Confidence In Central Planning Saved With Last Second All Time High Ramp

Tyler Durden's picture

Once Europe closed, US equity markets rolled over on what is a new 'lowest-volume-day-of-the-year' led by recent winner Russell 2000. The Dow is now red on the week and the Nasdaq up 11 days in a row. Today was not about stocks though (aside from the close). While CAD saw its best gain in over 2 years, it was US Treasuries (as EUR weakened and Bund yields plunged) that made the flashing red headlines with 30Y back at 15-month lows (at 3.10%) and 10Y -3.5bps at 2.36% as the yield curve flattened even further. 2s30s dropped below 260bps - its flattest since Dec 2012. Un-de-escalation concerns evident in TSYs and credit finally started to bleed into VIX and stocks. Gold, silver, and oil limped higher as US weakened (and copper fell). A desperate buying panic into the close smashing S&P futures to VWAP magically enabled the S&P to close at the confidence-inspiring centrally-planned 'wealth effect' level of 2000.07!!


Come on...


all thanks to the machines driving S&P 500 e-mini futures back perfectly to VWAP...




Treasuries were once again heavily bid...


And the divergence grows...


leaving the Dow red on the week...


and Utes heavily bid into the close - not exactly risk on!!


The yield curve is utterly collapsing...which bodes very badly for P/E multiple expansion


Credit markets widened once again...


FX markets saw USD weakness as EUR strength (QU unlikely) and CAD strength (technicals and tax inversions) dragged it lower


Commodities trod water (copper dropped) despite the USD weakness


Charts: Bloomberg

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RiskyBidness's picture

How many times do people have to be shown that this is fucking manipulated??

SAT 800's picture

OOOH. that close smells like last weeks fish.

flacon's picture

GDP tomorrow will save the day. Maybe.... maybe not...

wallstreetaposteriori's picture

I would love to see a big down second print....  suck the air out of the euphoric recovery talk.

reset71's picture

It wont't be manipulated forever. I think 2000 is a fine round number to crash on.  I already sold me stock positions, so at this point I really am rooting for the inevitable.

Gromit's picture

Yes I agree looks like 2000 is a "bridge too far."


Id fight Gandhi's picture

Grains are down across the board, basically to 2010 levels. You'd think the drought and awful negative gdp inducing winter would've caused them to climb.

Gromit's picture

Good news for livestock farmers!

Deacon Frost's picture



Wed, Aug 27, 2014 Thu, Aug 28, 2014 Outright Treasury Coupon Purchases 02/15/2036 - 08/15/2044 $0.95 - $1.15 billion

Id fight Gandhi's picture

11 days up for nasdaq

Osmium's picture

No bonus chart?

blu's picture

S&P to 2100! Fuck this! Nobody cares!

hazden's picture

I agree.  Why should bond prices affect the magic stock market?  Buy everything!

Gromit's picture

Works till it doesn't.

Only thing I'm buying is October SPY puts.

Kaiser Sousa's picture

a complete fucking shit show...
how absurd...
banana republic...
9 year olds shooting "gun instructors" in the head with UZI's they shouldnt be handling on the instructions of parents who never should have children in the first place by virtue of them taking a child to the gun range to shoot an Uzi...
this shit hole of a country is DOOMED.....

still stackin though.....

reset71's picture

Kids die riding bikes too you know.  

Kaiser Sousa's picture

the kid lived...the instructor died..
but doesnt matter cause ur statement is testimony as to why "this shit hole of a country is DOMMED"...


Osmium's picture

You have to shake your head.  Makes you wonder how that will affect the 9 year old?  At that age do they understand what just happened?

Crocodile's picture

She needs more practice; any volunteer instructors?

SheepDog-One's picture

That story is like 5 years old.

Crocodile's picture

Perhaps you would feel better if the instuctor shot the child?  Accidents happen.  What about the parent who lets their children cut the grass bare-footed or with flip-flops when the grass is damp and on a hill, then the foot gets mutilated?

monopoly's picture

Bonds are telling the real story. Question is, when does everyone else finally figure that out?

NOTaREALmerican's picture

Bonds are for pessimists who don't think their children are above average.   Persimists are worse than tttrrrssss.   

H H Henry P P P Paulson's picture

Down an elevator up an elevator.  Who keeps mashing the room floor buttons?

giggler321's picture

Best described by Homer, Odyssey, esp3, Escalator to nowhere.

“Give, and it shall be given to you. For whatever measure you deal out to others, it will be dealt to you in return.”

i_call_you_my_base's picture

Don't fight the fraud.

rum_runner's picture

Yellen's there at 3:59, standing at the bridge over the moat into the markets where the Fed flag flutters...

the roaring bear is spitting fire and charges towards Yellen, eyeing the fatty P/E-iggies of NFLX, AMZN that squeal and frollick about in the fiat troughs just over the bridge.

Down comes Yellen's staff!  A blinding barrage of BUY orders crackles from the heavens. BUY, BUY!!

She casts back her hood and in all of her wrinkled glory shrieks -- YOU SHALL NOT CRASH!

The bear is blinded.  Gaunt and half starved it is easily swept away by the flood of BUY orders.  It goes hungry tonight, but will return tomorrow.

RaceToTheBottom's picture

Yellon doesn't look anything like a small Charlton Heston....  Was it something to do with the film?

Ness.'s picture

I'm waiting for the day when we have no news, no numbers, no volume and the S&P rips higher by 150 points in a matter of minutes going into the close and the talking heads on CNBS say there were more buyers than sellers today (which obviously makes no fucking sense).  OT but didn't the CBO just slash GDP estimates  in half today?  Look, a squirrel!!!


NotApplicable's picture

If you haven't noticed, they already make up fake news/numbers in order to provide cover for those talking heads.

"But the important thing to remember here is..."

Crocodile's picture

That day is coming, but for most it will not be a good day.  However, the timing is difficult to tell, but all the signs are there.

NOTaREALmerican's picture

DowBuck still appreciating in value.   Good to have an appreciating currency. 

demoses's picture

Do all this charts even matter anymore? I guess the central planers could have them ploted in the morrning and that is what they will be when the market closes. The public has 0 impact on the chart outcome.

Crocodile's picture

SQQQ & VIX, then wait a little while. :)

NOTaREALmerican's picture

Who was the famous bankster who said:  while the music is playing you've got to dance?

craus's picture

Hey I noticed little coverage of Russia actually going into Eastern Ukraine today.

They killed border guards and took control of port city Novoazovsk.

Hmm I guess Feds are manipiulating news as well.

NotApplicable's picture

With the exception of Jen Psaki and the NY Times, all the news I'm seeing says it was the rebels. (not that I would claim trust in any source at this stage)

SheepDog-One's picture

Oh that looks totally rational.

ebworthen's picture

14 years to get back to 2,000, and that is after how many TRILLIONS of taxpayer dollars wasted on Wall Street?

Oh yeah, "buy stocks" and get fucked over a barrel!  Enjoy that 401K/IRA statement - it's just paper.

Burger King moving headquarters to Canada to dodge taxes yet they track down U.S. citizens in Siberia.

Fucking joke.

Cacete de Ouro's picture

Kevin Henry: "I really needed to use the jon just before the close but I held in there boss."

Bill Dudley: "Very well done Kevin, there's a nice shiny Christmas box with your name on it. Now go and change your pants."

Kevin Henry (looking sheepish): "eh..yes boss."

RaceToTheBottom's picture

I liked it better before the markets were programmed.

Seize Mars's picture

Last second all time high ramp.
Whew! I almost lost confidence in the markets!