One Minute Macro Summary: It's All "Good"

Tyler Durden's picture

Overview: Markets mostly up this morning as the G7 intervened in foreign exchange markets, providing stability to the ailing yen.

U.S.:  Futures up this morning. Apparently quantitative easing, world strife, and currency intervention are interpreted as bullish. CPI reported yesterday showed an increase of 0.5% MoM v estimates of 0.4% MoM, driven by higher energy prices. Core CPI also picked up 0.2% MoM, due to higher car prices, showing an increasing trend in core prices. The Philadelphia Fed’s industrial report yesterday showed an increase to 43.4 v 28.8E, showing further expansion.

Europe: ECB executive board members told reporters that the Japanese earthquake will not affect intentions to raise interest rates. The European Banking Authority released details on its 2011 stress tests. The assumed GDP contraction shock will be 4% v 3% in last year’s tests. The EBS will only look at sovereign risk in banks’ trading books, rather than their overall portfolios, disappointing markets focused on an unfolding sovereign debt crisis. The U.N. Security Council at last came to an agreement yesterday for a no-fly zone over Libya. German parliament voted yesterday to prevent the ESM from buying government bonds, clashing with Merkel’s recent negotiating positions. Germany’s regional election in Saxony-Anhalt on Sunday will likely reveal the growing political disunity in the nation.  German producer prices rose 0.7% MoM v 0.7%E MoM and 6.4% YoY v 6.3%E YoY, showing a major increase in inflation for the area. Being the first few links in the supply chain, producers take the price hit first. UK consumer confidence fell to 38 v 47E in February, its lowest level since the index’s creation in 2004.

Asia: The G7 together stepped into the foreign exchange market to help support the ailing yen after a request to the G7 from the Japanese. The buying effort is intended to put a limit on Japan’s rapidly rising exchange rate. The move has already made the yen fall and calmed markets worldwide. Workers in Japan are continuing through the night to restore power to the troubled nuclear power plant in efforts to stop a meltdown. China increased reserve requirements for the third time this year, as inflation has become one of the government’s leading economic concerns.

From Brian Yelvington at Knight Capital

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AccreditedEYE's picture

Government-supported returns forever. What the hell do I need a hedge fund for anymore? I have global central banks! (for waayyyyy lower fees to boot. lol)

Racer's picture

Don't they want to push the futures higher for best price for options expiry?

HelluvaEngineer's picture

I suspect you're right.  We need a bounce before we sell off again anyway.  The bulltards are well trained at this point (ref CMG msg board @ yahoo)

jkruffin's picture

Okay, I think I got it now...

Dollar up = Stocks up

Dollar down = Stocks up

No fly Zone = Stocks up

Nuclear reactor failure with radiation leakage = stocks soar higher

POMO = Stocks accelerate to green

Treasury Broke = Stocks on fire


I get it now!!! LOL  


And when this ponzi blows up in the faces of the ignorant American investor, will AAPL launch I-Pad 3 to calm to people down?

You can't tell me people don't realize this thing is broken,  and broken so badly that the FED has to play price manipulator everyday to save face.  This is nuts.....GOD help us when the first sign of an interest rate increase comes around.

wandstrasse's picture

'And when this ponzi blows up in the faces of the ignorant American investor, will AAPL launch I-Pad 3 to calm to people down?'


exactly! Helicopters will grab I-Pad 3s from the Foxconn sweathops and throw them down on the people in US and Europe to cool them down to prevent revolutionary meltdown.

jus_lite_reading's picture

Well said. Now every Central bank the world over is "intervening" in this situation. Ironically the only free capital market in the world is now the black market. The entire globe has reached the end now. iPad3,4 and 5 released all at once could stop the real disaster thats coming

AhhhItBurns's picture

Revolutionary meldown? I can't find the app for that...

I hate to think what will happen when Jobs succumbs to cancer and the people are not told what their likes and interests are anymore. *Shudder*

gordengeko's picture

Days of Purim, triple witching, 77th day of the year and full moon tomorrow.  Let the craziness continue!

HelluvaEngineer's picture

What time does the sun go down in Libya?

gordengeko's picture

Since these control freaks are into numbers and symbols so much, don't be surprised if the bombs starta droppin today!

rubearish10's picture

It'll be another "Shock 'n' Awe" moment for world leaders and banksters!

jesse livermoore's picture

It is all good, ..... go back to watching jersey shore.....

jkruffin's picture

Time to watch Hellcats, with a bottle of Pantene in one hand, and the knob in the other.  LOL

Larry Darrell's picture

Brent touching $115 is also majorly bullish for stocks.


rubearish10's picture

$116.00 basis May. Now even more bullish!

Larry Darrell's picture

Couple this with loss of control over the silver suppression scheme in May, and it's easy to see that this next financial 'morning after the party" is just about to have its dawn.

papaswamp's picture

Might want to buy some ordinance stocks.

AccreditedEYE's picture

LMT is actually looking good.

dcb's picture

may you guy skills me, go back and run some tests, I can't remember the last time we didn't have a big up day friday. If you invest on just those days you will do very well!!!

dcb's picture

Oh, you can almost go long at 2 pm each adn every day, just have to watch about 3:30. "the joke market"

Wyndtunnel's picture

One number and three words will signal the collapse of the Global Economy: 9.0 Earthquake in California.  With extra special downside bonus if the Diablo Canyon Nuclear Power Plant crumbles into the sea.

It seems that nothing but the Wrath of Mother Nature (with a possible assist from Homoretardus) will turn this sociopathic herd around.


Jessica6's picture

Nah, just buy the f***ing dip.

A Cali EQ - even if it flattens both LA and Silicon Valley would just present another buying opportunity.

According to CNBS, the worst case scenario including complete crustal displacement a la Hapgood was already priced in earlier this week.

buzzsaw99's picture

Meltdown, meltup, both make me wretch.

clones2's picture

Well - today is going to be extremely volatile.

2 days in a row with huge gaps to the upside...  Over 1% gaps both days...

I would be extremely surprised if those don't fill over the next few sessions.

lordcoke's picture

learn to swim.... c u down in arizona bay.......