This page has been archived and commenting is disabled.
Stocks Give Up Post-FOMC Gains; Dollar, Bond Yields Surge
Obviously, today's market was all about the Fed. some brief stop-running early on took out yesterday's highs only to fall back before Yellen... then the fireworks began. The initial kneejerk reaction was to sell stocks, sell bonds, and buy USDs. Then came the re-reaction - VIX was slammed below 12, the S&P 500 surged to near intraday record highs, bond yields accelerated higher, EUR and JPY weakness sparked USD bid, and PMs slipped lower as Yellen meandered uncomfortably through a two-faced press conference. By the close, the USD had hit fresh 4-year highs (USDJPY over 108), stocks had roundtripped to unchanged from FOMC, Treasury yields were notably higher, VIX back over 12.5, Trannies surged.
From the FOMC Statement, stocks dumped, pumped, and dumped
And from Hilsenrath's hint yesterday... Trannies are exploding...
and Builders surging after this morning's NAHB hopefest... Energy red post Hilsenrath... (with Health care the best performer post FOMC)
The S&P 500 smashed to near-record highs, then faded back to 2,000 (and bounced)
VIX dumped below 12 to help stocks... then gave it all back...
Across the major asset classes today...
On the week, Treasuries are now all higher in yield, led by 30Y
but stocks decoupled from bonds into the close... as they realised bonds' hawkish reading of the fed...
The USD surged to fresh 4-year highs
USDJPY broke 108... but stocks decoupled from carry into the close...
which might be worrying Abe as he is not getting the Nikkei benefits he needs to keep the Abenomics dream alive - and a collapsing JPY could simply be mass capital flight...
which pushed commodities lower in general...
Charts: Bloomberg
- 7403 reads
- Printer-friendly version
- Send to friend
- advertisements -














There is more to steal. Raise rates...fuck you, Yellen.
Quick! Everyone flee to the safety of the dollar!
the eCONomy and all the BS data points are nothing but pivot points for the algos to run the markets up and down, skimming. until the FED actually ends ZIRP and goes negative on the return for excess reserves held, it is all just a show to calm the herd and while milking them dry in milisecond transactions.
I think you mean "positive" on the IOER......either that, or you just don't actually understand what you're talking about
Well, there's a new war without end to finance.
Yes - but its the war on Ebola were funding (no ones likes to use the W-word with ISIS)! We're deploying 10x as many combat troops to fight Ebola as we are to fight ISIS.
We did manage to take out a truck and gun yesterday from the air though - that will show those terrorists! Go drones!
that DXY... something ill it portends.
deflation
laugh all you want ... now
but you'll see
I agree. How is this for "unintended consequense". Just go long $ to hedge your Au.
Lucky me, I bought my gold with crappy euros.
Dow closes at all time high... again. WTF, just Buy. Seriously. Just F-ing Buy. It's your only hope. If you have two f-ing nickels to rub together, use them to buy any frigging 10 cent stock.
Whatever you make on that 10 cent stock they will take back. Just as they have done time and time again. You are their tool.
I pooped today!
Quick, chart it
Heed my advice - go short on poop!
Compare 2008 to 2014 vs IMF & BIS moderation of currency influxes per country.
Pale evidence will be found. Start below and change years. Follow the other culprits mentioned above.
http://www.x-rates.com/average/?from=JPY&to=USD&amount=1.00&year=2008
What Yellen does with her free time.
http://www.liveleak.com/view?i=58a_1410970246
2Y German bunds sold at negative -0.07% "yield" today
'nough said
There is nothing wrong with your television set. Do not attempt to adjust the picture. We are controlling transmission. If we wish to make it louder, we will bring up the volume. If we wish to make it softer, we will tune it to a whisper. We will control the horizontal. We will control the vertical. We can roll the image, make it flutter. We can change the focus to a soft blur or sharpen it to crystal clarity. For the next hour, sit quietly and we will control all that you see and hear. We repeat: there is nothing wrong with your television set. You are about to participate in a great adventure. You are about to experience the awe and mystery which reaches from the inner mind to – The Outer Limits.
Hmmm... Buy USD on extended ZIRP?
OTOH, QE ends?
So traders are positioning into free USD cash to buy USTs
when they crash??? If the FED ain't buying USTs then obviously
thats a sell signal, so rates rise, bonds fall, and free cash mops up.
Then what???
Oh, and QE3, of course, can't become QE4???
Really???
Gold getting rocked again
You can always count on double 13% swings in the VIX on options expiration days. Just markets being efficient.
Here in Thailand there's a huge property bubble I live in a beachfront condominium six years old, 20% occupancy rate. Leading in Asia, I see this in almost every major city including the Philippines, Hong kong, Singapore, and just about anywhere in China. When this sucker blows watch out!