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Japanese Stocks Halted; Plunge 1500 Points To Close Down 7.3% - Biggest Drop In 26 Months
UPDATE 1: They are panicking... BOJ injected 2 trillion yen ($19.4 billion) into the financial system to stem volatility following a circuit breaker in JGB futures trading.
UPDATE 2: Nikkei 225 is now down 1500 points from its highs and down 1150 (over 7%) from yesterday's close
All the time it is just the quadrillion JPY second-largest bond market in the world that is experiencing volatility on an unprecedented scale, the BoJ and her partners in crime are more than willing to 'officially' say "please do not worry." But when the equity market - that barometer of everything good and holy about Abenomics starts to crater, you can bet the excuses will come fast and furious. Today's drop of over 1500 points (over 9%) from the earlier highs is the largest drop for the Nikkei 225 since March 2011. The Nikkei 225 just lost the all-powerful 15,000 level and is suffering another VaR shock with a 6-sigma move today. In fact given the price levels this drop is on par with the post-Lehman moves in 2008. The question now (with US equity futures also fading fast -20 points and JPY crosses getting hammered) is how will the Japanese risk appetite for peripheral European crap hold up with this crimping in their plan as Japanese bonds and stocks dump?
The Nikkei 225 is down 7% (1000 points) from its earlier highs...
High-to-low this is the biggest drop in 26 months...
Close-to-close this is the biggest drop in the Nikkei in over 26 months!!
The Final closing data is a disaster with JPY surging back to 101.50 (carry trades getting baumgartner'd everywhere), stocks down over 7%, and 10Y JGBs swinging from +11bps at the open to -6bps at the close for the second biggest range day in a decade...
Charts: Bloomberg
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BTFD!!!
BTF Gold D!
While you still can...
GAME ON !
We're in a Puetz eclipse crash window around the May 24-25 lunar eclipse.
http://thespiritoftruth.blogspot.com/2012/05/puetz-eclipse-crash-window-just.html
http://thespiritoftruth.blogspot.com/2013/05/dow-15000-world-war-three.html
4 sigma?.. aw pshaw..
Show me some 6 more smegmas and I will be impressed.
Yawn.
Still waiting for a Triple Lindy...
uh, oh.....
Nikkei live:
http://www.sgxniftydowfutureslive.com/World_Indices/Nikki225_index_Futures_chart_Live.htm
the foreign money moved in...for the kill. as with gold "they ramped this thing to the moon." goodbye yen. "get the message Mr. Fed Chairman." were it not for "those crazy equity guys" that's exactly what you'd be looking at right now. spreads are blowing out, "Greece times a trillion." oh, and Banzai...you have shamed your people. "take a good hard look at THEM."
sometimes a good healthy correction can set us up for the next leg higher, whats 1K? Then maybe we can put another 5K on this summer!!!!!!!!
If this is a healthy correction, God help us all when there's an unhealthy one.
Nikkei down over 1,100 points as of 11:00 PDT
Nikkei down over 1,100 points as of 11:00 PDT
Don't worry cnbc assures me boj has 'unlimited firepower'
SOMEBODY SET US UP THE VOL!
+1 for Zero Wing reference
JGBs, EURJPY, USDJPY
Pretty scary looking stuff.
http://blog.quantsig.net/2013/05/23/fear-and-loathing-in-abeonomics/
JGBs, EURJPY, USDJPY
Pretty scary looking stuff.
Gold looks like it might have a bit of bite in it. The NK probably scared the shit out of a few people.
NK's move cut a few people to shreds.
I'll do one on PMs later today. It looks like something big is in the setup.
I thought gold was in for a ramp this week but the Bernanke surprised me (you not as much). Looking forward to what you have, I'd of thought if there's any decent dip there'll be some selling to cover margin. PMs have pressure on both sides.
Never a dull moment.
it looks to me that they are just filling gaps.....dont gaps always get filled?
Reduced shields in order to EMP the hull to shed all the galactic barnacles. What's that, cannot restore power? Uh oh.
Kabushiki tsuiraku wa motto kihonteki kusari o arawasu. yasu en, kabu taka no michi wa anzen ja nai.
buy the dip?
The DAX and the SMI are heading down and could probably take the Dumb Jones with 'em. US employment data should bring an upward turn. So hurry, if you wanna BTFD and STFR EOD, I'd say. But that's just my two cents ...
You still have two cents left?
Imagine ... they are made of gold ... ;-)
I am listening to Joe Kernen congratulate Japan on getting to 1% inflation.
its really hard to tell who the biggest pos is on that set ......you can tell how kernen thinks , when you listen to his indoctrinated daughter....they are as stupid as they appear...
Currently at new low: 14,926...
Thanks for the "real time". Double-dipping they are.
Real time ticker for all the major indices:
http://www.sgxniftydowfutureslive.com/index_files/DOWFUTURES.htm
So sawwy, gwasshoppaw, but those awe not live qwotes.
Put the thing out of it's misery and close early. Then call up Obama for a way to spin it so it really wasn't an early close and if it was I didn't know because I was asleep.
Obama won't know anything- this is BAD stuff. He only knows about GOOD stuff!!
Clearly this forced selling of Japanese assets was due to hedge fund margin calls on their gold positions... Where's my job as a mainstream analyst?
14813
Wooooooowwww this is ugly!
Freefall, broke 14700
Gunna need a bigger helicopter!
just halted!
Pussies. Fuck 'em.
The cavalry has arrived, phew. Close one.
Scratch that, back to freefall. Where's the power cable for this thing? Can't they just unplug it?
14500.
Long weekend...bank holiday?
Fib retrace...wsit for the big one
BOJ needs to obviously print MOAAR
That's funny. I like this one, too
Hello Abe
If you are familiar with Japanese urban style, you will recognise this as being very appropriate. ;-)
I own that outfit. Except for the hat...
...and the goofy expression.
So how does injecting Monopoly money into the system help a damn thing.
Look out below!
I'm waiting for volicity -- i.e., mass panic.
deflating fast
Going long. Who's with me?
MillionDollarBonus, probably.
Come on guys... where's your sense of adventure!?
No shit. Trading these 'markets' is like that Seinfeld episode with Kramer test driving the car and seeing how far they can go on 'E':
http://www.youtube.com/watch?v=TuEdU_lrtZk
RICK: Is it just the angle I’m looking from?
KRAMER: No, Sir. We are down there.
RICK: Oh, this is amazing! Oh, I’ve never felt so alive!
KRAMER: All right, I’m satisfied. We better get some gas.
RICK: What? Well, we can’t stop now.
KRAMER: What do you mean?
RICK: We have to keep going - all the way back to the dealership. That was the plan.
KRAMER: There was no plan.
RICK: Well, let’s make it the plan! Let’s just… go for it! Like Thelma and Louise.
KRAMER: What, they drove to a dealership?
RICK: No, they drove off a cliff.
(Kramer eyes Rick, frightened)
KRAMER: You are one sick mama… I like it.
One of the best analogies ever LMFAO!
yeah, that was a fucking good analogy.
this is a big deal in my opinion. Might be an early call but it seemed like the euphoria on Bernanke's speech today was the 'blow-off top' that could be it for quite some time as now retracement begins in ES.
Jap gov decided not to buy.
Same with the Fed + Primary dealers taking orders from white house. It's a matter of government order, nothing to with central banks.
so you're saying don't read TOO much into this, then? I don't know. I have only really been following yen since the BOJ bazooka was fired. All of this is playing out as Austrian school says: huge dislocations/distortions in relative prices, huge malinvestments, and stagflation is here. Crude could still do well even with weak ES if euro does well.
What I am saying is that it is totally unpredictable because bonds and stocks are no longer a market. There is one owner, the govs.
Hence, the securities market has no more logic but it goes up or down simply by what Obama or Abe say.
Now we know obama has no clue, not sure for Abe.
I think the ones giving the orders go above Obama, but not sure.
VIX should be near 20s soon.
Mistakes were made.
The title of the office of president should really be changed from "Commander In Chief" to "Public Speaker In Chief".
John Kennedy and that generational speech on sending a man to the moon and returning him safely to earth.
Ronald Reagan and his timeless statement "Mr Gorbachov tear down that wall".
George W Bush and his . . . . er . . . . . um . . . . . . "Fool me once and sha, shame on y, shame on. Fool me once and you can't do it again" . . . . .
Barrack Obama and his "Yes we can" speech. Mind you comparing a perfectly crafted and word smithed speech from Obama to a patriotic, from the heart speech from Kennedy is like comparing Led Zepplin to the Spice Girls.
What was I talking about again, trying to think of a George W Bush speech really destroyed my train of thought.
What was I talking about again, trying to think of a George W Bush speech really destroyed my train of thought.
in that case, this will really mess you up:
http://www.youtube.com/watch?v=XzrJwzYBUkU
The title of the office of president should really be changed from "Commander In Chief" to "Public Speaker In Chief".
John Kennedy and that generational speech on sending a man to the moon and returning him safely to earth.
Ronald Reagan and his timeless statement "Mr Gorbachov tear down that wall".
George W Bush and his . . . . er . . . . . um . . . . . . "Fool me once and sha, shame on y, shame on. Fool me once and you can't do it again" . . . . .
Barrack Obama and his "Yes we can" speech. Mind you comparing a perfectly crafted and word smithed speech from Obama to a patriotic, from the heart speech from Kennedy is like comparing Led Zepplin to the Spice Girls.
What was I talking about again, trying to think of a George W Bush speech really destroyed my train of thought.
Dubya, always content with efficiency in his speeches (when he wasn't completely screwing up the language) is an easy one:
"MISSION ACCOMPLISHED!"
Complete with codpiece, pilot gear, cheering throngs, aircraft carrier and banner.
"orders go above Obama," ...
Um.. so how many of us that have been executives can reconcile this with running the largest enterprise in the formerly free world? …
http://obamagolfcounter.com/
It's a clear sign showing he's not leading and has given up even trying. He simply signs papers put on his desk.
His work day starts at 10am.
When he is not on vacation playing golf.
I don't know about you, but the average joe get between 2 to 4 weeks paid vacation, the the cost of the vacation is out of Average Joe's pocket.
The Obama's? How many million do you need to go on vacation multiple times a year. Michelle needs 2.5 million just for her and the kids? Talk about amoral individuals taking advantage of the tax payers money.
How about staying in the White House and performing your job? He's worse then monarchs or emporers. I can only guess which he wants to be.
And don't give me the "race card". I don't care if the family is black, white, yellow, or Teletubby purple. Corruption is corruption. It has nothing to do about skin color.
Correct. Obama has absolutely no clue. But the gov is buying, that's why stocks and bonds up, the gov is buying.
there is no other influential buyer
Tomorrow might be one of those days. Today was huge reversal.
I think they'll let dow drop to at least 11k. It all depends on crude oil price
Long UVXY and PSLV, then?
Looks like they stemmed the tide a bit in Japanese market, but that they had to inject yen should say a lot looking at it game theoretically. I'm tempted to just buy VXX and PSLV and walk away for a few months.
question is whether everything would get liquidated, including gold. From a trading perspective. Obviously buying phyzz is priority #1, but looking to profit off the volatility not a bad idea, either.
Way more important than anything the choomiester thinks is how GS, JPM and BoA/Merrill are positioned.
oh, and the pslv would be a hold to me.. and small position in vxx sounds good but I wouldn't jump until a 2x spike .
It's no longer a market. They may change their mind on the way.
Everything is a crap shoot unless you are a house oversight committee member who knows in advance what's going to happen.
Only crude oil complicates things for them, only crude oil
Bingo.
The one thing they cannot decree is joules out of the ground. Fewer and fewer of them, which eventually will be acknowledged as the core reason for the disintegration.
I've been with you since post one on this point Crash. In fact since 2003ish...
How dare you questioning the coming "energy independance" of the homieland? ;-)
Bingo, Obama was a hand picked puppet. This man could not capture the White House without being cleared by the elties in Business and the Military. They knew Bush had popularity around 20% tops, they knew people would not vote in another Republican. Like hand picked Clinton, they found a compliant "bait and switch" candidate. Obama. Listen to Obama's campaign speeches, then watch how he governs as regards the empire, the police state and corporate interests.
Obama answers to the elite corporate ceo's and bankers. He also answers to Israel and their lobby.
I really never follow Japanese markets or economic policies. But they seem so manipulated that Bernanke must be jealous!
BANG! Nail....on....head
Really felt like it. I've been short forever here and adding. I puked up my HD short at $81 only to see it turn minutes later and finish under $80. I should have pressed it and I didn't. Months of conviction and I couldn't have puked it up much higher. Still short spy and some other stuff but you hate to see something like that. The Bernank gets an 'A' for flushing out the shorts and, as history will soon show, an 'F' for his little QE infinity experiment.
On another note, how nervous are people going to be over a 3 day weekend. Think everyone will try to sell before then?
HD is at $81. I looked at the chart. Insane. SPY is isnane as well plus many others.
i don't finish some of my sentences because "you have to KNOW history" as well. Wall Street was integral in creating the Weimar inflation...ironic if you consider the fact that it led to Hitler and World War II and the destruction of democracy then...let alone the Great Depression. My suspicion this time was "2.0 Weimar." of course the annihilation of Germany then led to the 20's in the USA. the ROARING twenties. i say again...BE CAREFUL with your shorts. the clowns on this site still don't understand the power of the paper...and yet trillions of that paper sits in storage in the form of oil and natural gas "banks."
You talk about the euphoria but the tonight the MSM types are saying Bernanke's remarks 'spooked' the market. LOL I wonder if they use a ouija board or a Magic 8 Ball to assign reasons for market moves. How Bernanke's non-remarks today could set off moves like this is absurd. If it continues to drop it's because someone decided that <now> is the optimum time for the dump part of the classic pump-N-dump. When it rises on air it can drop on air as well. Still it was a very pretty top wasn't it?
Told ya. JGB and Nikkei drop ala UST and S&P it is becoming unhinged and it's gonna go crazy soon. All the "correlations" that were manipulated will fall apart, and all the derivatives built on them will go nuts on the unwind. Rememeber, this is an upside down pyramid. So many constructs based on very few real underlying assets.
The whoosh will take the oxygen out of the room.
Will japan sell US debt to cover their shortfall ?
That is the problem with Bass. He thinks US rates will fall further when Japan blows up. But how does that work when Japan is one of the US's biggest legit creditors ?
It doesnt
It works because other money, Russian, Middleastern, Chinese, will all flock to the Worlds reserve currency...... Japans out and blow-up will scare the shit out of alot of whales, influx to US greater than outflux.
It works because other money, Russian, Middleastern, Chinese, will all flock to the Worlds reserve currency...... Japans out and blow-up will scare the shit out of alot of whales, influx to US greater than outflux.
Exeter's pyramid for the win. #Gotgold?
It's called a "Printer". Now BTFD.
BOJ is going to step in and buy index-linked ETFs. Bastards! What's money to them? If you can just issue it, it's not at all valuable to you. So, even the price halves, it won't really matter to them.
Isn't it true that the Japanese markets are not really up that much adjusted for the devaluation of the yen??? Printing has a cost, the inflation is appearing in the stock index, also in food and fuel for average Japanese. Their policy of printing can't end well.
Next move in QE is up. Need MOAR!
Alright, who forgot to lock Godzillas cage?
2 HUGE moves DOWN...waiting for the 3rd!.......Goldman getting OUT?:)
Japan retraced a weeks worth of gains, same with Euroland, nothing more.... YET.....
"A Japanese man walked into the currency exchange in New York City with 5000 yen and walked out with $48. The following week, he walked in with another 5000 yen, and was handed $40. He asked the teller why he got less money that week than the previous week. The teller said, "Fluctuations."
The Japanese man stormed out, and just before slamming the door, turned around and shouted, "Fruc you Amelicans, too!"
a timeress crassic
I'm not sure these comments are in-line with the new ZeroHedge "Care-Bear" Policy. +1 anyway.
make no mistake, that particular policy protects only a particular group of people.
"The teller asked, are the funds for supplies" Hai! said the Japanese man. Tomorrow ashita you be rearry supplies'd at grobal marklets.
I hope this is it let's get this party started about time ?
Called it!!
http://www.zerohedge.com/news/2013-05-20/japans-nikkei-225-overtakes-dow...
Very well done Uber...you can't make it up and yet they do. Symbolism, wrapped in an enigma hidden in a giant steaming pile of hubristic stupidity.
Moar cowbell...!!!
http://www.youtube.com/watch?v=8Ix7jqxXQ2I
According to Nikkei.com, it's only profit-taking.
"Asian stocks fell across the board after HSBC Holdings Plc of the U.K. released a China's purchasing managers' index showing that the gauge had slipped below the boom-or-bust threshold of 50. This prompted investors to sell Japanese stocks to lock in recent gains."
Japan take-down on stocks now. http://www.zerohedge.com/news/2013-05-22/japanese-bond-market-halted-ope...
Awesome play, now hedge funds will cover shorts, bid YEN. Abe just got served as Japan pension funds run for cover and Japan banks will start to crack on bonds = Japan will go into an all out panic
Kinda speechless, but I 100% commend China for this near perfect economic attack.
Wow incredible call...if you are right and it is China this might kick off much bigger things...
Thanks. I was like yeah bonds first, stocks later. But the stock beat-down was almsot mins after the bond volatility. BoJ was scrambling. I say China, only because the last Japan bond volatility was also well timed, plus they, China, bought a load of Japan bonds last year and this year. Also everyone on the planet knows Japan has a stock bubble, but start of trading, there were huge stock buy-ups of foreign stock buyers.
China hates Japan, that is obvious. What better way to make Abe, BoJ look ridicules is mess with their bonds (sitting in Japan banks) and stock markets (owned by pensions finds and bought by the BoJ).
I have no love for commie China, but sh*t they wrote the Art of War and Book of Qi. Respect due.
There went all that "taper" talk right out the window. Can't wait to hear the talking heads on CNBS spin this as the long awaited "healthy correction" Wall Street has been predicting! This could be one hell of a buying oppurtunity to BTFD! MOAR!!!!
here in the USA? "we have a recovery underway." a very good one actually. "but these animal instincts can be trained in other ways as well." obviously this will take out a massive purchaser of treasuries...good thing we had good...indeed GREAT crisis management skills "back in the day" (2008). something tells me "the phone is ringing again."
Cue the selling of naked short paper gold futures.
''recent gains'.....like 3 hours ago?:) Profit-taking in a 'BUBBBBLE' is a CRASH!!!:) I think I will hang around...take in the EOD Nikkei.
We are not short though, here come the ECB/BoJ/Fed EUR plays. They get this over 1.30, stocks will go green.
DXY went neg.
The plunge continues, now below 14,900.
Low of 14775.
I was just going to post that. It is happening fast.
14,760
14,732
14,700
A fucking freefall. 14,690 with 23 minutes left in the session.
Low of 14,682 and recovering a bit now
Apparently someone is buying the fucking dip. The market is moving back to 15,000.
Watch those printing presses. DXY neg, if it clears 10% neg and EUR goes bid over 1.30...that and we need at least 2% neg on the Dow and S&P.
But a fascinating two prong beat-down on Japan bonds and stocks.
BoJ may try and draw a line at 5% neg, but since foreign holdings of Japan stocks revved up in the last week. Should break. If yields blow out in Japan now, so will CDS spreads. Japan could could cave in hard.
Bets on capitulation point at 14000? It will destroy their pension funds
Yeah...there doesn't seem to be the spirit needed to climb back to 15,000. Back to 14,700 and falling.
As for fascinating, it is like watching a multicar pileup. It's horrible but you can't stop watching.
Looks to close at the low of the day. 14,679 now
14, 655. Capitulation at 14,000? Abe/Kuroda is fortunate that the market closes in 3 minutes or they might see 14,000 today.
Close at 14,483.98 erasing nearly two weeks of increases (intraday May 10), a stunning drop of 1458.62 fropm the intraday high.
They made 7%?! Good game lads!
Moar whale-bell!
FINALLY!! PLEASE! CRASH THIS WHOLE WORLDWIDE SCAM!!
it's not a crash...it's an INFLATION. "from zero to a 1000" in less than a second.
Abe must be shatting his pants right about now. Abe and his fucking 'nomics can go to hell.
This is going to be fun to watch now that I loaded up on some more gold and silver coins on the recent dip.
Even though it will create a shit storm, when these statist central bank controlled economies fall, I will celebrate the destruction and the undoing of their corrupt ways.
So I guess we can expect a 5% ramp of the SP later today?
Agreed, absolutely Bullish for S&P.
It's only a flesh wound. Japan NI225 14,776.50 15,627.26 15,986.00 14,766.50 [ -850.76] -5.44%
JOh shit. Nikkei 225 has plunged over 1200 points from the high. TIMBERRRRRRRRRRRRRRRRRRR
Who is selling? Everybody? Who is putting in bids, the government?
Now if the DOW Jones could do the same thing and destroy Bernanke, Obama, Geithner, MSM and Krugman's credibility forever, that would be nice, thanks.
It is impossible for Paul Krugman to be wrongs. If the DOW drops 1000+ points it just proves he's right that the QE is not big enough. His ideas are rather ingenious when you think about them. If it does not work it just needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger and if that doesn't work it needs to be bigger
I see where you're going with that...it's turtles all the way down!
The definition of idiocy is repeating the same action and expecting a different result.
I must be tired, I think I read about three quarters of that post before I realised you were repeating yourself. Either that or I'm in a state of shock due to the Nikkei going down.
Kyle Bass was right.
You know, I heard Kyle Bass call this and I heard so many people ripping him a new asshole, calling him an idiot. I always liked Kyle, I was wondering if he had called Japan wrong. Now I wonder, was he really right.
The turth is always right
If we had Kyle Bass' money, cojones and market positions, we'd be heading out for a pretty good night tonight...