Putin "Blink" 2.0 - The Algos React

Tyler Durden's picture

It's deja vu all over again in markets this morning as the fact that Vladmiti Putin did not use the words "we're gonna nuke 'em all" and, just as he did 2 weeks ago, confirmed "Russia would not seek confrontation in West and East" and did not announce sanctions (which last time ended with the referendum and annexation of Crimea); has left algos believing that the world is calm once again and the buying spree can continue. Stocks, thanks to the helping momo-sparking hand of EURJPY, have jerked another 12 points higher on the news; gold and silver are limping lower; there is dollar weakness (EUR strength); and Treasury yields are up 3-4bps. However, Russian stocks and the Ruble continue to strengthen (in a nothing can hurt us now manner).

The instant reaction...


Which has lifted the S&P to pre-crimea levels...


And Gold, Bonds, and the Ruble are moving back to pre-Putin levels...


Charts: Bloomberg

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skwid vacuous's picture

Pass the glue, can't quit today I guess

GetZeeGold's picture



BOOYAH......we're not getting nuked today!!!


We should probably buy some equities!


Offer only valid this week......cause this crap is moving fast.

SoilMyselfRotten's picture

Kinda sorta thought gold rose when the dollar drops...hmmmmm

BandGap's picture

Fucking blinking his way across Europe.

quidam's picture

"pass the glue..."
John Kerry was already there and failed, remember?
I miss the guy with the menses stain on his forehead.

Dollar Bill Hiccup's picture

Algos and idiocy ... sing that to the Ebony and Ivory tune.

Heh, they only ramped ES 12 points though.

And Yen is bid again.

PlusTic's picture

Any fukkin reason to fire up the algos.  It's never gunna end.

fonzannoon's picture

If you are lucky enough to be generally hanging there in life today is a good day to step back. Take a long walk. Get some exercise. Cheer up and resign yourself to the possibility that this does not have to crash today, tomorrow or a long fucking time from now. It's amazing that we all, myself included, get suckered in at least once a year to fake drama that we all think will be the end of the financial markets, and wind up with Jeremy Siegel laughing in our faces. When will enough be enough?

therearetoomanyidiots's picture

I imagine it will correlate with either  a widespread takeover of US congress by republicans in fall (technically 1.1.15) OR most likely as soon as the new president is sworn in, maybe a month or two later.   So, the exact date, 1/20/17 +/- 2 months.   

fonzannoon's picture

so "just after the elections".....good luck man.

skwid vacuous's picture

sounds great fonz except for my March puts, they will still be there when i get back from my walk but probably worth even less lol

Dr. Engali's picture

I do not understand people trying to short this market. What does it take for them to get it through their head that the 'market' is a policy tool?

skwid vacuous's picture

i'm just a dipshit i guess doc, but i did OK in 2000 and 2008...and this b.s. is starting to feel very similar 

fonzannoon's picture

No one is calling you a dipshit. That is just rude. We are saying you are insane. 


skwid vacuous's picture

lol... fair enough... you guys are ZH "old guard" so I will take it under considerable advisement

fonzannoon's picture

we are ZH middle guard. The old guard is sitting in rooms with rubber walls playing with their feces. I have about another 6 months....

Brett Merkey's picture



Ok, I lost it, laughing out loud, reading this thread. Thanks to ZH soldiers, ZH is an island of calm, serene sanity in this world.




Dr. Engali's picture

I did very well in the last two collapses myself, however my thesis this time is; when the policy tool once known as a stock market collapses it will simply vaporize and there won't be anybody making money on the downside save for a select few. I think it's going to happen so fast that nobody will know what hit them.


The way I have been playing the "market" lately  is to buy when they are trying to scare the shit out of us and take quick profits. My view is that they want a few shorts to hop on so they can squeeze this pig higher.

Bearwagon's picture

"For you yourselves are fully aware that the day of the Lord will come like a thief in the night."  ;-)

BandGap's picture

Take care of what you can, watch the storm gather in the distance.

Cleaning guns and organizing ammo today.

Divided States of America's picture

The day this thing crashes is when I wake up from my bed with a hard-on. Then I realize that it was all a dream and the only fuckin mess is my bed sheets.

Fonz is right, this gong show looks like it will never end.

Wait What's picture

isn't fake drama what the past few years have been all about? 'look over here! a plane disappeared!' 'look over there! snow in winter!' 'wow, look at that! Miley Bieber is out of control!' 'debt ceiling! debt ceiling! austerity!' OMG! the end is nigh!!

meanwhile, global oligarchs divvy up the world and politicians suck what little net worth plebes have left right from under everyone's noses.

29.5 hours's picture


Yeah, just glanced at what the sober-minded German DAX was doing. Holy shit... Universal applause for Putin as he walks to the bank is probably not what the U.S. imperial strutmasters were aiming for.



Smegley Wanxalot's picture

Why would Putin ever seek "confrontation" with the west?  It would be like seeking confrontation with a frightened, pathetic deer.

asteroids's picture

The market ramped very very quickly. Just computers, no humans. A continuation of yesterdays no volume ramp.  Feel happy no? Imagine the panic and terror when this happens in reverse.

101 years and counting's picture

today is vix opex.  "they" have to kill all those vix calls. after today, things get interesting.  

asteroids's picture

And don't forget. Today and tomorrow are "FED" days. They will NOT close red.

Rising Sun's picture

The algos fire up same time every day.


They just find some news that seems plausible as an excuse.


Tomorrow's news will be "Martha Stewart grows a dick - markets up 2% on the news"


The only problem with this is that volume is getting mighty low - banks aren't making the profits they need to show growth.


It's checkmate, but playing by yourself.

Smegley Wanxalot's picture

She's gonna grow a second dick???

Dr. Engali's picture

There is never a bad time to buy stawks if you're a robot.

NoDebt's picture

There's enough "blinking" going on these days to send Morse Code.  Markets are reacting to the switness and decisiveness of this situation being a good sign that the west will have no choice but to shut up and eat their peas.  I.e. this won't start WWIII.  It won't even start massive waves of economic warfare between Russia and the west/Europe.  Yank a few passports, freeze a few assets on both sides.  Done.  Moving on.

therearetoomanyidiots's picture

Do not underestimate the insanity of this fool and his cadre of handlers and neocon advisors.

BandGap's picture

You're so full of shit you're eyes must be brown.

Never, ever, underestimate the US neo con empire. I'd bet substancial monies that there is a counterstrike brewing in and around Kiev. No one like to be made an asshole, and the US didn't build the largest ,ilitary in the history of the world to have shit kicked in their faces.

The non-gyrations in the stock market are part of the deal to keep the sheep grazing. Heaven forbid people should focu menbtal energies on what is happeneing right in front of theior eyes. The less the sheep are involved, the clearer the path.

1stepcloser's picture

I love it when wealth insurance goes on sale..

Baby Eating Dingo22's picture

Vlad must be loving his newfound control over US markets.  Undoubtedly, his advisors areworking on a series of statements to crash US while insulating Russian markets. Bloodless war of words is much preferred. Hildengrath even considering defecting for the right price.

highwaytoserfdom's picture

It is only a mater of time...  In honor of St Patrick  Mulligan  on Brenton Woods hegemonic economic hit  men and war mongers.   One in 10 jobs us German % medical, % finance, %MIC..       Heck China has more engineers than population of US.  Prison Industrial Complex 2.3 million criminals, 1.6 million people china with 4 x population?

Goggles Pisano's picture

If you loved The Anschluss, you'll really love The Anschluss - Part 2. S&P 500 to 2000 on The Sudetenland - Part 2 as well. 

Kazakhstan you're next.

damicol's picture

It strikes me that now what Putin has actualy done, apart from surgically remove all traces of both testicular matter and testorone from  the feeble minded limp wristed  rent boy bothering, Kenyan monkey, is  to  cause all the rest of the hare brained momo chasing retards  into believing that absolutely nothing whatsoever could ever possibly for eternity go wrong in their little hermetically sealed world where the gods of keynes and his armies of fluffy left wing followers and the endless money printing will carry on forever and no such thing as corruption coulfd possibly exist and so life is beautiful, the future assured for ever and a day and any thoughts of  stocks or bonds having to ever be rooted in reality and fundamentals ever again is now past.


Putins greatest acheivment.

He guarantees the collapse of the US without even having to offer so much as a banana to obummer.

And soon the Ukriane will all be his.

With the US economy collapsing, starvation rife $100 bills being used as asswipes and Europe in  total and utter disarray it just leaves the important decisions to be made between China and Russia as to who owns which half of the world

Not a drop of blood, not a shot fired in anger, just the incomparable incompenece of a country that elects as its leader a monkey, one from the depths of a jungle and one that is either retarded or suffering brain damage.

And so, like a rocket to the stars the S&P will rise forever until .... it stops

Which should happen according to my calculations just about ............



firstdivision's picture

Hey Janet, I bet you cannot push Au down below $500/oz and hold it there for 1 month.  Do you accept my challenge?

B.J. Worthy's picture

Speaking of déjà-vu all over again, the mutual-fund peddling mouthbreathers are all leveraging their clients to the hilt. I've lost quite a few clients to these 20%-return-promising assholes, but their downfall will be glorious.