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Nikkei Futs Down Nearly 1000 Points In Three Days
USDJPY has fallen over 250 pips in the last few days and today is its biggest daily drop in 8 months as stimulus-hope premia is removed from the FX carry trade juicer. USDJPY has retraced all its post-FOMC gains in the last 2 days as the euphoria-to-disaster crowd continues to flood in and out. This dive has driven Nikkei 225 futures down almost 1000 points from Friday's highs, pressuring the Japanese stock market to near its cheapest to the Dow in 15 months.
2 weeks up and 2 days down - as hope is eviscerated...
retracing all the post-FOMC gains (JPY losses)
and smashes Japanese stocks lower...
As a gentle reminder - as we noted here:
Perhaps no chart better captures the current fleeting, momentum-chasing "euphoria to despair" sentiment in the markets, in which nothing is real or fundamentally-driven, and where everything is a "smoke and mirrors" illusion encouraging the speculative stampede into (and then out of) the comfort of printed paper "wealth", than the following visual summary of how foreign cash came to Japan, injecting a record amount of money on hopes that Abenomics would promptly send the Nikkei to 20,000, and upon realizing the failure of Abenomics to result in a virtuous market expansion (the Nikkei is down about 7% for 2014), has high-tailed it out of the land of the rising sun at the fastest pace in history!
And keep in mind that the Nikkei is still roughly, and artificially, 50% higher than where it will be once the Abenomics euphoria is fully faded. Which is why the purple line may still have a very long way to go... in an inversely upward direction.
Source: Diapason Commodities Management
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Everybody Wang Chung tonight
Is market drop bullish for stawks?
Get to work Yellen! The world needs your printing press!
“just a flesh wound”
http://www.youtube.com/watch?v=zKhEw7nD9C4
Tyler really needs go get an editor to help correct the increasing number of typographical and grammatical errors in posts posted by Tyler Durden.
This one really takes the cake.
Nikki Futs Down instead of Nikki Puts Down...
Maybe he can't afford to "get it right"
aesthetics vs. substance. i get this shit all the time. say something brilliant, only to get nit picked for pronunciation or syntactical awkwardness in expressing an idea that coalesced moments before. usually by someone w/ a mediocre intellect still confused and trying to catch up. i just roll my eyes and move on to something (and someone) more meaningful. i'm guessing TD does the same, but Abe, on the other hand, must be singing this:
http://www.youtube.com/watch?v=FRVSSwJYqh0&feature=kp
Don'rt worry, Abe the wonder boy and his mighty flying robot Stimulus will save the day.
get ready to BTFD
Mrs. Watanabe was screaming something about Kiniro...
Abe needs to hire Bernanke as BOJ chairman...
A few news...
URGENT: Protesters 'break into' office of Kiev-appointed prosecutor in western #Ukraine
UKRAINE'S TYMCHUK SAYS PRO-KREMLIN ACTIVISTS TOLD TO PREPARE CORRIDOR IN LUGANSK REGION FOR RUSSIAN TROOPS
UKRAINE'S TYMCHUK SAYS RUSSIA PLANS TO ENTER EASTERN UKRAINE IN THE COMING NIGHT
Hearing reports on Ukrainian army preparing to storm Lugansk
John Kerry says #Energy, #Banking, #Mining Sanctions are possible on Russia
http://www.thelocal.se/20140407/russia-ups-spy-numbers-in-sweden
"Säpo chief counter-intelligence analyst Wilhelm Unge...told Sveriges Radio (SR) that he was "a bit concerned" that Russia's interest in Sweden had intensified, as evidenced by simulated flight attacks on Swedish targets as well as attempts to recruit spies, increased signals intelligence, and the purchase of a significant number of maps.
"The most serious threat we see right now is war preparations," he explained. "It's no secret that Russia is engaged in this. It's a little bit worrying."
This could be fun.
Mining Sanctions? What are they going to kick them out of the COMEX, lol.
Buy the fucking Nip?
That consumption tax should help.
Yup nothing like a new VAT tax to make the sheeple feel good about themselves so they can go and spend some more
Here's one possible scenario I've been exploring for the fed. minutes tomorrow. The minutes are hawkish or taken as no additional easing is planned, and the threshold for additional easing is high.
The bond market sells off and the usd spikes off this recent selloff. The reaction is taken as risk off by the markets so the FX carry continues to unwind and pressure usd/jpy and the risk crosses, even though yields move higher. The stronger dollar causes riskier currencies to selloff.
We obviously have some macro news to get through first, but it's something im factoring over the next 24 hours. Asia could get ugly later.
i'm expecting an ES dumpfest the second the bell rings in 59 minutes. SPX futes may be down 20+ (1.5%) in the AM
Hey, and periphery Euroland debt is likewise cheap, still trading at a discount to Germany. It don't get any better then this.
Nikkei is going down in flames. This is bullish for the S&P 500 because reasons.
Well, that's good for the DOW, because all that "hot money" will come flowin' this a-way and so we'll be rolin in dough.
and to celebrate, Japan just raised its sales tax by 3% to 8%! next year it goes to 10%.
At least they have non-stop massive doses of deadly, extinction causing radiation to look forward to for the next 50,000 years.
Sionara, bitchez
Erasing all post-FOMC gains just means new FOMC-gains are needed. And by some kind of accident, this will be, err... tomorrow?
Wake me when gold is at 2500 and/or the DOW has cut down thru 10k.
so if the carry trade is seemingly so key to all this, then why is the NASDAQ up like mad today?
a Wiley E. Coyote moment. don't look down.
Love the inversely upward direction