you only get in an apprenticeship.

The failure of our model of largely passive learning and rote practice is explained by Daniel Coyle in his book The Talent Code (sent to me by Ron G.), which upends the notion that talent is a genetic gift. It isn't–in his words, it's grown by deep practice, the ignition of motivation and master coaching.

Using these techniques, student reach levels of accomplishment in months that surpass those of students who spent years in hyper-costly conventional education programs. The potential to radically improve our higher education system while reducing the cost of that education by 90% is the topic of my books Get a Job, Build a Real Career and Defy a Bewildering Economy and The Nearly Free University and the Emerging Economy: The Revolution in Higher Education.

Let's start by admitting our system of higher education is unsustainable and broken: a complete failure by any reasonable, objective standard. Tuition has soared $1,100% while the output of the system (the economic/educational value of a college degree) has declined precipitously.

A recent major study, Academically Adrift: Limited Learning on College Campuses, concluded that “American higher education is characterized by limited or no learning for a large proportion of students.”

'Academically Adrift': The News Gets Worse and Worse (The Chronicle of Higher Education)

These two charts are the acme of unsustainability: college tuition has skyrocketed, along with federally funded student loan debt.

The typical graduate of a short, intense directed apprenticeship says “I learned more in a month here than I did in four years of college.” This is a statement of fact, and it is the result of the methods deployed in structured on-the-job training.

It is a fact that passively listening to a lecture does not generate the sort of mastery that creates economic value or the sort of deep understanding that is the goal of a classic liberal arts education.

It's also a fact that rote practice also doesn't lead to mastery, and often kills the very passion for a subject that in more productive programs jumpstarts mastery.

Our higher educational system has failed so badly that many students are incapable of writing/communicating effectively. In a world of rapidly changing technologies across every field and an emerging economy that places an ever-higher premium on collaboration and clear communication across multiple time zones and languages, the ability to write clearly is absolutely essential.

To “graduate” students with poor writing skills is completely unforgivable. Yet in the current system, if a student logs the requisite number of credits, a diploma is …read more

Source: It’s Time To Ditch 4 Years Of Costly College For Directed Apprenticeships

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By Tyler Durden

“It is a sad day for Miami, the United States and the game of golf” is the way Donald Trump started his statement in response to the news that the PGA Tour has decided to move a long-standing golf tournament from Donald Trump's golf course in Miami, Florida.

The PGA Tour announced Wednesday that the event formerly known as the WGC-Cadillac Championship that was held at Trump National Doral will now be called the WGC-Mexico Championship, and will be held at a venue in Mexico City starting in 2017.

Trump Doral had been the site of a PGA Tour event since 1962 according to ESPN, and PGA Tour commissioner Tim Finchem insists that it is not a political decision.

“Some of the reaction revolves around the feeling that this is a political exercise, and it is not that in any way, shape, or form. The decision here was based on the reality that we were not able to secure sponsorship for next year's WGC at Doral or for years out for that matter. At the same time, we had an opportunity to build what we think is going to be a spectacular event in an area that is strategically important to the growth of the sport and the activity of the PGA Tour that has been focused in South America and Central America for the last good number of years” Finchem said.

Cadillac did not renew its sponsorship after the 2016 tournament, and even though in 2013 the PGA Tour announced a 10-year contract extension with Trump National Doral through 2023, the deal was contingent upon title sponsorship. A sponsorship requires around $10 million for one event according to ESPN.

Although the move from the Tour's perspective was business related, Finchem hinted that the tournament's inability to find a sponsor may have been related to Trump's politics: “I know everybody's talking about politics, but it's actually not that, in my view. I think it's more Donald Trump is a brand, a big brand, and when you're asking a company to invest millions of dollars in branding a tournament and they're going to share that brand with the host, it's a difficult conversation.“

The irony wasn't lost on the world's former number one ranked golfer Rory McIlroy, who said “It's quite ironic that we're going to Mexico after being at Doral. We just jump over the wall.”

As for Trump, he had his usual headline grabbing comments on the matter as well.

“I just heard that the PGA Tour is taking their tournament out of Miami and moving it to Mexico. It's at Doral, they use one of my places – They're moving it to Mexico City which by the way, I hope they have kidnapping insurance.“

* * *

The truth is probably somewhere in the middle on what happened to the tournament, but one thing is for sure, there is rarely a dull moment when it comes to The Donald.

Full Trump Statement

“It is a sad day for Miami, the United States and the game of …read more

Source: "I Hope They Have Kidnapping Insurance" – Trump Blasts PGA Tour For Taking His Tournament To Mexico

    

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