• Steve H. Hanke
    05/04/2016 - 08:00
    Authored by Steve H. Hanke of The Johns Hopkins University. Follow him on Twitter @Steve_Hanke. A few weeks ago, the Monetary Authority of Singapore (MAS) sprang a surprise. It announced that a...

Shorting Stocks On These POMO Days In June 'Will' Be Hazardous To Your Health

Tyler Durden's picture


Having shifted our communication stance from 'may' to 'will' last month, the Fed's upcoming POMO schedule offers some insights into the days when shorting (apart from the obvious Tuesdays) will be dangerous (though the BoJ now stuck may require a communication change back to 'may'). We do note that the Fed POMO'd $44 billion out outright Treasury purchases in May (as expected) and plans to do the same in June with $45 billion pegged (strongly suggesting no Taper anytime soon)... it seems next Friday is your first opportunity (though if the last hour is anything to go by... perhaps the Fed's omniptence is being challenged).

There are only 2 days next month when there is not a POMO...


Source: NYFed

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Fri, 05/31/2013 - 15:08 | 3614642 Spider
Spider's picture

Hmmm whats more important the Operation or Settlement date?  basically when can the banks use the new funds...

Fri, 05/31/2013 - 15:16 | 3614679 jbvtme
Fri, 05/31/2013 - 15:19 | 3614690 max2205
max2205's picture

Just tell us when they ARE NOT going to POMO....thanks

Fri, 05/31/2013 - 15:22 | 3614700 malikai
malikai's picture

But it's cool to short gold on these days.

Unbelieveable, yet true.


Fri, 05/31/2013 - 16:37 | 3615083 Umh
Umh's picture

Is that the fat lady who sings. I didn't know she did tricks.

Fri, 05/31/2013 - 15:09 | 3614651 fonzannoon
fonzannoon's picture

It's over. POMO is dead.

Fri, 05/31/2013 - 15:10 | 3614655 realtick
realtick's picture

i totally agree

abenomics was the tipping point

QE Ain't What It Used To Be

Fri, 05/31/2013 - 15:10 | 3614656 fonzannoon
fonzannoon's picture

Operation erectile dysfunction.

Fri, 05/31/2013 - 15:12 | 3614667 JuicedGamma
JuicedGamma's picture

End the ED.

Fri, 05/31/2013 - 15:20 | 3614696 slightlyskeptical
slightlyskeptical's picture

That would be Easing Dysfunction.

Fri, 05/31/2013 - 15:10 | 3614653 spastic_colon
spastic_colon's picture

window flagging false dressing day today

Fri, 05/31/2013 - 15:14 | 3614673 bnbdnb
bnbdnb's picture

And MBS days are??? Tuesdays?

Fri, 05/31/2013 - 15:17 | 3614684 slightlyskeptical
slightlyskeptical's picture

Leaves Friday June 7th as the only non-POMO day of the month. Something breaks before the month is out.

Fri, 05/31/2013 - 15:24 | 3614711 insanelysane
insanelysane's picture

Summa is here.  Nothing breaks till the fall.

Wed, 06/05/2013 - 16:59 | 3627588 auric1234
auric1234's picture

And 19th (overlaps with FOMC).


Fri, 05/31/2013 - 15:22 | 3614698 bnbdnb
Fri, 05/31/2013 - 15:22 | 3614701 ekm
ekm's picture



Is the word "TENTATIVE" normal? Anybody knows?

Fri, 05/31/2013 - 15:22 | 3614702 toros
toros's picture

A day without POMO is like a day without unicorns or Snarky Puppy...

Thing of Gold


Fri, 05/31/2013 - 15:23 | 3614704 nomorebuyins
nomorebuyins's picture



Fri, 05/31/2013 - 15:23 | 3614708 kralizec
kralizec's picture

Darth Bernanke - "I find your lack of faith disturbing."

Fri, 05/31/2013 - 15:25 | 3614716 gatorengineer
gatorengineer's picture

Looks like thursdays will be the new tuesdays....

Fri, 05/31/2013 - 15:52 | 3614874 orangegeek
orangegeek's picture

Yep - next Tues and then Thur/Fri combos.


I love technical analysis.

Fri, 05/31/2013 - 15:35 | 3614757 Haager
Haager's picture

the last couple of days shorting stocks looked to be quite succesful, at least in Japan nd On/Off Europe.

Fri, 05/31/2013 - 15:51 | 3614867 otto skorzeny
otto skorzeny's picture

what the f happened today-they had $6B to blow

Fri, 05/31/2013 - 17:25 | 3615228 DeadFred
DeadFred's picture

As far as I know there is no formal agreement that says they must buy stocks with their money. Some day they will think "I could just save the money and buy later at a discount". O could use a distraction now that a new scandal comes out most every day. If a financial crisis would make it harder to focus on minor things like IRS, AP, Benghazi do you really think he wouldn't pull the plug?

Fri, 05/31/2013 - 16:03 | 3614927 sodbuster
sodbuster's picture

There is no honor among thieves........what if the day comes when they take their POMO money and use it to SELL the heck out of the market??

Fri, 05/31/2013 - 16:08 | 3614951 digalert
digalert's picture

Thanks ZH

I'll put this page on my desktop where the May POMO frenzy chart was.

Fri, 05/31/2013 - 16:20 | 3615003 sbenard
sbenard's picture

NOt a single Fed-free Tuesday in the lot!

Fri, 05/31/2013 - 16:23 | 3615014 cdude
cdude's picture

Hey, today was a HUGE POMO day. and....considerable "good" new to boot. Look "wha happin".

I really really really fooking hate the US equities "markets". It is a Fookfest on a unprecedented level. Manipulated in the short, intermediate and long terms. A complete scam designed to fook the honest investor.


Fri, 05/31/2013 - 17:26 | 3615229 They trynna cat...
They trynna catch me ridin dirty's picture

ZH needs to stop with all this hateful POMOPHOBIA.

Nothing worse than a bigoted POMOPHOBE.

Sat, 06/01/2013 - 04:34 | 3616220 auric1234
auric1234's picture

19 June POMO-free day overlaps with FOMC meeting. I'm trying to figure out what this means....

Any ideas?


Mon, 06/03/2013 - 16:09 | 3621225 MeelionDollerBogus
MeelionDollerBogus's picture

what do YOU think it means?

Short much?


Wed, 06/05/2013 - 03:16 | 3625555 auric1234
auric1234's picture

And then we have this week's NFP which is also non-POMO.

Yes, I think the bulls are beginning to hesitate, so they need to punish the bears again. Someone is going to inflict pain on everyone wearing shorts.


Mon, 06/03/2013 - 16:07 | 3621219 MeelionDollerBogus
MeelionDollerBogus's picture

so today for 2 trading weeks the only NON-POMO day is friday?


except Friday, friday...

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