On The May 6th Anniversary, Stocks Are Now On The Edge, And Dumping Fast

Tyler Durden's picture

We may be about to see how much has really changed in the one year since the first and certainly not last flash crash.

Luckily, Waddell and Reed is under strict regulatory supervision right now so really, there is no risk.

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Henry Chinaski's picture

Don't blow this one.  BTFD.

wirtschaftswunder's picture

So is CMI ALB SHS GRA HUN and 100 other cyclicals

Cdad's picture


Nothing has changed...save for one thing I can see tonight.  VIX has misplaced it's true value by a standard FUBAR deviation of about 9.

Commence the Plunging and Screaming phase of this Skynet market.

Good grief [and by that I mean...is it even possible to further destroy this market's cred?]

Cassandra Syndrome's picture

There is a glitch in the Matrix.

EscapeKey's picture

It's not a glitch. An email went to the PPT telling them to allow the equities markets to drop another 70 points, as it "looked suspicious". Now that it has dropped 70 points, the slide has been halted.

RingToneDeaf's picture

Buy The Dip, Bitches!

DonnieD's picture

Cinco de Mayo. BTFM

Dr. Richard Head's picture

Ethiopian Independence Day too! - http://www.youtube.com/watch?v=W4vllQV-KHQ

Also, Ron Paul money bomb for today's presidential debate - www.ronpaul2012.com

And my Birthday bitchez.

Larry Darrell's picture

If another flash crash materializes tomorrow, then anyone left in the markets on May 7th is a brain dead moron who deserves to lose everything.

Timmay's picture

I hope the whole system flash crashes, especially Corp bonds.

Liquidity IS the premium.....

GFORCE's picture

Just highlights the sham that markets have become. The silver weekly chart looks horrendous. Jim Rogers meet parabolic.

HamyWanger's picture

Silver, bitchez!!!

Now down 30% in 7 days and 12% today. 

Temporis's picture

Hamy... in case you have not noticed, everything's down.


Please take your head out of your ass before you suffocate.

Rynak's picture

TrollInc is bullish. Hamy achieved over 280 junks in another thread, and now tries to top it. May be a bubble.

andybev01's picture

I'm proud to say that I was junk-280 on that post!

Hushups's picture

Down 30% in 7 days only matters if you bought in 7 days ago. But you already knew that because you're really smart.

Sophist Economicus's picture

Actually, he's functionally illiterate

BTW, Maria et al are starting to pee pee in their pants as the market dives...

EscapeKey's picture

Everyone who bought silver EVER bought at peak. At least according to our local need-a-bridge-to-guard population.

legal eagle's picture

I bet you were unloved as a child.

101 years and counting's picture

"the first and certainly not last flash crash."

i assume you are referring to the 1st and certainly not last MARKET WIDE flash crash.  afterall, there are flash crashes almost daily in select equities.

mspgrandi's picture


any stop has been taken away.... people are switching off mobiles and are praying in the toilets to avoid receiving margin calls

CPL's picture

Credit issued by brokerages with even worse interest terms and conditions than Capital One Credit cards given to University Students.

Upswaller's picture

Bahahaha!  Thanks, I was kidding really, that game is not for me.  I'm a physical guy, bought most in 2009.  It's been fun, this party, but now it's time for Mr. Toad's Wild Ride.  Was that an E ticket?

andybev01's picture

Careful Upswaller, your age is showing ;-)

Tense INDIAN's picture

someone tell me whats the reason for the DOLLAR JUMP??

CPL's picture

Good times are here again...naw just fucking with you...no clue why the market doesn't what it does in terms of valuation anymore.  You are as much in the dark as the rest of us.


Here have a beer...we are sitting on the deck watching the world burn.

dugorama's picture

Cinco de Mayo.... I'm having a margarita instead

john39's picture

just a guess.... but nowhere else left to go.

Re-Discovery's picture

How much further could it reasonably be expected to fall and be an investible asset?  Plus the powers that be are in squashing commodities by every available means.

Eurozone weakness.  Higher interest rate chatter.  People actually believe that QE is ending.  Stupid people do stupid things, and you need to get out of their way when they do.

Dangerous trade to go back into the dollar, but everybody seems to be doing it.

tmosley's picture

Paper gold =/= physical gold.

Don't get caught holding paper when the music stops.

flacon's picture

"Actually the music has stopped already" ~ George Soros

Sudden Debt's picture

It's Euro's time to go down this and next month.



Upswaller's picture

Our man in Europe.  Isn't it all just a riot?

oogs66's picture

Trichet was dovish on rates in Europe.  He also seemed to challenge Bernanke and Geithner to live up to their strong dollar rhetoric.  With the economy in Germany taking a turn for the worse, I believe that we are starting to see a concerted effort by Europe to weaken the Euro.

RockyRacoon's picture

Why the dollar jump?  You're kidding right?  

Let's see...   Hmmm.    Gold/silver/oil take a dump and the dollar has to do... what?

Seeing as how all this is valued in dollars.   Sorry for being Mr. Obvious.

My take:  It's all about oil anyhow.   There is an intolerance for oil at the highs causing economic grief.   Some behind-the-scenes arms were twisted and that "speculative premium" was removed.   All the commodities have to follow suit or there would be a huge eyebrow raising that even the common fella would understand.   The consensus that the gov't can't do anything right has just seen what the gov't can actually do when the right people are squeezed -- hard.

GlenD's picture

They lifted silver margins to burn investers. Many burnt investers responded by liquidating all their investments out of commodities into USD - once bitten, twice shy.

IdiotInvestor2's picture

The commodity margin changes are probably forcing people to raise money by selling stocks. Law of unintended consequences rule !!! They wanted to crash the metals and oil, hey the trading gods threw in the stock market crash for free :-)

Cassandra Syndrome's picture

That makes sense. But, where will this money go? And shouldn't the dollar index be surging by a far greater amount? Its like as if aliens nicked trillions of dollars out of the Global Financial System today, not unless the velocity has sank and hit a brick wall?

Larry Darrell's picture

"But, where will this money go?"


Don't you know?  There is no money.  The only thing happening is the leverage is coming back down.  That's the essence of all ponzi schemes--there is never as much money as the pretty charts show in existence.  There is a much smaller amount of money, and you only beat the ponzi if you take it while it is there to get.  Once the money is gone, the rest is empty leverage.  Ask all of Madoff's victims.

carbonmutant's picture

Somebody leaked tomorrow's unemployment numbers

Cassandra Syndrome's picture

Good point, but would very disappointing results not infer that QE3 is a certainty and to buy everything now before June?

Re-Discovery's picture

You could go through a lot of hurt with that trade. 

A friend once told me, when the "shit hits the fan, it's easier to clean up after it dries out a bit." 

(I know, he was a trader so he was pretty gross all around.)

Sudden Debt's picture

They don't matter. We all already know that it was to hot to work.