Bill Gross Warns "Very Likely' Central Banks Will Cause 1987-Like Crash

Tyler Durden's picture


What takes other Political Journalism majors (and CTRL-C/V minors) pages and pages of verbose essays full of acronyms and meaningless gibberish to refute, Bill Gross asserts in less than 140 characters.

Needless to say, he is absolutely correct.

Because just as HFT was a latent complacency "catastrophe factor" for the market, as we warned all throughout 2009 and were proven correct on May 6, 2010, so the central banks have now taken over the role of ultimate vol backstopper (as Artemis has shown over and over), a process which will have a catastrophic outcome with absolute certainty.

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Fri, 10/19/2012 - 10:13 | 2904049 Calidreaming
Calidreaming's picture

Well then Crash this turkey already,  I dont think I can take any more of this crap

Fri, 10/19/2012 - 10:14 | 2904053 tsx500
tsx500's picture

will someone please put me outta my misery  ?!

Fri, 10/19/2012 - 10:22 | 2904078 CPL
CPL's picture

Put in your stops losses.


ALL OF YOU.  Take the protfit even if it's a penny and hang the banks for their hubris.


It's 10:20 and Google has had selling pressure equal to it's average daily volume.  Very dangerous.  Best bet though, is to not play at all.

Fri, 10/19/2012 - 10:22 | 2904093 malikai
malikai's picture

Yes, please, we cannot run your stops unless you put them in.

Fri, 10/19/2012 - 10:22 | 2904097 fonzannoon
fonzannoon's picture

I was thinking the same thing.

Fri, 10/19/2012 - 10:29 | 2904115 camaro68ss
camaro68ss's picture

let it crash so i dont have to go to work anymore.

Fri, 10/19/2012 - 10:46 | 2904180 Pladizow
Pladizow's picture

No Fed, No HFT = No Market

Fri, 10/19/2012 - 10:47 | 2904183 francis_sawyer
francis_sawyer's picture

Waddell & Reed for FED Chair...

Fri, 10/19/2012 - 11:00 | 2904204 economics9698
economics9698's picture

..3-5 years, we are at 3 years-11 months.  Could be 2014.  Keep showing up at work.

Fri, 10/19/2012 - 11:04 | 2904215 GetZeeGold
GetZeeGold's picture



Just look at our record. OK......maybe not.

Fri, 10/19/2012 - 13:29 | 2904741 Jake88
Jake88's picture

that bet could keep you working forever.

Fri, 10/19/2012 - 10:42 | 2904164 Its_the_economy...
Its_the_economy_stupid's picture

Channel-sweeping anyone?

Fri, 10/19/2012 - 11:05 | 2904219 CPL
CPL's picture

Good point.


But anyone in the reatail community still trading this slop is on crack.  The risk to it isn't company losses or any basic fundimentals anymore.  It's when the all equities are held by the bank and by proxy the government.  They will have to print the entire market now, again.


If you've been hitting the crack pipe and think the market is going to work for you and not the owners...well, put in the stop loss to save your ass.  Flying without it is like running around a whore house without a condom on.  It's just stupid.

Fri, 10/19/2012 - 10:26 | 2904106 DeadFred
DeadFred's picture

Soon is a loosely defined term, but soon. Take heart all you bears out there!

Fri, 10/19/2012 - 11:29 | 2904314 RSloane
RSloane's picture

You've been right on every call so far, so I'm going to take heart.

Fri, 10/19/2012 - 13:30 | 2904744 Mountainview
Mountainview's picture

The bond equity divergence isn't the same as in soon will be later....

Fri, 10/19/2012 - 12:35 | 2904493 LMAOLORI
LMAOLORI's picture



Put you out of your misery no way they need you as a Debt Slave :) 

Gross isn't the only one predicting a crash Mark Hulbert


Another stock crash like 1987’s is inevitable

Paul Farrell


Doomsday Cycle targets America next




Fri, 10/19/2012 - 10:16 | 2904057 GetZeeGold
GetZeeGold's picture



Well then Crash this turkey already


There's always room for more turkey.


Here....have some Jello too!

Fri, 10/19/2012 - 10:15 | 2904060 redpill
redpill's picture

twenty twenty twenty-four hours to goooo, I wanna be sedated...

Fri, 10/19/2012 - 10:18 | 2904071 GetZeeGold
GetZeeGold's picture



It's a 72 hour waiting list....and that's only if you get past the deathpanels. Yes.....they're real.....we're not making it up.

Fri, 10/19/2012 - 10:22 | 2904092 The Gooch
The Gooch's picture

"beat up the Ben, beat up the Ben, beat up the Ben with a baseball bat OH YEAH" 

Fri, 10/19/2012 - 10:39 | 2904159 GeezerGeek
GeezerGeek's picture

I hear the Yankees have a lot of unused bats for sale....

Fri, 10/19/2012 - 11:09 | 2904213 GoinFawr
Fri, 10/19/2012 - 10:23 | 2904098 CPL
CPL's picture

I don't wanna be buried in a pet cemetary...

Fri, 10/19/2012 - 10:35 | 2904138 Orly
Orly's picture

I don't want to wind up a cartoon in a cartoon graveyard.

Fri, 10/19/2012 - 10:37 | 2904151 nmewn
Fri, 10/19/2012 - 10:18 | 2904069 HelluvaEngineer
HelluvaEngineer's picture

Not when we have assholes like Potter "actively managing" everything like the VIX today.  Look at that sweet 180 U-Turn!

Fri, 10/19/2012 - 10:24 | 2904101 CPL
CPL's picture

What U turn?  RSI is in the gutter.


Momentum is 30 to 1 against.

Fri, 10/19/2012 - 10:33 | 2904132 Orly
Orly's picture

Will someone please tell the Euro...

Fri, 10/19/2012 - 10:44 | 2904174 DeadFred
DeadFred's picture

Is anyone technically competent to confirm that put volume is closing open interest? Big banks are buying them back?

Fri, 10/19/2012 - 11:23 | 2904274 CPL
CPL's picture

Just look at BATs.  It's for laymen to watch the pressure in the system against particular stocks that are the market now (AAPL, GOOG, IBM)


All the players that lost their guts in profits.


Or install Eclipse Trader (open source, free as in Speech) and the HFT/Algo model plugins.  HFT's are out of money until the next 40 billion dollar bond sale.

Fri, 10/19/2012 - 17:51 | 2905571 billsykes
billsykes's picture

market has to quadruple first, its only doubled since '08. I say enjoy and smile, take a loved one out, enjoy the moment and remember it.

Fri, 10/19/2012 - 10:13 | 2904052 fonzannoon
fonzannoon's picture

The Bill Gross who tweets is so much better than the Giant pussy I watch on TV.

Fri, 10/19/2012 - 10:18 | 2904074 Everybodys All ...
Everybodys All American's picture

I said the same thing below. lol

Fri, 10/19/2012 - 10:21 | 2904091 Unprepared
Unprepared's picture

In pussy matters, concealment is an attraction leverage.

Fri, 10/19/2012 - 10:14 | 2904055 rubearish10
rubearish10's picture

An Act of God seemes to be required.

Fri, 10/19/2012 - 10:17 | 2904068 JPM Hater001
JPM Hater001's picture

God will be right back...He's trying to get the light at the end of the tunnel back on.

It doesn't look good.

Fri, 10/19/2012 - 10:51 | 2904190 Dr. Richard Head
Dr. Richard Head's picture

That is actually a train heading right for us.

Fri, 10/19/2012 - 11:02 | 2904212 blunderdog
blunderdog's picture

God's away on business.

Fri, 10/19/2012 - 14:44 | 2905043 I did it by Occident
I did it by Occident's picture

Or God is the train.  He has a sense of humor like that.  It is to help us grow as human beings.  Life would be boring without adversity.

Fri, 10/19/2012 - 21:24 | 2905905 are we there yet
are we there yet's picture

Goldman forgot to pay the tunnel light bill.

Fri, 10/19/2012 - 10:14 | 2904058 realtick
realtick's picture

Don't Follow The Money - Follow The Rate Of Real Money

Fri, 10/19/2012 - 10:27 | 2904113 Orly
Orly's picture

Your charts are very interesting.



Fri, 10/19/2012 - 10:20 | 2904059 becky quick and...
becky quick and her beautiful mouth's picture

nothing good can come of hft. it serves absolutely no useful purpose. go to a library to the finance section and pull out some of the books written in the 80s, 90s, etc before hft took over. it's hilarious reading all of the chapters about how to discern value, etc. those books could all be one page now.

Fri, 10/19/2012 - 10:23 | 2904099 Unprepared
Unprepared's picture

Yeah, found a book called "Buffet invests like a bitch" or something like that.


Of course I haven't read it because I agree.

Fri, 10/19/2012 - 10:16 | 2904064 PUD
PUD's picture

today would be nice seeing as I have an ass load of expiring puts

Fri, 10/19/2012 - 10:19 | 2904079 JPM Hater001
JPM Hater001's picture

Yeah, today is about it for a few...

Bullish for the rest anyway.

Fri, 10/19/2012 - 10:19 | 2904067 Everybodys All ...
Everybodys All American's picture

There must be two people who clam to be Bill Gross. The one you see on tv with his CNBC brethren and the one who tweets and writes his essays seem like two very different people.

Fri, 10/19/2012 - 10:38 | 2904152 Orly
Orly's picture

The PIMCO brand is very important to him, obviously.  He has to toe the line when he is on CNBS but, reading between his lines, he says the same things without getting belligerent.

He wants to be invited back, you see...

Fri, 10/19/2012 - 10:18 | 2904076 THE DORK OF CORK
THE DORK OF CORK's picture

The crash of 87 was tha last time we could clean up this credit banking mess with fiat without too much pain.

Now there is going to be PAIN.

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