Daily Credit Summary: June 22 - World Banked

Spreads were broadly wider in the US as all the indices deteriorated. Indices generally outperformed intrinsics (as post-roll derisking covered by index hedges seemed prevalent) with skews widening in general as IG's skew decompressed as the index beat intrinsics, HVOL outperformed but widened the skew, ExHVOL outperformed pushing the skew wider, XO's skew increased as the index outperformed, and HY outperformed but narrowed the skew.

Collision Course And Volume Spike

The 50 DMA and 200 DMA are about to collide. What next?

Also, major volume into the last minute of sell off and continuing after close (going from cumulative below average to well above): Merrill and Susqehanna trading 1 million SPY share blocks after close independently.

SF Fed On Effectiveness Of Stimulus Package

San Francisco Fed providing their 2 cents on classical Keynesian economics as pertains to the efficacy of the $787 billion Obama Stimulus Plan. In summary: "The uncertainty ... remains high. Several economists remain skeptical that fiscal multipliers—whether from spending or taxes—are very large (see, for instance, Barro 2009). Moreover historical relationships may prove much less reliable during this downturn.

Letter From Indiana Pensioners' Richard Mourdock

June 22, 2009

Dear Friends & Supporters:

Propaganda Machine Needs Oiling, GDP Needs Red Bull

With headlines like this, who can argue that the media machine, in full control for the past 3 months, has gotten skewered on its own (lack of) propaganda:

1:00 pm : A lack of upbeat headlines has allowed participants to take control of the session. In turn, losses have been deep and broad-based, leaving stocks to test a major technical hurdle.

Intraday TICK Update

Not a single buy-program in da house today.

hat tip permabullish knockout optioned, kilt wearing dude

Intraday TICK Update

Not a single buy-program in da house today.

hat tip permabullish knockout optioned, kilt wearing dude