This page has been archived and commenting is disabled.
US Equities In World Of Their Own As Everything Else Trades Taper-On
One of these things is not like the others... US equities have marched inexorably off their lows to get back to unchanged this morning but every other asset class is continuing its post-FOMC Taper-is-actually-closer-than-we-thought trends.
So, it's clear (as evidence by FB) that "it's a dip idiot! buy it!" remains the mantra (for equity greater fools).
Seeing VIX drop in this context though suggests equities are bid on this vol move which is actually hedgers lifting their protection and covering underlying exposure into the options-market-maker-algo-driven rally in stocks as breadth remains weak.
»
- 8550 reads
- Printer-friendly version
- Send to friend
- advertisements -
Good thing I lost all of my gold in the dumpster.
http://nypost.com/2013/10/29/man-throws-gold-in-dumpster-so-his-ex-wife-...
Fuck you Chuck 'Get-to-work' Schumer.
Today's action is the last straw for me. I am invested again in this amazing stock market. I was misguided into thinking that we are in a bubble. Clearly we are not. We are in a major bull market. I have learned a painful lesson. Don't fight the Fed.
Sheesh, seems rather stupid! Couldn't the guy get a shovel and dig a deep hole and bury it, and just say he threw it away? Bonehead.
He did I'm sure.
You don't think anyone on ZH has a boat do you ?
51 Ways To Leave Your Lover
Should have put the wife in the dumpster and gone fishing in a canoe...
Give that man a medal, he just made all our PM's more valuable!
That's because equities are smart money, anyone who thinks this "taper-on" nonsense is a fool. What is the saying fool me once shame on you, fool me ten time shame on me.
So smart money rips off dumb money, gets fucked by funny money, then becomes hot money, which, with some assistance from more funny money, becomes cold money which is than used to suck all real money out of the "market", right?
Re: right?
Not sure, but it sound about right. As long as sentence results in the assholes and sociopaths screwing the dumbasses it's basically right.
'Taper' is now just keeping the heroin IV drip the same. Junkie indexes now demand exponential increases, not just the paltry $85 billion a month maintenance dosage.
It is as if the machines just sit around and wait for an excuse to buy. Nobody really out there trading.
It's like hearing about this 'great party', but when you open the door all you see is a bunch of iRobot Roomba's roaming around the floor occasionally sucking up a piece of lint.
My interpretation of taper-on is that we really should taper, but we can't, so we don't. But we really SHOULD, (but we won't). That's as hawkish as the bernakyellen will ever be.
Costs the FED more to bribe the Washington D.C. politicians than it does in the rest of the world. Once they took over the indexes with their software at the end of 2011 BTFD has been the way to go. As corrupt as Washington D.C. now is the FED will continue to pump the markets until the Washington D.C. politicians are hunted down around the world for their criminal acts. Banksters don't care what happens to the politicians and the politicians are too stupid and are getting too rich to care.
Taper is bullish for stocks! It means the economy has finally bounced back, thanks to Ben and his printer! All is well, bitchez.
so interest rates move higher, the dollar surge and gold implodes. that says to me the Fed is finally getting out of the business of "pre-programmed responses." whether or not this means "Taper On" is something else entirely...but we do know "war off" which is far from an inflationary event. to answer the question I posed earlier vis a vis "great what if's of history" and Not going into Syria being one of them...what is the obvious other I asked? Glad to see Tylers Durden got the memo and answered "the taper caper." (or was it a taper tantrum? I forget.) gaming the Fed itself is as bad as it gets when it comes to recovery folks. there is no greater reason for the Big Zilch in recovery than that the market "pre-supposes" a Fed order of action...over a prescribed time frame no less! that's a license to steal and indeed...we are much poorer for it having happened and all this so called "need for transperancy" from the media folks in New York. that now seems to be taken off the table...absolutely good news for markets. great news actually...although clearly further "sequestration" is in order.
ICI reports over 13B poured into stock funds last week. need to verify, but thats the largest 1 week total in years. asset managers buying crap for the sheeple.
I suspect the backup in yields and stronger dollar will put some pressure on the equity markets next week. (Fingers crossed, threw salt over shoulder, and said 3 Hail Marys)
....and I'll borrow every dollar sold.
Why would the dollar be up?
Markets believe tapering is on its way... sometime... next year... probably....
It's not. Quite the opposite.
Jobs numbers largely in line and the positive PMI print , bring Taper back into the discussion. (until next weeks numbers)
http://imageshack.com/scaled/large/163/ohx2.png
Again, diversify away from the US Dollar. The US is being fleeced and at some point when you see interest rates rising with a falling US Dollar it will be too late. Maybe not today because of that Chicago "bait and switch" SURVEY but get prepared. Never mind the short term trade BS. Seriously, just think about it for your own good, EVERYONE!
There really is NO technical short entry to this market.
BTATFH!
Never mind that FB buyers at $42 are selling, it's going to the moon!
FB will be at $1,000/share as soon as they make everyone pay .25 cents per post about what they had for lunch and $1 for every picture they will regret posting but can't remove, that will cost $10!
Selfie fees.
Looks like equities are the only thing that understand the box the FED's put themselves into. Taper - what a fucking joke.
What happened to that EURJPY correlation?
Correlations only apply when they mean US equities up
Every once in awhile, you will hear some dipshit use the term "correction." The term correction, in all of it's antiquity, was a term we once used when a market was clearly overbought, the buyers were out of cash, and the current fundamentals- such as earnings- were shitty.
In the current liquidity trap, no correction can take place. The only "correction" will occur when and if they ever stop QE and until then- this zombie mf'er will rise like the dead on Halloween.
They have to taper. If they don't taper then the dollar is toast. If the dollar is toast then so is the world.
And what's the matter with toast? I like toast. I like dollars, too. But only because I can use them to buy toast.
For you drinkers out there, here is a toast to toast:
"Here's to toast. May people forever savor it from coast to coast."
Perhaps this market run reflects the reality that all companies are, at some point in the not too distant future, going to be relieved of their healthcare liabilites thus, at least for a short time guarantying bottom line profits and for the largest corporations that self insure allow them to free up hundreds of millions sitting on the balance sheet for medical liabilites. In the end, Obamacare is not going to be the bogeyman for corporations as they now claim. Perhaps Wall Street and corporate insiders know that the end game is to transfer all healthcare liabilities from the coroporate balance sheet to the taxpayer balance sheet.
I've mentioned this before but it doesn't seem to be a story that anyone believes. However, for all those looking for a reason for this market optimism that isn't reflected in the world we currently live in, this could be that missing link.