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Friday Flush Sticksave Provided By Fed, As Basel Capital Charge Requirement "May" Be Lowered From 3% To 2-2.5%
Nothing like the Criminal Reserve announcing at 2pm on Friday, just as the market was about to flush all stops to the bottom that the already laughable 3% capital charge buffer (initially expected to be 9%) required by Basel may be reduced even more (according to NY Fed mouthpiece Steve Liesman, a hypothetical which will likely be refuted before long), probably down to 2-2.5%. This number is woefully inadequate to protect financial companies from the the material capital infusion that will be needed post the onboarding of $200+ trillion in OTC derivatives to exchanges as we reported previosuly, but who the hell cares: must kick the can down the road one more day.
XLF's knee jerk reaction.
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Drop the reserve ratios to 0%.
Does it really matter when the 3% or 2.25% or WTF is free fiatski, with a government guaranteed backstop?
LULZnomic.
CNBC is in on the FRAUD news. They had a team to report on this scam. Rumor is all the hedge funds had trades in before.
The rumor mill says Goldman, BAC and JPM will make a million or more on the news.
CNBC also reports that Fed will offer free blow jobs with purchase of ES contracts. Oh, and free ice cream for the kiddies (the two are not connected).
Maybe it's time for "sources" in the WH to announce a new stimulus package is in the works?
Shut down the CNBC,
ZH 100% better info and content.
its just an intentional rumor
Keep shorting banks and insurance till 1.100
I thought they were suppose to be honest. They all belong in Jail.
When is collusion by CNBC, a hedge fund or two and traders criminal? At exactly 2:00 is when the XLF manipulation started. With news commentaries from four analyst provided by CNBC already lined up, to assist us in the benefits to the banks on this great news to save the bankers. Was it a secret meeting or a secret scam to benefit some insiders of the plan to make huge profits trading on the scheme ?
Does this qualify as insider trading ?
Hello SEC or DOJ or anybody who believes the markets should have some kind of integrity.
There is absolutely nothing like a good rumor to fix all that is fundamentally wrong, even if the substance the rumor speaks to wouldn't do jack shit in reality, so that several dozens of millions in fiatski can be scalped in milliseconds by little black boxes allegedly containing algorithms, but actually only contain tiny midget traders that receive front running info via a red telephone.
I usually watch Bloomberg, I saw the spike up on the banks, turned over to CNBC and they had Breaking News.
Huh, With a whole team of analyst to report of how gooooood the news is for the banks.
I did not know CNBC's staff of Women, including Liesman, had the responsibility to blow all the Bankers.
Hmmmmmmmmmm. What a shit financial news station.
ZH Rules. No.1 in real unbiased Market news. Good or Bad.
Who wants to organize a Creative Letter Writing contest with the Theme :
Dear NBC:
Why I think your network should be shuttered for the sake of the Republic...
Whenever you see large institutions that care not a bit about their crumbling integrity, that is exactly when folk should start getting very, very nervous. This goes for both the BlowHorn and the Federal Reserve Bank.
I would hope that the people at CNBC have to take care about where they are seen in public.
I can not imagine that they are liked everywhere. Not all of New York can be in love with them.
No kidding. How laughable is the financial system now?
Its totaly laughable, and theyre extremely puzzled why we dont take them seriously at all since they tell themselves we're all just a bunch of retarded plebes. The dangers of buying your own hype.
Sell it. The first really large sell wave has already come through.
And will someone please arrest the Federal Reserve Chairman, the one who cannot even let his second crime wave end before teasing the market with his next crime wave.
For fucks sake! Lower capital requirements on insolvent banks? Are you kidding...this is the best rumor they could come up with?
And somebody send someone to pick up Duncan Niederauer, as well...for the co located nightmare he helped to install in this market place.
Sell it, folks...this has been a rumor innitiated, computer harvested scam...brought to you by your friendly criminal syndicate Wall Street banker supporters at the BlowHorn [CNBC].
CNBC - I quit watching it years ago, and can't believe I could ever stomach it.
It's literally a direct proxy of the 'Federal' Reserve and our very honest and upstanding government.
The jig was really up when it dawned on many that GE, formerly owning NBC along with the parasitic lamphrey that is CNBSC, was one of the biggest donees of the government bailout, through TARP and TALF (not to mention all the low interest loans and even access to the discount window it availed itself of, or the government contracts it receives). To add insult to injury, Jeff Immelt, as you know, now works in the Obama Administration.
CONfidence games amongst media participants in the great experiment in McMockracy have never been so easy to spot.
And what a fine, fine McMockracy it is!
Brother Truth,
The GE thing is epic...and I mean epic...crony capitalism. It also contains some serious personal liberty selling by the corptocracy, for the promise of "ear mark" cash. Seriously disgusting, and not at all surprising that our President, who seems to have a taste for fascism/Marxism, would choose Immelt to join his failing administration.
And you are also correct about just how helpful The BlowHorn was when it came to facilitating the $7 trillion dollar stimulous, bailout theft of Average Joes' future children's tax payer pockets.
But fool me once, shame on you. As the the market now falls apart a second time, you can count on continued bullishness from the network...until they suddenly go bearish and start the fear mongering...at which time you'll have your cues for covering short positions.
This rumor blip today will prove to be absolute nonsense...just an algorithmic trim on the dunce algos [typically firing on half of their cylinders and emanating from Hong Kong.]
**oh, and I just noticed that all the algo trick did was bring the Vix back down to Carter Worth's cool "smoothing mechanism"...where the Vix BOUNCED.**
Fuck, I'd like to see the Silver price effects if CRIMEX were to lower margin requirements by almost 30%.
I coulda swore that beernake said about a year or so ago
that any amount of reserve was dumb.
sub zero dude! GO FER IT! LETS ROLLLLLLLL!!!!
Good luck trading this market without inside information.
And they wonder why Mom and Pop have stayed away.
It's looking more and more like these tawdry leaks and manipulations (the obfuscation trade) are no longer saving the busted system. Buy this little rally-ette and be crushed.
Most excellent avatar.
thank you pale face
+1
completly agree sir.
Always helpful when it co-insides with the 200+/- ema "Blind order white boxes"
Wont last long. Just need to flush the demand. They'll just try & swamp it the 1272 area.
PPT in action....I hear they get paid OT for staying late in the day.....This is late in the day for FED employees....
(sarc/on) But wait, remember? ....there is no PPT....that is just tin foil... (sarc/off).
Oh, I thought it was that much better than expected Budget deficit figure.
Hilarious. The PigMen have once again achieved the "impossible", right when the SPY was finally going to have a correction.
I expect LULU to reach back its all-time highs as soon as monday.
Robo, how do you sign out and back in so quickly?
i confess! i have never been in the same room, together, with either of them! now let me go!
this is funny! should we expect hamy to be posting pictures, now?
Channeling Momofader now?
RoboFaker at least get the troll names right.
"but who the hell cares".. Copy and paste x1000
Around 1267.50 is the daily CLOSE SPX support diagonal off the 667 lows. The end is near (till QE3 of course).
they are 30 minutes early with the announcement - selling to commence at 3pm...same time same place
OT-maybe
Drudge stating Swiss politicians marching on Bilderburger scum to arrest the war criminal Kissinger. Looks like a Tyler take to me. ZH can always add that cynical, iconoclastic slant we all know and love.
Doo dah, doo dah.
Camptown ladies sing this song! Doo dah, doo dah!
This really can't hold up long! Oh the doo dah day!
And this improves solvency on deteriorating Tier 1 assets how again?
watch for them to lower the daily ATM usage allowed. proving once and for all there once you put your money in a bank...it ceases to be your money and becomes their gambling and bonus fund.
I'm gonna need a bigger mattress.
They can jawbone all they like, the momentum is DOWN. All they are trying to do is controll the implosion. Stay short.
Mr Market might duck into a methadone clinic here and there along the way, but the downward spiral has commenced, his free smack has been cut off.
down we go - next 4-6 weeks - everything in between is noise
all rallies are to be sold
in everything, no exceptions
everything short - dollar long
.
Won't even hold out until the close...hahahh
Right. Traders "may" be fading this move already.
+1
Look how easy the weak hands like robo jusy got knocked out of their position shorts...:)
*I thought QE 2 ends in June, no? 06-10 14:11: NY Fed to buy USD 62bln of Treasuries and TIPS from June 13 through to July 11
06-10 13:17: Fed begins to drain reserve with reverse repo agreements, according to the NY Fed
The Fed has rollover money from interest they will receive on MBS and other toxic sludge (before that ultimately grenades) that they can rollover into more terrible investment acquisitions.
It won't be anywhere close to QEeefable levels of buying power, but it's something, or so they say.
And ready $$$
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
To implement monetary policy, short-term repurchase and reverse repurchase agreements are used to temporarily affect the size of the Federal Reserve System's portfolio and influence day-to-day trading in the federal funds market....
And support our members, the banks
There, fixed it
absolutely INSANE.
there will be no receiver for this hail mary.
It's like what happens if a tree falls in a forest and no is around to hear it...
...that whole hail mary pass with no receiver thing.
What are you talking about? Robo went long GS at 135.70
That's what he said then.
After the fact, he'll let everyone know he was secretly short.
would it be true to say that when you get to zero capital requirements and no limits to futures trading positions your allowed to take on (if your JPM etc.) along with access to credit at .001 from the fed, means you literally have an infinite amount of pressure you can apply to either side of a trade to effect what ever outcome you desire?
This smells of a preemptive action to an imminent event, I'd say a capital event is lurking nearby.
Has Greece default been already tentatively agreed upon behind the closed doors?......
Just came across TOS news that obummer is going to help bail out Greece................HA...too fkn funny.........
what the fuck is he gonna give them? hopium? cause he sure as fuck ain't got no money to spare.
the only reason the fed would do this is to trap more bulls. S&P 1275 and $100 oil doesnt warrant QE3.
I can't wait to see things like this covered in some PBS documentary in 10 years on the collapse of the dollar. The average American will still be in "how did this happen?" mode
they'll have no time to think about it...they'll be too busy trying to learn how to say "would you like fries with that" in Chinese.
And millions of American women will be on their knees trying to earn a Chinese husband.
Steve is a dumfuk
he's the Liesman
Lies, Lies, Liesman.
A purveyor of "continued success" thru more national debt and increased taxation on businesses. (to create job, of course.)
He, who have not the dignity nor character to admit when he is absolutely wrong. And a "blowhard" for his master, the fool at the FED.
It's all become a circus and a charade.
Tick...tick...tick...tick...
tks for helping me short dumfuk fed slut
Ok, enough with the comic shenanigans; it's 2:30pm on a Friday afternoon, and the only truly important question left to ask is...who else is in the mood for a drink?
Present!
Been sippin a bit already. After the close its onto boilermakers.
This is what they're sipping on in St. Moritz, homefry.
Remy Martin Louis Xiii Grande
Yabba dabba do.
Ho ho ho. To paraphrase a similar poster from a few days back - 'This is Calvinball'. There are no rules. Down 4 - 0 in the bottom of the ninth with 2 out? No problem, its now 10 outs a side, and a strikeout counts as 10 points. You can not win on the bear side in a rigged market... The wealth confiscation will be through inflation, not collapse.
Yep, go to all things physical of real value, ASAP, and maybe some basket fiat. Wait to buy more value-added assets for pennies on the former pound, dollar, yuan, etc. Nothing else you can do really. You now need inside information to do anything else.
It'll only hurt the financials in the long run.
How can an absolute twit like Lies.man make the markets move like this. And the audience for the idiot channel I would guess is near an all time low. Staying short all here. Shows us how desperate they are getting. Gonna get scary soon.
Please. In 2008 leaks from Treasury and Fed to CNBC moves markets 100's of points a day.
This is just playbook 2008 redux.
Was it Steve who bot those XLF Jul 16s last week?
MS, GS, BAC, and the rest of the "worst of the worst" are up 2% already
...but unfortunately the markets are still open
Hilarious how a rescue of the banks also turned up the EUR, AUD, GLD, etc.
All the Wildebeests are being herded together by Liesman's "Rumor Mill" cattleprod.
Now all we need is "Gasp"erino at Fox to confirm....
LOL...
Well, A Tale of Two Cities is certainly the better novel of the two, but I prefer the charcters in Bleak House.
Tyler, how about a post dissecting Paul Krugman's new eye-opener, 'Rule by Rentiers'? He's only two years late. Or is is three...but he finally says that protecting uberelite bond holders no matter what is economic doom.
Finally. Like anyone cares now. The robots will shed tiny little tears of lubricant, perhaps....
robots --- hilarious!!!!
The criminal reserved is elected by the bankers any how. It represents the banks. It will never protect the consumers. The fact that the congress lets the criminal reserve to draft regulations for the banks is simply a joke.
Looks like that might just be QE3. Haha.
The wankin fuckin bankers will have their day again in the sunshine very soon!
http://www.youtube.com/watch?v=koY6kXhQDQo
Market doesn't seem to buying the FED's BS...
Market? What market. You mean the machines, Right?
=This act gonna be investigated by the SEC? lol........
what a scam market....
GS up 4 points cos just magic and sorcery....
Say in Public.....STOCK MARKETS are horrible Manipulated ...this is not fair...for a humble trading and portfolio manager.
Luckily for the banksters that they deal in fiat garbage; now if they happened to be bullion dealers....
New York and Washington mafiose are alive and well !!!
At some point, banks are going to need negative capital requirements. And It hurts my head to try and figure out what that means.
subzero DUDE, been waitin for it for 2 years now.
:)
Damn Weinersukkers - just stopped out on profit protection.
So I guess Dow 12000 is the over/under for today.
That Dow below 12K headline probably gave the Bernank gas. Must close above 12K on Dow.
12,000? They're going to ramp this fucker green by EOD.
The image says it all.
http://i.imgur.com/D1xG5.jpg
They got the dow above the pixie dust 12000 level...
...Bernank is about to bring in the big gun, Nails Dykstra, for insurance, at 3:00 pm. Nails always wanted to be a pitcher, is said to have a wicked breaking ball, and Bernank's just desperate enough to give him his chance.
Could someone post a link so we know precisely how our "representatives" voted on this bill? That would be useful.
What bill?
"Weiner - I'll just stick it out". Steep learning curve there.
I thought that the capital charge and reserve requirements were part of the frank-dodd bill (two ultimate insiders)? Is this incorrect, precisely who changed the capital charge requirement then?
And CNBC keeps running "BREAKING NEWS" on this rumor.
Leisman now opining about capital buffers.
I need sangria. A jug.
What amazes me is that ANYONE actually trades on info from CNBS.............
"For Entertainment Purposes Only"
There is no manipulation through proxy financial mouthpieces today to try and temporarily stave off too bad a close, because such a thing would be called out and identified for the sham and farce and complete tell of desperation of a dying enterprise that it is.
/sarc/
Weiner loose in South Carolina:
http://www.youtube.com/watch?v=Moo5MN1Sxbk
Was Obama's favorite banker Jamie Dimon's public attack on Bernanke orchestrated to cause a sell-off...and to bait shorting into the XLF and its component banks?
Wonder how much the TBTF prop desks made after their fawning factotum, Liesman, went on the air precisely at 2pm?
No, there are no conspiracies like this is America...its just Kudlow's 'free market capitalism' (for a select few cronies) in action.
Gee, didn't see that coming.
Oh, wait... http://www.zerohedge.com/article/guest-post-bankruptcy-corporate-america...
And I'm a total amateur, folks. Trust me on that.
Nope, do not think you get green or 12,000 on the close. We got a game changer all.
At this point does it really matter? What difference does it make if we go from screwed to screwed x 2 or screwed x 3? Either way we are screwed. Maybe it will just implode sooner and the country will be able to get the immenent doom over with and get on with life a little sooner.
Market shows just how truly resilient Amerika is...Fuck Yeah Amerika!!!
Plus, who doesn't want to get long dong straight and strong going into Magical, bailout Monday???
Properly manipulated markets will achieve climax....
All of my shorts got stopped out on that lightning quick spike at 2:00pm. Thanks Liesman. The only thing I could do is lay on the same shorts again at 3:00pm. Thanks Liesman.
I'm cheering for you guys going short but I simply don't believe you will win...can win for long. I'd be very happy to be wrong on this one.
You will be.
If spx closes above 1280, the sell-off is over. At which time there should be one more run to the upside for a few days/weeks before the big collapse.
Its 3.35p ET, Mandy looks incredibly hot...and Morgan Stanley's mouthpiece (David Darst) is hyping 3.6% Q3 GDP growth and 4.6% Q4 growth.
Did I say that Mandy looks incredibly hot? Hot enough to keep my finger (or any other appendage, Mr. Weiner) off the "SELL" button.
Brings new meaning to "stick save".
15 minutes to get this pig above 12,000.
Maybe the pig makes a tiny squeal just under 12k. It's apparent that we'll be getting a sizable Bazoink in the very near future!
These a-holes got their timing off....if they pulled this at 3PM instead of 2PM they might have pulled it off.....
no lipstick needed. after the stick save, rebound. slap shot from the blue line: he scoooored! ouch! LOL slapstick!
boy, you think the fed does watch the market and notice that we breached an important average so they announced something. Boy!!!
end the fed!!!
OH, and as I have amost always pointed out on ZH every week there is usually a trading rush at 14:00 to about 15:30. wondering still what cumulative returns are if you trade this. my expeience watching is it is large.
this type of news/action is reminiscent of 2008
Me thinks their plan failed, Dow: 11,951. Phony scams from CNBC of someone, (undisclosed because they did not want to be revealed, LOL), that the banks would get to leverage up again without required reserves Backfired.
Seems that the notion will hurt the market more. Who can trust them again if they can rinse and repeat the last crash.
Posting OTC derivatives to an exchange means that they're going off-balance sheet and no capital requirments have to be considered anymore -> sure the regulation is long overdue but this has to be very carefully implemented.