This page has been archived and commenting is disabled.
POMO + Tepper + Tuesday = Total Equity Disconnect
It's Tuesday. It's a big POMO day. And sure enough, equities are in full-tilt melt-up mode. In the face of a stronger USD, rallying bond market, higher VIX, and widening credit spreads, the S&P 500 has smahed through yet another set of stops, squeezed shorts wherever you can see, and made new all-time highs. Mardi Gras indeed... though one wonders what happens when Europe closes and POMO is over. Will USDJPY 102 mark the 'top' in stocks today?
Equities on their own again...
VIX futures are rolling but Spot VIX is entrely ignoring this rally melt-up...
It seems like this equity move is a catch-up to bond weakness from Friday...
Tuesday...
Tuesday...
Charts: Bloomberg
»
- 14438 reads
- Printer-friendly version
- Send to friend
- advertisements -
Dear Middle class,
Fuck off
- stocks
fixed it:
Dear Middle class,
Fuck off
- O-man & the Democrats
Nah, I hear Lou Dobbs pitching this bullshit along with everyone else. I am going to stick with what I wrote thanks.
O'bama: "I Didn't Know".
There's a reason neither party talks about sound money or restoring "mark to market" and the rule of law.
All of this ensures a spectacular crash and it will be fun watching it from the ringside this time.
You forgot Lazlo Tyler
POMO + Tepper + Biryni + Tuesday = Total Equity Disconnect
negative comments about obama not appreciated by
someone here. come out with your case that
these comments are wrong.
could it be ppt between trades?
Suffice to say that "divide and conquer" tactics are alive and well. the central banks thank the sheeple for that...
Frank
it's called a DUOPOLY;
Modern American politics, in particular the electoral college system has been described as duopolistic since the Republican and Democratic parties have dominated and framed policy debate as well as the public discourse on matters of national concern for about a century and a half. Third Parties have encountered various blocks in getting onto ballots at different levels of government as well as other electoral obstacles, more so in recent decades.
in short you're getting it in both holes so calling out just the big red dildo while getting double stuffed by the big blue dildo at the same time means you're not paying attention
Another stupid motherfucker who thinks that they have a choice. Hey dumb fuck, there is no fucking difference between the two parties. Just like a stupid fucking jarhead.
It's just one big club, and we ain't in it ...
It's one big club alright, banging us all in the ass.
So then why not impeach the asshole? If it doesn't matter who's in the White House then let's at least have fun throwing the corrupt bastard out of office. I, for one, could use a change of scenery at this point.
Impeach the first black president? I want whatever you're smoking.
"So then why not impeach the asshole?"
Yes, lets request of our corrupted legislature that they impeach our corrupted president. I'm sure they'll get right on that.
Hillary, that you?
That the best you got jarhead? +1 for holding real money (silver). +1000 if you really served.
I can understand you Demoncrats are a little grumpy today with all the deep shit you are in: Benghazi-gate, IRS-gate, AP-gate, CIA-gate. I almost kinda feel sorry for you.
B, its not about red v. blue, its about them v. you.
Not a democrat or republican Jarhead. Troll harder.
LMFAO!
http://www.youtube.com/watch?v=deuC8GPr31A
They will have to manufacture some artificial panic to scare investors back into Treasuries soon, otherwise the interest payments are going to be a threat.
how about a short chart. because i hardly believe there any.
u want a chart..here u go...
same Fraud times...Same Fraud participants....
London & NY - gee, go figure........
FUCK ALL YOU BANKERS..............
http://www.kitco.com/charts/livesilver.html
Anyone shorting in this market is getting their face ripped off.
Yes, I am
faceless
Slaughterer, you stopped out yet???
Stops? E-Trade never told me anything about stops. What are those?
Long the vix, feel tomorrow will be the day
S&P to 2000 and beyond!!! DOW 20000!!! Go Ben Go !!!
Obama's coming impeachment: BULLISH FOR AMERICA!
Buy stocks, burn a Democrat ... ah ha ha ha ...
Yeah, Mr. Prez looks a "cooked goose" lame duck after the last few days / scandals... Party on, and keep the change.
The Yellen Nomination Bubble and the Obama Impeachment Rally have joined forces to create a perfect bullish storm.
I'm sort of joking ... but not really.
Blow off top? Are we there yet? Be sure to let us newbies know Tyler.
I had to check your profile. I almost called you an idiot. But then I idealized you were just joshing us. Thank you for being funny and not being a douche.
Carry on.
I've found that joshing and idiot are not mutually exclusive and I wonder what part of my profile indicates that I'm not an idiot. I may want to show my wife the profile.
Many have been saying it's a blow-off top for a while. It probably goes on while QE money goes into stocks.
BluePills are available to anyone that wants them.
You can really just laugh on days like today.
http://www.youtube.com/watch?v=rjmmjXGwarU
Yeah, its real funny.... Oh, I mean its not real and its funny.
Because if it was real, there would be nothing funny about it.
Jack Handy market summary
“Probably the saddest thing you'll ever see is a mosquito sucking on a mummy. Forget it, little friend.”
vix is in danger of new low
Next up, share dilution, so that the owners, and management insiders can extract their pounds of flesh and fuck over the 401ks and retail investors ahead of the next earnings release and failure of the company...
...then bailouts, while fucking over the bond and shareholders (pensions).
rinse repeat, for christ sake, roll the mother fucking guillotines already..
Not sure about anyone else, I stopped mandatory contributions years ago. I cashed out everything as I changed jobs. I have a small savings account and that is it. My goal is off set Benny by slowly eliminating my debts all the way down to ZERO. I hope to be down to just my rent house by the end of year and if I can get a half ass bid on that its gone too.
If people are still in this system, then they are either stupid, complacent, or don't have the balls to pick up and go.
My retirement is my skill set and family ties ... just like it used to be. If things go bad enough here, I can pick up and move to someplace where they aren't so bad. In addition to marketable skills, ZERO debt is key to that mobility. I work my ass off right now, on top of work, to add skills/experience to enhance my marketability as much as possible.
Unless society comes around to Thorium for energy, I think modern civilization is going to scale down real quick (~20 to 30 years if it takes that long). While people focus on the BTUs side of oil/gas/coal, few look at the petrochemical side. Penwell has a very good non-technical series on Oil/Gas production, refining, and chemicals if you like to read. The chart is priceless. There is no way the feed stocks for all those products holds up under a declining production timeline.
The big question on my mind is how Americans are going to step up to the challenge on this one. I see both sides of the coin, I just don't know which side will turn up in the end.
Best of luck all!
Regards,
Cooter
Yes, the commodities chemical market is a big deal. Should those feedstocks (still derived from petro and natgas cracking) drop, so does everyone's quality of life. Many of us working on this now.
Just like the last 30% move in the Nikkei back in the late 80's - your sphincter got enflamed but if you could hang in, you made a fortune on the short side. VIX is a lead indicator to the next big move and it sure as fuck ain't plunging today despite POMO.
to someone this makes perfect sense
Been seeing the same charts for 5 months now. I cease being surprised.
New Fed operation called GOMO.....
Someone yesterday called it Turbo Tuesday. That was a great name. The VIX is up 4% and the market is ripping. Some of these high beta names are rolling over. I think this will be turnaround Tuesday to the downside. I'm buying puts. Something feels off right now...
The market can stay irrational longer then you can stay solvent.
The pike can go further up your ass than you thought before you are dead.
The GS puts didn't work out very well, but the TSLA and AAPL puts did. You are right. This market can absolutely stay irrational a whole lot longer than anyone can stay solvent. Echoes of 1999 and 2006...
This market is ridiculous. Completely ridiculous.
POMO!!! POMO!!! POMO!!! We will be all rich...
Sveikas!
fuck u tepper, fuck u bernanke, fuck u fed, and big fuck u to our fucking piece of shit president obama, who according to him, he is never to blame for anything.
i wake up at 7 am eastern, and dow futures are red by 30 pts, nasdaq by -9, and s&p -4.
sure enough, 1 hour later, futures are green, and now as i type this, the dow is up 65, nasdaq up 20, s&p up 11.
o and u may ask on what? ABSOLUTELY NOTHING. Well nothing fundementaly at least. u can thank pomo, and tepper, fucking douchebag.
i guess people hate taking profits.
when the s&p was at 1350-1400, i would get upset when the market would go higher, same with the dow at 12000, etc.
however, now, all u can do is just watch and laugh, because its so predictable its comical.
s&p 1700 bv next week, dow 15550, and nasdaq 400. economy is great, who said so? david tepper and cnbc, they cant be lying to me
"i would get upset...now all u can do is just watch and laugh"
From the sounds of it, you are still pretty upset. I agree, it's ridiculous, but nobody cares what you think, and you getting pissed off and saying "f u everybody" only harms yourself. Cynics like you hate the world, but really you are just showing that you hate yourself; the way you see the world is the way you see yourself. I just saved you thousands in psychiatric care, you're welcome.
Indeed. Everyone needs to recognize that in order to profit, they need to sell.
But what if the TBTF and the Fed itself, all met in a room and colluded on a plan that involved buying up a huge majority stake in the US and Global equities markets through repeated QE episodes. They also agreed to hold these positions even after the announcement that QE was ending came. Stocks wouldn't freefall as expected because sell volume would be too low. What if the TBTF and the Fed have been actively buying this market since just after Jackson Hole in the summer of 2009 when the plan was hatched, and are now sitting on billions of gains. What if the Fed promised the TBTF that in return for their cooperation they would slowly and in a controlled fashion be permited to sell out of their positions and book those billions. This post is definitly open to constructive critism, but the fact that we are reaching new highs today after the "leak" has to say something.
@joshdance, truth is i am not upset anymore.
i used to hope the market would go down, but now i expect it to be green daily, with the occasional -20 day once in a blue moon.
i dont hate the world at all, i just want this market to become a market again, not a giant rigged casino funded by the criminal fed. things fundementally are not even close to as good as stock prices indicate.
47 million people are on food stamps, but sadly people think this economy is doing better because of inflated prices such as dow 15000, s&p 1650, etc.
i want things back to normal again
None of this is supposed to make sense. It's an insider's game.
NOW LET THE IMPLOSION BEGIN!
Maybe somebody could hack the color pallete of the Bloomberg terminal and change green to red. That would be pretty fun to see.
ALL STOCKS ON THE BOARD ARE RED!!!! SELL
FUCK, NOW THEY ARE GREEN, BUY!!!!!
I don't think anyone would notice the arrows pointing the right direction.
Would be better if this is how you had to get your POMO money
http://m.youtube.com/watch?feature=player_embedded&v=uLcC4RJAGwU&desktop_uri=%2Fwatch%3Ffeature%3Dplayer_embedded%26v%3DuLcC4RJAGwU
Or maybe Tepper is right and ZH is wrong, again!
Or maybe Tepper knows that 5 years of massive gains has to continue indefinitely because if it ever was acknowledged in the markets that we are still in a depression we would see what a limp dick Bernanke is at this point. They will never allow the market to drop again. POMO or no POMO. QE or no QE.
Look at everyones price tagets. 1700....1800....1900 as far as the eye can see.
Until they have converted enough phony wealth into real wealth and suckered everyone into taking this bag of shit off their hands. Then....bidless market in an instant.
"Balls to the wall" Tepper said it was going up and it went up 45%. We all know what ZH thought about that call!
The world is not in a depression. There's a huge and growing middle class in devloping nations. You have to queue to get into fashion outlets in Hong Kong now because there are so many wealthy Chinese from the mainland wishing to shop there. China's service sector has now overtaken its manufacturing sector. There's a £150 million middle class Chinese people that were not there 15 or 20 years ago, and we have not even touched India or Brazil ect. How is that bearish for the world economy? How is that bearish for the big multi-national companies and their earnings?
MDB?
I guess you'd be totally fine with immediately removing/reversing QE then? After all, everything is coming up roses, correct?
Why do I feel like I am sitting in the Oval Office in the movie Idiocracy?
ZHers here have not overcome their 2008-2009 crisis trauma: go with the flow--with all of this liquidity, the easiest way is up right now. There needs to be no more reference to fundamentals--market is hyper-real now.
The leveraged, the borrowers, the Banks and the Elites are killing it. Everyone else, the savers, the pragmatic, the responsible ones are getting fucked once again. Punish the many and reward the few.
BREAKING NEWS
"Pimco sees disconnect between market performance and global economy" / Bloomberg ...... Wow, how do they do it?
My favorite part of the insanity is the prices at my local big box stores.
Did you know Action Figure prices have almost doubled since January. It is really funny that the GI Joe figures made for the movie that was postponed last year were $5.99. The same figures that were in storage for a year are now $9.99.
Same with the Star Wars figures. When they were bought, the wholesale price wasn't higher, yet retail increased $4.
It must be the old, when sales are down increase your prices trick. That way you make more per unit on what you do sell.
Yet Hot Wheels are still $.97. Sorry kid, you get another litte car, $12 for a Ninja Turtle is too rich for my blood.
Now all it takes is for somebody to yell "FIRE" and the stampede for the exits begins!
FIRE!
All tubes loaded and ready Captain!
FIRE ONE! FIRE TWO! FIRE THREE! FIRE FOUR!
Fish running hot and steady..
Bernanke and the Fed has turned the US asset markets into something similar to a 3rd world pm's and mineral mining country's stock market.
Indeed a historic tragedy, which will someday be recognized as farce. Let's never forget "The Bernank".
Am I missing something, here? I am close to capitulating on this shit as it is negatively affecting my general well being. To the moon!
I am going to short ES when the VIX goes negative.....
May have to wait awhile for that negative print on VIX--VIX is still being bid nearly daily by jittery hedgies. That is a remarkable feature of this rally--it has not yet totally annihilated VIX.
This has the smell of a key reversal day.. would be interesting if the monthly line chart closes unchanged or slightly lower after a blow off type affair like today.
Bingo! Tepper and this rally smells of desperation to sucker in the last of the available margin money
Some where below 1597ish by the end of May would be interesting.
http://www.safehaven.com/article/29800/bubbles-inflating-faster-than-gdp
Global central banks have clearly demonstrated the ability to re-inflate stock and real estate bubbles. Global stock markets are roaring ahead of their economies and real estate prices are quickly rebounding from their recent collapse. However, rock-bottom interest rates and massive money printing have yet to show an aptitude for creating sustainable GDP growth.
There has been a lot of talk about a rebound in the equity and real estate markets helped along by the Fed's free money. That much is for sure the truth; but the evidence of a viable and sustainable recovery built on free-market forces just isn't there.
For example, the percentage of consumers who own their own home continued to fall during the first quarter of 2013, dropping to a national level that hasn't been seen since the fall of 1995. The Census Bureau reported that the nation's homeownership rate slipped to 65% in Q1 2013, a decline from 65.4% posted in the last quarter of 2012. The rate of home ownership now stands at a 17-year low!
But if the housing market was gaining ground on stable footing then why is it that first-time home buyers and owner occupiers aren't participating. Instead, it has been hedge funds and speculators that are sopping up all the foreclosures. One has to wonder if these "investors" will hold onto their rental properties if the economy tanks once again and home prices take another steep drop.
In addition, the labor market isn't rebounding as the Fed had hoped and projected it would. Last month's NFP report showed that despite $85 billion per month of QE, 9k goods-producing jobs were lost. And even though you here the MSM talk about resurgence in the manufacturing sector, there were zero manufacturing jobs created in April. What's even worse is that aggregate hours worked fell by 0.4% in April over March. Therefore, despite the fact that the Labor Department says that 165k net new jobs were created, the actual total number of labor hours worked was in decline.
There is a reason why the Fed and other central banks have been unable to achieve a healthy and viable economy even after five years of trying to manufacture one from a printing press. The truth is an economy that is soaked in debt just doesn't grow because it is always marked by at least one, if not all three, of the following growth-killing conditions; high interest rates, rampant inflation and onerous tax rates.
Any country with outstanding debt that is equal to or greater than its GDP is forced into sucking an exorbitant amount of capital out of the private sector due to burdensome rollovers and interest payments on that debt. In addition, rising tax rates act as a disincentive to increase productivity and whatever money that is taken from the private sector is always redeployed in an inefficient, GDP-destroying manner. Rising interest costs also discourage borrowing and lead to capital shortages. And finally, inflation destroys the purchasing power of the middle class by eroding the value of the currency and leaving consumers with an inability to make discretionary purchases.
But central bankers don't acknowledge this truth and are instead seeking to increase their efforts in pursuit of ever-increasing money supply growth. Of course we are all familiar with the counterfeiting undertakings of the Fed and BOJ. Now Australia's central bank is joining the crowd of inflation lovers and cut its key interest rate by 25 basis points on Tuesday, to a record low of 2.75%.
VIX 13.19 +.64
**Durdens** is my favorite bear juice!
How does it feel to have bearish bias since November?
Blaah...
I don't care how high Dow will go.
Some day Dow:Gold will be 1:1 anyway. I will buy stocks then.
Tyler and everyone out there just wanted to say thanks for these kind of articles and analysis. Bought 350 shares of FAS at close yesterday because of pomo and 18 straight tuesdays up bullshit. Sold it a couple minutes ago for $800 profit. Going to store to buy 20 oz of silver.
Fuck you bernanke you asswipe, two can play at this game.
Is next tuesday pomo too? Would love to add to my stack next week.
Bernanke clearly tried to warn everyone on Friday...
I will bet the Fed is buying/inducing buying of VIX...
N W O is up next....ask President Biden...!!
thank you,Chairman!
all fuck-you-Bernankes are the ones that cannot trade and distinguish between uptrend and downtrend.
Meanwhile bears got fooked in their fooking faces for about 57th time this year! Well done Durden-followers.
Nearly everyday this year European Indexes have sold off every morning, only to be dragged up by the US at 11:00GMT every day, and then ramped up overnight to open positive and then start to sell off again.
This morning EVERY European Index was Red, now all at the high of the day.
Commodities off large, with Copper again down 2% and the FTSE just hits another 5 1/2 year high, the most geared of the Indexes to Commodity prices...yeah that's natural
All we need now is a video of Bernanke and Jannet Yellen dancing to the Flashdance song "Maniac".
Zeroheads, if you don't like what you see, short the fucker. Make a market. All of you bitching are like non-voters who complain about government. If you want to change it, get involved and cast your vote. As it stands now, 99% of you bears are spectators, and don't have the balls to put money behind your beliefs. So whine all you like, but if you REALLY think this market should go down, make it happen. Otherwise, enjoy your continued role as watchers, not players.
I am curious, how are you positioned in this market?
Generally speaking, I am positioned WITH the market. So on days like today, I am positioned LONG. But when a good short presents itself (not many of those recently), I am positioned SHORT. In other words, exactly the opposite of how most of the Zeroheads are positioned (permanently short in their minds and words, but with no actual money because no shorts can survive this market).
.
if you don't like what you see, short the fucker
I buy PMs instead.
non-voters who complain about government
Voters wish to have masters. Do slaves wish for freedom through deposing current masters and installing new ones? That is what voting amounts to.
don't have the balls to put money behind your beliefs
You must be new here. What do you think money is? We have two sayings, "Gold, bitchez!" and "Silver, bitchez!" denoting that we do put both our money and our currency behind our beliefs.
if you REALLY think this market should go down, make it happen
Why? The dollar, in which this "market" is valued, is already tanking without my help and has been since 1913. It is free to continue doing so.
I guess we're going full Nikkei now, huh Benny boy?
fuck u 47 plus million on food stamps, millions of americans unemployed and living on the poverty line, because as u know, all that matters is the dow and s&p, that is what shows how strong an economy is.
signed'', ben bernanke, hussein obama,''
Happy Tuesday!