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Shorting Stocks On These January POMO Days May Be Hazardous For Your Health
Death, (rising) taxes, and shorting stocks on POMO days resulting in lots of margin pain: those were the near certainties of 2013 even admitted by the US Treasury. So how does the first POMO schedule of 2014 look like? Well, as is by now well-known, the Fed will taper its monthly purchase of Treasury securities by $5 billion so instead of the old $45 billion per month, the NY Fed will "only" monetize $40 billion next month. However, since the reduction will be prorated across all POMO days, the old maxim still stands: shorting stocks on these POMO days can and likely will be hazardous for your health. Of note: no POMOs in the first week of the year until Monday January 6.
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You didn't short that !
You didn't stick that in the mud either.
Monday January 6 POMO is relatively small (only $1.0 - 1.5B of Bernanke Miracle-Gro), not enough for further levitation and defying gravity from these pie-in-the-sky exuberantly high levels.
http://media.yoism.org/Bernanke.gif
So... basically 2nd, 3rd, 29th is OK to short...
Gold heading under $1200..... down.... down.... down..... thanks to the miracle recovery of Ben and Barack.
It's 2 to 1 downers from here on out, either silver or gold goes down, they both go down. See why it's so hard to raise the price of PM's now?
$ index teetering on 80.... PMs geting spanked hard in the woodshed to keep the Pig afloat.
Jan 9th looking very suspicious to me. Mark your calendar with an ominous squiggle.
Hey isnt that the day before "jobs report"? I am betting December will show (holiday cycle + plently unemployed coming off charts yet still couchbound + $1.3mil in expired benifits =) good jobs "news".
This would imply negative market consequences, no?
Is the Fed. going to do a January reverse repo list? Just a general $ amount "guidance" list would be be fine. /s
LOL, every day!! Are the banks buying stocks directly (ie. picking and choosing) or just buying index ETFs? Not that i give a shit as I'm out of the market, but just wondering.
By the extreme moves in these tech/social media companies, I am inclined to beleive they are directly trading them more so than usual. Hey we all know FB, TWTR, and HLF are ultimately going to be the ones most effectively crashed when TSHTF given these unicorn land P/E's...
But till the music stops (Sep 2014 ish?) just keep buying!
Fuck you Bernellen!
Ah yes, another year of FED front running.
===============================FUCK THE FED=========================================
Short Stocks? What is that?
That was many years ago.
Bens gonna be awfully sore very soon
I like the term Outright.
It's about the only thing that's up front and outright in this POS market.
Institutionalize insanity
So we go to the Mother of All Bubbles.
so far, all the inflation that's been produced by uncle ben has gone into the stock market nice and clean. it will eventually have to come out for one reason or another and will relocate somewhere else. Pick it. bonds, metals, energy, grains, etc. No repo operation can yank $3 trillion out of the money supply quick enough to prevent massive inflation in other areas which is coming soon.
MOAR popcorn