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How A Last Second Flash Crash Pushed The S&P 500 From 1,667 To 1,666

Tyler Durden's picture




 

Those who were closely following the S&P cash in the last seconds before the close, and who were eagerly looking forward to a satanic close of 1,666, were likely disappointed when in the last 5 minutes of trading the cash index ramped from 1,665 and easily crossed in and out of 1,666, with the final print pointing to a mid-1,667 close.

And then something happened: instead of a closing print of 1,667.50, over one point of the cash S&P suddenly was wiped out for no reason, in turn leading to the satisfactory 1,666 closing print or exactly 1,000 points higher than the "generational" lows of 2009. Yet, refreshing the settlement of the S&P500 an hour later, showed that the final closing price was, indeed, 1667.47.

So what happened?

We now know that the reason for the however brief close of the S&P at the demonic level was none other than the flash crash of Anadarko Petroleum, which as we noted in today's EOD post, lost $45 billion in market cap in 45 milliseconds (a collapse rate of $1 billion per millisecond), flash crashing from $90 all the way to an (allegedly illegal) stub quote of $0.01. It is this collapse in the entire market's capitalization of $45 billion that resulted in the difference between 1,667.5 and 1,666 for the S&P500 cash. One wonders which is worse: that the market unofficially at 1,666 and officially at 1,667.5, or that such flash crashes continue to be a daily inexplicable occurrence and which nobody has any control over. How long until the same algo that wiped out APC today, decides to shift away from simple stocks and goes for the SPY, or the QQQ, or the E-Mini contract for that matter, and wipes out $20 trillion in market cap in 45 milliseconds?

Once again, here is has APC went from $45 billion in market cap to $0 in 45 milliseconds beginning at 15:59:59:450 (half a second before the close), with forensic detail courtesy of Nanex:

And zoomed in:

 

So how did this single-stock flash crash impact the overall market? Simple.

The chart below shows the broad S&P move higher starting at 2pm when it ramped by 8 points in straight line, in one of the now traditional closing day vertical shoots higher on low volume and no news. What can be seen in this chart courtesy of Nanex, is precisely the 1.5 displacement in the broader markets as a result of the APC flash implosion in the last half second of trading:

And once again zoomed in:

 

This summarizes in a nutshell precisely what the "New Normal market" has become: the same "market" that Bernanke and the administration are so desperate to herd every mom, pop, algo and hedge fund into, in order to enforce "trickle down" wealth effect inflation, now that all other monetary transmission channels are terminally and hopelessly broken.

Luckily for all involved, this time the flash crash was contained, and all the offending trades were unwound. What happens when the flash crash is bigger, becomes un-"unwoundable" and more stocks are involved? the entire market?

 

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Fri, 05/17/2013 - 19:16 | 3574590 CalibratedConfidence
CalibratedConfidence's picture

too legit to quit

Fri, 05/17/2013 - 19:30 | 3574623 THX 1178
THX 1178's picture

Most people don't realize that satanism is not "evil" per se, but rather a conceptual framework similar to randian libertarianism (extremely free markets) social darwinism sans eugenics. Free market anarchism/ voluntarism is very similar to it. So why wouldn't bankers or empowered so-n-sos make something like this happen to amuse themselves? They have the means, they have the dog eat dog, survival of the fittest attitude. Fuck, I've read LaVey's satanic bible... I relate to it more than the regular bible.

Fri, 05/17/2013 - 19:36 | 3574644 rajat_bhatia
rajat_bhatia's picture

Tyler, haven't you been long all along?

Fri, 05/17/2013 - 21:06 | 3574843 Pool Shark
Pool Shark's picture

 

 

"The greatest trick the Devil ever pulled was convincing the world he didn't exist."

 

 

Fri, 05/17/2013 - 21:16 | 3574861 Melin
Melin's picture

The greatest trick the evil among us ever pulled was convincing the world a Devil exists.

Sat, 05/18/2013 - 00:49 | 3575282 Element
Element's picture

Closely followed by the faux imaginary fictional concept of "Sin".

Sat, 05/18/2013 - 04:22 | 3575384 Boxed Merlot
Boxed Merlot's picture

 faux imaginary fictional concept of "Sin"...

 

Sin, aka "missing the mark", is not such a big deal in the sense that it's what everyone on the planet has in common.  The absence of such an ideal would make the whole meaning of this particular article irrelevent.  What difference does it make to have someone manipulate market forces in order to flash crash 45B in value? 

The reason people have a problem with "sin" is because of the pain of "guilt".  Sorry to say, but it would be a whole lot worse if a person had no ability to feel pain, than to go through life without a conscience.  And besides, if a person IS guilty, what's the big deal about claiming it?  It's not like it's a foreign concept to anyone else.  It's the denial that's ludicrous.  If it hurts, well, don't do it again. 

 Denial doesn't build charactor, it builds callouses. 

Sat, 05/18/2013 - 09:43 | 3575598 fockewulf190
fockewulf190's picture

Stories like this just keep confirming that my 100% departure from the crack market back in 2008, and my subsequent move into 100% phyzz, was the right one. 

Sat, 05/18/2013 - 18:16 | 3576517 Element
Element's picture

You're projecting.

'Sin' is a mental concept, it is fabricated to induce faux 'guilt' within people, and former political social controllers (priests/prophets) invented the 'grace' of 'forgiveness' and 'sacrifice', as a means to mass-manipulate people.

And it worked very well indeed, for a long, long time.

Mentally, you appear to be one of their victims.

Sat, 05/18/2013 - 22:08 | 3576976 Boxed Merlot
Boxed Merlot's picture

is fabricated to induce faux 'guilt'...

 

"Faux" or not, guilt is a reality.  My point remains, if "guilt" is nothing more than an ethreal fabrication that occurs due to not complying with an external demand / expectation of "acceptable" conduct, this article is bogus, this website is bogus and there is no right or wrong and vaporizing 45B frn valuations in 45ms is another exercise in vanity.  There is truly nothing to see here, move along.

If you're ok with that, it makes no difference to me.

If actually thinking right  / wrong exist in reality means I'm somehow a "victim", then yes, I'm guilty, but that's ok too, because I'm calloused enough to bear it.

Sat, 05/18/2013 - 02:25 | 3575336 RebelDevil
RebelDevil's picture

The gnostics (not the christian type) say "The greatest trick the devil ever pulled was making the world believe that he is God."

Also, 666 is not satanic in orgin, but from a form of pagan gnosticism.
http://hex666.wordpress.com/2013/03/18/the-number-of-the-beast-666-simon-magus/

In all reality, for the most part, what you may consider evil or the anti-thesis to your religon is what you would think of as satanic. Some of the writers of the new testament thought of the pagan gnostics of their time as satanic, and is why they consider the gnostic number 666 as the "number of the beast".

Sat, 05/18/2013 - 04:28 | 3575389 lesamourai
lesamourai's picture

Some would argue that 666 comes from Revelations 13.18.  Personally I am not a Christian, however, Revelations 13.16-18 does read:

16. And he causes all, both small and great, rich and poor, freeman and slave, to receive a mark on their right hand, or on their foreheads: 17. And that no man might buy or sell, unless he has the mark, or the name of the beast, or the number of his name. 18. Here is wisdom. Let him who has understanding calculate the number of the beast: for it is the number of a man; and his number is six hundred and sixty six.

Sat, 05/18/2013 - 04:39 | 3575397 lesamourai
lesamourai's picture

BTW the first, middle, and last number of every GTIN-12 and EAN-13 barcode is 6.

Sat, 05/18/2013 - 11:08 | 3575736 Tulpa
Tulpa's picture

Those are guard bars which look similar to the code for 6 but are not 6's. Snopes 

Fri, 05/17/2013 - 21:16 | 3574864 Sam Clemons
Sam Clemons's picture

The greatest trick the Vatican ever pulled was convincing the world to worship the devil when they thought they were worshipping God.

Christmas. 

Fri, 05/17/2013 - 21:35 | 3574900 css1971
css1971's picture

Ritual cannibalism and blood drinking.

lol.

Sat, 05/18/2013 - 00:50 | 3575287 Sam Clemons
Sam Clemons's picture

On a Pagan holiday no less.  

Sat, 05/18/2013 - 02:40 | 3575338 RebelDevil
RebelDevil's picture

The early church did that because it was the only way convert those masses who were of the roman pagan religion of the time into christians. Without that decision, the vatican may not have even existed as christainty wouldn't have been that popular in Rome otherwise.

Christmas was aimed to replace Saturnalia.
http://en.wikipedia.org/wiki/Saturnalia

Sat, 05/18/2013 - 13:35 | 3575997 Boxed Merlot
Boxed Merlot's picture

The greatest trick the Vatican ever pulled was...

 

forwarding the idea that a bunch of sinful men could get together and vote one of themselves to be above error.  History shows among some of those chosen were of the wealthiest of the earth,  Leo X, a Medici, is exhibit A.  Once elected, he was alleged to have said, "Since God has given us the papacy, let us enjoy it".  Is it any wonder the protestant movement began under his watch? 

Sort of like those that have voted for the current occupant in the US executive branch.  He can do no wrong, and now the genie comes out of the bottle and what happens when the other side gains the executive branch and assumes the same powers this bozo claims to have?

Everywhere is freaks and hairys, dikes and fairies, tell me where is sanity?

Fri, 05/17/2013 - 19:39 | 3574650 Dr Benway
Dr Benway's picture

As I've said before, at least you have someone looking. In Australia, every day in the beginning of trading there are inexplicable straightline ramps mostly upward in the ASX200, and no one says a single word about it. Never mentioned in financial media.

 

And then the usual crossholdings and securities fraud:

http://s1144.photobucket.com/user/_DrBenway/library/The%20Great%20Australian%20Investment%20Ponzi?sort=6&page=1

Chronological updates:

http://s1144.photobucket.com/user/_DrBenway/library/?sort=6&page=1

Fri, 05/17/2013 - 20:27 | 3574769 dogbreath
dogbreath's picture

Dr.

Is that your work.  Great stuff.  I expect you to become a billionaire shorting those pigs.   Maybe you could get that work up on stockhouse and start flaming the hell out of them

 

photobucket froze up several times. do you have a website

Fri, 05/17/2013 - 20:50 | 3574819 Dr Benway
Dr Benway's picture

Thank you dogbreath, yes that is my work. Am gonna start another site than photobucket, just havent got around to it, sorry to hear it freezes. Maybe you could try downloading it as a slideshow?

 

Wouldn't recommend shorting these though, unless you have Kyle Bass sized wallet and balls. These shares are completely controlled currently, and the manipulators control vast funds to further ramp, have leverage, and operate in a zero enforcement regulatory environment. This is no market for either longs or shorts, only fools and criminals participate.

Fri, 05/17/2013 - 21:20 | 3574867 dogbreath
dogbreath's picture

How is it that Australia is so completely unregulated.  I thought Oz had inherited some britishness.  Oh I forgot, Oz elected Julia Gillard.  Forget that.

 

Are shorts reported?  Sounds like the insiders themselves wil be shorting their own stock

Fri, 05/17/2013 - 21:37 | 3574902 Dr Benway
Dr Benway's picture

How to explain the lack of regulation? I've thought a lot about that. Partly it is due to the receding tide revealing the naked swimmers, not only for investors but also regulators. During the boom it was easy for regulators to do little, yet look ok.

ASIC is incredibly process driven, so if criminals come up with fraud that sidesteps the process, ASIC is completely and utterly paralyzed. ASIC will just mechanically keep doing more of the process.

ASIC, journos and shareholder advocates all assume an efficient market. For example, executive share plans are great if the underlying is traded in an efficient market, but horrible if the executive can directly manipulate the share price.

Sometimes I think there are cultural explanations for the lack of regulation, the gambling attitude, the leniency toward fraudsters, atavistically. In Australia, the way of success that is taught to children is not to work hard and save, but instead to borrow increasing amounts and speculate on property. There are more slot machines per capita than anywhere in the world. Almost all our historical icons are criminals. 

Sat, 05/18/2013 - 00:57 | 3575290 Element
Element's picture

You forgot to mention the most apathetic, complacent, naive self-satisfied country on earth, that seriously believes grand-corruption only occurs elsewhere, and that having some of the most extractive banks to ever infest any country, is A-OK, and a picture of success.

Sat, 05/18/2013 - 04:35 | 3575394 lesamourai
lesamourai's picture

Quite true.  And they ridicule anyone who thinks about this and/or points it out as a 'sook' or 'getting too big for his boots'.  They will embrace fascism with both arms when it comes, which it largely has already.

Fri, 05/17/2013 - 21:49 | 3574937 Dr Benway
Dr Benway's picture

Reported gross short sales are here: http://www.asx.com.au/data/shortsell.txt

The insiders have given themselves shitloads of shares they will try to sell first. But in all likelihood some directors frontrun their sales with shorts, since they control several funds, some of which can establish short positions in advance of another fund selling their position in a stock. For example WAM, WAX, WAA, CDM, ALF, CYA, ELI are affiliated. AFI, DJW, MIR, SOL, BKI, BKW are affilliated, etc.

Fri, 05/17/2013 - 19:49 | 3574671 Lewshine
Lewshine's picture

@ THX:  "I've read LaVey's satanic bible... I relate to it more than the regular bible"

I believe that's the point of the "regular" bible.

Fri, 05/17/2013 - 19:56 | 3574693 THX 1178
THX 1178's picture

Go on...

Fri, 05/17/2013 - 20:23 | 3574757 NewThor
NewThor's picture

WHOA.

You really are George Lucas.

Kershner was right. 

...but then that is almost the same as saying

"Yoda is right."

/shrug

God Bless everyone.

Earth is a magic planet.

 

Fri, 05/17/2013 - 20:40 | 3574800 THX 1178
THX 1178's picture

Dafuq is all this stuff you just said?

Sat, 05/18/2013 - 05:45 | 3575432 fiftybagger
fiftybagger's picture

"Go on..."

17 Surely in vain the net is spread in the sight of any bird.


27 When your fear cometh as desolation, and your destruction cometh as a whirlwind; when distress and anguish cometh upon you.

28 Then shall they call upon me, but I will not answer; they shall seek me early, but they shall not find me:

29 For that they hated knowledge, and did not choose the fear of the LORD:

30 They would none of my counsel: they despised all my reproof.

31 Therefore shall they eat of the fruit of their own way, and be filled with their own devices.

32 For the turning away of the simple shall slay them, and the prosperity of fools shall destroy them.

Proverbs 1
King James Bible

 


Sat, 05/18/2013 - 06:08 | 3575436 fiftybagger
fiftybagger's picture

Aleister Crowley was a big influence on multiple generations.

 

 

Sgt Pepper

The Doors

Sold Their Souls

Fri, 05/17/2013 - 20:14 | 3574735 LooseLee
LooseLee's picture

Those coward piece-of-shit scum you call bankers don't have any dog-eat-dog attitude. They rig the game and are therefore cowards. Not one of them is legitimately a 'man'. Just ask the hookers that service them...

Fri, 05/17/2013 - 20:42 | 3574804 THX 1178
THX 1178's picture

Dog eat dog is not mutually exclusive with game rigging coward. I understand you don't like them... but REASON MOTHERFUCKER!

Fri, 05/17/2013 - 20:19 | 3574746 Jdog
Jdog's picture

maybe the devil created the flash crash to show us the sign of whats to come? :(

 

Fri, 05/17/2013 - 20:20 | 3574747 Jdog
Jdog's picture

* sign of oil might tank?

 

 

Sat, 05/18/2013 - 00:21 | 3575257 HardlyZero
HardlyZero's picture

What if the oil price is also being suppressed along with interest rates...so more cars are purchased, and more people drive around and look for work ?   The cost of energy is a major portion of the cost of doing business.   Energy costs are similar to high interest rates.   Maybe if price of oil is supressed that is the payback for higher taxes ?   Hmmm.

Fri, 05/17/2013 - 21:33 | 3574896 illyia
illyia's picture

That was his name. Anton LaVey. Wasn't it?

And, some chick named Blevoski...

Have not thought of those two in years.

Alchemists and illuminatae...

Ha.

Fri, 05/17/2013 - 23:06 | 3575014 thelibcentury
thelibcentury's picture

Then you relate more to the simplistic, satanic doctrine.

The true New Testament, if you read it intelligently with a continuous parallel analysis of the key indicators of societal direction - political, historical, economic - is a great document of individualism, compassion, and self worth.

Everything in it warns of the dangers we face today that spell out the same truths...that the vast collective inevitably in time enforces the will of evil men upon good.

God, help us. What I mean is, please let us help ourselves.

Edit: I must add that this implies that we are God, because this has always been the most essential message: that equality amongst men (implied gen. neutral) requires a recognition of the uniqueness of men, not of a man. To respect it, to honor it, and to afford it the opportunity of greatness.

Mere humanity can take advantage of the shortcomings. But these episodes need be but few and far between, if we can be as attentive to the wolves in our midst as we are of the circuses in our foyer.

There is still victory left to taste. I know little, but am a quick learner if anyone worthy has a desire for loyal, studious workers.

Peace and Godspeed to ZH members,

Sat, 05/18/2013 - 00:07 | 3575243 THX 1178
THX 1178's picture

You never leart the difference between fact and opinion.

Sat, 05/18/2013 - 03:20 | 3575355 RebelDevil
RebelDevil's picture

I'll agree with thelibcentury on the intial statement that the bible is a good read, but I also have an addition.
Even stranger pieces of information pop if you compare the bible to other literature. Most don't realize the bible is a collection of both an exoteric and esoteric writings, because those who have faith study and care more about the bible than any other writing and always seem to read it at face value (exoteric interpertations.)

Perfect example: Psalm 23 KJV 
1 The Lord is my shepherd; I shall not want. 2 He maketh me to lie down in green pastures: he leadeth me beside the still waters. 3 He restoreth my soul: he leadeth me in the paths of righteousness for his name's sake. 4 Yea, though I walk through the valley of the shadow of death, I will fear no evil: for thou art with me; thy rod and thy staff they comfort me. 5 Thou preparest a table before me in the presence of mine enemies: thou anointest my head with oil; my cup runneth over. 6 Surely goodness and mercy shall follow me all the days of my life: and I will dwell in the house of the Lord for ever.

Rod = Spear
Staff = Sword
(rod and staff may be interchangable.) 

Table = Shield/Plate (both can be used as a form of table)
and of course the all famous cup, or holy grail.

David was aware of the 4 "Grail Hallows". - Millenia before the appearance of the Authrian Legends.

http://en.wikipedia.org/wiki/Four_Treasures
http://en.wikipedia.org/wiki/Fisher_King
http://en.wikipedia.org/wiki/Relics_associated_with_Jesus

Fri, 05/17/2013 - 20:09 | 3574703 Ness.
Ness.'s picture

The first post of  "Too legit to quit" on a Friday, without also giving USSA due credit to an Amurikan icon, MC HAMMER and no link?  Come on man.

http://www.youtube.com/watch?v=Cdk1gwWH-Cg

Axe MC how he feels about the IRS.  Sold 50  million records.  But that arm of the IRS is looooong and it don't forget.

In December 2011, it was reported that Hammer owed the Internal Revenue Service $779,585 in back taxes from his earnings dating back to 1996 to 1997.


Fri, 05/17/2013 - 21:56 | 3574960 Lets Buy The Dip
Lets Buy The Dip's picture

If you look at the massive inverted head and shoulders on  RUSSELL HERE is in inverse head and shoulders and make me think the market is about to leave skid marks in the bears pants....or shall we say look out above.

The elites of this world, really do not give a damn right now, they are crashing gold to buy it up big, and sending the market up sky high!!! WHY? to create a 2008 crash scenario. And we all know how that ended up. My neighbour lost his house and marriage over a manipulated market, so you have to be careful. 

Fri, 05/17/2013 - 19:17 | 3574591 lolmao500
lolmao500's picture

That's because the elite wants to troll people...

Bottom of the market = 666

Top of the market = 1666

It ain't going higher than that.

Fri, 05/17/2013 - 19:20 | 3574599 johngaltfla
johngaltfla's picture

Touche. Nicely done.

Fri, 05/17/2013 - 19:43 | 3574661 max2205
max2205's picture

New market  run by the irs. If a Republican buys they wack the bid till he sells.  If a Democrat buys they gun it.

 

If a pro lifer buys they flash crash it.  

 

No one would know with the vix so low how dagerous this market is....

Fri, 05/17/2013 - 19:21 | 3574602 HD
HD's picture

"It ain't going higher than that."

   How I wish that was true.

Fri, 05/17/2013 - 19:27 | 3574605 The Thunder Child
The Thunder Child's picture

WARNING: Do not short this market, this is just a slap to the face for those of us that are aware of the Luciferian cocksucking criminals running shit behind the curtain. It will keep going higher especially with all the POMO next week. It will come to an end but not yet, the chess pieces are still moving in the US, EU and the ME. It is an esoteric warning to those inside this group that something is about to go down ie false flag or military operation. Keep an eye out on memorial day, not making any predictions but somethings coming.

Fri, 05/17/2013 - 19:28 | 3574618 fonzannoon
fonzannoon's picture

A whole bunch of people tripped over themselves to run in front of this steamroller at the close. Human behavior is amazing to watch.

Fri, 05/17/2013 - 19:40 | 3574654 rajat_bhatia
rajat_bhatia's picture

I'm beginning going wonder, why should it end? Is the crash everyone keeps expecting necessary? Why? Because of the economy? If everything is going to shit, wouldn't you put your money where you getprotection from inflation? And also the chance to hold a part of productive assets through shares in companies? 

Stocks seem the ultimate safe haven when every other structure is collapsing. 

Fri, 05/17/2013 - 19:44 | 3574664 Dr Benway
Dr Benway's picture

Lol, stocks a safe haven if everything goes to shit? Yeah that worked great for Zimbabweans.

Fri, 05/17/2013 - 19:47 | 3574666 auric1234
auric1234's picture

If everything is going to shit, wouldn't you put your money where you getprotection from inflation?

That's unnecessary, because my money is unaffected by inflation.

If instead of money you were saving in toilet paper, then yes, anything is better than that. Even stocks.

 

Fri, 05/17/2013 - 20:20 | 3574749 Professorlocknload
Professorlocknload's picture

rajat, you could have something there. The market isn't necessarily going up in real terms. This is probably just a slow, but stealthy devaluation of the dollar. New highs in tandem with higher lows. A way to move the decimal point one place, as it were?

A whole bunch of Union Pensions need funded, so this could be the avenue. Might be Ben is going to give the actuaries 7-8 % a year (after a make up surge?). As the pres said 'We owe these unions.' And what better way to get inflation fires ignited again?

Hell, the man said he was going to do this, why would anyone get in front of him?

Fri, 05/17/2013 - 20:23 | 3574758 LooseLee
LooseLee's picture

You're a good sheep, you are; groomed by the MSM to think like that. Sound like a parrot to me...In the end you'll get your 'just' reward...

Fri, 05/17/2013 - 21:02 | 3574836 BidnessMan
BidnessMan's picture

On a percentage basis the Austrian stock market did very well after KreditInstalt (sp?) collapsed in 1931. Not nearly enough to keep up with raging inflation, but the market "went up" in nominal terms. Same when / if the TBTF banks crash?

Zimbabwe's stock market did great, but as Kyle Bass pointed out, you could not buy two eggs with your gain.

Fri, 05/17/2013 - 21:17 | 3574851 edb5s
edb5s's picture

It is entirely possible that this could keep going up for quite a while.  Obviously, fundamentals don't matter anymore (save for the bad news=good news new paradigm).  Where I (and many others on ZH, I'm sure) part ways with you is in your seeming lack of apprehension as it applies to putting one's "money" into this stock market.  Fixed income, equities, domestic, international...all of the markets out there are in a precarious position, to say the least.  Additionally, you are giving your sanction (however implicit that may be) to JPM, BAC, GS, et al by even participating in this casino.  I'll remain "on the sidelines."

Sat, 05/18/2013 - 11:55 | 3575813 Bay of Pigs
Bay of Pigs's picture

"ultimate safe haven"?

I'm wondering who would give you a green arrow for saying such a stupid fucking thing?

Fri, 05/17/2013 - 19:41 | 3574656 Dr Benway
Dr Benway's picture

Yeah everyone trying to do a Michael Burry. Perhaps in the New Normal it is just impossible.

Fri, 05/17/2013 - 19:52 | 3574683 rajat_bhatia
rajat_bhatia's picture

Exactly. I've getting those cheap scam boiler room  emails for the 3years saying a crash is coming. LOL

Fri, 05/17/2013 - 19:42 | 3574659 Dr. Engali
Dr. Engali's picture

A bunch of people will soon be parted with their money too.

Fri, 05/17/2013 - 20:36 | 3574793 Professorlocknload
Professorlocknload's picture

Maybe not so much parted with their "nominal" money, Doc, but more like having all the sweet chewed out of it's value? 

 

 

 

Sat, 05/18/2013 - 08:14 | 3575446 francis_sawyer
francis_sawyer's picture

Here I am on page 2 of this thread [the day after] & there what... seem to be... 1,666 comments 'hypothesizing' about what the PHONY S&P may or may not do... So far, the ideas have ranged from & included:

- devils

- Biblical prophecies

- asteroids

- money printers

- Numerologists

- Pagans

- Zimbabwe'ans

- Austrians

- boiler rooms

- Republicans

- Rand-ians

- sheeple sentiment

- TPTB

- HFT algos

- rap artists

- The IRS

- union pension fund managers

I'll stop there, but there's a lot more [& I'm only at the halfway point of reading the entire comment volume]...

All dedicated to a phony, & rigged market, redeemable in a phony currency [when it comes to considering real wealth]

~~~

Fucking reminds me of watching golf on TV & the player slices a ball to the other side of the gallery ropes & all the fans run over to where the ball comes to rest & stand there in a fucking circle & stare at it...

LOL ~ Non stop comedy on the Hedge...

"I've often thought about becoming a golf club"

Fri, 05/17/2013 - 19:30 | 3574621 nmewn
nmewn's picture

I would have to agree.

Leaving aside the geo-political, never short a rigged market, unless you're doing the rigging.

They "bet" on sure things now, they never speculate.

Fri, 05/17/2013 - 19:44 | 3574663 auric1234
auric1234's picture

Depends on what direction the rigging takes.

I think shorting paper gold is pretty safe.

 

Fri, 05/17/2013 - 20:13 | 3574732 nmewn
nmewn's picture

Certainly seems so...lol.

But that can turn on a dime and we never get the memo that the fiat "price" (not the value) has reached some predetermined price point where the cover starts (in paper).

Best to just take advantage of the "exchange rate"...if we want to call it that...knowing all they can do is counterfeit paper and what that eventually leads to.

They great thing about what I do is, it never triggers a taxable event ;-)

Fri, 05/17/2013 - 21:41 | 3574914 infinity8
infinity8's picture

Tease. :)

Sat, 05/18/2013 - 06:50 | 3575457 auric1234
auric1234's picture

I usually only do intraday shorts. My comissions are too high to make profitable trades by selling at 8:20 and buying at 8:30, but I try to guess at which points in the weekly timeline it would be convenient for the cartel to smash it down.

The technicals are also useful, somewhat. An upward trend is usually initiated by Asian markets and then momentum-driven (due to short covering) in Western trading hours. If we're not in such upward trend, the Western bears don't get scared, so the banksters have it their way in Western time.

As for the "exchange rate", I take as much advantage of it as I can. But my paper income is limited, so I try to increase it somewhat.

 

Sat, 05/18/2013 - 04:13 | 3575381 lesamourai
lesamourai's picture

Agreed.  This is a *wink* of the all-seeing eye to those in the know.

Fri, 05/17/2013 - 21:55 | 3574954 SnobGobbler
SnobGobbler's picture

smells like a test run for a wipeout imo.

Fri, 05/17/2013 - 19:20 | 3574598 johngaltfla
johngaltfla's picture

Danged Waddell and Reed strike again.

Fri, 05/17/2013 - 19:22 | 3574606 BurningFuld
BurningFuld's picture

Shit! I knew I should have bought at 10350! Damn.

Fri, 05/17/2013 - 19:23 | 3574609 THE DORK OF CORK
THE DORK OF CORK's picture

Listen there is a small fortune in there , help yourself.

 

 

 

http://www.youtube.com/watch?v=OuLL5R3sb-w

Fri, 05/17/2013 - 19:24 | 3574610 Flounder
Flounder's picture

SPY is up 22.5% in 6 months.  Not a bad return on $510 billion in QE and who knows how much additional US debt.

Fri, 05/17/2013 - 19:41 | 3574655 Common_Cents22
Common_Cents22's picture

paper gains, try and sell that position to realize gains.

Fri, 05/17/2013 - 19:32 | 3574625 russwinter
russwinter's picture

 

Positioning of the Paper Gold Comex Commitment of Traders:

The CoT data for gold had the positioning as of last Tuesday.  POG was $1420 at that point.   Managed money continued to modestly reduce long positions to the lowest level since 2008. But the big story was the continued reduction in the position of producers who have now only  hedged 27,066 contracts or 2.706 million ounces.   This represents a substantial reduction off of  last week's 37,463 contracts. In other-words producers in general or perhaps one or two large producers were in the market during the week buying and closing out roughly 1.04 million ounces of gold hedges. 

 

- more http://winteractionables.com/?p=2558

 

Fri, 05/17/2013 - 19:32 | 3574627 dark pools of soros
dark pools of soros's picture

isn't this article racist on behalf of that bullshit religion addition on the 'racists' warning note?

Fri, 05/17/2013 - 19:39 | 3574633 Blazed
Blazed's picture

(1)616, the original so called "number of the beast", would have been more interesting to work with.

http://en.wikipedia.org/wiki/616_(number)

http://en.wikipedia.org/wiki/Number_of_the_beast

Fri, 05/17/2013 - 21:03 | 3574838 Bastiat
Bastiat's picture

616?  Shit, the number of the beast isn't even stable.

Sat, 05/18/2013 - 14:56 | 3576195 machineh
machineh's picture

What, you expect him to live in one area code for all eternity?

Fri, 05/17/2013 - 19:36 | 3574642 q99x2
q99x2's picture

Green vertical shoots = good.

Red vertical shoots = bad.

Fri, 05/17/2013 - 19:36 | 3574643 Yen Cross
Yen Cross's picture

      I've been trading for quite awhile, and have never seen such outsized divergence in risk vs nominal value in equity markets.

  Looking back to May of 2012 the aud/usd was trading on the .9500 handle and equity markets (u.s.) [ES 1.3k & DOW 12k] on their respective handles. I use the aud/usd trade as proxy for commodites.

      I'm inclined to think the aud/usd trade on the 97 handle(currently) is more indicative of true market conditions, and reflects the distortions quantitative is causing. At best the ES should be on the 1.4k handle and the DOW on a 13k handle. IMHO

Fri, 05/17/2013 - 19:52 | 3574686 FreeMktFisherMN
FreeMktFisherMN's picture

I trade crude futures (and other commodities to lesser degree) and it looks pretty feasible for crude to top 100. It has been holding its own even with USD 'strength' (yeah, compared to other toilet paper fiat) so one has to wonder how it might do when USD corrects a ways and things go back to 'normal' of lower DXY/higher commodity currencies/commodities. Crude held up while other commodities tanked, and despite all this record production they keep talking about

Fri, 05/17/2013 - 19:54 | 3574688 FreeMktFisherMN
FreeMktFisherMN's picture

Yen, what's your gut say about the yen short/medium/long term? And their bond markets for that matter.

Fri, 05/17/2013 - 20:20 | 3574741 Yen Cross
Yen Cross's picture

     My gut say on ¥ next week, has everything to do with politics. I think the rest of the "Middle Kingdom", is growing restless.

     The BoJ or a proxy obviously pumped more than ( 5yards) into the move we got in usd/jpy last Friday.(pop off top thru 100)

      If you want absolutes s/t? I think the dollar is heavily overbought, and would pay more attention to [eur/gbp than eur/usd] next week. It wouldn't surprise me to see usd/jpy retrace back to the 101 handle, and range trade (97-101) through the summer.

    Thx. for asking,and your input on [CL]

Fri, 05/17/2013 - 21:24 | 3574877 css1971
css1971's picture

Gold/silver ratio says S&P 1200.

Fri, 05/17/2013 - 19:38 | 3574647 Dr. Engali
Dr. Engali's picture

There's a large convergence of events right now. The IRS scandal, Benghazi , Syria, Iran, this crazy close, too many to mention. There is a reason this is all coming out now and it isn't good. There is a reason why the establishment is turning on Obummer, or giving the appearance that they are. I'd say they have s many distractions in place that they are ready to pull the plug.

Fri, 05/17/2013 - 19:51 | 3574678 dark pools of soros
dark pools of soros's picture

Well it is time to re-play the Nixon act right?  Country bankrupt..  time to do something drastic

but we all know it is never really about saving the country.. just milk it dry for the CEOs

Get a big government contract that Ben prints up and spend it on some hard assets before it get dilluted

same old sham.. if we were smart we would of organized 3 years ago and would of had our piece of the printed pie by now too

 

Fri, 05/17/2013 - 19:40 | 3574653 TheFulishBastid
TheFulishBastid's picture

bit of a strech dontcha think? Satanic S&P?

Fri, 05/17/2013 - 19:43 | 3574662 Dr. Engali
Dr. Engali's picture

When the majority of the country worships mammon it's really not much of a stretch at all.

Fri, 05/17/2013 - 19:52 | 3574667 no life
no life's picture

I love the flash crash documentary... At the very end, they ask Eric (Nanex) what kind of investments he makes.. .and he casually states that the last "trade" he made was buying Apple back in 2002..

Sat, 05/18/2013 - 10:21 | 3575658 ITrustMyGut
ITrustMyGut's picture

thanks no life.. I hadn't seen that movie.. really very good... insanity!

Fri, 05/17/2013 - 19:48 | 3574668 tmosley
tmosley's picture

These are happy and healthy markets.

Trust US.

Fri, 05/17/2013 - 19:48 | 3574670 Mr. Saxby
Mr. Saxby's picture

The Fast & Furious ATF gunrunning scandal was 20 times more sinister than any of the current scandals and it got very little US MSM coverage. The only reason we are hearing about Benghazi, the IRS scandal, and the AP scandal is because they want us to hear about them. Clearly, there is something far more important that we need to be distracted from.

Fri, 05/17/2013 - 19:59 | 3574699 no life
no life's picture

Exactly, they throw us a bone every once and awhile. It goes right back to the way any good con works...  Some cons involve letting the mark know you are conning them, on the small con of course.. then you can murder them.. on the long con.

Sat, 05/18/2013 - 04:56 | 3575407 Herd Redirectio...
Herd Redirection Committee's picture

With a drug shipment on a boat, for e.g., you would put a small shipment, maybe 5 lbs on a boat that arrives first.  Anonymously tip off the police about its arrival.  Oh no!  5 lbs lost product.

Then the next boat brings 50 lbs.  Everyone goes home happy.  Cops get to parade something in front of the media, etc.

Fri, 05/17/2013 - 21:37 | 3574903 Melin
Melin's picture

It seems to be a scare tactic.  The legacy media is shouting for our attention and the message is this: if you speak, you will be targeted by your government; IRS and/or Justice department.

We're supposed to be afraid and shut up I guess. They hope we'll forget they have no credibility by adding slanted, belated coverage of Benghazi.

 

Fri, 05/17/2013 - 21:38 | 3574904 Melin
Melin's picture

. damn save button

Fri, 05/17/2013 - 20:06 | 3574684 Fuku Ben
Fuku Ben's picture

 

Whether you believe in religion or not I'm sure most realize the psychopaths place a great deal of value in imagery, numerology and religion of a sort.

March 6, 2009 666 

May 17, 2013 1666

Difference between dates 1534

1+5+3+4=13

Signal pre-emergency G-7 meeting this weekend?

All just coincidence?

No meaning at all?

 

 

Sat, 05/18/2013 - 03:53 | 3575373 jmcadg
jmcadg's picture


March 6, 2009 666 

May 17, 2013 1666

I get:

000 + 111 + 22 + 3 + 6666666 + 7 + 9 = 68 6+8 = 14 1+4= 5 That's my favourite number - who knew?

Add to that

Ham my car.

I think we're on to something.

Sat, 05/18/2013 - 05:41 | 3575430 e-recep
e-recep's picture

no meaning at all.

Fri, 05/17/2013 - 20:01 | 3574701 razorthin
razorthin's picture

"generational low" my ass.  Why do you pay assclown Kass such homage?  Even in sarcasm it's not amusing.

Fri, 05/17/2013 - 20:09 | 3574722 toadold
toadold's picture

In comparison to the crony captitalism green industry scams that the Obama administration has indulged in the gold ramp at the end of the day is a fairly subltle one. 

I suspect that most of your so called "fianancial" writers are too innumurate to actually recognize patterns in trading data and just barf back what people tell them.

Mean while some wise guy(s) are pushing the buttons and yelling "squeal like a pig you little pillow biters." with the knowledge that the odds of them being persecuted are in the slim to none range. 

Fri, 05/17/2013 - 20:18 | 3574743 Papasmurf
Papasmurf's picture

D'ough!

Fri, 05/17/2013 - 20:38 | 3574794 Voltaire
Voltaire's picture

Seems that these algo driven flash crashes only occur in the US. Or do we often have the same kind of mini crahes in Europe and Asia?

Fri, 05/17/2013 - 20:45 | 3574807 Dr Benway
Dr Benway's picture

Seem to be happening all over. Not sure if they're more frequent in US.

http://www.zerohedge.com/news/2013-04-17/closer-look-todays-german-stock-market-flash-crash

Fri, 05/17/2013 - 20:49 | 3574813 Yen Cross
Yen Cross's picture

       I realize the rest of you guys have IQ's 0ver 160, and probably laugh at my comments.

    I vividly remember the Nixon impeachment hearings when I was a young "tike".

 I remember my Mother ironing cloths and gasping over the 'acrimonious' senate testimony...

 

        Oh, how I miss my "high chair" & box of  Cheerios ™...

Fri, 05/17/2013 - 22:05 | 3574989 Doctor of Reality
Doctor of Reality's picture

None GMO Cheerios at that!

Fri, 05/17/2013 - 22:40 | 3575076 thelibcentury
thelibcentury's picture

Well according to some we are in the same position for the same fundamental reasons.

I disagree, becuase of course this is foolish. We live in an age where Nixon's sins are the thing of prime time TV, and the true crimes of the state are the stuff of marginal myth.

There is nothing that matters but awareness. And it is a hard thing to discover and cultivate, in a land that today is predicated on lies and death,

Fri, 05/17/2013 - 21:13 | 3574853 JuicedGamma
JuicedGamma's picture

My sister in-law is a "wound care specialist" maybe she can unwound this market?

 

Fri, 05/17/2013 - 21:28 | 3574887 W T F II
Fri, 05/17/2013 - 21:32 | 3574893 Youri Carma
Youri Carma's picture

Wink, wink, notch, notch.

Fri, 05/17/2013 - 21:43 | 3574918 orangegeek
orangegeek's picture

And in conclusion, I have nothing to say.

Fri, 05/17/2013 - 22:37 | 3575067 Racer
Racer's picture

Anyone who has pension funds should be taking and spending... at least they will be able to enjoy it before they get Alzheimer'ed and the sharks will take it to pay for care

Fri, 05/17/2013 - 23:19 | 3575146 yogibear
yogibear's picture

Next they turn  the dial to 2666. They like anything with 666. Goes to show who's running this game.

Your messing with the demons .

Sat, 05/18/2013 - 15:04 | 3576211 machineh
machineh's picture

Of course:

666 x 2.666 = 1776

Happy birthday, America! (and the height in feet of the new World Trade Center)

Fri, 05/17/2013 - 23:23 | 3575156 bugs_
bugs_'s picture

Reverse Rapture for stocks

one stock taken, the other left behind

Fri, 05/17/2013 - 23:53 | 3575212 ak_khanna
ak_khanna's picture

The stock, commodity and currency exchanges have been reduced to gambling dens whereby the more powerful traders with deep pockets move the markets to maximize their own profits at the expense of the remaining not so powerful players.

The big boys have enormous money power to move the markets in the direction which results in maximum profits for themselves. They effectively use the media to lure the other players in the market to a position where they would incur maximum loss.

The markets will fall only when the banksters have eliminated all the short positions and only they themselves have positioned themselves to profit when the market falls

OR

When an unexpected world event catches the banksters with their pants down and the softwares they use to rig the markets go berserk beyond their control.

http://www.marketoracle.co.uk/Article35345.html

Sat, 05/18/2013 - 05:03 | 3575414 ebworthen
ebworthen's picture

SATAN!

Sat, 05/18/2013 - 05:53 | 3575435 resurger
resurger's picture

God help us all when that happens.

Sat, 05/18/2013 - 07:51 | 3575485 Downtoolong
Downtoolong's picture

Supply and demand balancing. Ha! So much for that theory of market prices.

Being in the stock market these days is like riding in a cab with Cosmo Kramer at the wheel. No wait it’s worse, it’s like riding in a cab with Jim Cramer at the wheel.

 

Question: What’s dumber than a smart computer that thinks it’s O.K. for a $90 stock to trade at $0.01 cent?

Answer: A smart computer that actually manages to buy a $90 stock for $0.01 cent and then turns around a micro second later and sells it for $0.02 cents.

Sat, 05/18/2013 - 10:29 | 3575668 matsoR
matsoR's picture

The Devil is the good guy. It's the shitstain scumbags that are ruining his message. He has nothing to do whatsoever with any of this for sure...

Sat, 05/18/2013 - 15:06 | 3576216 machineh
machineh's picture

Funny, that's exactly what Obama says too.

Sat, 05/18/2013 - 11:17 | 3575746 Investor-1
Investor-1's picture

For everybody who doesn't understand it anymore: http://www.cfd-trading-info.com/index.php/copy-trading

Do NOT follow this link or you will be banned from the site!