Crude Back To Pre-Goldman Downgrade(s) Level

Tyler Durden's picture

For those curious what the half of life of not one, not two, but three consecutive Goldman crude downgrades is these days, the answer is - three days. It finally appears that the broader public is well-aware of just how business is done at 200 West. To all those who sold despite our warning that this is merely a shake out of the trembling hands, better luck next time. On the other hand, the squid, unlikely to accept defeat at buying crude at lower prices courtesy of panic sellers, will most certainly continue its onslaught against those who refuse to part with actually valuable assets and proceed with converting commodities into an infinitely dilutable and totally worthless combination of 75% cotton/25% linen.

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Josh Randall's picture

The SQUID got it wrong ? LOL

e_goldstein's picture

Nah, the squid got it right. They just suckered all their clients to go short so they could get long.

topcallingtroll's picture

counterparties.  Squid no longer has clients.

BobPaulson's picture

Excellent point. If they have clients they are certifiable morons because every doubletalk bullshit announcement the Goldmen make is a new Ph.D. thesis in mass psyops mind control and has so little to do with real market expectations it drives one to laughter or tears.

The Goldmen New English Dictionary:

counterparty  (?ka?nt??p??t?) 

— n  , pl -parties: chump, sucker, patsy, target, bag holder, fall guy

What does it all mean's picture

I could have swore that Goldman downgrade came at about noon Monday, at which the Crude was still 111ish.

the mad hatter's picture

when a doctor gives bad advice, he gets sued back to the stone age.

when an investment banker rips you off, he gets away with it.


Wall St. justices does not know the meaning of fudiciary duty.

Id fight Gandhi's picture

We knew this would happen. Now did gs short then buy or just buy?

BobPaulson's picture

Just look at the line. If it is going up, they were long. If it is doing down, they were short. If you can be in front of every trade, wouldn't you try to make money off every change?

ZeroPower's picture

Awfully quiet on the qaddafi front as well... PMs keep truckin, but not buying silver's move due to lack of 52s on the miners. 

SheepDog-One's picture

I saw a weird video yesterday of Qadaffi traveling around Tripoli in a convertible.

topcallingtroll's picture

whoever thought an entire government could make for such campy entertainment?

Where is the big buxomed "nurse."

pendragon's picture

LOL the appearance with the umbrella barking like a dog in front of a bombed out building was my favorite...clinical insanity

Mr Lennon Hendrix's picture

If Goldman Sucks could solve the Africa/Middle East tension, then maybe their sellside operation would have been justified, but not even the "Free" World, led by such braggadocious figures like Sarkozy, Cameron, Hill Clinton, and Obama can "solve" the problems.

Rikki-Tikki-Tavi's picture

Most have been a body double - even he is not crazy enough for a stunt like that.

ZeroPower's picture

Lol. With an umbrella i assume..

ZeroPower's picture

Lol. With an umbrella i assume..

Rodent Freikorps's picture

GS clients deserve to die, penniless, in a gutter.

SheepDog-One's picture

Always do the opposite of what Greedy Satan says.

cbaba's picture

Their customers learned what kind of shitty business they do, now everybody knows what the Squid is so that's why half life is 3 days.


topcallingtroll's picture

Godman no longer has clients, just counterparties.

PulauHantu29's picture

I am not surprised. Even though you "can't eat oil"...the military sure needs this stuff as Rumsfeld repeatedly said. And next to food, oil is the most important commodity out there. Even BAC now says oil will rise to over $160 by the end of this year.

Cleanclog's picture

Equities up VIX down.  This means what?  QE3? Energy prices don't matter?  Debt ceiling irrelevant?   Or just that Greece, Portugal and Ireland won't be able to buy oil anymore.  The markets interactions are nonsensical.

d00daa's picture

"The market is not pricing in QE3.  The market is pricing in an economic boom, led by the US consumer."



Internet Tough Guy's picture

Eric King and General Jim are kicking sand in Robo's face again.

lieutenantjohnchard's picture

yes! we few, we happy few, we band of silver brothers.

SheepDog-One's picture

LOL! Robo took time out of his busy dumpster diving schedule to post the consumer is strong? What does he expect, a boost to food stamp and unemployment check sums?

d00daa's picture

I shit you not.  His exact quote.

I will never forget.

topcallingtroll's picture

I was afraid that goldman no longer had cred.

I wanted to stay in gdxj at 42 something and jumped out.

I wanted to stay out at 40 something and jumped back in.

Now I have no fucking idea what to do.

Just Observing's picture

Hell, that's easy.  Buy toilet paper, before the next roll size decrease hits along with the price per roll going up.

Not like your aren't gonna need it.


milanitaly's picture

Their eur/usd outlook will go in the same way!

nah's picture

Pay on thru to the other side... Pay on thru to the other side

slaughterer's picture

Silver is getting whacked right now.

SheepDog-One's picture

'Silver getting whacked'? Its at 42.68.

slaughterer's picture

Someone just dumped a whole lot of paper.

Rikki-Tikki-Tavi's picture

Is that what your GS sales rep just told you?

slaughterer's picture

GS sales rep told me to buy JULY SLV 7/16/2011 40.00 Puts today when silver popped up to 42.70.    They said that was the pivot. 

SheepDog-One's picture

Well Ive got a real time chart of everything right here on the split screen...I dont see any silver whacking going on at all, 42.65.

slaughterer's picture

I have $42.55 right now.  Last half hour of NYMEX today was strange, got me worried. 

NOTW777's picture

even SLV is at a high

come back to earth

slaughterer's picture

SLV is not very accurate today.

TruthInSunshine's picture

As much as I despise Goldman & as a much as I value Zero Hedge, this is one of those calls that will turn out correctly for Goldman.

I'm not sure the good v bad or great v epicly horrible call ratio that is expected of Goldman or a similar firm of their slimy ilk, but correct calls have to be something greater than 1% of the time, I would assume.

It is perfectly clear that a very monstrous bubble in commodities is forming.

As for the global monetary base, it's amazing what popping bubbles can do to cremate a good chunk of that fiat in record time when the bubbles-they-start-a-burstin' (see Chinese real estate as of today for but one of many examples).

SheepDog-One's picture

Whats the more monstrous bubble, in equities up 100% ONLY due to fiat printing and banker manipulation, or crops down all over the world, real food inflation due to a world awash in BennieBux, and oil in a world war footing?

TruthInSunshine's picture

Demand destruction is a real phenomenom and is vicious when it rears its head.