This page has been archived and commenting is disabled.

Goldman At A Loss On How To Drive Market Higher... Never Fear Chairman Frank Is Here

Tyler Durden's picture





 

Need a quick boost to the market? Just clutch at Barney's straw.

 


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 07/30/2009 - 09:32 | Link to Comment ptoemmes
ptoemmes's picture

In the red says...

 

(comments reported after the)

close by US House Finance Services Chairman Barney Frank suggest broadening support for regulatory reform that would not mandate the separation of GE Capital.  While numerous uncertainties remain, we are

 

Catalyst

After the close, Bloomberg reported that Barney Frank indicated that GE and "manufacurers with finance businesses should be allowed to keep the units under a revision to rules that govern banking." This seems to strengthen the view that legislative support for reform requiring GECS separation as implied by the Treasury "White Paper" is declining.  We

Thu, 07/30/2009 - 09:32 | Link to Comment Dixie Normous
Dixie Normous's picture

This is getting embarrassing.  Stock upgrades on reform mandates Barney ISN'T making.

Thu, 07/30/2009 - 09:34 | Link to Comment Anonymous
Thu, 07/30/2009 - 09:37 | Link to Comment Tyler Durden
Tyler Durden's picture

fixed

Thu, 07/30/2009 - 09:36 | Link to Comment lizzy36
lizzy36's picture

+7%

hahahahaha

i am looking forward to when GS upgrades S&P to infinity.

Thu, 07/30/2009 - 09:43 | Link to Comment Bob Dobbs
Bob Dobbs's picture

To infinity and beyond!

Thu, 07/30/2009 - 09:37 | Link to Comment Anonymous
Thu, 07/30/2009 - 09:38 | Link to Comment No More Bubbles
No More Bubbles's picture

Are there any shorts left to squeeze?  I can't imagine this nonsense lasting much longer, but then again - we've seen this movie before......

Thu, 07/30/2009 - 09:43 | Link to Comment Anonymous
Thu, 07/30/2009 - 09:47 | Link to Comment Ben_the_Bald
Ben_the_Bald's picture

Help me out here.

 

GE Capital is a time-bomb.

GE is upgraded because it's more likely that they can retain GE Capital? Is this another way of hinting that GE Capital is getting a new bailout?

Thu, 07/30/2009 - 09:59 | Link to Comment PragmaticIdealist
PragmaticIdealist's picture

Yes.

GE Capital has been declared Too Big To Fail.

Thu, 07/30/2009 - 10:12 | Link to Comment Anonymous
Thu, 07/30/2009 - 16:28 | Link to Comment Gilgamesh
Gilgamesh's picture

RANsquawk:

07-30 14:58: GE (GE) may need as much as USD14.7bln according to CreditSights

 

Whew, good thing they don't need to fund GECC.  Who knows how much higher that number would be then...

Thu, 07/30/2009 - 09:54 | Link to Comment Pizza Delivery Man
Pizza Delivery Man's picture

Shorting SPY @ 98.90

Selling calls on USO

Delivering pizza later.

Thu, 07/30/2009 - 10:38 | Link to Comment Oso
Oso's picture

currency not supporting equity move.  two failed bond auctions not supporting this move.  agree with your trades.

Thu, 07/30/2009 - 09:56 | Link to Comment SWRichmond
SWRichmond's picture

"Need a quick boost to the market? Just clutch at Barney's straw."

Dammit, did you have to do that?  I threw up a little.

Thu, 07/30/2009 - 10:01 | Link to Comment Anonymous
Thu, 07/30/2009 - 09:59 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:05 | Link to Comment D.O.D.
D.O.D.'s picture

Bad Numbers? I think not, they will be less bad numbers from a certain perspective, which will be enough to drive the market higher tomorrow... You see at this point if the world isn't going to end, then everything must be hunky dory...

Thu, 07/30/2009 - 10:08 | Link to Comment Anonymous
Thu, 07/30/2009 - 13:57 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:08 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:16 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:54 | Link to Comment Anonymous
Thu, 07/30/2009 - 11:22 | Link to Comment bruiserND
bruiserND's picture

Don't forget to include Drexel Burnham Bankster "Dr" Richard Sandor.

Thu, 07/30/2009 - 13:02 | Link to Comment speculator
speculator's picture

Total scam. And yeah, Sandor is a scumbag.

Funny thing is, we could be entering a solar minimum here, just as this nonsense gets traction.

Thu, 07/30/2009 - 13:51 | Link to Comment Anonymous
Thu, 07/30/2009 - 11:24 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:12 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:17 | Link to Comment Anonymous
Thu, 07/30/2009 - 10:39 | Link to Comment ptoemmes
ptoemmes's picture

Deleted - Wrong thread....

Thu, 07/30/2009 - 10:38 | Link to Comment Dixie Normous
Dixie Normous's picture

The market needs a critical mass.  Forget job losses, forget foreclosures (where the banks aren't even contacting people who are behind), CRE? whatever.

The goal is to spread the word, beyond us and the CNBCers and into the livingrooms of the great unwashed.

When people scrape together the $350 from their unemployment checks to buy 100 shares of C, then we will be at a top.

Thu, 07/30/2009 - 10:21 | Link to Comment Dr Hackenbush
Dr Hackenbush's picture

Moral of the story.  Even a massive head blow should not discourage one from running for congress.  Who knows you may wind up Chair of the House Bank, and be in charge of propping up the market to garner support for a major agenda.

Opium Please (blue pills a gateway drug? Bosh!).  

Thu, 07/30/2009 - 10:58 | Link to Comment kote
kote's picture

8% now.  Must have been all the green shoots in their GECC meeting.

Oh wait... all that meeting did was show that we're basically at the adverse FED case.

Thu, 07/30/2009 - 11:05 | Link to Comment Hondo
Hondo's picture

This is no different than the banks.  Benefiting from taxpayer monies (for which the taxpayer will reap no reward but only the employees and shareholders of GE and/or the banks).  Americans are stupid to put up with this nonsense......but those profits derived from taxpayer support will flow to GE and it's executives............

Thu, 07/30/2009 - 11:09 | Link to Comment Anonymous
Thu, 07/30/2009 - 11:12 | Link to Comment Anonymous
Thu, 07/30/2009 - 11:12 | Link to Comment Project Mayhem
Project Mayhem's picture

all aboard the fail whale!

Thu, 07/30/2009 - 11:19 | Link to Comment bruiserND
bruiserND's picture

Like apples ?

  How does the stock market perform when Congress is not in session? Does it do better than average, worse, or does it make no difference at all?

The right answer is timely, of course, since Congress is scheduled to go on recess this Friday. And it isn't scheduled to reconvene until after Labor Day.

Believe it or not, the stock market performs much better than average when Congress is not in session.

That at least is the finding of an academic study several years ago by professors Michael Ferguson of the University of Cincinnati and Hugh Douglas Witte of the University of Missouri at Columbia. Specifically, they found that "about 90% of the capital gains over the life of the Dow Jones Industrial Average /quotes/comstock/10w!i:dji/delayed (INDU 9,071, -25.92, -0.29%) have come on days when Congress is out of session." (Click here to read their study.)

When I first read about the professors' finding of a so-called "Congressional Effect" in the stock market, I assumed that it was nothing more than a different kind of seasonal pattern in disguise. After all, Congress is not in session during holidays, and it has been well known for some time that the stock market performs at an above-average rate immediately prior to those holidays.

But it turns out that the professors checked for this possibility. And they found that these other seasonal patterns account for only some, but not all, of this Congressional Effect. So they believe that there also is a genuine relationship between the stock market and whether Congress is in session.

This actually makes a certain amount of sense, they also argue: Companies and investors face "a more uncertain tax and regulatory environment" when Congress is in session. As confirmation of this finding, the professors point out that the stock market has tended to exhibit significantly greater volatility when Congress is meeting. And volatility is a good proxy for uncertainty.

To be sure, the Congressional Effect hasn't always prevailed: Stocks have not always performed well when Congress is on recess, just as they have not always produced poor returns when Congress is meeting. In trying to assess why it hasn't always worked, the professors found that the pattern has tended to be strongest when Congress has a low approval rating in public opinion polls.

How low must Congress' approval rating be in order for the Congressional Effect to be particularly worth betting on? The professors found it to be 39%. When it is below that level, then the Congressional Effect is more pronounced than when it is above that level.

What percentage of citizens currently disapprove of the job Congress is doing? PollingReport.com lists three polls that were conducted this past month that attempted to assess the public's opinion of the job Congress is doing, and the approval percentages in those polls ranged from 22% and 32%.

No wonder the stock market is struggling.

Maybe Will Roger got it right. The professors quote from a famous speech of his in 1930: "This country has come to feel the same when Congress is in session as we do when a baby gets hold of the hammer. It's just a question of how much damage he can do with it before we take it away from him

 

 

How 'bout them apples?

 

 

http://www.cbot.com/cbot/pub/page/0,,1560%20chart,00.html?symb=YM&month=U&year=09&period=V&varminutes=5&study=&study0=&study1=&study2=&study3=&bartype=Bar&bardensity=LOW

Thu, 07/30/2009 - 14:42 | Link to Comment Anonymous
Thu, 07/30/2009 - 15:17 | Link to Comment Anonymous
Thu, 07/30/2009 - 16:56 | Link to Comment Anonymous
Fri, 07/31/2009 - 01:52 | Link to Comment Anonymous
Do NOT follow this link or you will be banned from the site!