• Steve H. Hanke
    05/04/2016 - 08:00
    Authored by Steve H. Hanke of The Johns Hopkins University. Follow him on Twitter @Steve_Hanke. A few weeks ago, the Monetary Authority of Singapore (MAS) sprang a surprise. It announced that a...

FOMC Optimism Confuses Market: Stocks Up, Bonds Up, Gold Down

Tyler Durden's picture


Great news, Q1 was much worse than ourt awesome forecasts expected.. but that was all weather so our forecasts about the future are likely dead correct and that means escape velocity is coming... Stocks are rallying (and gold is fading)... but bonds ain't buying it as they press the low yields of the day... .what is mst worrisom for stocks, is that it's not Tuesday.

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Wed, 04/30/2014 - 14:50 | 4713216 Eyeroller
Eyeroller's picture

Absolute madness.

Wed, 04/30/2014 - 14:51 | 4713226 LawsofPhysics
LawsofPhysics's picture

Optimist.  Wait motherfucker, the average sheep must have a completely different definition of  "madness" or "chaos"...

Wed, 04/30/2014 - 14:58 | 4713264 Xibalba
Xibalba's picture

Fed killed the market.  We're all daytraders now.

Wed, 04/30/2014 - 15:38 | 4713431 I Write Code
I Write Code's picture

If you want dividends you have to hold now and then.

The market is just the fed puppet, but a lot of people do hold stocks for the dividend - just as Bernanke ordered them to do.

Wed, 04/30/2014 - 14:50 | 4713220 fonzannoon
fonzannoon's picture

The dollar against the pound is interesting too. Eiether the fed is going to fake a huge NFP number Friday so we can all talk about how smart Yellen was or the fed has decided they would rather head towards the exit.

Wed, 04/30/2014 - 14:53 | 4713238 LawsofPhysics
LawsofPhysics's picture

Fonz, if everyone else left in the "market" is chained to their seats (401k sheep etc.), does it rally matter if the mob boss sets the place on fire and leaves?

just saying.

Wed, 04/30/2014 - 15:00 | 4713270 fonzannoon
fonzannoon's picture

It's a legit question laws but it's good that the economy is picking up steam like Yellen mentioned so we will never have to find out. what a relief, eh?

Wed, 04/30/2014 - 14:58 | 4713263 Grande Tetons
Grande Tetons's picture

Look at the 30 yr....on the final turn...hugging the rail.....

Wed, 04/30/2014 - 15:08 | 4713308 Stoploss
Stoploss's picture

Moving everybody back, away from the launch pad..

Wed, 04/30/2014 - 14:51 | 4713222 The_Ungrateful_Yid
The_Ungrateful_Yid's picture


Wed, 04/30/2014 - 15:08 | 4713305 Richardk888
Richardk888's picture

Yes, the price of gold and silver are both down.

Tried to go buy another 25 rounds at lunch today, but like always, the gold and silver shop were out.

Would not a drop in price imply there is an abundance in supply if you were using supply and demand as tools for price discovery?

Not to mention that if you do find it, you will likely pay around 25% above spot price.

Wed, 04/30/2014 - 15:47 | 4713467 El Hosel
El Hosel's picture

Supply and demand shall now be referred to as "the other relic" in the new normal, it really is different this time...again.

Wed, 04/30/2014 - 18:24 | 4713996 SoilMyselfRotten
SoilMyselfRotten's picture

MUST KEEP GOALD DOWN......there fixed it, we know they're keeping down the fake shit

Wed, 04/30/2014 - 14:51 | 4713229 SheepDog-One
SheepDog-One's picture

Every day is a party from here on out for full retard lobotomized U.S. American stawk indexes!

Wed, 04/30/2014 - 14:54 | 4713234 JustObserving
JustObserving's picture
Stocks Up, Bonds Up, Gold Down

That's how the Fed's HFT computers are programmed.

Wed, 04/30/2014 - 14:52 | 4713235 i_call_you_my_base
i_call_you_my_base's picture

Like I said before, they rig the market up when the Fed does anything so that news media can claim that, "the market liked it." I hear it on NPR every single time. They say it verbatim.

Wed, 04/30/2014 - 15:05 | 4713289 Bernoulli
Bernoulli's picture

Thank you for the post. Makes total sense.

Wed, 04/30/2014 - 15:32 | 4713401 El Hosel
El Hosel's picture

Fed Daze = Stocks up, gold, silver, and $vix down .... Its policy for fuks sake.

Quick....Who does cnbc have to blow to get an all time high on its birthday?

Wed, 04/30/2014 - 14:57 | 4713257 becky quick and...
becky quick and her beautiful mouth's picture

has anyone noticed that almost all of the silver for sale these days is freshly minted stuff? it's like all of the old stock has been bought up and is being hoarded and the only supply is coming from freshly minted inventory. that makes me a little nervous, almost like somebody knows what is coming and is preparing.

Wed, 04/30/2014 - 15:06 | 4713296 Bernoulli
Bernoulli's picture

Same over here in Europe. All brandnew...

Wed, 04/30/2014 - 16:08 | 4713370 astoriajoe
astoriajoe's picture

If you look at Kitco's online store, they don't seem to have any monster boxes of ASEs in stock in the U.S., but are somehow having a sale on ASEs. Although they normally will give a size-based discount, they don't seem to be doing that now.

I've heard some dealers complaining about availability, but have also been talking about lowering their premiums.

EDIT: They've since removed the notice that the monster boxes are only available outside the U.S.  LOL.

Wed, 04/30/2014 - 15:39 | 4713436 El Hosel
El Hosel's picture

...... a little nervous! LOL

Wed, 04/30/2014 - 16:09 | 4713525 hobopants
hobopants's picture

Lcs here has a ton of the stuff new and old, but i live in an area where most people are far too retrarded to buy anything but fast food and video games.

Wed, 04/30/2014 - 14:57 | 4713259 Hohum
Hohum's picture

A rising stock market means the wealth creators cannot create wealth anymore.  So pay no attention to it.

Wed, 04/30/2014 - 15:02 | 4713277 John McCloy
John McCloy's picture

This is the game for years as always and it never changes:

1) Keep Gold Down : CHECK

2) Keep Silver Down: CHECK

3) Tame Crude in the below 100 range : CHECK

4) Keep Bond Yields Down: CHECK

5) Keep the rhetoric Dovish with hints of optimism around the corner : CHECK

 If any og those above get to lofty smack the markets for 2 days to tame and THEN

 SNEAK THE S&P UP IN THE FUTURES..wait for a data miss then ramp S&P for anticipated further ponzi easing or good news ramps the markets.

  The script has not changed for 5 years + now. It is a confidence game and it will not change until they have an event beyond their control. These are what you would call upside biased markets the likes nobody has ever seen BUT they in fact just proof of centrally planned behind the scenes proof the Federal Reserve is acting as the largest hedge fund in history coordinated with EU Central Banks. 

   Look how far they will go on lies regarding everything else in attempts to start war in Ukraine, Syria and covering up Libya...does anyone here doubt they are buying stocks and naked shorting metals and crude futures?  FUCK Belgium is the front man now to take up the slack for lack of buying..where are they getting that cash? Well they are repoing trash to FED in an agreement to buy stocks...All an illusion and artificial stock prices...they just need as much of the public globallys cash as they can get purchasing into their fiction.


Wed, 04/30/2014 - 15:09 | 4713312 Bernoulli
Bernoulli's picture

It's crazy though how little the "real economy" has followed the script. The FED people must be shitting their pants by now. They are like "fuck... why is the economy not picking up? we can't do this shit forever!"

Wed, 04/30/2014 - 15:48 | 4713468 quasimodo
quasimodo's picture

" we can't do this shit forever!"


I beg to differ, and the really scary part is I will probably be the one begging on the street someday, to differ. 

Wed, 04/30/2014 - 15:51 | 4713475 Son of Captain Nemo
Son of Captain Nemo's picture

And if that event beyond their control takes place before said collapse?...

6) Burn down the Federal Reserve HQs and all 12 of the FRD banks : Check

7) Behead all the Federal Board of Directors and their staff with all subordinate delivered to FEMA gulags for "rehabilitation" : Check

Wed, 04/30/2014 - 15:38 | 4713432 Son of Captain Nemo
Son of Captain Nemo's picture

So Janet explain to us again the $10 billion taper plans and how to reconcile with the 8,000 pound elephant in the china store regarding FNMA earlier today?

Anybody in the presstitutes corps willing to raise this contradiction at the conclusion of today's announcements from the Fed???

Wed, 04/30/2014 - 15:51 | 4713477 Yardfarmer
Wed, 04/30/2014 - 16:11 | 4713536 RealityCheque
RealityCheque's picture

This "market" is doing a great disservice to the word "retarded".

Here's to the greatest nation on earth, defender of freedom and paragon of democracy. What a fucking joke.

Wed, 04/30/2014 - 16:24 | 4713588 Dimons jock
Dimons jock's picture

"Stocks up" Yeah, except fucking AAPL .... jerkoffs ....

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