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Still Buying?
While POMO and its unstopppable force of liquification will lift the nominal price of each and every stock to the point of no return, it seems VIX, Treasury, and JPY-carry traders are not quite as convinced that today is the day to be backing up the truck...
as the shorts tried to push it out of the gate and were instantly squezed to cover...
Charts: Bloomberg
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S&P is now untethered from reference to any other asset class... it is like the bubble child, living in a world of its own... forget all compression trades... the S&P is rising to heaven, the stars, whatever infinite that has degraded itself by becoming realized...
Crash it, bernank, crash it.
The bernake gots this. He just needs to bump up QE'inf to 170 billion a month. "fixed" just like that!
All we need is Krugman to break some windows and we will be seeing green shoots in no time
They must be planning an "event nobody saw coming". This is probably to let the Elite to quietly get out.
Although with QE this could go on for a while longer. I don't know cause I'm outside. It must be great to be an Insider.
Trust me, NOBODY is buying into this market, except POMO...even my ultra bullish buddies aint buying and saying this is insane crazy. And DONT SHORT either....given that there is daily POMO in a basically illiquid market....the buying power of the POMO will basically levitate this market and cause the SHORTS to cover which will further the rally. I think if they banned SHORT SELLING now, this would actually reverse the markets strength because the short covering has pushed this market higher....but of course, they wont ban short selling until the markets are actually crashing. So, I suggest just sell any long positions as it goes higher but dont short shit.
Lets do this. Leeeeeeerooooooooy Jenkinnnnnnnns!
Correct me if I am wrong, but if POMO is the only buyer and continues to buy up shares, it means somebody is selling to them.
At some point, don't the sellers run out of stuff to sell?
Which would mean the POMO can't buy any more shares, which would mean... collapse?
I think that is part of the reason why so many companies are issuing new shares constantly.
Insiders are dumping like mad...but they still have a ton left.
The bigger they are... the harder they melt up.
Theyll 'allow' some manner of shorting for the SIFIs (Systemically Important Financial Institutions) but close it down for everyone else.
"Heads I win, tails you lose" - - - - see, High Finance iis really simple. You can learn it by renting and watching the Godfather DVDs over a weekend.
You couldn't pay me to be 'inside' that cesspool.
"This is probably to let the Elite to quietly get out."
Money Laundering?
Money transferring...
Maybe he jumps without opening window?
$9,000,000,000,000 MISSING From The Federal Reserve SHOCKING FOOTAGE
http://www.youtube.com/watch?v=1QK4bblyfsc
.
Do You Believe in Magic?
http://www.youtube.com/watch?v=eaqRwFyoGgQ
I feel personally guilty and ashamed of the world that we are leaving to our kids...
The Federal Reserve is completely out of control with no checks and balances and not even our elcted representatives seem to be abpe to do squat about it...
" it is not your fault..", think good will hunting.
love the Seinfeld episode..The Bubble Boy
Bubble Boy Bernank
My God! It's full of stocks!
Record low short interest to boot...
this so-called market has gone WAY past the point of ridiculous.
Never underestimate the replacement power of stocks within an inflationary spiral.
That's the play, right? "When Money Dies"... Nothing terribly new here. You can read all about it.
Will the market work today, and creatively destroy today's Fed injection? Wouldn't it be great if today, the moronic algo chasing lemmings that took that money and chucked it at stocks...did not get paid at the close?
Something that seems to be missed by many, in order to book that profit and get paid, they have to actually sell.
From "trade off" by David Korowicz... A paper people should read...
There is a popular idea that the purchase of financial assets is investment. However, this 'investment' is primarily about re-allocation within the market. Asset values are maintained by sellers finding buyers, market values are maintained by favourable broad market sentiment. Market participants generally take for granted that virtual-to-real asset conversion can occur at will, which is the ultimate source of value. Only it is not tested as long as there in general faith in the market for proxy wealth.
If debt deflation were to significantly undermine GWP, or if the cascading effects of a financial collapse (arising from our current predicament) or peak oil were to cause a terminal decline or collapse in GDP, then the future prospects for proxy-to-real asset conversion would collapse.
Not only that, a terminally contracting global economy is incompatible with the credit backing of the global financial system, fractional reserve banking, and the monetary system, as we have seen in section III.3.1. This is simply because in an expanding economy credit (principal + interest) can be serviced in real terms; in a contracting economy not even the principal can be returned. So our problem of hyper-credit expansion is that debt expands beyond the GDP's ability to service it, while debt deflation and peak oil causes GDP to contract undermining the ability of the economy to service debt.
The loss of faith, as is the way with markets and human behaviour, will be waves of panic as holders of such proxy assets run for the exit, trying to convert a mountain of financial assets into a molehill of real assets. It would be a sellers-only market.
The conversion of financial to real assets would be further constrained as money is required for intermediation. But in such a crisis, people would cling to any cash they had, banks would be collapsing, there would be fears of currency re-issue, inflation, or even hyper-inflation. Further, as this study will show, such a financial, monetary and banking shock could cause a rapid and terminal collapse in the globalised economy via supply- chain contagion and a large part of our complex society’s productive base would be left to decay or be scavenged.
Global financial markets and the assets they trade are, in their entirety, a Ponzi scheme, and like all Ponzi schemes, they live only as long as confidence is maintained before collapsing under the weight of lost illusions.
Awesome thesis. This is exactly how I see it going down... just don't know when...
http://www.feasta.org/wp-content/uploads/2012/06/Trade-Off1.pdf - here is the paper. It is... Compelling.
https://twitter.com/NYFedResearch/status/332151008497106945
NY Fed seems to have concluded that .......stocks are cheap.
cheap compared to what?
rat meat
anything is cheap when you can push a button and print magical money.
Correct question. http://m.youtube.com/#/watch?v=NHWjlCaIrQo&desktop_uri=%2Fwatch%3Fv%3DNH... - how to win?
Compared to DOW 25000, of course...
Gotta love the closing paragraph.
They have to do something positive to justify the government salaries
***DISCLAIMER: This could all be bullshit. k thx bai
BTW:
Syria offline due to optic cable malfunction
Country still offline
http://homment.com/syria-inet
This is true. Optic cables do tend to malfunction when you blow the living shit out of them. IT guy says it's a known issue and they are looking into it.
More that one cable into the country. Three or four according to BBC this morning. They wouldn't all go down at the same time... unless someone wanted them to...
It is customary for a company to have several such cables and for a country to have many. All in different places, going to different places. To take them all off line simultaneously...
Yeah right...an optical cable shut the whole country down, Obummer is a natural born citizen too...according to state run teevee.
The more they print to support the market - the more they have to print to support the market.
The very people they need to believe the lie are not investing in CapEx and hiring.
Everyone accepts the market is fake and manipulated and keeps one foot out the door hoping they will get out first.
CENTRAL BANKS HAVE FAILED and printing trillions with no end in sight just proves they have lost control.
Q: So what can be short sold with success today?
A: nothing, except maybe silver.
If you try and short my silver, you won't get anywhere. I just wanted to let you know that you'll need to short someone else's silver. Becuase in this environment, MINE IS NOT GOING ANYWHERE. AND IT'S MINE, it does not belong to any "market trader".
stillborn?
more like a druggy doubling up his dose every few weeks.
The early stages of hyper-inflation are fun, sitting around in your underwear making easy money trading stocks thanks to the Bernank then bam!......reality smacks you in the face and suddenly underwear is all you can afford.
Again Doc speaks the truth.
http://1.bp.blogspot.com/-8cpkGdxhhsI/TcU4RJJZXII/AAAAAAAAAF4/6mZDXt8CKk...
LMAO...
long underwear
depends...
I agree. Wearing Depends would be called for instead of just underwear when FIRE is finally yelled in the crowded theater.
Then there's an underwear shortage, and an old codpiece is all you can find.
Maybe. But wages aren't going up (even nominally), so where's the too much money chasing too few goods?
I take it you don't grocery shop, buy gas, pay medical bills, or pay for your kids school.
At this time it might be something more like... too much printed up money, chasing too much debt... in what looks to be a game of musical chairs, or perhaps a game of chicken.
Silly question. Stocks don't go down.
never, just like realestate.
Exactly. We have entered a Never Never Land where all risk has been abolished.
Don't go down? I thought that was..........
Nevermind.
pods
Took a stiff loss on my IWM short, reloaded. I have never seen an index chart like this. Fuck I'm back at it...
So many bears will be entering their first S&P 500 short sale at 1630. Well, it looks like we are there.
SHORT THE SHIT OUT OF THE S&P 500! IT IS YOUR DUTY TO REASON AND FUNDAMENTALS!
The margin clerks will be callign you at 3:00pm today. Please leave your Nokia on automatic answer.
slaughterer: looks like you will have to lead the charge on this 1630 attempt alone. I think it will be futile and I am all out of ammo. Good luck
watch yourself slaughterer. you know the old saying, dont fight the FED
If it can reach 1630.00 - it will make 1650.00, so why short 30.00s?
Went long the vix today, my contribution.
You went long on a derivative of the stock market, which is a derivative of The Fed, which is a derivative of paper and ink.
I be confident Ben can crash it. He still claims he doesn't know what a bubble look like. I believe him!!!!!!
By now everybody and their mother knows the game, buy stocks, Bernake and friends are flat out rigging the markets. Everybody knows it is too good to be true and we can see that the Federallies don't dare let the market "Off leash" for two minutes.
The last chance to "Restore Confidence" is at stake here, raise you hand if your confidence has been restored by market rigging.
Put up a monthly chart of the S&P ......
Draw trendlines under $$ ....
Tell me that this has not gone parabolic?
Here ya go..
http://2.bp.blogspot.com/-VLPKxaESiDA/UWikVZLtyCI/AAAAAAAAU7M/jnyXXpeT5Q...
Awesome...
Dittos..
NOT parabolic
You could also draw a straight diagonal line thru it.
Parabolic is the normal state for currency debasement.
1630 is a gigantic WALL! From here we go back to test 1600! Get on the short side! No news catalyst needed! Honey Money Bartarimo only needs to sneeze to get the algos to sell. LOL.
2000 is the only wall I see.
S&P 2K is only 23% away.
Should be doable by the time Janet Yellen inherits the Bernank's desk next January.
Why is "S&P 1630 a gigantic wall", I don't understand, S&P has never been in this territory before?
I'm with ya!
And...for some unknown reason...NY Fed securities lending to primary dealers (collateral needs) is at a 2 month average of $20 billion/day. The last 2 times it reached this level, the stock market fell at least 10% as soon as it slowed down to less than $10 billion/day.
Why on earth do primary dealers need Treasury bond collateral if things are so fantastic and QE is in place?
Perhaps their idiotic derivative bets went a bit sour when the 10yr refused to go beyond 2% and instead went to 1.7%. Last thing they want is to have to buy Treasuries on the market to post collateral (and in the process push yields even lower and sink their derivative bets further into implosion). Just a guess...
Hellz yeah! PE over 500? I got you.
Just buying and waiting for the ECB to print seems to be the byline.
I'm impressed. Impressed that is with the number of mall stores that are boarded up or been replaced with No Name Crap stores and tiny booths in the corridores selling everyt ype of item imaginable like snake oils, miracle creams, soaps to make your skin 'Yuteful again", weight loss formulas, hair growth mixtures....you name it, they sell it to ya.
I am sitting here thinking to myself: I have never seen anything like this before....and then I remember....Ohhh yes I have....I was flogging @home and AOL options to customers at the time....we all know how that ended.....
We need more muppets on the show. Stock market participation rate still too low. Force muppets to watch CNBC 24/7!
"Why do we always come here? I guess we'll never know. It's like a kind of torture to have to watch the show."
Bad news and good news is great news. No news is good news.
the fed and the government have made us all lottery winners.
Lunch is forever free (even though the cocaine tends to supress the financiers' appetite for such).
Soros & vultures circling Australia. Ru-Roh.
It may go down as one of the great currency bets in Australian dollar history – a $US1 billion gamble on a Reserve Bank rate cut that has delivered a $US19 million ($18.65m) profit in 36 hours.
The beneficiary, if you believe the rumour mill, is investment legend George Soros.
Best of all, it appears the 82-year-old American pulled off the deal three times, all with different foreign exchange brokers in Asia, for a tidy profit of almost $US60 million.[source]
All this and WTI is going down? You are a genius Ben...Genius.
S&P 1900 and WTI $101.00?? Oh yeah.
The perfect world for the FED ... Bonds up, Equities up .... oops, Gold up
If there were 30 models I would feel much more secure:
http://blogs.marketwatch.com/thetell/2013/05/08/equity-premium-models-pr...
Platinum and Gold well up ... Silver slammed ... what's up?
bla bla bla nothing to see here... until there is.
In a casino, the house always wins and in all the electronic exchanges, the too big to fail banksters are the operators. Armed with funds from the FED and using High Frequency Trading softwares and Derivatives, they move the markets exactly where they want it to cause maximum losses to the traders and the hedge funds.
Even if they do make a loss, their budies, the central bankers and politicians are there to transfer their losses to the taxpayers so that they have a 100% success record in transfering wealth to their coffers from rest of the world.
http://www.marketoracle.co.uk/Article40231.html
My thought on this market is "Go Long Notional and Hedge" I think of the S&P 500 as notional since it's obviously being manipulated. Vix options are cheap and getting cheaper. Nikkei puts are cheap and getting cheaper.
I'm afraid this could turn into irrational exuberance followed by a collapse. We get a flash crash but prices never recover. Just stay at zero. Gold and Silver prevail.
The end