This page has been archived and commenting is disabled.

CME Lowers E-Mini Margins

Tyler Durden's picture





 

This is simply incredible. 40 minutes ago, just as the farce that is the market was in danger of not closing green despite the tech fiascoes from GOOG, MSFT, CMG, MRVL, AMD, MS, and all the others, we had one simple thing to say:

And sure enough, seconds ago...

 

 

This whole theater is just getting so very predictable.

 


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 10/18/2012 - 16:39 | Link to Comment Rubicon
Rubicon's picture

Yeah, you work at the CME.

Thu, 10/18/2012 - 16:41 | Link to Comment slaughterer
slaughterer's picture

CME reads ZH for ideas to prop the market.  

Thu, 10/18/2012 - 16:43 | Link to Comment Pure Evil
Pure Evil's picture

Maybe with this bit of Deja Vu, Tyler could restart Johnnie Carson's old bit, 'Carnac The Magnificent'.

Thu, 10/18/2012 - 16:49 | Link to Comment Turd Ferguson
Turd Ferguson's picture

A: Krugman, Dimon & Paris Hilton

Q: Name a douchebag, a scumbag and hosebag.

Thu, 10/18/2012 - 16:50 | Link to Comment fuu
fuu's picture

-1770

Thu, 10/18/2012 - 16:55 | Link to Comment lineskis
lineskis's picture

Tyler, you just have more power than you want to recognize! ;)

Thu, 10/18/2012 - 17:06 | Link to Comment TruthInSunshine
TruthInSunshine's picture

You wacky conspiracy theorists!

This is an efficent market based on transparent and fundamentally sound valuations, and it could safely afford to trade on much more leverage from a systemic standpoint!

 

It's not like Bernank didn't learn the Greenspan/BernankVer1.0 lesson of what horrible things inevitably happen when a central fractional reserve planning/pumping authority creates asset bubbles!!!

Now enough of the snark while I go enjoy a delicious Chipotle (CMG) rice-a-rito!

Sheeeeeeesh!!!!!!!!!!

 

 

/sarc

#last-muppets-out-r-rotten-eggs-bitchez

#CorzineStillPimpHandStrong

#PendingLarry

Thu, 10/18/2012 - 17:17 | Link to Comment Kitler
Kitler's picture

PAPER ASSETS!

Get your paper assets!... Low money down!... Help feed the starving beast with a 100% charitable donation!

Thu, 10/18/2012 - 17:49 | Link to Comment Karl von Bahnhof
Karl von Bahnhof's picture

You are the NEWS!

Predictive reporting, bitchez!

Thu, 10/18/2012 - 19:59 | Link to Comment LongBalls
LongBalls's picture

Did someone call for Carnac?

Thu, 10/18/2012 - 16:44 | Link to Comment ACP
ACP's picture

CME Contact info:

Customer Service:
Product inquiries, website issues,
and specific questions

CME Group Customer Contacts

 

Customer Service Inquiries +1 312 930 2316
+1 800 331 3332
Toll Free
info@cmegroup.com
M-Th
6:15am - 5:00pm

Friday
6:15am - 4:45pm

product, website, holiday calendar, and other specific questions   Phone/Email Hours Services Trading Related Services Clearing and Exchange Fees +1 312 648 5470
efsadmin@cmegroup.com M-F 8:00am-5:00pm Transaction Fees Co-Location Customer Support +1 312 715 6082
+1 855 253 6671 Toll Free
CoLo.AtYourService@cmegroup.com 24 hours Questions regarding facility access, portal requests, or any other general Co-Location questions Risk Management +1 312 648 3888
info@cmegroup.com   PC-SPAN Software, Margins, Performance Bonds, Financial Safeguards

Trading Support

Global Account Management +1 312 634 8700
globalaccountmanagement@cmegroup.com M-F 8:00am-5:00pm iLink, FIX/FAST, FirmSoft, Drop Copy, Auto Cert+, GC2, ATS, Vendors, Market Data Platform, etc GCC (Global Command Center) +1 312 456 2391
gcc@cmegroup.com Sun 2:00pm-Fri 4:45pm Information Provided via Phone: Order status, order cancellation & production related issues
Information Provided via Email: Non production or general Globex inquiries CSET (Certification Support for Electronic Trading) +1 312 930 2322
cset@cmegroup.com Sun 2:00pm-Fri 4:30pm certification of order entry and market data, new products, hosted exchanges, envoy, development Trading Floor Help Desk +1 312 435 7100 M-F 5:30am-5:00pm trading floor technology support  Galax-C Support Desk +1 312 435 7141 M-F 5:30am-5:00pm handheld distribution & maintenance; application/admin/tech support; training Telecom +1 312 930 8500 M-F 6:30am-5:00pm trading floor, back office and all other telecom Market Regulation Department +1 312 341 7970 M-F 8:00am-5:00pm questions concerning exchange trading rules and policies  Market Data Distribution/Licensing Americas: +1 312 634 8395
marketdata@cmegroup.com

EMEA & APAC: +44 20 3379 3856
marketdataemea@cmegroup.com M-F 8:00am-5:00pm distribution and licensing of market data; vendor support and account management Datamine +1 312 634 8870
DataMineSales@cmegroup.com M-F 7:15am-5:00pm fee-based historical data service E-quotes support@cme-equotes.com
sales@cme-equotes.com   real-time quotes, news and charts

Membership and Shareholders Membership Services +1 312 435 3480 M-F 7:00am-5:00pm floor broker requirements, obtaining membership Shareholder Relations +1 312 930 3484 M-F 8:00am-5:00pm  

Questions and Contact Information CME Group Switchboard +1 312 930 1000
+1 866 716 7274 Toll Free M-F 7:00am-5:00pm directory information

Clearing Services Clearing Services +1 312 207 2525   Trade Giveups, The Mutual Offset System (MOS), Option Expirations, Exchange for Physicals (EFP), Issues with trades executed in the pit, SLEDS, Price edits on trades, Trade prices out of "Historical Range", Trade transfers between firms, Issues regarding Front End Clearing (FEC), Average Price System (APS), Give-up Payment System (GPS), Broker Payment System (BPS) Systems Development +1 312 207 2514   FTP Server (SPAN Files), Specific Exchange SPAN File General Clearing Division +1 312 930 3170   CME Clearing Advisories, PC-SPAN Order Invoices Deliveries +1 312 930 3172   Delivery intents, Storage fees, Cash settlements, Delivery Points/Facilities, Assignments Financial +1 312 207 2594   Acceptable Collateral, Pledging Collateral, IEF Programs (IEF2, IEF3, IEF4, IEF5), Letters of Credit (standby/pass through), Approved Settlement Banks, Currency Haircuts Risk Management +1 312 648 3888
info@cmegroup.com   PC-SPAN Software, Margins, Performance Bonds, Financial Safeguards

Building Services Security, 20 S. Wacker +1 312 930 3111 24 hours all emergencies Security, 141 W. Jackson +1 312 435 7180 24 hours all emergencies Visitor's Center +1 312 435 3590 M-F 8:00am-4:00pm tours, receptions, CME Group store

Worldwide Listings NYMEX World HQ/NYC +1 212 299 2000 M-F 8:00am-5:00pm*  - London Office +44 20 3379 3700
europe@cmegroup.com M-F 8:30am-5:30pm* HQ for operations In Europe, Middle East, Africa European GCC +44 20 7623 4708
egcc@cmegroup.com M-F 7:00am-5:00pm* all non-US and non-Asia GCC inquiries Singapore Office +65  6593 5555
asiateam@cmegroup.com M-F 8:00am-5:00pm

Thu, 10/18/2012 - 17:53 | Link to Comment Karl von Bahnhof
Karl von Bahnhof's picture

Fuck them in general.

Thu, 10/18/2012 - 16:46 | Link to Comment Turd Ferguson
Turd Ferguson's picture

Fucking amazing.

Nice call, Tyler.

Thu, 10/18/2012 - 16:52 | Link to Comment saturn
saturn's picture

Zer0 Hedge 0racle bless us with your unending wisdom.

Thu, 10/18/2012 - 17:57 | Link to Comment vast-dom
vast-dom's picture

 

 

 

Criminal

Mob

Exchange ................... stretching that Ponzi money out just a bit longer along the timeline...

Thu, 10/18/2012 - 18:08 | Link to Comment Mactheknife
Mactheknife's picture

We're going to wake up one morning to a bidless market...

Thu, 10/18/2012 - 16:49 | Link to Comment Stoploss
Stoploss's picture

I just checked all my Swiss bullion.

No trouble there today.

Still outperforming the market and everything else.

Well, except for GOOG today.

Thu, 10/18/2012 - 17:01 | Link to Comment B-rock
B-rock's picture

ES isn't on the list, alas...

Thu, 10/18/2012 - 19:38 | Link to Comment B-rock
B-rock's picture

Why should I be junked for stating the fact that ES is indeed NOT on the list? Fuckhead.

Thu, 10/18/2012 - 17:06 | Link to Comment Salah
Salah's picture

It's Chicago-style Pizza.....err, politics.  Gotta keep O'Bozo in.

Thu, 10/18/2012 - 17:13 | Link to Comment AGuy
AGuy's picture

Tyler One Small request could you tweeht:

"Time for the Gold Cartel to drop the price of gold below $1000".

I would really like the opportunity to buy on the dip!

Thanks!

 

Thu, 10/18/2012 - 17:15 | Link to Comment Silver Bug
Thu, 10/18/2012 - 18:12 | Link to Comment SILVERGEDDON
SILVERGEDDON's picture

How come if leverage falls in the market, no one hears a sound ?

Thu, 10/18/2012 - 19:57 | Link to Comment Bobbyrib
Bobbyrib's picture

Rubicon, you are proof that some people don't quite understand how propping up the market works. If they don't lower the margin requirements massive selloffs to meet the calls would sink the market. It is common sense for anyone who understands our corrupt financial sector as Tyler seems to.

Thu, 10/18/2012 - 16:40 | Link to Comment Robslob
Robslob's picture

Must....have.....leverage....to....grow......ahhhhhh.....help me I am melting!!!!!!!!!!!

Thu, 10/18/2012 - 16:48 | Link to Comment ParkAveFlasher
ParkAveFlasher's picture

And, Scarecrow just lit himself on fire.

Cue Flying Monkeys ...

Thu, 10/18/2012 - 16:52 | Link to Comment spastic_colon
spastic_colon's picture

Just more leverage to undo on the way down

Thu, 10/18/2012 - 17:06 | Link to Comment CPL
CPL's picture

what a world watta wurilllddd.

Thu, 10/18/2012 - 16:49 | Link to Comment The Shootist
The Shootist's picture

Oh no, the markets are down! Halt the indices, it's for the children. Get Wawwen Buffet in here to lull the masses with ukulele songs.

Thu, 10/18/2012 - 17:20 | Link to Comment TruthInSunshine
TruthInSunshine's picture

But if the stock market is allowed to fall, ever, it will destroy Helo-Ben's Virtuous Circle Jerk econometric model!!!

Thu, 10/18/2012 - 18:30 | Link to Comment DeadFred
DeadFred's picture

They can read charts too. They know there is very little beyond air to support prices now and they're scared. This BS is frustrating but see it for what it is, pure fear.

Thu, 10/18/2012 - 17:11 | Link to Comment Miss Expectations
Miss Expectations's picture

"I can't come back, I don't know how it works."

Thu, 10/18/2012 - 16:43 | Link to Comment alstry
alstry's picture

"Tyranny is defined as that which is legal for the government but illegal for the citizenry." Thomas Jefferson 
 
Does anyone on this board really think a private bank/government can simply print money out of thin air, QE, without being tied to production? If so, than why wouldn't every citizen in a democracy vote for government to print them their own money...just like it is doing for the top part of the pyramid? 
 
Once we started down the path of QE....the system based on a rule of law failed. Once the rule of law fails, it is only a matter of time before the people figure it out and reject the system....which is now occurring with increasing intensity globally.

When we are all milking off the fraudulent promises of each other, you know its an Udder World.

Thu, 10/18/2012 - 16:48 | Link to Comment seek
seek's picture

Uhm... We have a government running a $1.5T deficit and using the funds to support dozens of transfer payment programs for the "less fortunate" and a handful of wars. Not every citizen voted for this, but yes, it's affecting every citizen alright. It ain't just the top of the pyramid here.

People aren't going to "figure it out and reject the system." The system won't allow itself to be rejected. So the alternative happens, accelerating printing and lawlessness until the thing goes kaboom.

Kaboom is inevitable. Kaboom is the only option.

I've seen the future, and it looks like this: http://onastick.net/sitz/images/

 

Thu, 10/18/2012 - 17:17 | Link to Comment alstry
alstry's picture

Without the printing...EVERYONE would be broke and the top part of the pyramid would look just like the bottom.  At that point, we could truly say all men really are equal.

Throughout history, there has always been three forms of money:  Love, Trade and Force.  Clint Eastwood always possessed all three when he rode into town.

As far as the new shape of our economic pyramid, it would resemble the following: ______________________

Thu, 10/18/2012 - 20:02 | Link to Comment blunderdog
blunderdog's picture

    Without the printing...EVERYONE would be broke and the top part of the pyramid would look just like the bottom.

Don't be silly.  There were rich folks long before there was a Fed or even the USA.  There's never been any difficulty in figuring out who's "atop the pyramid."

Fri, 10/19/2012 - 00:45 | Link to Comment merizobeach
merizobeach's picture

Leonard Cohen saw the future, too.  He said it's going to be murder.

Thu, 10/18/2012 - 17:06 | Link to Comment Brother Sebastian
Brother Sebastian's picture

Very well written...and correct.  But I'm not so sure "the people will figure it out."  When I use the same arguments you wrote above on my well-educated, supposedly intelligent friends, they vehemently disagree.  Sadly, the rule of law failed a long time ago in our country.  If and when the majority of Americans do "figure it out" and take to the streets, the government will use all those hollow-point bullets it purchased a short time ago, as well as deploy the assault vehicles, drones and "protectors of freedom" it pays to maintain order.  American will be pitted against American because the real enemy is us...not the taliban or the so-called "axis of evil" nations.     

Thu, 10/18/2012 - 17:22 | Link to Comment XitSam
XitSam's picture

Cloward-Piven strategy. Occupy was a proof of concept.

Thu, 10/18/2012 - 17:06 | Link to Comment Brother Sebastian
Brother Sebastian's picture

Very well written...and correct.  But I'm not so sure "the people will figure it out."  When I use the same arguments you wrote above on my well-educated, supposedly intelligent friends, they vehemently disagree.  Sadly, the rule of law failed a long time ago in our country.  If and when the majority of Americans do "figure it out" and take to the streets, the government will use all those hollow-point bullets it purchased a short time ago, as well as deploy the assault vehicles, drones and "protectors of freedom" it pays to maintain order.  American will be pitted against American because the real enemy is us...not the taliban or the so-called "axis of evil" nations.     

Thu, 10/18/2012 - 18:13 | Link to Comment Mactheknife
Mactheknife's picture

" The end of democracy and the defeat of the American Revolution will occur when government falls into the hands of lending institutions and moneyed incorporations."  Thomas Jefferson

Fri, 10/19/2012 - 00:47 | Link to Comment merizobeach
merizobeach's picture

Well, that part's done.  What did he say would happen next?

Thu, 10/18/2012 - 16:41 | Link to Comment alstry
alstry's picture

Raise margins....lower margins....does it really matter anymore?

Thu, 10/18/2012 - 16:43 | Link to Comment blu
blu's picture

Dammit Tyler, least you could do is Tweet something that could make us some money.

40 minutes warning is fine. Love ya baby.

Thu, 10/18/2012 - 18:14 | Link to Comment a growing concern
a growing concern's picture

Like "Just discovered: FAZ is selling at a 99% discount to NAV"

Thu, 10/18/2012 - 16:43 | Link to Comment Buckaroo Banzai
Buckaroo Banzai's picture

What is most horrifying is not what the CME is doing, it is that 99.99% of Americans still have no clue that our financial markets are totally rigged. They will wake up one morning and their money will be all gone and they will be exceedingly confused and will turn on the TV and some douchebag will tell them some giant fucking lies, and they will believe it.

Thu, 10/18/2012 - 17:00 | Link to Comment Robslob
Robslob's picture

Unless they own physical.

Physical Definition in the 21st Century:

Food

Water

Guns

Ammo

Booze

Farm Land

Gold

Silver

Anything that can't be printed by the government...etc...etc...etc...

Thu, 10/18/2012 - 17:16 | Link to Comment Haager
Haager's picture

Acttually, owning physical will be prohibited wherever possible. And margins on food&water will be tightened further.

Thu, 10/18/2012 - 17:39 | Link to Comment samsara
samsara's picture

Yes, and Drugs have been prohibited for decades but it is easy to buy/trade them.

 

If cash is outlawed,  only outlaws will have cash.

Fri, 10/19/2012 - 00:51 | Link to Comment merizobeach
merizobeach's picture

Not disagreeing with you at all, but you neglected to specifically mention hydrocarbons and capacity for electrical generation.

Finally got 'land' checked off my list this year..

Thu, 10/18/2012 - 17:11 | Link to Comment Salah
Salah's picture

No, Main Street's smart money is out (notice the volumn?)....they are "getting physical".

So are the Chinese, who leaked that (right now) if the US economy collapsed it'd end civilization, but not in 2020 when they're fully detached.  (Now that story has been seriously spiked!)

 

Thu, 10/18/2012 - 16:43 | Link to Comment The Shootist
The Shootist's picture

Are we in America or Zimbawe?!!

Thu, 10/18/2012 - 17:00 | Link to Comment Winston Churchill
Winston Churchill's picture

Rough night ?

If it wasn't for Mugabe(Obummer),we might be better off in Zibabwe.

Might have something to look forward to.

Not to worry, Harare Ben is on the job., and just got some more ink.

Thu, 10/18/2012 - 16:45 | Link to Comment IEVI
IEVI's picture

They are not even trying to hide the manipulation any more.

Thu, 10/18/2012 - 16:56 | Link to Comment seek
seek's picture

Nope, and many of us have been saying the same thing the last couple months -- for stocks, for Au/Ag, it just keeps getting more and more blatant.

All a sign we're getting closer to the end. I can't remember which euroscum said it, but there was a quote along the lines of "when things are this bad, we have to lie."

Things are that bad. Every new economic stat should carry its standard deviviation, with anything over 3 sigma in bold from here on out.

Thu, 10/18/2012 - 17:01 | Link to Comment warezdog
warezdog's picture

They really never have tired to hide it, the fact is everyone was making money and didn't care until they started losing and then looked for a reason why.

When people are making cash hand over fist they don't care if things are manipulated, once they start getting the muppet treatment their eyes start to open.

The awakening has begun, go long on water and food!

 

 

Thu, 10/18/2012 - 16:45 | Link to Comment fireangelmaverick
fireangelmaverick's picture

i THINK NEGATIVE MARGINS ARE IN ORDER. WHO IS WITH ME?

 

Thu, 10/18/2012 - 16:50 | Link to Comment e-man
e-man's picture

Nice call from ZH.  This powder keg is gonna blow...

Thu, 10/18/2012 - 16:57 | Link to Comment wagthetails
wagthetails's picture

would love to see a historical margin chart (how much looser have they been in the past?).  this is positive today, but eventually they have to tighten (and when the market is weak) which will only compound the weakeness.  another "flow" issue.  Just another cog falling into place in the machine tht will trigger a great crash. 

Thu, 10/18/2012 - 16:56 | Link to Comment mammoth mo
mammoth mo's picture

It's not really manipulation son.

 

You see we control the entire market. 

 

It's planned.

Thu, 10/18/2012 - 16:58 | Link to Comment Jake88
Jake88's picture

Good grief they are broadcasting that the end is near. Can't let it go down because it will crash like never before.

Thu, 10/18/2012 - 16:58 | Link to Comment HD
HD's picture

Why things like this don't scare the bulls I'll never know.

Even with the all powerful Fed backstopping everything, everywhere - we still had major market sell offs in 2008, 2009, 2010 and 2011...why is 2012 different?

Thu, 10/18/2012 - 17:01 | Link to Comment Robslob
Robslob's picture

Because it isn't 2008, 2009, 2010 or 2011?

Fri, 10/19/2012 - 17:26 | Link to Comment LooseLee
LooseLee's picture

 Most equity bulls are retarded.

Thu, 10/18/2012 - 17:00 | Link to Comment PUD
PUD's picture


"you sick complicit evil foul manipulative bastards" I suggest everyone write something similar

Thu, 10/18/2012 - 17:01 | Link to Comment PowerzThatB
PowerzThatB's picture

It's amazing that folks still want to hedge or invest on the CME.  Like the stock market, I am out and could care less anymore. Unless it is a tangible asset I have no interest...

 

~PTB

 

 

www.fofoa.blogspot.com

www.lehmans.com

www.silver50.com

Thu, 10/18/2012 - 17:01 | Link to Comment becky quick and...
becky quick and her beautiful mouth's picture

somebody im'd me this before i saw it on zerohedge, and i thought it was a joke. holy good christ. they better hope for an emp attack, at least then they'll be able to get out of it with some sort of excuse.

Fri, 10/19/2012 - 00:55 | Link to Comment merizobeach
merizobeach's picture

Why 'hope for an attack' when the most-used banner in the closet is a false-flag?

Thu, 10/18/2012 - 17:02 | Link to Comment Yen Cross
Yen Cross's picture

 When are CME going to lower the margins on " #CLX2"? If I'm getting reemed on the refined stuff, I should at least be able to save a little on the "crude".

Thu, 10/18/2012 - 17:03 | Link to Comment stormsailor
stormsailor's picture

yeah, the markets are an always levitating circus.  did anybody see those huge one minute spikes in google after close.  wow, wish i had a trap set like i use to back in the amb days.

 

amb,  that was the most funnest for the leasest stock i ever traded. (shorted)

Thu, 10/18/2012 - 17:04 | Link to Comment c-rev with a twist
c-rev with a twist's picture

Yes, except for the fact that they did not decrease margins on ES.  I enjoy the theater too, but a little accuracy here and there never hurts.

Thu, 10/18/2012 - 17:10 | Link to Comment Tyler Durden
Tyler Durden's picture

"EMINI S&P 500 EURO DENOMINATED FUTU (EME)" Change: DECREASE.

Hint: there are other currencies besides the USD

Thu, 10/18/2012 - 17:12 | Link to Comment stormsailor
stormsailor's picture

oops, somebody got owned, lol

Thu, 10/18/2012 - 17:14 | Link to Comment ebworthen
ebworthen's picture

"Leverage!  We need more leverage!  And a stronger fulcrum!"

Thu, 10/18/2012 - 21:44 | Link to Comment krilj
krilj's picture

All fine and good...except that the euro dominated emini doesn't trade.  It's a placeholder so other exchanges can't list it in the future.  The CME locks up the 'rights' to the contract by having it listed.  

 

Go check the volume.

Thu, 10/18/2012 - 17:04 | Link to Comment otto skorzeny
otto skorzeny's picture

Karma Police-arrest these men.

Thu, 10/18/2012 - 17:07 | Link to Comment LooseLee
LooseLee's picture

Smells like desperation. Won't be long before all paper assets begin moving towards their intrinsic value...

Thu, 10/18/2012 - 17:11 | Link to Comment yogibear
yogibear's picture

So much for the free market. 

 

Thu, 10/18/2012 - 17:10 | Link to Comment JustPrintMoreDuh
JustPrintMoreDuh's picture

Remain calm .. all is well.

Thu, 10/18/2012 - 17:13 | Link to Comment ebworthen
ebworthen's picture

Time to lower capital margins for TBTF banks and get back to 40X leverage!

Thu, 10/18/2012 - 17:19 | Link to Comment BudFox2012
BudFox2012's picture

40 X leverage?  It's amatuer hour if you don't leverage triple digits these days...

Thu, 10/18/2012 - 18:17 | Link to Comment Bastiat
Bastiat's picture

That's what derivatives are for.

Thu, 10/18/2012 - 17:14 | Link to Comment Ned Zeppelin
Ned Zeppelin's picture

I'd take it as a compliment.

Thu, 10/18/2012 - 17:17 | Link to Comment ekm
ekm's picture

 

This world market management has gone so lost that only two options have remained:

 

1) Fed and Primary Dealers buy up all S&P and Dow. If that decision is taken, all 13 exchanges will go bankrupt and the next president will have to be annointed as Emperor

 

2) Have enough luck for Dow to drop 2000 points per day for 5 days in a row so stocks become reasonably priced to re-start trading again.

 

What do you think is going to happen, 1 or 2?

 

Thu, 10/18/2012 - 17:24 | Link to Comment BudFox2012
BudFox2012's picture

# 1 for sure, except the prez won't be emperor, but annoited a living god (kind of like Xerxes from 300, minus the barbaric relic gold peircings everywhere)

Thu, 10/18/2012 - 17:26 | Link to Comment Bob
Bob's picture

Truly amazing.  Even without the soothsaying. 

Thu, 10/18/2012 - 17:26 | Link to Comment q99x2
q99x2's picture

Its not a conspiracy theory. It is a conspiracy.

Thu, 10/18/2012 - 17:26 | Link to Comment surf0766
surf0766's picture

Dow at 13,500 and the economy is in the shitter.  The middle east is on fire. Europe is collapsing.

Gas at $3.81, food prices rising and rising. Out of control debt , personal and public.

Hope and Freakn' Change !

Thu, 10/18/2012 - 17:36 | Link to Comment surf0766
surf0766's picture

Oh look, one of the marxist downed me...........

Fri, 10/19/2012 - 02:51 | Link to Comment toomanyfakecons...
toomanyfakeconservatives's picture

Stealth Marxists and keyboard fear bots roam this commentary.

Thu, 10/18/2012 - 17:27 | Link to Comment Itch
Itch's picture

Interesting timing indeed... but why the Euro futures? Devils advocate; they might be expecting some dollar volatility and want customers to switch into a (ahem) stable euro, possibly expecting some carnage coming up to the fiscal cliff. Okay, commence stoning.

Thu, 10/18/2012 - 17:28 | Link to Comment Robslob
Robslob's picture

Obama economy and what do you get...4 years older and ($6 Trillion) deeper in debt...Saint Peter don't you call me 'cause I can't go I owe my soul to the Government store....

New lyrics from 16 Tons by Tennessee Ernie Ford

Thu, 10/18/2012 - 17:28 | Link to Comment saints51
saints51's picture

I have been getting a shitload of ICE future emails about changes too, but not about margin decreases.

Thu, 10/18/2012 - 17:34 | Link to Comment icanhasbailout
icanhasbailout's picture

They already made The Onion obsolete... ZH is next

Thu, 10/18/2012 - 17:41 | Link to Comment Everybodys All ...
Everybodys All American's picture

So that should take care of a few of the margin calls tomorrow but they can't do this forever.

Thu, 10/18/2012 - 17:42 | Link to Comment surf0766
surf0766's picture

They won't. Everything was halted and pushed until after the election is over.

Thu, 10/18/2012 - 18:12 | Link to Comment Everybodys All ...
Everybodys All American's picture

...and if or when Obama is re-elected we can expect more of the same only on a grander scale.

Fri, 10/19/2012 - 00:58 | Link to Comment merizobeach
merizobeach's picture

No pres is going to open those FEMA camps during his first term.

Thu, 10/18/2012 - 17:48 | Link to Comment redpixel
redpixel's picture

"It's amazing that folks still want to hedge or invest on the CME.  Like the stock market, I am out and could care less anymore. Unless it is a tangible asset I have no interest…"  PowerzThatB

I totally agree.  invest in yourself or tangible assets.  Screw the market.  I don't have time to try to figure it out anymore.  There is too much manipulation anyway.

Thu, 10/18/2012 - 17:49 | Link to Comment Hetty Green
Hetty Green's picture

Penny slots open for new players!

 

Thu, 10/18/2012 - 17:50 | Link to Comment WhiteNight123129
WhiteNight123129's picture

Tyler you can hang this call to the hall of fame for understand the market dynamics. YOU ARE JUST BEYOND GREAT GUYS. You should record this moment and open a bottle of champagne, this is well deserved.

 

Thu, 10/18/2012 - 17:53 | Link to Comment adr
adr's picture

25 years ago to the day unlimited credit was granted to those who would buy the market when everyone else was selling. The PPT came to power. A vain attempt to keep the paper wealth generator running full tilt.

Hmmm, what could be going on again day after day after day.

If a business is viable and can support itself based on sales, why does its share price even matter?

If the exchange droped 50%, how does that change the true value of a viable corporation? Yes, you can argue reduced market cap leads to less availability of credit. But a viable corporation should be able to exist without it.

The only way the stock market matters is if the corporations traded are not actually viable business entities without the ponzi scheme propping them up.

Thu, 10/18/2012 - 18:16 | Link to Comment Everybodys All ...
Everybodys All American's picture

substitute corporations with the too big to fail banks and you will begin to understand the dilemma.

Thu, 10/18/2012 - 19:02 | Link to Comment Bob
Bob's picture

 

Michael Hudson: The Road to Debt Deflation, Debt Peonage, and Neofeudalism

http://www.iadb.org/intal/intalcdi/PE/2012/09985.pdf

Thu, 10/18/2012 - 18:17 | Link to Comment Quinvarius
Quinvarius's picture

You can't fight the bull market.  It has become selfaware.  It will unplug you long before it ever unplugs.

Thu, 10/18/2012 - 18:15 | Link to Comment Killer the Buzzard
Killer the Buzzard's picture

Unbelievable.  The CME/Global Ponzi has degraded itself into self-parody.

Thu, 10/18/2012 - 18:17 | Link to Comment Bastiat
Bastiat's picture

Is it still fraud if it's transparent?

Fri, 10/19/2012 - 01:01 | Link to Comment merizobeach
merizobeach's picture

If what's transparent is fraudulent, imagine how nasty the opaque shit is.

Fri, 10/19/2012 - 02:47 | Link to Comment toomanyfakecons...
toomanyfakeconservatives's picture

Opaque, obfuscated, or just plain occult.

Thu, 10/18/2012 - 18:22 | Link to Comment outofideas
outofideas's picture

So what the fuck do I do with my 401k now? Can't cash it out without quiting, and I don't feel like any option is safe.

Fri, 10/19/2012 - 02:45 | Link to Comment toomanyfakecons...
toomanyfakeconservatives's picture

Unfortunately, anything can happen with the shit-and-piss financial products that often make up these funds. By shit-and-piss I mean things like Mortgage-toilet-paper Backed Securities and stocks which are up 15% in toilet paper money... but actually down 20% against gold this year.

 

Also, recent executive orders and court decisions pretty much legalize the outright theft or siezure of any account, segregated or individual, so make sure you don't step out of line.

Thu, 10/18/2012 - 18:29 | Link to Comment Downtoolong
Downtoolong's picture

Whatever it takes.

Risk is just a number to be manipulated like alll the rest now. All you risk managers who thought you made a difference can go home now. Everything you ever used to think matters has been reduced to one index, and you can trade futures on it 24/7 on our latest exchange. Hell, we'll even hook that up to an HFT algo for you. It's all good. 

Thu, 10/18/2012 - 18:34 | Link to Comment cocoablini
cocoablini's picture

Bernanke and Co. have basically 2 machines to inflate perceived money supply. The stock market, which is very easy to manipulate now and the Bond yield. if stocks crater, then so does money supply,collateral or the wealth effect. The fED is fighting deflationary forces of a massive scale-an event which was created BY THE FED because they simply do not understand what machinery they have. The economic system is based on credit-asset inflation. We have the entire system running in revese with asset values collapsing and credit overhang much larger than all asset values. 

If the stock market was allowed to be a real market Google would be at 100. The market died in 2011.

Thu, 10/18/2012 - 18:50 | Link to Comment Almost Solvent
Almost Solvent's picture

If the stock market was allowed to be a real market and assets marked to market and derivatives were liquidated as well, the stock market would be zero since every "market maker" would be in the process of liquidation and unable to operate.

Thu, 10/18/2012 - 18:45 | Link to Comment chump666
chump666's picture

CME explained in a short 4min clip:

http://youtu.be/vJ08OpCta7k

blind leading the blind baby...

Thu, 10/18/2012 - 18:44 | Link to Comment hedgehog9999
hedgehog9999's picture

Great way to get some permabulls Bernanke suckers overextended for the adjustment phase......buy buy buy....

Sell signals across the board , from Taiwan and Ausssie to the venerable Nasdaq, with Goog being the posterchild Today!!! 

Thu, 10/18/2012 - 18:54 | Link to Comment WhiteNight123129
WhiteNight123129's picture

Guys have you noticed that the margin requirements have been decreased for all currencies except the Israeli Shekel which had an increase.

Have noticed the increase in margin in tanker rates??

Have you noticed that Mitt Romney is leading in Gallup Polls?

 

Thu, 10/18/2012 - 18:57 | Link to Comment insanelysane
insanelysane's picture

Happy Anniversary MFG

Thu, 10/18/2012 - 19:05 | Link to Comment The.Oracle
The.Oracle's picture

I'm still relatively new to all this, so it took me a second to figure out wtf was going on. But that is so damn funny--classic.

Thu, 10/18/2012 - 19:23 | Link to Comment alien-IQ
alien-IQ's picture

despite how long I've been reading ZH, every once in a while when shit like this happens...I just have to step back and say again: Damn you guys are GOOD.

Thu, 10/18/2012 - 20:02 | Link to Comment AlphaHunter001
AlphaHunter001's picture

 

Considering the VIX has been low for so long, I'm not sure why they didn't lower margin rates already. There should be a more dynamic model that shifts margin requirements based on daily volatility - as the vol. increases so does the margin and vice versa.. having the CME respond so slowly is quite an outdated model...

 

This would certainly help any of the spikes we've seen in commodities, as they should have been raising margin requirements as volatility spikes... they need to be current to balance risk vs. maximizing portfolio returns

Thu, 10/18/2012 - 21:25 | Link to Comment newworldorder
newworldorder's picture

CME - Its the Chicago way. They are covered as long as the regulators have their back.

Thu, 10/18/2012 - 21:47 | Link to Comment hawk nation
hawk nation's picture

Very soon i willbe able to buy stocks without using any of my principal balance. It will be just like zero down for houses and government motor cars

 

I just have to time the purchases for when I think the whole system collapses so i get everything for free

Thu, 10/18/2012 - 22:41 | Link to Comment Downtoolong
Downtoolong's picture

Let's face it, CME are a bunch of whores who will do anything to get another trade on their exchange. That pretty much goes for any exchange these days.

They will try anything. They would make a market in dead babies if they thought people would trade it. Some of their product ideas that didn't stand the test of time were just about as ridiculus.

 

Thu, 10/18/2012 - 23:27 | Link to Comment jballz
jballz's picture

 

The VIX is at 15. For christ sake why do are you all so ignorant on this subject. Margins--------> volatility.

 

Sometimes a cigar is just a fucking cigar.

 

Really detracts from your legitimacy when you hype insignificant (and correctly correlated with volatility) margin changes as some grand conspiracy theory.

Fucking knock it off already.

Fri, 10/19/2012 - 00:47 | Link to Comment hedgehog9999
hedgehog9999's picture

What is the CME? I just realized it stands for Coronal Mass Ejection and this is not good according to the pundits.

Fri, 10/19/2012 - 18:33 | Link to Comment HSigma
HSigma's picture

You would think a relatively popular financial blog would correctly interpret and understand how SPAN has worked for the past 24yrs. Surely VIX has not been at its lowest level in nearly 6 yrs (pre-crisis) and has absolutely nothing to do with continued broad spectrum lowering of margins. Margin adjusted daily (which is what is implied per topic) to outlier vix sessions makes zero sense for a clearinghouse business. With all the agregious problems plaguing the world of finance, problems which are easily crafted in a truthful/objective manner, why there is a need to succumb to wreckless conspiracy theory I will never know. Only reason you get away with so much inaccuracy is because the majority of your readership are ignorant to the gritty topic facets. I'm reminded of easily molded zombies who watch Fox News/CNN who want the quick fix without performing any leg-work. Similar to Drudge Report, show only topics that fit within ones overwhelming bias. It's interesting how those who apparently stood for contrarian antics and wished not to walk among the flock, have now unknowingly become sheep themselves.

Step back, re-ground yourselves.

 

 

Do NOT follow this link or you will be banned from the site!