Janet Yellen's "I'm Dovish But Sell Small Caps" Senate Hearing Part Deux - Live Feed

Tyler Durden's picture

Having sent shockwaves through the "Don't fight the Fed" apologists yesterday by stating that small caps (etc.) have stretched valuations, we suspect today's hearing (assuming the politicians have now read her statement and report) will focus on what the market's gurus is rapidly trying to paper over. Expect more 'uber-dovish if we need to', expect more 'vigilant' of bubbles (but there are none now)... expect more 'rates will rise - so sell your bonds (and patriotically help with the collateral shortage). Presenting Janet Yellen's Humphrey Hawkins part two... facing the Republican-led Financial Services Committee.


Live Feed

Just glimpse at the report...on Page 20


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Hippocratic Oaf's picture

Fuck you, Yoda!

Just like the HNIC, the more you speak, the more you fuck up.

This chasing of hi-yield is going to blow up in everyones face.


GetZeeGold's picture



Small Caps.....small business.....they're gonna kill anything small.


If you're under 7 feet tall.....run like hell!

LetThemEatRand's picture

They may as well just come out and tell all of us start making out our tax checks directly to the large banks or corporations that own this place.  It would save a lot of paperwork on their end. 

JR's picture

Thought for the day from Charles Hugh-Smith:

The unsubsidized cost of Obamacare for two 60-year old healthy adults ($23,244 annually) for an inferior plan to what we had before exceeds the cost of rent or a mortgage for the majority of Americans. Please ponder this for a moment: buying healthcare insurance under Obamacare costs as much or more as buying a house.”


fonzannoon's picture

Holy shit the whole thing just went off the rails. Maxine waters just knocked over 4 people running full speed into Yellen and landed on her and screamed repeatedly "WHERE  IS YOUR DICK I WANT TO SUCK IT"!!!!!!!!

i don't know how they can continue after that. they should at least take a break or something and let everyone get settled down.

Zeptemberalevin's picture

i noticed that. fucken disgrace

LetThemEatRand's picture

I really need to start watching these video feeds.

pods's picture

"And now back to our on-scene reporter, the honorable Chelsea Clinton. Chelsea, is it true that you tried to love money, but couldn't?  That must make it very difficult for you to cover this subject, America thanks you for your service."


GetZeeGold's picture



Chelsea will come talk to you for $75,000 dollars.....I hear it's a pretty good talk.


She never thinks about money however.....being she was a daughter of po people. They were so po....they couldn't afford the OR.

ebworthen's picture

Or a paternity test.

Yellen is the illegitimate child of Moe Howard and one of the Munchkins; and she's not funny.

Grande Tetons's picture

One of your best posts. 

Nice mental imagery. I can almost here the slurping sound. 

boattrash's picture

Thanks JR, you just inspired me to go to the range for some lead-slingin'/recoil therapy.

Rican's picture

But someone has to do that paperwork. Job creation!

mastersnark's picture

"You start a conversation you can't even finish it
You're talkin' a lot but you're not sayin' anything
When I have nothing to say, my lips are sealed
Say something once, why say it again?"

CuttingEdge's picture

Which leads appropriately on to "Burning down the house..."

TabakLover's picture

in the middle of life during wartime.

G-R-U-N-T's picture

Ah, grandma speaks about monetary policy, transparency and placates the status quo! Nice!

rsnoble's picture

Awful lot of stories the past few days about the upcoming crash/correction.

Probably brought to you by the 3 or 4 mega holders, otherwise known as the DOW 20k club.

orangegeek's picture

markets always get pushed to an extreme before the collapse


this time around the extremes are beyond what the past has done


but it all ends the same way

LawsofPhysics's picture

Please.  The Fed is the fucking "market".  The question is simply whether or not the "ending" is Zimbabwe/Weinmar style or Great Depression style.

Until then we get the "muddle through" style...

hedge accordingly.

Cruel Aid's picture

Good question, seems like the former and it is written. So that is the current bias.

orangegeek's picture

very true - and with POMO and REPO fading, not much left to keep things up


sellers are still holding because as soon as we dip, the fed shows up with other financial institutions  and slams the market higher


- NDX up 0.7%, RUT down 0.2% - fed+FIs having a difficult time today


youngman's picture

I wish I had a balance sheet of over 4 trillion....

LawsofPhysics's picture

"I wish I had a balance sheet of over 4 trillion....   ...created out of thin air with NO WORK at all"  - Fixed.

Fucking amazing isn't it?

disabledvet's picture

I wish that balance sheet would hit 8 trillion so we could get these long rates down to one half of one percent.

"Stop being a bitch and trying to normalize. We like our useless fighter planes to cost four hundred million.


RiskyBidness's picture

Just picture her suckin a large penis and all of this becomes fuckin funny!!

Colonel Klink's picture

Uh hate to tell you but it doesn't become funny, it becomes blindingly gross.

Need eyebleach.com!

IronShield's picture

It goes up, it goes down.  What's not to like?  Volatility is your friend.  ;-)

boattrash's picture

Instead of watching Yellen yesterday, I chose the more interesting, and watched Earthworms Fucking.

Today, instead of Yellen, I think I'll watch the more Appealing, Maggots Feasting on Roadkill Skunk.

Gringo Viejo's picture

Almost as hard to look at as Janet Reno.

boattrash's picture

And in the long run, just as destructive and deadly as Janet Reno.

yogibear's picture

Bidding up the indexes is the name of the game.

Q-Q-Q's picture

Corporations have been assimilated into the government and are as one.............. like the Borg, resistance is futile.

Yellen wants cheaper prices for her large cap aquisition buddies, I guess every politician needs to line up somewhere to work next.





youngman's picture

Maxine Waters is talking...its joke time...

ejmoosa's picture

Watch her rub her wedding ring when she dislikes the questioning......

Colonel Klink's picture

Yeah because large cap corporations aren't grossly overvalued.  Fuck you Yellen!

ak_khanna's picture

Federal Reserve of the Banks, by the Banks and for the Banks. 

The rest of the country and its citizens be damned. The main aim of the political class and the central bankers around the world is to create one bubble after another for the zombie bankers to feed on. The majority of the population who actually work hard to earn their living by engaging in productive work have to pay the price by either loosing a majority of their earnings in the form of taxes, interest on loans or paying the bill for the bailouts. 


MaxPower92's picture

Small caps can't afford as many (if any) lobbyists.

Bill of Rights's picture

OFR Announces New Members of its Financial Resesarch Advisory Committee - Top News - InsuranceNewsNet.com

Oh isn't this cute:

The Dodd-Frank Wall Street Reform and Consumer Protection Act established the OFR within the U.S. Department of the Treasury to support the Financial Stability Oversight Council, its member agencies, and the public by improving the quality, transparency, and accessibility of financial data and information; conducting and sponsoring research related to financial stability; and promoting best practices in risk management.

The new members and their affiliations are:

John Campbell, Harvard University

Lou Crandall, Wrightson ICAP LLC

Stephen Daffron, Interactive Data Corporation

Beth Hammack, Goldman Sachs

Darryll Hendricks, UBS

Simon Johnson, Massachusetts Institute of Technology

Andrew Metrick, Yale University

David Puth, CLS Group Holdings/CLS Bank International

Chester Spatt, Carnegie Mellon University

The committee provides advice and recommendations to the OFR on issues related to financial "stability."

Its good to see we are Most transparent and that Wall street is fully protected.

boattrash's picture

Bill of Rights, looks like we're in good hands....to choke the life out of us that is.

Utah_Get_Me_2's picture

Woody Yellen just said 'The Fed is the most transparent Central Bank in the world'

And the moon is made out of cheese. And Obama isn't gay.

herbivore's picture

My morning green tea almost shot out of my mouth when Maxine Waters said "You couldn't be clearer" following Yellen's convoluted answer.

Squid Viscous's picture

every time she starts a sentence with "So, blah blah blah" must drink...

JR's picture

15 July 2014

Nanex: The Market Is Rigged, With Details | Jesse's Cafe Americain 

"A rogue does not laugh in the same way that an honest man does; a hypocrite does not shed the tears of a man of good faith. All falsehood is a mask; and however well made the mask may be, with a little attention we may always succeed in distinguishing it from the true face."

Alexandre Dumas

The market is rigged.  Oh no, this could not possibly be correct, say the trolls, shills, revolving door careerists, media carnival barkers, and conmen's assistants. They simply do not understand it!

The analysis from Nanex, rich in details, does not only apply to very large orders in excess of 10,000 shares.  I have seen the same type of activity in smaller markets with orders of only a few thousand shares.  Anyone who has Level 2 access can observe it if they look closely enough, and have the will to look with their eyes and see.

These pampered princes of Wall Street are steadily degrading the markets, and distorting and taxing the real economy with their bias to speculative grifting rather than facilitating productive investment.

I do not agree that a 'free for all market' would be better than this.  Some of these schemes are as basically corrupt as a West Coast gangster's attempt to control all the horse racing wire services information for his own benefit.  And you don't fix corruption by firing all the police and prosecutors.

There are a few things that would go a long way to fixing this.  Fairness is not so terribly hard to establish if you do not wish to twist it with the faux complexity of a confidence racket that advantages some because.

I suspect that nothing will work until we root the big money out of politics.  Its corrupting influence touches everything and is corrosive to the common good, giving scandal to all by its shameful example. 

In some sense, this would be turning the markets back to what they were before they became utter casinos dominated by big players unleashed by the repeal of Glass-Steagall and the divestment of sound regulation in the name of a utopian market ideology that serves to promote a new level of systemic criminality.

This is analysis and conclusion below is from NANEX:

"...All this evidence points to one inescapable conclusion:

The order cancellations and trade executions just before, and during the trader's order were not a coincidence. This is premeditated, programmed theft, plain and simple.

Michael Lewis probably said it best when he told 60 minutes that the stock market is rigged.

To the High Frequency Traders (HFT) that make fantastic claims about providing liquidity, perhaps one should ask: "what kind of liquidity"? To the now obvious, ludicrous claim that "everyone's order uses the same tools that HFT uses", we'll just say, the data shows otherwise. To Mary Jo White and other officials who claim the market isn't rigged and that regulators need to look at the data before making any decisions: well, you made it this far - if things aren't clear, re-read this expose (or the nearly 3000 others pages we've published), or simply call us and we'll explain it to you. Or dust off Midas and lets us show you how to work with market data.

One more note to the SEC in particular - if you believe that the industry can fix these problems on their own, then we believe you are no longer fit to regulate, because that is not, and never was, how Wall Street works. Honestly, a free for all, no–holds–barred environment would be better than the current system of complicated rules which are partially enforced, but only against some participants. And make no mistake, what is shown above is as close to automatic pilfering as one can get. It probably results in a few firms showing spectacularly perfect trading records; it definitely results in people believing the market is unfair and corrupt.

And to CNBC and other financial media companies who say these problems have all been fixed - we think you might have been lied to. Probably by the ones doing the market rigging. A certain HFT lobbyist group immediately comes to mind - the one that presents the same tired "liquidity, spreads, costs" argument, without data to back it up. This paper shows that the liquidity claim is clearly a lie.

Academics interested in continuing the study shown on this page - we believe we know how you can find and quantify these events. Serious inquiries only please.

Note that none of this would be possible if the direct feeds weren't illegally supplying HFT with faster information than the SIP.

And finally, to our regular readers: we are taking a break. Everyone has a limit to how much corruption they can witness and digest in a given period of time and we've simply reached our limit."

You may read the detailed examination and explanation of this from Nanex here.


Squid Viscous's picture

bachus, what a banker ass licking piece of shit, with meaningless questions

Utah_Get_Me_2's picture

Bachus is a chode. 'Valued public servant'? The Fed 'chair'? Good lord we are in trouble.  

Squid Viscous's picture

So...this country is so fucked...

QQQBall's picture

Thank chick in the pink talks like Ricky Ricardo

Squid Viscous's picture

"not outside of historical norms" ...? when did the trans last trade at 21 times earnings? wtf?