Tyler Durden's picture

Is 4th Time The Charm For Today's Slam-Silver-Surge-Stocks Algo?

Silver just got monkey-hammered below $18 - on no news catalyst - as for the 4th time today, it appears the triangle of doom between precious metals, USDJPY, and US equities is initiated to ensure Greek fears do not harm wealth creation... Today's weapon of choice in the levitation is "most shorted" stocks - which have been squeezed up over 1% since the open, dragging the indices higher with them...



Tyler Durden's picture

"Leverage Mismatches" - Why Q-ECB May Not Be A Favorable Development

It’s not entirely clear what will happen in the near term, but the financial markets are already pushed to extremes by central-bank induced speculation. With speculators massively short the now steeply-depressed euro and yen, with equity margin debt still near record levels in a market valued at more than double its pre-bubble norms on historically reliable measures, and with several major European banks running at gross leverage ratios comparable to those of Bear Stearns and Lehman before the 2008 crisis, we're seeing an abundance of what we call "leveraged mismatches" - a preponderance one-way bets, using borrowed money, that permeates the entire financial system. With market internals and credit spreads behaving badly, while Treasury yields, oil and industrial commodity prices slide in a manner consistent with abrupt weakening in global economic activity, we can hardly bear to watch...



Tyler Durden's picture

Greece's New Leader Sends Germany A Loud Message With His First Act

In his first act as PM, Tsipras visits Kaisariani rifle range where Nazis executed 200 Greeks on 1 May 1944...



Tyler Durden's picture

The Swiss Franc Is Getting Crushed

The early bid for Swiss Francs following the Greek election results has turned into a bloodbath of outflows as EURCHF has swung a huge 230 pips overnight with Swissy now at its weakest to the Euro since before QECB leaks last Wednesday... One wonders if the SNB is back in the game?



Tyler Durden's picture

Tracking Juno: New York Prepares For One Of Top-5 Snow Storms In History; 50% Of Flights Cancelled

As reported first yesterday, the North East in general, and NYC in particular, are about to be hit with a "historic" blizzard that may bring over 24 inches inches of snow in various places: a total accumulation which would make the "Blizzard of 2015" one of the top 5 worst snowstorms in the history of the city, and it the total snowfall rises over 27 inches, it would be the worst snowstorm in NYC history.



Tyler Durden's picture

Smart Casual: The 'Rebellious' New Greek PM's Swearing-In Attire

If the shockingly large victory of left-wing Syriza was not enough for the Brussels' bureaucrats, the party's rebellious leader Alexis Tsipras dared to go tie-less during this morning's swearing-in as Greece's new Prime Minister... As we noted earlier, 'non-conformity is part of the package'



Tyler Durden's picture

Stocks Fill Overnight Gap But Crude & Carry Support Stalled

Surprise! The weakness overnight in US equity futures has been eradicated in its best USDJPY-driven fashion. S&P, Dow, and Nasdaq futures have all managed to float higher on a sea of Crude and JPY carry exuberance to fill the overnight gap perfectly... except now that they have, USDJPY and Crude have turned down... We suspect the word "contained" will win CNBC-Bingo today...



Tyler Durden's picture

Syriza Forms Coalition Government With Anti-Bailout Independent Greeks: What Happens Next

There was some excitement in the capital markets overnight, when what was initially seen as an outright victory for Syriza, giving it an absolute, 151-seat majority in parliament - a fear that briefly pushed the EURUSD under 1.11 when the Euro PPT stepped in - ended up being a placing just shy of a majority with 149 seats. However, that same excitement fizzled several hours ago when the "radical left" party agreed to form a government with the "rightwing" group of the Independent Greeks in the aftermath of Syriza's historic win which harnessed the public backlash against years of belt-tightening, job losses and hardship.



Tyler Durden's picture

The Federal Reserve Has Declared The Winner In The Generational Financial War

The policy of safeguarding Boomer benefits with asset bubbles will lead to the destruction of the unprepared, the unwary and those who foolishly trusted our "leadership" and central bank to tell them the truth.



Tyler Durden's picture

Greek Bonds Battered As Dip-Buyers Rescue Greek Stocks

The post-QECB euphoria in Greek asset markets was prognosticated by those who prefer to do such things as indicative that "the markets know something," positive about Sunday's (yesterday's) election... because markets are efficient and always 'price in' events (just like 1987, 2000, 2008 etc...). However, this morning ugliness in both Greek stock (especially banks) and bond markets suggests it was nothing more than algo-driven carry-inspired short-squeezes as both stocks and bonds plunged at the open. Stocks received the ubiquitous - well it's down so we better buy 'em treatment - but even that is fading as stocks catch back down to bonds' weakness, having unwound most of QECB's goodness...



Tyler Durden's picture

Oil Jumps On OPEC's El-Badri's "$200 A Barrel Sometime" Comments

The headline-reading algos were at the top of their game this morning when milliseconds after OPEC's general secretary Abdalla El-Badri said oil prices could reach $200 a barrel if there's a lack of investment following this price slump... though failed to provide any timeline for his forecast. WTI prices jumped $1 from $45 to $46 even as El-Badri noted the market was still over-supplied by 1.5 million barrels per day.



Tyler Durden's picture

Goldman: It's The Central Banks' Fault We Can't Be More Bearish On Gold

We've heard it all: snow, cold weather, hot weather, non one-time recurring, "one-time, non-recurring" charges, and even Bush. But when it comes to "excuses" for why one is wrong, this morning Goldman's note "Central banks stall a more bearish gold outlook" absolutely takes the cake.



Tyler Durden's picture

Frontrunning: January 26

  • Alexis Tsipras: the Syriza leader about to take charge in Greece (Guardian)
  • Tsipras to form anti-bailout Greek government after big victory (Reuters)
  • Tsipras Forges Anti-Austerity Coalition in EU Challenge (BBG)
  • East Coast braces, flights canceled as 'historic' blizzard bears down (Reuters)
  • Rebels press Ukraine offensive, Obama promises steps against Russian-backed 'aggression (Reuters)
  • Syriza Victory Brings Hope for Immigrants of EU Access (BBG)
  • For Saudis, Falling Demand for Oil Is the Biggest Concern (BBG)
  • Oil prices fall on market relief over Saudi policy (Reuters)


Tyler Durden's picture

Market Wrap: Global Risk Rattled By Syriza Surge To Power

This morning both the SNB stunner from two weeks ago, and the less than stunning ECB QE announcement from last Thursday are long forgotten, and the only topic on markets' minds is the startling surge of Syriza and its formation of a coalition government with another anti-bailout party - a development that many in Europe never expected could happen, and which has pushed Europe to the bring of the unexpected yet again. And while there is much speculation that this time Europe is much better positioned to "handle a Grexit", the reality is that European bank balance sheets are as bad if not worse than in 2014, 2013, 2012 or any other year for that matter, because none of ther €1+ trillion in NPLs have been addressed and the only thing that has happened is funding bank capital deficiencies with newly printed money. You know what they say about solvency and liquidity.



RANSquawk Video's picture

RANsquawk - Week Ahead - 26th January 2015



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