This page has been archived and commenting is disabled.

FOMC Minutes: Half The Fed Participants Said It Would Be Appropriate To End QE "Late This Year"

Tyler Durden's picture





 

Discord appears to be the best word to describe the FOMC minutes but the baffle 'em with bullshit seems like the order of the day:

  • FED SAYS SEVERAL ON FOMC SAW QE TAPERING LIKELY WARRANTED SOON
  • FED SAYS MANY ON FOMC SAID LABOR GAINS NEEDED BEFORE QE TAPER
  • FED SAYS FOMC SAW FISCAL POLICY RESTRAINING ECONOMIC GROWTH

As a reminder, uberdove Charles Evans wanted 200K or more in job gains in the past two quarters. Here's the thing - the average monthly job gain in the past 6 months is... 201,000. As for the punchline:

  • HALF OF THE FED INDICATED IT LIKELY WOULD BE APPROPRIATE TO END ASSET PURCHASES LATE THIS YEAR - NOT SLOW END
  • A FEW PARTICIPANTS INDICATED THAT THE COMMITTEE SHOULD SLOW OR STOP ITS PURCHASES AT THE JUNE MEETING - "OR STOP"

Communication matters apparently. But the key is that taper appears (forget about an all out stop) to be coming soon - and as usual - it's all data-dependent. Aside from that, it is the usual baffle with BS schtick. Most importantly, with half the Fed saying not just taper, but flat out end to QE by 2014, we now have a full blown mutiny in the Fed.

Pre: S&P 500 futures 1644.50 (VWAP), EURUSD 1.2850, 10Y 2.66%, Gold $1250, WTI $106.45

The highlight paragraph from the minutes:

Participants also described their views regarding the appropriate path of the Federal Reserve’s balance sheet. Given their respective economic outlooks, all participants but one judged that it would be appropriate to continue purchasing both agency MBS and longer-term Treasury securities. About half of these participants indicated that it likely would be appropriate to end asset purchases late this year. Many other participants anticipated that it likely would be appropriate to continue purchases into 2014. Several participants emphasized that the asset purchase program was effective in supporting the economic expansion, that the benefits continued to exceed the costs, or that continuing purchases would be necessary to achieve a substantial improvement in the outlook for the labor market. A few participants, however, indicated that the Committee could best foster its dual objectives and limit the potential costs of the program by slowing, or stopping, its purchases at the June meeting.

Not just slow. STOP.

There will never be any MBS sales: 

Most, however, now anticipated that the Committee would not sell agency mortgagebacked securities (MBS) as part of the normalization process

As for the (all cash) housing (non) recovery:

Participants generally were optimistic that the recovery in housing activity would be sustained, although a couple of participants were concerned that the run-up in mortgage rates in recent weeks might begin to crimp demand... Several participants worried that higher mortgage rates and bond yields could slow the recovery in the housing market and restrain business expansion.

The full minutes:

 


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Wed, 07/10/2013 - 14:05 | Link to Comment stocktivity
stocktivity's picture

Market just ramped higher...the bullshit hit the fan. Rally on.

Wed, 07/10/2013 - 14:06 | Link to Comment Divided States ...
Divided States of America's picture

much ado about bullshit.

What a load of crock these fuckin minutes are.

Wed, 07/10/2013 - 14:09 | Link to Comment ACP
ACP's picture

There goes stop run #1.

Wouldn't be surprised to see another before the end of the week.

Wed, 07/10/2013 - 14:10 | Link to Comment Thorlyx
Thorlyx's picture

Gold, bitchez

Wed, 07/10/2013 - 14:15 | Link to Comment AllThatGlitters
AllThatGlitters's picture

Straight up so far:

http://www.pmbull.com/gold-price/

 

Wed, 07/10/2013 - 14:18 | Link to Comment flacon
flacon's picture

Is that 2014 or 12014?

Wed, 07/10/2013 - 14:24 | Link to Comment NoDebt
NoDebt's picture

I was thinking the same thing.  "At the June meeting."  Yeah, what year?

Wed, 07/10/2013 - 14:33 | Link to Comment Chupacabra-322
Chupacabra-322's picture

It's a Criminal system, built by Crinimals for Criminals. The business of America used to be business. Now the businesses of Amerika are war, theft, mass murder, and police state crackdown on anyone who objects.

Wed, 07/10/2013 - 14:50 | Link to Comment RockyRacoon
RockyRacoon's picture

Thou doth protest too much.   There is business in America.  It's named after Charles Ponzi.

Now buck up a bit and enjoy Mandy's cleavage.

Wed, 07/10/2013 - 15:05 | Link to Comment Herd Redirectio...
Herd Redirection Committee's picture

Everyone just wants to go on record as saying "I was against QE".  Its  an attempt at preserving credibility, no more, no less.

When my dog comes up to me and begs, I can tell him "Do you want to go for a walk?"  and he gets REALLY REALLY EXCITED.  For a little while, any way.  If I don't take him for the walk he gets mad as hell.   (swap going for a walk with QE, for the financial version, swap my dog with the markets)

Wed, 07/10/2013 - 16:09 | Link to Comment BLOTTO
BLOTTO's picture

Soooo, whats on tv on Wednesday nights?

Wed, 07/10/2013 - 14:33 | Link to Comment malikai
malikai's picture

REJOICE SLAVES!

tHE rECOVERy iS uPON uS.

Wed, 07/10/2013 - 14:40 | Link to Comment disabledvet
disabledvet's picture

now that they're in the entertainment business as well as doing the regular "monetary stuff" i have a few ideas: http://www.youtube.com/watch?v=zZ3fjQa5Hls clearly we're in need of a ratings improvement. try this out FOMC!

Wed, 07/10/2013 - 14:33 | Link to Comment FuzzyDunlop21
FuzzyDunlop21's picture

So nothing new. 

Last time we heard this PM dropped 4% but today they get a boner. Im speechless. Not that Im complaining but lets get some fucking consistency. 

Wed, 07/10/2013 - 14:12 | Link to Comment Divided States ...
Divided States of America's picture

Bernanke better have his A game on later in the speech like he did last time. A for Assclown

Wed, 07/10/2013 - 14:17 | Link to Comment Bay of Pigs
Bay of Pigs's picture

"Err.....ummm.........ahhh.......annnnnd.....ahhhh....."

Uncle Ben

Wed, 07/10/2013 - 14:29 | Link to Comment Schmuck Raker
Schmuck Raker's picture

"puzzled"

lol/cry

Wed, 07/10/2013 - 14:52 | Link to Comment RockyRacoon
RockyRacoon's picture

Oh, gawd.  Imagine the soporific Larry Summers up there.  Talk about your mealy-mouth.

Wed, 07/10/2013 - 15:10 | Link to Comment SAT 800
SAT 800's picture

Yeah; half of them want to end QE; the other half are going, "what Indian Reservation is this?". "What's this meeting about, again?". Groan.

Wed, 07/10/2013 - 14:13 | Link to Comment TeMpTeK
TeMpTeK's picture

I voted to taper before I voted not to taper...

Wed, 07/10/2013 - 14:22 | Link to Comment francis_sawyer
francis_sawyer's picture

I've often thought about studying law... BEFORE I've always thought about becoming a rabbi... BEFORE I've always thought about becoming a golf club... BEFORE I decided to go to work for the FED...

Wed, 07/10/2013 - 15:11 | Link to Comment SAT 800
SAT 800's picture

Taper before voting; then shove it up the candidates butt.

Wed, 07/10/2013 - 14:15 | Link to Comment fonzannoon
fonzannoon's picture

and it takes them 25 pages to say this 

whatever. Crude and the 10yr is all that matters. The next gdp should be funny as shit, and the taper is data dependent. what a long fuckin way to say QE4eva

Wed, 07/10/2013 - 14:13 | Link to Comment TruthInSunshine
TruthInSunshine's picture

Bernank & the gang at the FOMC are like a pretzels, all contorted, trying to keep equity "markets" from imploding, trying to cap the ass of ^TNX, and simultaneously attempting to slap oil's boner down.

Wed, 07/10/2013 - 14:14 | Link to Comment fonzannoon
fonzannoon's picture

two cnbc guys are competing as to who can hypothetically suck the S&P 500's dick moar.

Wed, 07/10/2013 - 14:18 | Link to Comment Bay of Pigs
Bay of Pigs's picture

Maybe Mandy can help with that? She gotz a purdy mouf.

Wed, 07/10/2013 - 14:18 | Link to Comment TruthInSunshine
TruthInSunshine's picture

Steve LIESman just bet Bob Pissant 10 Bernanks that he could suck a golf ball through a garden hose, when Becky Quick interrupted them on a schizoid rant about how she'll "drink everyones' milkshakes."

Weird shit at CNBS. Maybe ratings are down?

Wed, 07/10/2013 - 14:39 | Link to Comment ebworthen
ebworthen's picture

Mandy Drury looking pretty spicy today in her sleeveless purple Summer dress buttoned down to show off the cleavage.

Wed, 07/10/2013 - 14:54 | Link to Comment RockyRacoon
RockyRacoon's picture

She has that trailer-park-trash air about her that we down here in the South love so much.  The dyed blonde hair with ample dark roots is the key element.  Like Dolly Parton once said, it costs a lot to look that cheap.

Wed, 07/10/2013 - 15:20 | Link to Comment Herd Redirectio...
Herd Redirection Committee's picture

Trophy wives are goddamn enablers.  If every trophy wife and prostitute refused to be seen on the arm of Bloomberg, Blankfein, Buffett etc. we could end this all a lot quicker.  Not much incentive to the trophy wives, although, they would be national heros...

Wed, 07/10/2013 - 14:19 | Link to Comment jmcadg
jmcadg's picture

Just two?

Wed, 07/10/2013 - 14:21 | Link to Comment JonNadler
JonNadler's picture

if Betty is around it's no contest

Wed, 07/10/2013 - 14:26 | Link to Comment WarriorClass
WarriorClass's picture

Thieves Guarding the Bank, Traitors Guarding the Country.

http://americandictators.blogspot.com/

Wed, 07/10/2013 - 14:33 | Link to Comment crazyjsmith
crazyjsmith's picture

"Best way to rob a bank is to own one"
William Black

Wed, 07/10/2013 - 14:07 | Link to Comment AllThatGlitters
AllThatGlitters's picture

Wow, look at Gold and Silver spot prices reacting:

Real Time:

http://www.pmbull.com/gold-price/

http://www.pmbull.com/silver-price/

Will they reverse shortly?  They always do. First reaction never seems to be the final reaction.

Wed, 07/10/2013 - 14:25 | Link to Comment BurningFuld
BurningFuld's picture

Not Gold and Silver rising,but the USD collapsing.

Wed, 07/10/2013 - 14:23 | Link to Comment outamyeffinway
outamyeffinway's picture

Ground hog day all over again. Same shit, different day. Year in, year out. And yet the fish keep biting.

Wed, 07/10/2013 - 14:17 | Link to Comment The Thunder Child
The Thunder Child's picture

My god, it's full of lies...

Wed, 07/10/2013 - 14:06 | Link to Comment AllThatGlitters
AllThatGlitters's picture

Buying the dip?

Wed, 07/10/2013 - 14:09 | Link to Comment disabledvet
disabledvet's picture

or some dip is buying? you be the judge...(jury, executioner, etc.)

Wed, 07/10/2013 - 14:16 | Link to Comment AllThatGlitters
AllThatGlitters's picture

Buying from the dipshits.

Wed, 07/10/2013 - 14:06 | Link to Comment fuu
fuu's picture

Watch me pull a rabbit out of my hat.

Wed, 07/10/2013 - 14:10 | Link to Comment knukles
knukles's picture

That's from Bull-Wankel, no?

Wed, 07/10/2013 - 14:12 | Link to Comment fuu
fuu's picture

"Consumer price inflation was subdued, partly reflecting transitory influences. However, measures of longer-run inflation expectations remained stable.", quavered the Beard.

Wed, 07/10/2013 - 14:27 | Link to Comment TruthInSunshine
TruthInSunshine's picture

"Watch me pull a rabbit out of my hat."

& then he just rips the fur off the poor bunny.

Sorry - Obligatory.

h/t Lewis Black

Wed, 07/10/2013 - 14:35 | Link to Comment derek_vineyard
derek_vineyard's picture

"this time for sure"

Wed, 07/10/2013 - 14:58 | Link to Comment RockyRacoon
RockyRacoon's picture

Remember that Rocky was the flying squirrel.  Alas, there were no coons on the show.  My Gideon Bible collection has grown exponentially.

Wed, 07/10/2013 - 14:11 | Link to Comment francis_sawyer
francis_sawyer's picture

Don't go chasing rabbits...

~~~

http://www.youtube.com/watch?v=2zf_AMkxYl8

Wed, 07/10/2013 - 14:22 | Link to Comment samsara
samsara's picture

"I gotta get a new hat..."

Wed, 07/10/2013 - 14:06 | Link to Comment ParkAveFlasher
ParkAveFlasher's picture

One turd tapering = another one queued.

Wed, 07/10/2013 - 14:08 | Link to Comment ebworthen
ebworthen's picture

Short version: 

"The FED will give Wall Street all the Heroin it needs and continue to punish savers and the responsible citizen by misallocating capital and resources while keeping the government/banker cabal humming."

Wed, 07/10/2013 - 14:11 | Link to Comment disabledvet
disabledvet's picture

pretty much. "no apologies either." any other questions?

Wed, 07/10/2013 - 14:29 | Link to Comment tickhound
tickhound's picture

Shorter version for algos:

'Other half' of Fed still says spice must flow.

Wed, 07/10/2013 - 15:13 | Link to Comment bonderøven-farm ass
bonderøven-farm ass's picture

+1 for 'Dune' reference...

 

Paul: Stilgar, do we have wormsign?

Stilgar: Usul, we have wormsign the likes of which even God has never seen.

Wed, 07/10/2013 - 14:49 | Link to Comment Northeaster
Northeaster's picture

Wall Street banks are still going to get the interest on reserves payments aren't they ($80 billion)?

The American People appear not to care much as they continue to get steamrolled by their own government, Fed & Wall Street.

Wed, 07/10/2013 - 14:07 | Link to Comment Dr. Engali
Dr. Engali's picture

Fade the bounce.

Wed, 07/10/2013 - 14:08 | Link to Comment ThunderingTurd
ThunderingTurd's picture

Bond yields...not improving marketdly.  Paging the Bernank, paging the Bernank...you have lost control.

Wed, 07/10/2013 - 14:08 | Link to Comment Iam Yue2
Iam Yue2's picture

Schizonomics rules ok.

Wed, 07/10/2013 - 14:08 | Link to Comment katchum
katchum's picture

Labor gains? Good luck...

Wed, 07/10/2013 - 14:30 | Link to Comment NoDebt
NoDebt's picture

Oh, you say that like it's impossible.  What they mean by labor "gains" is a headline number south of 6.5%.  Never happen, right?  Wrong!  "Gains" means driving enough people out of the labor force to get down to that number.  They're not there yet, but making steady progress every year.  It's how we've climbed down from ~10% to where we are now.

 

Wed, 07/10/2013 - 15:23 | Link to Comment Herd Redirectio...
Herd Redirection Committee's picture

The unemployment % is meaningless.  Wages, tax rates, and number employed counts.  Down, up (or flat), and down.

Wed, 07/10/2013 - 14:08 | Link to Comment Cunnial
Cunnial's picture

WTI 106.50... That is all... Rinse repeat 2008... 

Wed, 07/10/2013 - 14:12 | Link to Comment khakuda
khakuda's picture

Yup, keep printing until oil goes to $200 and deny that you are causing any inflation the whole way.

I'll write their upcoming line for them...

"Not one person saw it coming.  We all thought the world could print infinite amounts of money with zero consequence.  This must be a failure of the free market to price things correctly."

Wed, 07/10/2013 - 14:27 | Link to Comment TruthInSunshine
TruthInSunshine's picture

Yeah, when is Obama going to order Placeholder to do something about the evil speculators?

Can't let Bernank & Crew take the heat for rising energy (or all other) prices.

Wed, 07/10/2013 - 14:38 | Link to Comment semperfi
semperfi's picture

they won't allow oil to go up much further - beatdown coming soon

Wed, 07/10/2013 - 14:09 | Link to Comment JJ McApe
JJ McApe's picture

with soon they mean when unemployment hits 6.5%

hahahaha

Wed, 07/10/2013 - 14:09 | Link to Comment Gringo Viejo
Gringo Viejo's picture

Utter nonsense. Never happen.

Wed, 07/10/2013 - 14:10 | Link to Comment Father Lucifer
Father Lucifer's picture

The Fed is fucking useless.

Wed, 07/10/2013 - 14:28 | Link to Comment Charles Nelson ...
Charles Nelson Reilly's picture

useless or clueless? or both?

Wed, 07/10/2013 - 14:10 | Link to Comment thismarketisrigged
thismarketisrigged's picture

they r waiting for fucking labor growth?

 

do these shitheads not realize there policies have just delayed whatever growth we would fucking see?

 

if that is what they are waiting for, they will be waiting many many years.

 

same fucking bullshit

Wed, 07/10/2013 - 14:13 | Link to Comment NotApplicable
NotApplicable's picture

Yes, they realize it. Better yet, they bank on it.

Please stop confusing words with actions.

Wed, 07/10/2013 - 14:11 | Link to Comment youngman
youngman's picture

They can just change the data...that is easy with seasonality adjustments.....they make that shit up....or birth /death numbers....all smoke....they can´t stop QE....ever.....This China/EU slump will hit here in 6 months.....we just jumped the gun on the world economy....no one is buying right now...

Wed, 07/10/2013 - 14:13 | Link to Comment kralizec
kralizec's picture

Yeah, words like "stop" uttered by these fools is hilarious...there is no stopping the crazy train!

Wed, 07/10/2013 - 14:12 | Link to Comment kralizec
kralizec's picture

Not enough candy sprinkles for these manure releases...

Wed, 07/10/2013 - 15:05 | Link to Comment RockyRacoon
RockyRacoon's picture

Speaking of toppings... they just did a feature about cronuts.  The effin' things are $5 each.  Almost as much of a rip-off as a cup of Starbucks "coffee".   The world goes bankrupt and people spend money on crap like this.  They deserve what they get.

Wed, 07/10/2013 - 14:12 | Link to Comment Bastiat
Bastiat's picture

Does the Grand FUBAR itself speak today?

Wed, 07/10/2013 - 14:14 | Link to Comment kralizec
kralizec's picture

I thought he was to expound on the glorious 100 year history of Fed meddling...

?

Wed, 07/10/2013 - 14:12 | Link to Comment Seasmoke
Seasmoke's picture

What a fucking joke. Why even bother.

Wed, 07/10/2013 - 14:13 | Link to Comment Winston Churchill
Winston Churchill's picture

Blah blah blah.

On the one hand,on another   and suddenly you are a Indian godesss.

He can't stop,but he can never admit that.He has lost control.

Wed, 07/10/2013 - 14:13 | Link to Comment involuntarilybirthed
involuntarilybirthed's picture

Jobs mandate my ass.

Wed, 07/10/2013 - 14:14 | Link to Comment wisehiney
wisehiney's picture

Down in the jungle where nobody goes, 

There lives a wishy washy woman washing her clothes.

She says "Ooh, Aah, Goshy, Goshy Goo"

 

Wed, 07/10/2013 - 14:16 | Link to Comment firstdivision
firstdivision's picture

Time to cherry pick some 1000x P/E stocks to short in a couple of months.

Wed, 07/10/2013 - 14:16 | Link to Comment walküre
walküre's picture

The vast majority of Americans have no idea what is going to happen when the Fed turns off the tap - again.

Wed, 07/10/2013 - 14:17 | Link to Comment Dr. Engali
Dr. Engali's picture

It depends on the definition of "stop".

Wed, 07/10/2013 - 14:23 | Link to Comment cougar_w
cougar_w's picture

Around where I live, a stop light means "go like Hell"

Wed, 07/10/2013 - 14:17 | Link to Comment Peter K
Peter K's picture

STOP !!! Yea baby. Now we just need the algos to take a breather..... :)

But just to add my two cents. "About half" said stop. "Many of the others" (of the other half, that is) said no stop. Which would mean that more than half are either stop or taper. And only "many of the minority" are no stop.

Me thinks "That's all she wrote" folks :)

Wed, 07/10/2013 - 14:23 | Link to Comment Bay of Pigs
Bay of Pigs's picture

Yes, let's trot out the Good Cop, Dick Fisher to explain the hawk view.

 

Wed, 07/10/2013 - 14:29 | Link to Comment Peter K
Peter K's picture

Actually, they will need to wheel out Yellan/Dudly/Evans and the Ben after it sinks in what just happened. :)

Wed, 07/10/2013 - 14:33 | Link to Comment Bay of Pigs
Bay of Pigs's picture

And we need moar HilsenRAMP!

Wed, 07/10/2013 - 14:20 | Link to Comment CheapBastard
CheapBastard's picture

I just loaded up moar popcorn to watch the collapse of the stock market and Bubble housing market as rates ratchet up 'faster then expected' esp as the castration...ooops, I mean, 'sequestration' kicks in.

Wed, 07/10/2013 - 14:38 | Link to Comment TruthInSunshine
TruthInSunshine's picture

The Learned, Bearded Clam has seen his foe, yet now has no mo' control.

In a future interview:

"Well, monetary policy can only accomplish so much...."

Soon to be be from-hero-to-zero (and the zero is not referring to interest rates).

Q.E.D.

Wed, 07/10/2013 - 14:19 | Link to Comment Non Passaran
Non Passaran's picture

50, 30, 20 and 10% of votes for each option, respectively.
And the fucking equity indexes are going... up of course. Based on fucking what??

Wed, 07/10/2013 - 14:19 | Link to Comment surf0766
surf0766's picture

"Most importantly, with half the Fed saying not just taper, but flat out end to QE by 2014, we now have a full blown mutiny in the Fed." that means they are too late again. Just look at oil


Wed, 07/10/2013 - 14:22 | Link to Comment Non Passaran
Non Passaran's picture

Kinda, buy hey - the "markets" are disagreeing with you.

Wed, 07/10/2013 - 14:46 | Link to Comment walküre
walküre's picture

How can the Fed be "late" or "early"? The Fed "is" the market. Plunge protection and plunger in one. Their comments are as useful as any bible commentary ever written. When the underlying substance is fictional, any comments regarding the substance are equally fictional.

It suits their agenda. Keeping the story alive and the ponzi going. Not for our benefit. After separation of church and state should also be the separation of financial wizards and state.

Wed, 07/10/2013 - 14:19 | Link to Comment TWSceptic
TWSceptic's picture

More useless jawboning - listen to my words, ignore my actions and failed past predictions.

Wed, 07/10/2013 - 14:19 | Link to Comment thismarketisrigged
thismarketisrigged's picture

got to make sure our markets finish green today so we can read on all headlines tonight, ''asian markets to open higher on strong u.s lead'', the type of bullshit we see day after day.

 

FUCK U EVERY SINGLE FED MEMBER AND OBAMA, I HOPE YOU GUYS BURN IN HELL

Wed, 07/10/2013 - 14:19 | Link to Comment tmosley
tmosley's picture

Paper PMs are up despite the escalation of language to "or stop".

Something is very, very wrong here.

Wed, 07/10/2013 - 14:20 | Link to Comment digitlman
digitlman's picture

SHIT SHOW

Wed, 07/10/2013 - 14:23 | Link to Comment kito
kito's picture

so taper it is...........and the dow is back to green???? and the 10yr is doing not much of anything????????? wow, ben continues to make the cynics look stupid......................i so look forward to housing numbers...............probably be a huge beat....................employment numbers will continue to improve......and i will learn that ive wasted a good chunk of my life on here..............................

Wed, 07/10/2013 - 14:30 | Link to Comment Dr. Engali
Dr. Engali's picture

That blue pill is looking pretty damn good right now. It wasn't a total waste for me. At least I got a couple of sandwiches...and a cookie.

 

Edit...gold just got a boner that should make you happy. At least until the Bernank knocks it down after hours.

Wed, 07/10/2013 - 14:32 | Link to Comment kito
kito's picture

nice doc...im going all in on blue pill bets.....im crushing fonz.....anybody want to bet that housing prices improve next month? anybody want to bet that snap participation drops by the end of the year? that unemployment will be 6 percent? that the dollar index hits 90?????  come on, i dare you!!!!!..........im all in on the blue pill side..............

Wed, 07/10/2013 - 14:35 | Link to Comment fonzannoon
fonzannoon's picture

i've never seen anyone spike the ball on the 40yrd line. the 2 yard line yes. The 40yrd line, not so much. It's amazing.

Wed, 07/10/2013 - 14:38 | Link to Comment kito
kito's picture

i tell you who i am.......................

 

http://www.youtube.com/watch?v=0eBrb00pdGw

 

this is me!!!!!!!

 

i urge you to watch

Wed, 07/10/2013 - 14:41 | Link to Comment Dr. Engali
Dr. Engali's picture

LMAO...frustrating isn't it?

Wed, 07/10/2013 - 15:30 | Link to Comment Herd Redirectio...
Herd Redirection Committee's picture

Thats the goal, either co-opt or drive insane every rational human being on Earth.

Wed, 07/10/2013 - 15:55 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

Red Pill:

http://research.stlouisfed.org/fredgraph.png?g=krY

The mirage is strong, but it's still a mirage.

Wed, 07/10/2013 - 14:29 | Link to Comment amadeusb4
amadeusb4's picture

I've wasted TWO years. Had I been in a coma and my investments on sheeple autopilot by Vanguard, I would have done quite well. Instead, constant hedging on fundamentals has cost me dearly and probably impacted my health more than the 2 years I've lost wasting time losing money.

Wed, 07/10/2013 - 14:36 | Link to Comment kito
kito's picture

exactly!!! to hell with theory and ideology!!!my nest egg wouldve been a whole lot larger if i wasnt preparing for mad max.................... i shouldve kept my index funds when they crashed in 2008.........................i need a trip to the mall.............an extra tall mocha vanilla frapachino latte............a new car lease!!!!....feels good!!!! im going back to cnbc.....they have been more right than zh................................fuck this doomer shit......................

Wed, 07/10/2013 - 14:41 | Link to Comment fonzannoon
fonzannoon's picture

what's with the doomer shit? I'm a blast at parties. I'm sure of it.

I told you kito, we will lose our minds well before anything gives. One by one we will overdose on blue pills, only to realize you are stuck here. This is purgatory, and after it is hell.

Did i mention I was a blast at parties?

Wed, 07/10/2013 - 14:55 | Link to Comment walküre
walküre's picture

How do you think the Soviet people felt about their lives? Government was telling them that all was great but everyone on the ground knew their lives were shit and that the government was lying. The cronies lived well and the armies of civil servants and soldiers lived well. The rest of the population lived like dogs. No hope and no opportunity.

It will come to an end when the people who are not benefitting say "fuck it" and develop their own shadow economy where real goods are traded for real currency. The US is well on its way to becoming the socialist hell hole everyone was mocking back in the Seventies and Eighties before the wall came down.

Fed is powerful but Fed can't suspend gravity anymore than Merlin could make gold from hay. Evenutally the King was out of coins.

Wed, 07/10/2013 - 15:05 | Link to Comment Duke Dog
Duke Dog's picture

Couldn't have said it better myself.

Wed, 07/10/2013 - 15:35 | Link to Comment Herd Redirectio...
Herd Redirection Committee's picture

One of the number one ways to make your money go farther will in the near future be to spend it on the black market.  No sales tax, for one.  But even bartering, exchanging favors, medical service, accounting/bookkeeping, carpentry, either in return for services or for food/other goods.

The govt will of course attempt to deem all this income and take a share.  You will prefer to not have it deemed income. 

 

Wed, 07/10/2013 - 14:47 | Link to Comment fonzannoon
fonzannoon's picture

What's with everyone freaking out wishing for their index funds back?

The trees are shaking I guess.

Wed, 07/10/2013 - 15:13 | Link to Comment kito
kito's picture

trees are shaking, but no money is falling from them............thats the problems with the red pill......................

all the ignorant SOB out there who dont bother to research one iota of data are going about their lives fat dumb and happy..with a healthy portfolio..and glad they never listened to my illogical rants.....................and everything that is supposed to happen when ben even hints of tapering, hints of the punchbowl being removed....ISNT FUCKING HAPPENING!!!

 

Wed, 07/10/2013 - 16:16 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

"and everything that is supposed to happen when ben even hints of tapering, hints of the punchbowl being removed....ISNT FUCKING HAPPENING!!!"

Other than that 100 basis point move in the 10 year?

Also, the credibility of tapering is really not that high right now.  Believe it when you see it, and not a moment sooner.

Wed, 07/10/2013 - 14:37 | Link to Comment Duke Dog
Duke Dog's picture

LMAO, Sad but probably true - the fact is that the shit will hit the fan at some point and it will be worse than we can currently imagine, but it may be after I'm dead and gone - at 50 years old currently. The last six years have felt like the previous 20 crammed into the same span of time.

Upon further reflection, I hope I am fvcking dead when it transpires. Between now and then, it will be a spectacular show:)

Wed, 07/10/2013 - 15:36 | Link to Comment Herd Redirectio...
Herd Redirection Committee's picture

I hope I see the fall of the House of Rothschild in my time.  Is that too much to ask for?

Wed, 07/10/2013 - 14:59 | Link to Comment Peter K
Peter K's picture

How true :)

Wed, 07/10/2013 - 15:10 | Link to Comment Never One Roach
Never One Roach's picture

Bullish!

Wed, 07/10/2013 - 14:23 | Link to Comment Clowns on Acid
Clowns on Acid's picture

Bernanke is going to give the classic economist speech "On the one hand.., then on the other hand..." "It's all data dependent".....(And the Fed / NSA controls the data)

This has to remind one of Bernie Madoff, its all good untiil it goes Poof !

Wed, 07/10/2013 - 14:23 | Link to Comment optimator
optimator's picture

So the little guys left in the market can relax, they'll be able to get out before the FED's insiders do.

Sure.

Wed, 07/10/2013 - 14:24 | Link to Comment IridiumRebel
IridiumRebel's picture

A taper will happen by default and no other way......

Wed, 07/10/2013 - 14:34 | Link to Comment semperfi
semperfi's picture

and only after the hyperinflationary blow-off

Wed, 07/10/2013 - 14:25 | Link to Comment lakecity55
lakecity55's picture

"The Fed is concerned our scheme of looting America's present and future is not moving fast enough."

"Gold has become irrelevant in today's modern economy, and the Fed will soon put all its gold reserves back into the earth. Our reserves wll be gone as they will no longer be needed. Ft Knox will become a community organizing center."

Wed, 07/10/2013 - 14:25 | Link to Comment amadeusb4
amadeusb4's picture

Fed expects at least another 1.7 million people to drop out of the labor pool by 2014. Got it.

Wed, 07/10/2013 - 14:25 | Link to Comment thismarketisrigged
thismarketisrigged's picture

The only thing that will bring these markets down are fake tweets, such as the one about obama being hurt a few months ago.

 

other than that, everything is bullish.

 

 

Wed, 07/10/2013 - 16:00 | Link to Comment Trampy
Trampy's picture

the most interesting thing about that selloff was how prices returned exactly to where they were prior to the tweet.  in any normal market, stop-running moves the equilibrium point and prices never full revert.

it was surreal, like someone pushed a rewind button and the market went into reverse and was cancelling those trades at the same speed they had been entered.  it wasn't announced that any trades were being cancelled but that's what it looked like.

Wed, 07/10/2013 - 14:26 | Link to Comment Black Forest
Black Forest's picture

... we now have a full blown mutiny in the Fed.

Is it sure those four F-16s are going to fly to Egypt? 

Wed, 07/10/2013 - 14:29 | Link to Comment debtor of last ...
debtor of last resort's picture

Slowing or stopping, the markets will react in the same way; plunge unlimited. There goes the labor market into the sewer. QE will pop up again like a balloon out of the water. How many months/years will the Tylers be able to get this digital shit on ZH? And how long before i go down together with my metals ? God damn propaganda machine FOMC. Compliments for Tylers for staying polite, day after day.

Wed, 07/10/2013 - 14:31 | Link to Comment youngman
youngman's picture

Those guys that bought the 10 years today might feel a little cheesy right now.....but this is good for another 20 emergency speeches to calm things down....all the Fed heads will be out tomorrow saying.."nevermind"

Wed, 07/10/2013 - 14:32 | Link to Comment semperfi
semperfi's picture

There's no mutiny. When it gets serious, they have to lie.  And lie big.  All public releases are big lies.  They have never been more in total agreement with each other that they must all perpetuate the lie and baffle the sheeple with bullshit. 

Wed, 07/10/2013 - 14:33 | Link to Comment venturen
venturen's picture

I thought thier manadate was to make every single wall street employee a millionaire....of course that will only buy them a loaf of bread...but hey!

Wed, 07/10/2013 - 14:33 | Link to Comment 1eyedman
1eyedman's picture

word cloud must have messed up the algo reads.....lets watch this sow reverse under 1650 and end the day at 1640.....higher rates will cause greater expenses for all----less marginal liquidity will cause needers of liquidty to sell....do they not see whats going on in china, do they not remember how liquidity dried up in subprime lending a year before lehman?    can stocks stay up in a global recession while bonds and commodiites get whacked?  only if they lower margin req's....gotta create more credit!

Wed, 07/10/2013 - 14:39 | Link to Comment TheMayor
TheMayor's picture

Just end the nonsense and get out of the WAY!

Wed, 07/10/2013 - 14:41 | Link to Comment Its Only Rock N Roll
Its Only Rock N Roll's picture

The Fed is screwed and they know it.  Bond market about to throw another fit and this one will put UST 10yr over 3% & 5yr over 2% 

The banks are begging the Fed to get rates back down and they can't. 

Shitstorm is upon us right here, right now. 

Wed, 07/10/2013 - 14:45 | Link to Comment SKY85hawk
SKY85hawk's picture

re: " the Committee would not sell agency mortgagebacked securities (MBS) as part of the normalization process"

Sounds like the fed HAS looked under the sheets of the MBS whore.  All they see is pure CRAP!

Waiting for IGYG to kick in. 

(I'm Gone, You're Gone)

Wed, 07/10/2013 - 15:48 | Link to Comment Trampy
Trampy's picture

IBG YBG = i'll be gone, you'll be gone

Wed, 07/10/2013 - 14:45 | Link to Comment Hohum
Hohum's picture

To the complainers:  Stop complaining!  We all know that Fed doesn't create wealth.  So what does it do?  It redistributes claims on wealth, primarily through the stock market.  Get on the bus or bet the Fed will fail!  Or, invest in agricultural tools and learn how to use them for a really good return.

Wed, 07/10/2013 - 14:51 | Link to Comment nakki
nakki's picture

So now we have 6 good cops and 6 bad cops. Who scripts this chit? What's that old saying "Men make plans, God laughs." Well after watching this shit show God must have pissed Godself by now.

Wed, 07/10/2013 - 14:58 | Link to Comment Totentänzerlied
Totentänzerlied's picture

Just like those IMF estimates, "next year, no wait, next year, no wait, next years... Any year now..."

There's no mutiny, as they haven't actually done anything, and no conspiracy to mutiny as they're simply lying for effect: to gauge market reaction and wag the dog (creating expectations). They are totally unaccountable, and this does not constitute some kind of law or contract stipulating we-will-taper-no-matter-what on the 12th of ___.

Jawboning works both ways. Perception management is all they ever really did, anyway.

Wed, 07/10/2013 - 15:12 | Link to Comment Peter K
Peter K's picture

The're a bunch of Cub fans. :)

Wed, 07/10/2013 - 15:02 | Link to Comment Mr. Crisp
Mr. Crisp's picture

"Fed Announces We're Screwed; Printing To Support Socialism Don't Work..."
"We Tried, We Failed..."
"We Really Feel Sorry For The Children...."
"Ben Says 'Grab Any Job You Can, And Learn To Grow Your Own Food'..."

Wed, 07/10/2013 - 15:04 | Link to Comment Smuckers
Smuckers's picture

Brown shoots....taper ON.

Wed, 07/10/2013 - 15:07 | Link to Comment involuntarilybirthed
involuntarilybirthed's picture

Imagine a corportation running like this?   Congress, WH, Fed yes as they either spend other peoples money or just create it. 

Wed, 07/10/2013 - 15:20 | Link to Comment jtlien
jtlien's picture

Next month they will blindfold one Fed Commitee member and have him or her play pin the tail on the calendar to determine when QE3 ends.

 

Wed, 07/10/2013 - 15:52 | Link to Comment Trampy
Trampy's picture

With ZB solidy taking out the 135 handle that supported it in 2011 and 2012, and no real support at 130 or 128, we could see a ten-handle crash all the way down to 125 in the 30-yr.   The 30-yr auction happens tomorrow at 1 PM EDT.

Flight to safety in treasuries is no longer happening.  CL is on the way to 110 on global stability fears but treasuries keep falling.   Central banks can prop up equity markets but they can't keep long interest rates from rising.

The crash in bonds will end up spilling over to equity markets and maybe then we'll see a rotation into gold.  What other safe haven is there besides CNY?

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