Archive - Nov 25, 2009

George Washington's picture

The Fed Doesn't Want Banks to Increase Lending





"Easing credit standards and expanding their lending substantially ... if not offset by Federal Reserve actions, could give additional impetus to spending and, potentially, to actual and expected inflation"

 

Bruce Krasting's picture

Turkey Factor





While we are eating the rest of the world goes on. "They" are going to be talking about us.

 

Marla Singer's picture

Radio Zero: Happy Thankstaking!





Have to face the in-laws tomorrow?  Or (worse) later tonight?  We feel for you.  Radio Zero will [soothe your pain/aggravate your irritation].

Check on our up-to-the-5-minute-interval status:  http://radio.cl.zerohedge.com

Or just listen here: http://cdo.zerohedge.com:8000/listen.pls

You can pick up our West Coast Mirror (with 1000 slots) here: http://72.13.86.66:8000/listen.pls thanks to the mind-blowing generosity of EGI Hosting.

Chat up the DJ (send your .mp3 files) here: radiozh.

Or... join our IRC server at chat.zerohedge.com #radiozh.  If you just can't be bothered with an IRC client, we've provided one for you here (opens new window). Otherwise, consider getting mIRC.  (Since our chat server has gone beta, you might want to give it a shot).

So, is that enough options for you yet?

We'll go live around 8:00(ish) ET.  Hear you there!

 

Tyler Durden's picture

Sprott's John Embry Discusses The Four Horsemen Of The Financial Apocalypse





"In my opinion, the current equivalent of the mythical Four Horsemen of the Apocalypse are our financial leaders in the western world who are enthusiastically promoting and aggressively implementing quantitative easing in an attempt to sustain an obviously failed system and to bail out their banking cronies. They would include the atavistic Lawrence Summers...the extremely naive Fed chairman, Ben Bernanke, the truly feckless U.S. Treasury Secretary, Timothy Geithner and Bernanke's British equivalent, the hapless Mervyn King, head of the Bank of England."

 

Marla Singer's picture

Presented Without Comment: Experience





 

Tyler Durden's picture

Top 100 Most Active Cash Bonds - November 25





  1. ECOPET, 35.9 million, 20 trades
  2. CCU, 34.5 million, 10 trades
  3. GMAC, 34.5 million, 13 trades
  4. PDE, 33.1 million, 10 trades
  5. HEIGR, 25.8 million, 8 trades
 

Tyler Durden's picture

Daily Credit Summary: November 25 - Going For Gold





Spreads closed mixed with IG unch and HY marginally tighter as volumes dried up this afternoon ahead of the holiday. With low volumes in indices and less in single-names and intraday ranges in IG and HY at their lowest in months, picking out themes from today's market action seems useless although we do note that between Dubai and Gold, the economic headlines seemed to be forgotten about.

 

Tyler Durden's picture

$1,190 Breached, John McClane Summoned To The Scene





At this point there is little sense in putting up any more gold charts. It is pretty clear what is happening: John McClane and Samuel L. Jackson are waiting for the next phone call with detailed instructions from Bernanke on how to short the dollar as the kleptocrats haul the 33 Liberty Street gold stash using garbage trucks.

 

Marla Singer's picture

All That Expires is Not Gold





It is difficult to draw comparisons between last year's market for gold futures and today's, given that gold wasn't exactly on anyone's radar in late 2008, but we'll try anyhow. Curiously, the January contract (expiring January 5, 2010) might as well be chopped liver according to volume today. What does it say about futures traders that none want a contract that expires 4 days after the new year? Just that they plan on having a significant hangover? Or that they want zero roll risk after a long market holiday?

 

Tyler Durden's picture

Euro Passes $1.51 As Gold Surges To $1188/Oz, Dollar Monkeyhammered





"I believe deeply that it's very important for the U.S. and the economic health of the U.S. that we maintain a strong dollar. We bear special responsibility for trying to make sure that we are implementing policy in the U.S. that will sustain confidence not just among American investors and savers but investors around the world that the U.S. will fix its budgetary problems as its economy improves." - Tim Geithner

 

Tyler Durden's picture

Guest Post: You Can't Wipe Your Butt With Gold: Treasuries Since 1798 And Risk-Minimal Trade Construction





There is good reason for the Federal Reserve to revive inflation in the economy, but she don’t want a bear market in Treasuries. These two objectives aren’t compatible at this point, because we are way beyond the ability to control what inflates and what doesn’t. Either the Fed re-inflates and a bear market in Treasuries ensues, or the United States government has insufficient political will to re-inflate, and we enter a Japanese spiral of deflationary hell or worse.

A treasury market bear will take the S&P to the fundamental low in this bear market. It will decimate HY and leveraged loans (theorization). Consumer credit will be in a constant downtrend. The financial system will suffer and downsize. A bear market in Treasuries IS deleveraging manifested. In a more positive sense, the bear market will begin the process of creative destruction.

Gold screaming higher doesn’t necessarily imply a doomsday scenario, a currency crisis, or a variant apocalyptic vision. Gold is just a straddle option to hedge government recklessness and theft. It is an instrument to clip the tail risk in otherwise risk-minimal trades, because it is an excellent long in times of inflation and deflation. But it’s not enough. It generates no income, and it is certainly without risk itself.

 

Tyler Durden's picture

IMF Announces Sale Of 10 Metric Tons Of Gold To Sri Lanka





Developing story. The Tamil tigers are next in line to give Bernanke the one finger salute. Gold now at $1,186 $1,187. Do we hit $1,200 today?

 

Tyler Durden's picture

Goldman Stock Price Weakness Persists, Hits One Std Dev Below November VWAP





Even with the market trading higher on the 5 or so shares churned by whatever rebate chasers are still in operation, Goldman has been quite week recently, and today the stock hit one standard deviation below the stock's November VWAP of 173.86. One std dev is +/- 3.4 so the most recent price of $169.13 must be looking marginally anomalous to the algos that use Goldman as a leading indicator for financials (and potentially the broader market).

 

Tyler Durden's picture

$32 Billion 7 Year Auction Closes At 2.835%, 87.98% Allotted





And still everyone keeps on jumping into Treasuries, regardless of position on the curve...equities continue refusing to care.

  • Yields 2.835% vs. Exp. 2.878%
  • Bid To Cover 2.76 vs. Avg. 2.73 (Prev. 2.65)
  • Indirects 62.5% vs. Avg. 62.4% (Prev. 59.35%)
  • Indirect Bid To Cover 1.29
  • Alloted high 87.98%
 
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