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1 Week Alongside the Fed's Open Mouth Operation
Presented with little comment aside to note that clearly the Bernank's comments remain key to the market's perception of the new 'Tapering' reality... so when does Ben come out from behind the curtain and say, "Just Kidding..."
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What is amazing is that nearly every Fed utterance after Bernanke has not really altered the "Bernanke Taper Bummer" (BTB). Yet, market, in a Stockholm delusion, just pumps on anything the Fed officials say.
Dudley could come out and say, "Yes, we want to start tapering tomorrow", and we would have +10 ES.
Yes, but the average from all of those headfakes is the new stability.
Non-club font-runners to be run over. Film at 11.
In short, under the original discount window model, national employment, production prices, and GDP were a bottoms-up outcome on the free market, not an artifact of state policy. By contrast, open market operations inherently lead to national economic planning and targeting of GDP and other macroeconomic aggregates. The truth is, there is no other reason to control M1 than to steer demand, production, and employment from Washington.
Milton Friedman: Freshwater Keynesian
Mises Daily: Thursday, June 27, 2013 by David Stockman
dammit TD,, the sub head made me cough up part of the morning’s first strong beverage.
oh, gosh.. it's afternoon already.
What's amazing to me is that the market has grown so completely dependent upon what quasi-government officials utter. Nothing else matters but the perception that the market will never be allowed to truly fall because these quasi-government officials are there to taper or untaper as the situation demands.
Just go full-retard soviet style already and quit dicking around. Roll out the "five year plans" and be done with it.
Nice to have you back McM.
Anyways, I think these quasi govt mouthpieces will start speaking the truth once one of them gets taken into the alley way and beaten up to a bloody pulp. Then I am sure they will start collectively speaking what really is on their minds and not being a two face lying sack of shit.
The "market" is supposed to be based upon trends, earnings, fundamentals, resistance levels etc.....
It's gone full-blown-bull-shit.
A fuckin' heroine addict.
10Y closes under 2 and 1/2.
This is what my crystal monkey ball says...
cant just tell one lie - they reap what they sow - lying and contradiction - counter signals; if they keep playing with the dials the cover might fall off;
they have been selling the "improving economy" for 5 yrs - how stupid can people be
it looks like fisher and his feral hogs comment had the biggest impact.
we want fisher! we want fisher!
fisher, fisher, he's our man, if he can't jawbone no one can!
been referring to the coming crash as the "barrackolypse". but as bernank was a bush appointee, we can safely assume this will be blamed on boooooosh.
blame and a buck will get you a cup of coffee...for now. You might need to substitute the buck for a silver eagle at some point.
all these talking heads and fund managers telling clients bs in the middle of taper talk - us economy based on talking points
SELL ON BERNANKE
BUY ON ALL THE OTHERS
Clearly they can't keep going on as they have been buying and they just figured out they couldn't tell the truth so the baffle with bull is full on right now until someone gets the balance sheet. Hope for Ben now is to wind quietly for two months and then proclaim "look, told you we could do it"...
+5 for the title alone.
The last time pending home sales were up 6.9% and prices up 15% yoy the Fed was jacking up interest rates. The last time personal incomes were up .5% and the stock market had gone up 40% in six months, they were jacking up interest rates. It is time to jack up interest rates and cool down these bubbles.
Open wide Ben you're about to be the star of a bukaki movie
I take solace in the fact that this is now a global world folks, and interweb enabled.
Just think Bernsplenks, there is nowhere to run, nowhere to hide, and no amount of money you could ever print will stop justice finding your door.
On a long enough timeline bernsplancke, you know the score, hung, drawn, and quartered would be the polite way for you to leave this mortal coil. But somehow I doubt it.
People are cottoning on at an exponential rate round these parts, so many people even know your name and what you do, not just to them, but to the wider world as a whole.
That old saying suits you dwarf cunt, 'Revenge Is A Dish Best Served Cold'.
Warmest regards you shit fuck.
Jack in the Box Fed '94 style: BOING, surprise interest rate hike!
there is only one Chairman.
Right....do what everyone least expects, right when everyone least expects it!
It's all about keeping the stock market up and rates low. They will say anything to make that happen to keep the game playing.
They want the market to know that they probably won't be printing $1 trillion a year forever because they are worried that at some point the market will throw a fit and they will lose control. At the same time, they realize the market will throw a fit when they stop. So, bascially, they want to eat their cake and have it too.
"We are going to keep printing forever, except that we are not." Any questions?
The only thing that would make the farce totally complete is some PM-like collapse in WTI on Obama Keystone rumors gone wild. The networks would be sending in the Dallas Cowboy cheerleaders to dance the can-can on the recovery effect from the drop in oil prices.
As long as they call it a "communications strategy" it is bound to work somewhere, sometime, somehow where someone listens to them and belives them!
You missed one - Lockhart is talking now.
The level of desperation is laughable. Our market-centric economy is a complete joke.
I think, if the fed wants to get that 10yr back to 2.25% they need a shitty NFP followed by an announcement they are going to 95 billion in July.
Catch everyone off guard and force em all to sell their bond shorts and go long.
That would make Bernanke go out like a dumbass, until the August data is great and we can all crow about growth again while the feral hog bond shorts quiver in the corner.
That would be quite ironic fonz as the feds produced these feral hogs (literally) in the first place...
Can one have cake and eat it too? For now ya
Wait a miniute... Yesterday the market was up 150 because the 1st Q GDP news was BAD and that meant less likelyhood of the Fed following thru and now today it's up because the economic news is GOOD?
Why not just have one guy on the floor with a bullhorn yell out "Up!" or "Down!"?
Because "Up!", "Up!", "Up!", "Up!", "Up!", "Up!", "Up!", is really boring.
its so comical how they needed 3 fed members to speak today and all 3 had to tell us how we misunderstood bernanke.
they needed 3, not 1, but fucking 3 at different times i guess to elevate the markets higher.
thanks jackasses for ur brilliant observations and trying to tell us how we misunderstood bernanke.
fuck u all fed members, may u all suffer a terrible fate.
next pumper is at 4 pm on cnbc, mr lloyd blanfkein, ceo of the corrupt goldman sachs.
Dudley Do right is the man...look what he can do........is he from Canada by chance...and rides a horse
Tapering , dis tapering, who knows what these immoral fucks are doing. It has become like the NSA under Obama. They tell you one thing but you know they are lying.
Bernake = Taper, the 3 stooges come out today and say Taper On / Taper Off whenever we feel that the market needs something, y'know a little fix.
We need a whistelblower from the Fed. Does the Fed actually have any gold in vaults? Does the Fed actually own every single T Bond issued?
The FED not only has to jack up the economy, but appease the markets. Good luck, Benny. We have seen what a FED exit could look like. Nasty. They won't try that again for a while. Buy everything and hope and pray.