Europe Ends Unch As "Italian Hope" Gains Evaporate

Tyler Durden's picture


For a moment there it was all solved. Everything was in full bull mode (apart from the EURUSD). Then, the 'buy first, ask questions later' crowd saw the headlines and the covering began. Of course, bulls will point to the fact that stocks closed unchanged and not down and sovereign spreads ended unchanged and not wider but the truth is that the Italian stock market dropped 4% from pre-poll headlines, Italian and Spanish bonds cracked over 30bps wider and the EUR dropped 160 pips. Finding support at 5%, Spanish yields pushed higher and ended back above 360bps spread to Bunds. Europe's VIX pushed back above 21.5% but it is EURJPY's retracement of all the overnight gains that is probably hurting global risk the most for now...

The center of the chaos... Italian stocks and bonds and EURUSD...


and the rest of Europe...


Charts: Bloomberg

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Mon, 02/25/2013 - 13:29 | 3274332 Bunga Bunga
Bunga Bunga's picture

All in!

Mon, 02/25/2013 - 13:35 | 3274363 Edward Fiatski
Edward Fiatski's picture

Balls deep. :)

Rollercoaster - WEEEeeee! Bag 'em & tag 'em.

Mon, 02/25/2013 - 14:15 | 3274481 redpill
redpill's picture

After election day comes erection night!  Bunga 2013

Mon, 02/25/2013 - 13:32 | 3274344 Cognitive Dissonance
Cognitive Dissonance's picture

Despite the thrilling ride so far I still prefer the old wooden roller coasters.

<Did I just see a wheel fall off?>

Mon, 02/25/2013 - 13:36 | 3274366 Edward Fiatski
Edward Fiatski's picture

This century's rollercoasters sport quantum levitation - coutesy of Ben & Co. :)

Mon, 02/25/2013 - 13:38 | 3274376 disabledvet
disabledvet's picture

I think the whole ride just flew. I gotta wonder how markets are even capable of such moves in the first place. If someone over slept today they'd have no idea much at all had happened.

Mon, 02/25/2013 - 13:46 | 3274403 Iocosus
Iocosus's picture

Correct. EUR/USD has calmed after returning to yesterday's lows.

As a side note, University of Texas just took possession of $1b of gold, although I am dubious of their claim, as it is being stored in Manhattan. You'll need to employ scientific notation to put a dollar amount on that asset after it is re-hypothecated.

Mon, 02/25/2013 - 14:18 | 3274486 Edward Fiatski
Edward Fiatski's picture

Hope you closed favourably, Iocosus. :)

Mon, 02/25/2013 - 13:51 | 3274401 DaveyJones
DaveyJones's picture

But...The First Lady just gave out the Oscar for Argo, Ergo 

We will invade Iran

They live for those "special effects" you know

(while others die for them) 

Mon, 02/25/2013 - 13:56 | 3274429 knukles
knukles's picture

Living technicolor proof of the propagandization of Hollywierd, spreading the "God, ain't we glad we have these wonderful capable freedom loving patriots on our side, defeating the terror and throws of Muslim hate and anarchy right under their dumb-ass ragheadded noses"
Which originally was said to have been produced with the full help and comfort of the CIA (Timely, no?  Just ever so convenient, another coincidence) and then shortly thereafter...
The news states that there is BIG trouble a brewing at Central Office as many top secrets were divulged in said film thereby endangering the lives of many secret agents fearlessly fighting on our behalf... "God, we are sooo lucky to have had this peak inside the bastion of freedom, the tip of the spear"
And brought to you in Living Technicolor by the foistlady
Now that's fucking big stuff

Couldn't have happened to be more telling.

Welcome to the Matrix.
"All Orwell and Bernays All the Time"

Mon, 02/25/2013 - 14:35 | 3274525 DaveyJones
DaveyJones's picture

Thanks for weighing in Knuckles. That was my very reaction watching the first lady with those young military kids behind her reading the "winner." The winner. That alone tells you alot. Very Orwellian. The speed of the propoganda and the size of this avalanche is still gaining as we fall down the cliff.  

Mon, 02/25/2013 - 13:33 | 3274351 Super Broccoli
Super Broccoli's picture

if only we could dump paper as fast Bernanke's printing them ...

Mon, 02/25/2013 - 13:33 | 3274353 observer007
observer007's picture

Hi Folks


new Euro-Notes - very stylish...

Mon, 02/25/2013 - 13:35 | 3274361 jubber
jubber's picture

Interesting to note Spain is down over 2.25% after hours more than Italy, guess Rajoy is packing his bag....

Mon, 02/25/2013 - 13:37 | 3274369 BlueStreet
BlueStreet's picture

S&P back below the 20 day, next stop 1450.  

Mon, 02/25/2013 - 13:39 | 3274379 DavidC
DavidC's picture

Let's hope so, get some reality back to this non-market.


Mon, 02/25/2013 - 13:53 | 3274423 DaveyJones
DaveyJones's picture

genetically modified reality "feeds" more people

it destroys everything else though

Mon, 02/25/2013 - 13:38 | 3274374 Mr. Hudson
Mr. Hudson's picture

Lot's of money can be made when the markets move like this. Anybody want to play stocks and bonds? :)

Mon, 02/25/2013 - 13:54 | 3274425 SheepDog-One
SheepDog-One's picture

You can make lots of money running cociane into the Fla Keys from Columbia on a cigarette boat too, but I'm not doing that either.

Mon, 02/25/2013 - 13:59 | 3274440 fonzannoon
fonzannoon's picture

the boat thing actually sounds fun

Mon, 02/25/2013 - 13:39 | 3274380 Rocket De Stock
Rocket De Stock's picture

Italy is completely insignificant as all decisions "EU wise" are going to be made by the ECB / powers that be regardless. I love how American Media attepts to convince it's viewers "they should be concerned".

Mon, 02/25/2013 - 13:42 | 3274393 Super Broccoli
Super Broccoli's picture

what decision ? the ECB's fucked, it can't even bail out Greece on it's own, there is NO WAY it can bail out italy.


Mon, 02/25/2013 - 13:58 | 3274437 knukles
knukles's picture

Oh come on, plenty of Band-Aids to cover over the Cancerous Lesions

Mon, 02/25/2013 - 14:11 | 3274468 walküre
walküre's picture

you're in for a rude shock.

Greece can be sorted out, maybe. Spain is the straw that breaks the camel's back. Italy is the prolapsed intestines of the Eurozone.

It's done. Delayed for a bit but DONE. Germany will vote like they haven't voted for a long time. ABEU - Anything But EUro

Mon, 02/25/2013 - 13:42 | 3274391 fonzannoon
fonzannoon's picture

buy that dip you fuckin monkey hft's!!!!

Mon, 02/25/2013 - 13:45 | 3274400 thismarketisrigged
thismarketisrigged's picture

but but but jim cramer was telling me on cnbc this morning how everything is fine globally. how the u.s is fine, as the sequester does not really matter, china despite as poor pmi flash last night is doing well, and last but not least, while europe may be seeing a bit of slow growth, things are far from what they were during the euro crisis and all will be well.


fuck u cramer, and fuck ur partner stefanie link, dumb bitch who thinks everything is always well and telling ppl to buy stocks. fuck all of u and all of wall st and the fed

Mon, 02/25/2013 - 13:47 | 3274408 azzhatter
azzhatter's picture

and may I add, Fuck You Cramer

Mon, 02/25/2013 - 13:47 | 3274409 Haus-Targaryen
Haus-Targaryen's picture

Sweet.  Burn baby burn.

Mon, 02/25/2013 - 14:15 | 3274462 akak
akak's picture

On an unrelated note, something has just been deleted from ZH --- I posted a sarcastic response to AnAnonymous in a thread a few minutes ago, and now both comments, apparently along with the entire article and thread, are gone! 

Anyone else ever notice this kind of thing before? Unfortunately, I cannot now remember the title of the article.

Mon, 02/25/2013 - 14:14 | 3274479 nobusiness
nobusiness's picture

I'm shocked that GS would let this happen.  Stock down 1.6%

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