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Wow, Thats deep. Tomorrow POMO will make it all better.
It unfortunately always does. They've ruined my Direxions ETF Bear shares too many times to count with getting stopped out.
It's a bizarro superman universe out there. Bad News, Calamity, Death, Pestilence, Famine = Great Markets. When I see dire news on Bloomberg it means it's time to buy on the dips.
"it is not the working population but the working population as a % of total population that matters..."
This is an obvious conclusion that does not warrant the high paycheck.
Tomorrow's a TIPS pomo day. Look 'em up on the charts. TIPS days suck -- as in money *out* of the market. (A TIPS day is one of the few on which I've seen option chains register negative numbers on *all* strikes. If this is zero-sum, on a TIPS day it can cease to be put v. call, but put *and* call v. ???)
Tomorrow's also a tone-setting day for a big earnings-report week. Lots of little guys all-in long (it's worked so far), and with options expiration Friday, this week's looking like a slaughter -- led by Vikram of the Citi.
The anecdotal chart of declining Fed credibility remains still unavailable in an undoctored form, the SPX stalking 1300. Looks like a good week for puts. (Not a good week for putz.)
A tone-setting day indeed, as 200-plus hedge funds realize they've been holding a call option on Steve Jobs' health.
Jahwol, mein herr. I was bearish coming into this day. As virgilcaine said on another thread, "The top is in."
Not only POMO's going on. It's also "American Idol" week, meaning the government can do whatever they want and the news won't cover it, and if they did, no one would pay attention.
Any way we can correlate legislative screwing of the people with hours of "American Idol" programming in a given week?
Bread and Circuses
Per the futures, the S&P has given up 25% of Friday's gains.
THIS IS THE BIG ONE, BABY!!!
That is nothing. Market gets back in a second.
/ES down 4 pts. Hardly the "BIG ONE"
I wouldn't say the decline in S&P futures is anything to shout about . Nasdaq futures on the other hand have fallen big time in the last few hours .
The 4 POMO dudes are off today. Tomorrow is another day.
Futures are meaningless in a government interventionist market.
He's just signaling the introduction of QE3 to QE17. They have to send out a different chump to tell us they need more money in between months of pumping the economy...............and by economy I mean mine and your anus. ani? pleural?
Ben will stick to his story that " the USA is not going the way of Japan " until the last dying fiatsco.
Does anyone remember Don Johnson and his $8 Billion dollars in a suitcase?
Yes. It was mostly foreign government bearer bonds.
No. We never got the REAL story.
After several hours he was released WITH the securities.
Whatever happened to the 2 Japanese caught in Italy, on a train to Switzerland, with $135 Billion in US bearer bonds?
The bonds weren't 'fake'.
Yes they were fakes, they idiots that printed them, put a image of an American Space Shuttle on them.
The Bonds were way older than any dream of a Shuttle.
"put a image of an American Space Shuttle on them"
On the topic of QE -- a remix of the original talking bears discussing QE:
Interview with the clip's creator, Omid Malekan on Minyanville
Some Sonoma banker bears discuss their own brand of QE while the bank fails.
Boomers are getting to the stage where they're taking money out of the market to live on. We've all seen the reports here on ZH. Outflows, outflows, outflows. Bernanke is stuck on the POMO-stick. If he want equities to hold, he's gonna have to keep bouncing that sucker, otherwise Lloyd and Jamie steamy embrace devolves into a bitch slap frenzy.
Boomers are taking money out of an inflated fake mkt, and their $$ off the table.
Having been sheared a couple of times, they know they cannot take another haircut(and live long enough to make it up),they have figured out a 25% shear requires a 50% increase to just get back to even.
And their say FU no Mo.
"No mo ?"
POMO, bro !
Just buy the dip. Everything will be groovy.
In reply to DosZap "Boomers are taking money out of an inflated fake mkt, and their $$ off the table."
Yes, I am a boomer and started taking $ out of the stock market in 2005, using it to 1) pay off debt, 2) purchase PMs, 3) make contrarian investments, and 4) prep. Most of my $ had been in Textron - I worked for a subdivision and have since taken early retirement. I was fortunate to have dodged a huge bullet by getting out early.
After a few bank transactions that I knew would be reported I was "randomly" selected to participate in the US Census SIPP (Survey of Income and Program Participation). Every 4 months I get a government call or visit with detailed financial and other questions that you might not believe. So, it might be that I'm "on a list" or it's quite a concidence. Either way "we pays our money and takes our chances."
I have really enjoyed contrarian investing and doing it myself.
I was a SIPP victim for awhile. My advice is to stop communicating with those people ASAP.
The average American's argument is that since the stock market is comprised of companies that actually make real products, the rising prices cannot be a mirage of Uncle Ben's making. They are in fact reflecting a supposed real (rising) demand for the products that these companies are making and selling.
I await your responses as my heart bleeds for the average American.
The average American is an automaton. No better. A slave of training and propaganda.
Chock-a-block with one liners borrowed from some sit-com writer, relayed ad infinitum through re-runs so they are engrained as funny, or sad or definitely appropriate responses to those carefully crafted "reel" life sit-uations, mimicking life, mimicking art, mimicking life, mimicking art... ouroborus.
My response is your comments are an oversimplification of the business cycle, thus allowing you to post a bullish message in 40 words or less. You don't seem to understand the inventory rebuild cycle, and how that ends when organic economic growth is not present [as is the case in the US].
As well, you leave certain terms in your comments ambiguous. For example, you say, "the rising prices..." What prices are you talking about?
You mention rising demand...but you make no attempt to explain that this supposed rising demand is a blip bounce off of a death cliff of falling demand which, like unemployment, is almost certain to be structurally impaired for years to come.
I think you barely make an argument at all. That is my response, anyway.
Trillions in money printing from butt-wranglers Bernanke and Geithner 'driving up prices' due the dollar being trashed is not 'increasing demand for products', just means things people need to live are going up in price. Doesnt reflect a thing on the ability of bankrupt americans to PAY higher prices.
And never forget that great american economic foundation, the $10 rice burrito!!
Funny you bring up the burrito.Just snagged another 25# bag or rice and pintos.
Every supermkt trip adds more surplus reserves.
GDP = consumption + gov't spending + investment + exports - imports.
delta GDP = 2.7%, delta gov't spending = 11%
You do the math
I'd add a 2nd mirage to the stock market activitity you mention. Most Americans believe the following: cash is safe. This is another myth they'll wake up to, but only after it's too late for most of them.
Cash flow matters? Who still believes in that old cliche? POMO and overstuffed burritos will take us to the promised land.
Hooray for $10 overstuffed rice burritos! Its what america is now built on. That and IGadgets.
whoa,, no wonder all banks are insolvent.. if economits are jsut plain stupid
If Edwards is correct, and it is not the working population but the working population as a % of total population that matters (which is critical considering the recent 25 year low in the labor force participation rate),
cant believe.. YES FUCKING VIRGINIA, ITS NOT FICKING KANSAS ANYMORE..
what is the point in people if THEY'RE FUCKING UNEDUCATED, umeployed, poor / stupid / hungry? its what America became..
if demographics were only reason to be prospered for country, why china is so fucking poor ( 500$ annual income), why is in INDIA still dead bodies in fuckign river Gang and people shit/eat/wash same places ??
on contrary richest countries are small coutries where GOVERMENT UNDERASTAND main asset is PEOPLE, who are THE BLCOKS OF NATION... Switz, Singapore, Sweden , Dania, Finland etc eetc.. most happy, most rich , most advanced in the world...
Also the most ehthnically PURE nations on the globe.
Tough as hell on immigration, and citizenship.
i'm sorry but is there a bear club which he is part of , what's the name of that club, or do you have to live in a certain area to be a bear ? Or is it some media group ?
And that's happening all over the world. The governments have seen this comming and this is why they spurred mass immigration hopping they would buy all these assets and keep the price up.
They seemed to have forgotten that the immegrants don't have the good jobs and can't afford those assets. (unless they deal dope)
there will be a oversupply for the next decades to come because the population gets smaller and smaller. And the once that should buy it, have almost no money so they will pay a nickle on the dollar for those assets.
What has spurred the migration is the transportation of resources from A to B. Always been the case. People who can follow the resources.
Has been the case since hunters-gatherers drivel through countryside to town exodus to now: people follow the resources.
i believe Mr Edwards predicted an S&P of 450. If that was "too bullish", what is the new target?
Yes, my comment was an over simplification, but it was a direct quote I lifted from someonewho had money in the stock market) and who believed that they were in fact getting "richer" based on the rising prices of the stocks in her 401K plan.
What is the inventory rebuild cycle?
This guy had a similar idea several years ago:
SSEC Shanghai Composite 2,707.102:00AM EST 84.24 (3.02%)
Japan's problems occurred while most of the rest of the World was in a bull market (the US and UK being prime examples).
Japan's problems continue. The demographic 'time bomb', which has been known about for a number of years, and the other problems associated with the West are occurring in a secular bear market. Any 'recovery' seems more and more predicated on what China will (or will be able to) do. For all the talk of recovery, the US, UK and Europe continue with very low rates of interest and monetizng debt - if we're in a recovery why the need to continue?
I could go on.
Let's face it, the market has gone up in a straight line since the beginning of December and is starting to look very overbought on a technical basis.
'Buy the dip' has become a feedback loop. You see it on literally every comment section of every financial website - 'Buy the Dip! Buy the Dip!'. It has become so mainstream that there are actually no dips now. Peoples' belief that the Fed will prevent any kind of pullback has become more powerful than QE2 itself.
This can only end one way, and when this feedback loop stops, there will be a large pullback that happens very quickly. After that, I guess the market will carry on melting up, having taken the money of those who bought in near the top or on leverage.
I guess what I am trying to say is, even if you are bullish to the moon you should not be too suprised to see some kind of pullback soon.
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