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Is This The Reason For Yesterday's Late Day Fade?
While the Fed's spoksperson has reassured us that none of the 100 or so people who received the somewhat hawkish Fed minutes prematurely (right-time, wrong date) yesterday traded on that information, coincidental trading behavior appears to tell a different story. The inexorable rise seemed to halt almost instantly as the Minutes were released and read by humans this time driving the S&P down 6 points into the close...
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market's reaction this morning makes the assumption that everyone who got the leak was buying
The general assumption is that everyone is buying.
I got the release yesterday - didn't everyone?
Buyers know that the Fed is jawboning, probably as cover to smash the metals. They can't stop QE, it's too late.
Obummer just said "deficits are falling at the fastest pace in years".
It's amazine the things a sequester will do.
If interest rates are permitted to rise, bonds will sell off on the news and
that $ has to go somewhere. If it goes into gold, it's game over for the Fed.
The Fed is like goldman. They are selling bonds and buying stocks. General Motors set a very dangerous precedent.
TwoJacks - not exactly. If I had received the FOMC minutes yesterday, and then leaked to "friends" (cause of course OI couldn't trade on it), the people with the knowledge had to be flabbergasted !
One does not hear any news on the early leak, and one miht feel that it was such a huge fuck up....that although I am long....I am going to take some off of the table. Things are just too crazy at that point.
Thats how I see it.
Actually the Fed is so corrupted by now (after Timmy Geithner) it has become incompetent as well. Truly Zimbabwean.
The Dukes are trying to corner the market in FCOJ.
6 points lost? Big deal, got all that back 4X already today.
so why is it rallying on it today then?
Because we've seen this script several times....Some policy makers get concerned...the market sells off..then....policiy makers see room for moar QE ..blah blah blah...wash rinse repeat. The bottom line is QE can never go away and the "market" knows it.
I, too, doubt that QE will ever end, but I see a growing possibility for it's effect to just fade out ...
At some point it will fade away. We are already seeing diminishing returns..that's why we have the open ended QE. Eventually they will have to pull a Japan and go really big.
It will only go away after the the government and the Banks own all assets. Then every labor law will be repealed and the manufacturing base will move back to the US to take advantage of slave labor. Hell even Chinese companies will ship their factories here to give their 1 percent the same oppourtunities.
They may see the hint of slowing QE as a trial balloon that popped. Just a guess.
Good question...i dont see any reason why its up big today aside from the fact that Obama and Bernanke wants the SP500 to hit an all time high under their watch....
UPDATE: Now I see why, Obama is speaking....what coincidence....
Kevin Henry is in today
Like QE or not, that Kevin Henry is a real workhorse.
What exactly is the reason for such a big rally? Perhaps FED know something bad is coming and the need to get the thing up as high possible before the crash. It all makes no sense any more.
I'm trying to think what has change for the better since SPX 1538 on Friday, and there's nothing, yet the SXP has added 45 points somehow!
Classic herd mentality feeding into a gigantic pump and dump. Stack booze, cigs, sugar, antibiotics, etc.
HFTs do not need reasons
How about 85 billion per month.
Seeking a home.
There is no other reason.
S&P 50,000 hats now on sale.
http://www.youtube.com/watch?v=DlJEX04wG_0
looks like they should not have sold.
Everyone already assumes that it is all just lies anyway.
at least they where honest about the lies... now they lie about the lies...
NOW WHO CAN YOU TRUST THESE DAYS?!?!
but...
when the entire economy goes down...
WE'LL BE ABLE TO SAY: AT LEAST WE SAVED THE BANKS!!!
S&P ROSE LESS THAN EXPECTED!!!
WHAT A DAY!! WHAT A DAY!!!
WE WILL CALL IT: "BLACK THUESDAY"!
That NFP on 4/5 seems like years ago. Thank God my memory is failing me because I could have swore that number was fucking horrendous.
Carry on.
"That NFP on 4/5 seems like years ago. Thank God my memory is failing me because I could have swore that number was fucking horrendous."
It was. And it begs the question, who is buying stocks and why. Total control people. It's been hinted at. Now it is happening.
In other news....Obama is the gun industries best sales person. He is selling 32 guns per minute over the life of his term:
http://cnsnews.com/blog/gregory-gwyn-williams-jr/fbi-conducting-32-gun-p...
So now we know how much he deserves his noble-price for peace ...
All my life, nuclear weapons were just sitting on top of some rockets in a silo, they never did much harm. Those guns mentioned here, on the other hand, did kill countless millions.
"War is peace" ....
Well, maybe the Chinese didn't pre-release their trade data, hey?
Simon whatshisname on blowhorn just said, and I quote, "It's concievable that the S&P will never go down."
Think about that.
Look out below!
Good Gawd....another flashback to residential housing 2005
Apartment complexes are next. They're about the only thing being built nationwide along with townhomes. I don't know of any SFH's going up within miles around me. What's odd is that when they do open they're not filling like they used to and I've already seen rents drop $100-150 in central MD. Homes for rent are lasting longer and longer on the "market" and those too will lower in price just to get someone in the door.
Rents are going to tank 40%, they have to, and it's not like Americans have the money to pay (how can you pay rent if you can't pay a mortgage that's less nowadays?) them anyway. Increased supply ((from complexes AND soon-to-be-foreclosure AND people doubling up/renting out a room)), stagnating demand, and a desire for low-middle income to double up more and more spells disaster in that market.
I don't trust data much anymore. I trust what my 26 year old eyeballs see. I trust first-hand accounts and take into consideration second-hand accounts from reliable sources. I trust the phone calls I make to people and businesses. I trust the conversations I strike up with cashiers (and preferably the owner!) on the other side of the counter. I trust traffic I drive through on the highways and the amount of cars I see parking lots at certain hours. I trust my gut.
+1 Good obs; trust the eyeballs
The S&P may not go down, but I'm sure that twirp does.
This thought is not conceived - it is only the sperm and egg waving goodbye.
Bruce Ismay: "But this ship can't sink!"
Thomas Andrews: "She is made of iron, sir. I assure you, she can."
INCONCEIVABLE!!
Zimbabwean!
my question is who were the hundred and why not release their names......NO CANT DO THAT
Pre-releasing announcements to a select few? That must be among those "other tools in the Fed toolkit" that we heard about.
Because just printing money alone isn't good enough anymore.
how the fuck r we up so fucking much on such shit news from last week, and nothing new this week?
i really believe these criminals will no doubt close this market at 15000 dow this weeks end and 1600 s&p.
die wall st bankers, obama, and fed, u fucking dirty thieves.
1585
Getting a pain my left arm.
Nothing to see here. Move along
Did the release have a subject line that said "FREE Viagra" or "Hot Slutty teens"?
If so I got all 100 copies
Stocks are UP!!! Gold is getting TRASHED! Silver stackers getting hosed! Jump aboard the NEW NORMAL Wealth Train and glide to unimaginable profitability! This is big stuff! Why fight the tape and rumble with the Fed? The trend is your friend.
Barbecued shorts in body bags everywhere! They are carrying them out of the trading rooms in droves! Local 30-something desk trader just had an anxiety attack and was carried out babbling like Igor the Humpback sitting on $3mm in losses on his E/S short from pre-New Years!
They usually pump on what appears to be nothing, but in reality turns out to be a "buffer" pump, just before bad news takes the market down again...like maybe banking (lack of) earnings on Friday
obvious counter-measures.
Read the order books for shorts, make some insider calls to discover who’s heavily on margin to do so, post-leak
Then ramp the market enough to force a short-squeeze.
Should have used Puts, not shorting on margin.