Thank You JPMorgan - MUST SEE: JPM's ETF Desk Ramps Market Higher Into Close

Tyler Durden's picture

As can be seen on the SPY IOIA screen below, JPM's ETF desk singlehandedly manages to push market higher. It is unknown if this is for prop positions (yes Senator Corker, we know it when we see it), or flow (JPM is RenTec's. and many other quant funds' Prime Dealer) is unknown. What is known is that JPM indicates every single SPY offer was lifted by its sage trader.

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deadhead's picture

one of the most BLATANT PPT driven ramps that i've seen in the past several months.  the extended late July takes the cake, but this one is ridiculous...20 handle on the spx in 2 hrs into a weekend fraught with risk all over the globe in a big downtrend....nobody using their own money AT RISK would buy that heavily.

what a fucking joke, once again, the US equity markets are, with the FED abusing the currency to manipulate a market that if anybody calls a "free market", they are a fucking idiot. 

merehuman's picture

since i am not financially educated i cant say much. I like to speak from knowledge.

But i do think it odd that silver and gold are going down even tho there are lots of us buying silver and gold.  Selling fake paper silver and gold should not affect the price of the actual metal.

I think to hold whats real. I will keep my silver even if it drops to -0

Alot of silver coin was bought in january.

Moe Gamble's picture

This is quants. WTI caught a bid from the continuous-contract-watching civilians at $70 (low volume), and nobody who knows what they're doing is selling until the retest Monday. WTI moving up triggered a quant bid in SPY. The selling will resume Tuesday when WTI starts to sell off again.

hound dog vigilante's picture

 

Blatant, overt manipulation.  How can this be?  The banksters are also the "regulators".

 

The irony is that the bankster's defense of Dow 10K is really a defense against their own algorithms & automated trading systems.

 

It's a Frankenstein market.

 

 

Internet Tough Guy's picture

And the PPT said 'Let it be 10,000' and it was done.

 

Thank you PPT.

Rainman's picture

........yes, amazing work by these desk jockeys.

Like Superman swooping down at the last second to rescue Lois Lane before she splats on the sidewalk.

pak's picture

That's how they will kill this bull market, btw. At some point, nobody will bother to short stocks. Then kaboom!

Yophat's picture

Aren't they trying to outlaw shorting again....

pak's picture

Just in time I guess, because with less shorts to squeeze, doing the pump job will get increasingly difficult.

But they've probably forgotten that history has no example of such kind of ban being successful.

Anonymous's picture

Look at right side of this page folks. Fly on the wall 'SEC considering ways to curb short-selling, NY Times reports' timestamp 15.33

Here is the dealbook link http://dealbook.blogs.nytimes.com/2010/02/05/sec-to-consider-ways-to-cur...

johngaltfla's picture

451 million shares, most since 2 pm ET? Nah, there's no PPT. I'm going to take a break from this and go take a ride on my unicorn and refill my Skittles bowl.

What blatant bullshit.

Anonymous's picture

What the heck is going on? Is JPM the only trader who bought today? If the government is behind this then this is clearly illegal. Is it discretionary for the government to inflate the market under the guise that it is good for the economy; to give the public confidence that the markets are in good shape? I do not believe so regardless of any extraordinary powers available to the Fed. Who has knowledge about when the Fed is doing this? Who is front running these trades? Who has knowledge of when the pumping stops; the time the real profits are made.

Translational Lift's picture

Timmi & Jimmi oops...Jamie pulling levers behind the curtain....

deadhead's picture

I do not believe so regardless of any extraordinary powers available to the Fed.

To the best of my knowledge, the emergency powers granted to the Fed have never been litigated, ergo, it's pretty much a blank check for the Fed to do as it wishes until someone tests their actions in U.S. District Court (as a starter).

My view (and I am happy to stand corrected if someone can offer a better legal opinion) is that they can get away with an awful lot with such sweeping powers.  It would take years to litigate this (hell, look at the B'berg FOIA suit already) and even if they were found to be doing something wrong, there is no "or else" in the Fed Reserve Act, i.e. no punishment. 

I find it appalling as the Fed is the only org in the US gov't complex (with possible exception of security agencies) pretty much outside of our bedrock philosophy of "checks and balances".  The Fed CAN be "checked, balanced" by Congress but they simply will not do it.

Anonymous's picture

A dictionary definition of investor is: "One who commits money or capital in order to gain profit or interest." In this environment can anyone truly be considered an investor. buying and selling in a rigged market is not even a gamble. "You can't fight the Fed" is so true today. TIn my opinion the recent correction was a sham to make things appear like there are ups and downs. What BS. To stay safe in this environment should one just cash out and hold federal reserve notes in a safe place so the baks cannot use the money for fractional reserve lending?

pak's picture

"If the government is behind this then this is clearly illegal."

Illegal? No:

http://en.wikipedia.org/wiki/Working_Group_on_Financial_Markets

Unfair? Yes.

All governments do it after all.

Anonymous's picture

If you do it, it is illegal. If the Government does it, it may be illegal but the Goverment will not sue itself.

Let them all fail's picture

HAHAHAHAHA - This is why I don't have any money in equities right now......

MarketTruth's picture

JPM is a retail arm and a member/owner of the Federal Reserve. In other words, more now classic QUEASing and market manipulation.

If you truly are upset at what is transpiring, remove all funds other than what is necessary from your bank accounts, cash in all stocks and buy gold and/or silver. This is the only way to vote with your money and send a message to the banking and investment system.

MsCreant's picture

My money is so gone. I went out today, after this post, and made it even more gone.

Bastards.

velobabe's picture

upgrade that '02 bike, throw a campagnolo gruppo set on. that will set you back some ¢/$ ciao bella.

MsCreant's picture

Got Ultegra already. Dura Ace would be my upgrade. Don't know that there would be a lot of bang for that buck.

moneymutt's picture

Think of Abe Lincoln's words of consolation: "It is said an Eastern monarch once charged his wise men to invent him a sentence to be ever in view, and which should be true and appropriate in all times and situations. They presented him the words: 'And this, too, shall pass away.' How much it expresses! How chastening in the hour of pride! How consoling in the depths of affliction!"

Anonymous's picture

Looks to me like JPM made a margin call and screwed the heck outta their quant customer...now they got a pile of cash. Somebody just went out of business.

Jim in MN's picture

Computers to Humans:  OUR MARKET NOT YOURS STAY AWAY

Anonymous's picture

"Woud you like to play a game?"

Mad Max's picture

ALL YOUR SHARES ARE BELONG TO US

Anonymous's picture

Leo works for JPM?

pooplagrande's picture

The "Invisible Hand" strikes again. See everyone...everything is just fine...don't worry, just please start spending money again...please...Social Security isn't bankrupt, the housing market is going up, you can trust your politicians, Goldman Sachs is your friend, and everything is ooookay...okay? Got it? No go buy a fucking house and max out your credit card you slaves!

Invisible Hand's picture

Sorry, pooplagrande, don't blame me.  I was short today (mostly to my detriment).  Monday is another day.

Fish Gone Bad's picture

I am thinking JPM might just get caught holding the bag.

deadhead's picture

one can never be caught holding the bag when the Fed can make up the difference by buying your shit mbs securities, worth 10 cents-60 cents on the dollar (whatever) at par.

 

buzzsaw99's picture

It was nice of them to buy so many shares. I hope they buy them all some day.

Fish Gone Bad's picture

I am thinking JPM might just get caught holding the bag.

schatzingrid's picture

Seven years ago, Donald "aspartam" Rumsfeld made this comment :

Now, you're thinking of Europe as Germany and France. I don't. I think that's old Europe. If you look at the entire NATO Europe today, the center of gravity is shifting to the east. And there are a lot of new members. And if you just take the list of all the members of NATO and all of those who have been invited in recently -- what is it? Twenty-six, something like that? -- you're right. Germany has been a problem, and France has been a problem.

Mr.Rumsfeld was a visionary, the center of gravity is really shifting to the east, right to China.

And America is now also belonging to the "old countries club : less workers, more pensioners, huge social security debt, etc, etc.

So what's next?

Master Bates's picture

Yeah, what a visionary, selling chemical weapons to Saddam Hussein in the 80's.

I'm sorry, but your link of Rumsfeld to anything relevant is a bit over the edge.

moneymutt's picture

everybody is next, So/Central Amer, Middle East, Southeast Asia, China, India, shoot some day even Africa will get it's due...it will be fits and starts as old western guard loses control....my bet is India will do well, corruption problems, but less central planning and tyranny than China and kids will fix govt...

and beware of a technology revolution that could move all the global chess pieces...we have not even fully digested all the effects of the internet...what might be next? miracle materials, cheap power...something could change geopolitics, war and power more than any technology in last 100 years..

KevinB's picture

One such technology might be "3-D printers", which are available now. These don't print on paper; instead, they extrude plastic to make real, actual things, driven by CAD software. There was an article in WIRED recently that talked about "virtual" companies. Some one designs something at home, makes a cheap prototype on his 3D printer, and when he's satisfied he's got the bugs out, simultaneously contacts a manufacturer to make the thing, and markets it through virtual channels. Nothing gets made until an order comes in - no overhead, no inventory - until you reach a critical mass where dedicated production makes sense. Means you can start up a company with not much more than an idea and a laptop. No need for billions in VC (which seems to have dried up anyway), and it means many niche markets which could NOT have been served under traditional structures would now be profitable. That's gonna be interesting.

Anonymous's picture

My Chinese lessons from Rosetta Stone arrived today.

Anonymous's picture

VXX had a huge after hours order ...

http://www.google.com/finance?q=VXX

RobotTrader's picture

Check out the volume

 

Anonymous's picture

Can there be a push to investigate this?

Anonymous's picture

... and you all are surprised by any of this at this time ...

It smacks of desperation to me!!

leathaface's picture

i have never been so pissed off at the market over the last couple years as i am today.  Hey TD is there any way you can get us a few more screen shots on who was pushing the ETF higher?  i have a feeling it was not just JPM leading the charge.  thanks for the info

Anonymous's picture

judging from the money flows report after hours, it appears the JPM desk is selling that rip. Last time I saw the flows this heavy >-650 million, the next day the Dubai scare happened. Somebody betting on a big drop monday or tuesday

http://online.wsj.com/mdc/public/page/2_3022-mflppg-moneyflow.html?mod=m...

pak's picture

Thx. Looks like a big deal. Especially when combined with the degree of capitualtion seen around.)

girl money's picture

WOW!  thanks for the link, Anonymous -- clicked on the Buying on Weakness to compare...  eeeesh....

Thoughts on the unususal puts at 2/5/10 close for SPY?

sym      2/5 put vol      avg put volume      daily vol ratio

SPY     1,890,450             809,092                  2.3

so puts on SPY are more than double the avg

http://online.wsj.com/mdc/public/page/2_3027-unusualoptclose.html?mod=topnav_2_3022