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The Halloween Yen Massacre Sends Market To All-Time Highs

Tyler Durden's picture




 

Headlines:

  • USDJPY rose 2.7% today - biggest day in 18 months back to Oct 2007; +3.7% on the week - bighest week since Dec 2009
  • Nikkei +7.7% today - biggest day since March 2009; +10% on the week - biggest week since Dec 2009
  • Russell 2000's up over 6% - best month in 15 months
  • Russell +1.2% year-to-date
  • Nasdaq at March 2000 highs
  • 5Y yields up 12bps on the week - biggest increase in 6 months
  • 2Y yields up 11bps on the week - biggest increase in over 3 years
  • 5s30s flattened 10bps on the week - biggest flattening in 7 months
  • Silver -6.1% on the week - worst week in 16 months
  • Gold -4.7% on the week - worst week in 16 months

Perhaps the look on Jeff Cox's face sums up the day as talking head after talking head stepped up to reassure investors that the market is not beholden to central banks despite the most in-your-face example of it since the PPT in 2008.

Shorts were squeezed the most on the week since Dec 2011

 

Oddly, despite all the mainstream media hype, being "short" the weakest balance sheet companies (based on Goldman's "most shorted" index) has actually outperformed all major stock indices year-to-date...

 

But year-to-date bonds remain the biggest winners, silver the big laggard and the S&P up exactly the same amount as the USD....

 

October ended up being quite a month for stocks... best month for Small Caps in 15 months

 

And off the Bullard QE4 lows...

 

as the week's strength was all about fundamentals...

 

The day was odd to say the least - all the action occurred overnight and stocks actually faded off opening highs all day... until the close when we melted up...

 

As any question of sustainability was thrown out the window as VIX was heavily bid... until the late day when it melted up

 

HY Credit was not buying the exuberance either...

 

as stocks and bonds swung around each other...

 

Of course it was really all about USDJPY and Nikkei - that is a 1230 point rally in the Nikkei! and a 3 handle rip in USDJPY

 

Kuroda is happy

 

Nikkei's move since the FOMC in context

 

On the week, Treasuries closed higher in yield with a notable bear flattener... (30Y +2bps, 5Y +12bps)

 

The USDollar was strong all week, especially post FOMC as EUR and JPY weakness dominated

 

Commodities were weak as the US rallied but PMs were crushed...

 

Charts: Bloomberg

 

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Fri, 10/31/2014 - 16:10 | 5399601 chubbyjjfong
chubbyjjfong's picture

Fucking weeeeeeee!!!

Fri, 10/31/2014 - 16:12 | 5399612 nope-1004
nope-1004's picture

Inflate or die.  Was there anyone that thought they'd do otherwise?  They're certainly not going to admit defeat and default, like they should.

 

Fri, 10/31/2014 - 16:17 | 5399635 QE49er
QE49er's picture

October ASE sales through the roof!! 5,790,000.  Just updated.

https://www.usmint.gov/about_the_mint/index.cfm?action=PreciousMetals&ty...

Fri, 10/31/2014 - 16:39 | 5399697 Ness.
Ness.'s picture

I did my part.  I say a big fuck you to these crazy assholes but thanks for the sale.  Just bought 150oz in bars w/delivery at $16.60. 

Fri, 10/31/2014 - 17:39 | 5399816 Gringo Viejo
Gringo Viejo's picture

@Ness. Nice price. Bought a tube of Maples (I prefer them to Eagles) on ebay today. $20 a pop. But hey, it's fiat, right?

I'd pay $20 fiat to go to the zoo and watch the monkies throw shit at each other.

I'm buying all the way down. Doesn't matter. I'm taking care of my loved ones.

Fri, 10/31/2014 - 21:19 | 5400438 dirtyfiles
dirtyfiles's picture

and I bought a gilotyne little dusted and rusty but it may work if need it

and I feel good now

Fri, 10/31/2014 - 23:59 | 5400896 Rememberweimar
Rememberweimar's picture

Who the hell is SELLING metal at these prices...

Sat, 11/01/2014 - 00:29 | 5400960 Think Like A Crook
Think Like A Crook's picture

Wait and see if one of the games will be, get miners on the ropes, shutter operations, then the financiers buy up production facilities, juice price.  Voila....

Hope the fucking FRN dies before that.

Sat, 11/01/2014 - 10:45 | 5401449 DavidC
DavidC's picture

Metal, no one. Paper futures, cash settled, all the banks.

DavidC

Fri, 10/31/2014 - 16:20 | 5399647 ZerOhead
ZerOhead's picture

More like inflate and die...

 

Fri, 10/31/2014 - 16:42 | 5399707 disabledvet
disabledvet's picture

Financial kamikaze, banzai and seppuku all rolled into one.

I believe Great Britain is the largest foreign holder of Japanese debt.

Again...stay liquid, stay smart.

Fri, 10/31/2014 - 18:42 | 5399979 El Oregonian
El Oregonian's picture

YES!!! Backing up the truck!!! I LOVE it when I can buy my PM's on an incredible sale!!!

Fri, 10/31/2014 - 18:09 | 5399897 Hannibal Barca
Hannibal Barca's picture

They will not let them step down until they will destroy everything beyond repair.

Fri, 10/31/2014 - 18:28 | 5399930 ebworthen
ebworthen's picture

Yup, like Kyle Bass said Zimbawbwe has the best performing equity market, but your portfolio will buy you three eggs.

Japan better get to work on that $1 Trillion Yen keyboard shortcut symbol.

Fri, 10/31/2014 - 16:12 | 5399615 TheElder
TheElder's picture

The day AFTER the elections might be a very interesting day for the "markets"...

Fri, 10/31/2014 - 16:18 | 5399641 MsCreant
MsCreant's picture

This crap is going to keep on keeping on until supply chains fail.

Stupid has to hurt. There are no consequences, so they keep doing it. They are invincible.

Fri, 10/31/2014 - 16:32 | 5399664 ZerOhead
ZerOhead's picture

Japan is merely the experimental lab rat furthest down the QE maze and thus closest to the warfarin-laced cheese-prize.

Fri, 10/31/2014 - 16:43 | 5399710 Pumpkin
Pumpkin's picture

I keep thinking the same thing, but why the experiment.  Does anyone question the outcome?  Add in guns and then you have the American outcome.  One little difference changes a lot.

Fri, 10/31/2014 - 16:46 | 5399718 MsCreant
MsCreant's picture

Maybe they will let our nuke plants melt down without a solution too!

Fri, 10/31/2014 - 18:23 | 5399922 RockyRacoon
RockyRacoon's picture

We are on the same wavelength, Missy.  I wouldn't mind so much if only the elite suffered for their sins.  Unfortunately, it will be you and I who pay the higher price.

Fri, 10/31/2014 - 16:32 | 5399683 seek
seek's picture

It'll go on after the supply chains fail as well. That's when it'll really get crazy and you'll see the vertical lines on charts with log-log labels on the side.

Fri, 10/31/2014 - 16:47 | 5399719 MsCreant
MsCreant's picture

I think I need to think about that one for a while. It is a lot to take in.

Fri, 10/31/2014 - 17:24 | 5399790 seek
seek's picture

They only have one tool, printing. When they encounter problems they use it more, not knowing any better. We saw this play out in Weimar.

Fri, 10/31/2014 - 17:51 | 5399862 bbq on whitehou...
bbq on whitehouse lawn's picture

Weimar has a lot of help outside and inside, Japan is on its own. The people will just keep spending less untill they stop spending all together. Japanese and squeese a yen like nobodys business.

If Japan does break the yen it will all go sideways fast. But they dont want to break the yen just get people to spend money they will not spend. Old people dont spend much on anything other then healhcare and family.

Either the yen breaks for good or it goes back to 80. Abe will be shown the door and back to 80 the yen will go.

Sat, 11/01/2014 - 00:00 | 5400899 Rememberweimar
Rememberweimar's picture

Remember Weimar!

Fri, 10/31/2014 - 16:44 | 5399712 Wilcox1
Wilcox1's picture

Stupid doesn't hurt or even factor into the equasion when the nerve ganglia are all from the waist down

Fri, 10/31/2014 - 17:47 | 5399851 Calmyourself
Calmyourself's picture

Yes maam, it is all about the JIT isn't it..  Problem is America is full of ignorant violent lying scumbags many with guns, most don't shoot well and have 100 rounds to their name but still a problem for when the trucks stop..

Fri, 10/31/2014 - 18:32 | 5399942 Thanatos
Thanatos's picture

When will shit start going tits up?

JIT is great for dominos or zappos. I want a local stockpile of food and crops in process. Having some fossil fuel locally ready to harvest and in storage isn't a bad idea either.

If ya pick the right parts of the Country, you can have it too.

IMHO Its more like 12-16 rounds for the average ignoramus.

Enough to get stupid with.

 

Fri, 10/31/2014 - 16:22 | 5399643 Flying Wombat
Flying Wombat's picture

I've been thinking it will be more like the month or two after the elections that'll prove to be when fear returns.   The Republicans will likely take the Senate.  I think we'll have a couple more months of still further rising stock prices, because the Republican take-over will be seen as a positive, but more importantly, oil's dive over the last few months will give consumers a false sense of security to spend their brains out on credit cards this holiday season.  But no later than January, lookout.  Asset deflation forces in the financial sector, renewed fears of economic slowdown and the need to monetize debt will bring out the QE talk again.

Fri, 10/31/2014 - 16:24 | 5399661 coast
coast's picture

I agree wombat, but at the same time you are making sense and making common sense does not fit into the matrix..stop it or you will go to a FEMA camp!  :-)

Fri, 10/31/2014 - 16:29 | 5399662 SheepDog-One
SheepDog-One's picture

Gas price drop means around $20 extra per month for most people.

Fri, 10/31/2014 - 16:32 | 5399684 MsCreant
MsCreant's picture

Dunno, I know folks who commute 50-100 miles a day in big pickup trucks and SUVs and see it as "just how it has to be." Then their partner drives too, maybe the kids. I have not been to a gas pump in a while (I walk a lot to work and back), I am shocked at how low it is ($2.42, WTF?). Last I checked it was 3.70ish.

Fri, 10/31/2014 - 17:12 | 5399770 Almost Solvent
Almost Solvent's picture

Bingo - those households with low mpg vehicles will benefit way more than those plugin Prius asshats that take the subway. :)

Fri, 10/31/2014 - 17:29 | 5399804 CrazyCooter
CrazyCooter's picture

In one word; elections.

Let's see if it stays low in January ...

Regards,

Cooter

Fri, 10/31/2014 - 16:50 | 5399723 Flying Wombat
Flying Wombat's picture

The psychological impact of lower prices has a bigger impact on consumer confidence than the actual dollars saved.  Most people can't even balance their checkbook - or even know what one of those paper booklet things are, bygone era and all.  They don't really think much about the aggregate dollars saved.  But everyone jumps for joy seeing a $2 handle on the per gallon price (or low $3 buck range) because that's more easily recognized.  Hate to be cynical, but...

Fri, 10/31/2014 - 18:54 | 5400002 lotsoffun
lotsoffun's picture

considering they were printing roughly (here in the us) about $230 per person(every single person counted in the 320,000,000) every single month for 4 years - well, it's a drop in the bucket.  but - probably enough for them to feel rich enough again to simply credit card everything and anything they think they NEED to buy for the 'holiday' season.

the consumer is BACK as far as cnn sees this, and that means stocks rocket to the moon.  plus the mid-term elections (doesn't matter who wins, does it, simply that it occurs) + santa claus rally.  all stocks up at least 10% to year end.  12+% return on the year for the genius asset managers, and that obama and his team are clearly, brilliant.

/sarc - but i'm not joking about what stocks are going to do.  will i invest?  no.  but, i'm a jerk. (with 30 day holding period handcuffs).

 

Fri, 10/31/2014 - 16:30 | 5399675 Eternal Complainer
Eternal Complainer's picture

And a little Ebola thrown in for good measure to secure the QE deal!

Fri, 10/31/2014 - 16:17 | 5399636 Eireann go Brach
Eireann go Brach's picture

I bet the 4 foot 9 inch Yellen must be blowing Kuroda's 1.9 inch weiner in this picture!

Fri, 10/31/2014 - 16:32 | 5399680 Eternal Complainer
Eternal Complainer's picture

Eww -egad!

Fri, 10/31/2014 - 16:42 | 5399708 coast
coast's picture

take QE away and his dick will be 1/4" :-)

Fri, 10/31/2014 - 16:26 | 5399668 Bloppy
Bloppy's picture

He looks like a Bond villain. James, that is.

Fri, 10/31/2014 - 16:35 | 5399692 MsCreant
MsCreant's picture

The other kind too.

Fri, 10/31/2014 - 16:52 | 5399732 Fast Eddie
Fast Eddie's picture

He looks happy $$$

Fri, 10/31/2014 - 17:01 | 5399749 Mr Pink
Mr Pink's picture

Why didn't I buy the fucking dip???!! Cuz I'm a fucking idiot!!!

Fri, 10/31/2014 - 18:50 | 5399993 post turtle saver
post turtle saver's picture

ror

Fri, 10/31/2014 - 16:09 | 5399603 vmromk
vmromk's picture

Idiotic Japs.

Fri, 10/31/2014 - 16:14 | 5399627 angel_of_joy
angel_of_joy's picture

Suicidal. Must be in their genes... Remember their tradition: seppuku, kamikaze. Kyle Bass was right: the japs will crash first, and what a show will that be...

Fri, 10/31/2014 - 16:10 | 5399604 Squid Viscous
Squid Viscous's picture

How many yen to bitch slap Ron INsana?

Fri, 10/31/2014 - 16:11 | 5399614 Conax
Conax's picture

"as the week's strength was all about fundamentals..."

Dear me, those fundamentals again.

Fri, 10/31/2014 - 16:26 | 5399669 angel_of_joy
angel_of_joy's picture

Fundamentals of money printing, that is...

Fri, 10/31/2014 - 16:13 | 5399623 Silver Garbage Man
Silver Garbage Man's picture

Off topic but holy shit I just seen the update on silver eagle sales.....5.79 million for October.

Fri, 10/31/2014 - 16:15 | 5399624 Gringo Viejo
Gringo Viejo's picture

Great pic of Kuroda. Kind of puts a face to the madness.

Fri, 10/31/2014 - 16:17 | 5399629 Rainman
Rainman's picture

Good play ... you saved the metals chart for last. Oh, the horror ..

Does this level qualify for blood in the streets ?

Fri, 10/31/2014 - 17:28 | 5399630 Yen Cross
Yen Cross's picture

  Good Lord, Abezilla underling " Haruhiko Kuroda" seems to have lost the ability to shoot flaming ¥ out of his mouth.

  P.S. look at those high yield charts. We call that convergence.

Fri, 10/31/2014 - 16:17 | 5399634 toros
toros's picture

I've said it before and I'll say it again, Central Bankers shouldn't take MDA.

Fri, 10/31/2014 - 16:52 | 5399731 Whalley World
Whalley World's picture

MDMA got me feelin like a Champion

Fri, 10/31/2014 - 16:21 | 5399646 SheepDog-One
SheepDog-One's picture

When Bullard was talking about 'QE4' what he meant was Japan....musical QE's.

Fri, 10/31/2014 - 20:00 | 5400208 Bemused Observer
Bemused Observer's picture

But it has to be passed on to someone at least able to carry a tune...

Fri, 10/31/2014 - 16:21 | 5399650 CerpherJoe
CerpherJoe's picture

This is not going to end well ...

Fri, 10/31/2014 - 16:23 | 5399652 q99x2
q99x2's picture

BTFD Buy Gold Buy Silver Buy Buy BitCoin Last Price: $341

Fri, 10/31/2014 - 16:24 | 5399658 q99x2
q99x2's picture

Dude should check his diaper. That doesn't appear to be just any laugh.

Fri, 10/31/2014 - 16:35 | 5399688 Wilcox1
Wilcox1's picture

Thats his last laugh

Fri, 10/31/2014 - 16:31 | 5399678 Ignorance is bliss
Ignorance is bliss's picture

I wonder how the Japanese feel about their new third world status?

Fri, 10/31/2014 - 16:31 | 5399682 we built this city
we built this city's picture

This year has been the worst year i had ever had in my 23 years  as a trader and investor

 

Lost so far 10% on the portfolio

nothink works for me

I am short : Dax,S^P,Russel2000,Indian mrkt, Biotechnology and some individual stocks such as Gpro,Tsla,Amzn and Twtr and Japan from today at 16750

 

Things  that used to work for me dont work any more.

This is so frustrating and so far I see no silverling for me.

Fighting these crazy central bankers looks like suicide so far

Fri, 10/31/2014 - 16:58 | 5399724 Keltner Channel Surf
Keltner Channel Surf's picture

I suspect you’re not the only one.  Not only have algos nullified many past winning strategies, but front-running of today’s news may explain the odd recent action, for when central bankers coordinate, leaks are inevitable.  

The most difficult thing is to adhere to methodology even when you strongly disagree with the antics of these largely unelected finance leaders.  It’s folly to fight them, and the recent ramps makes one suspect it’s propelled by shorts given the odd volume patterns.  It’s so tempting to say “this is madness” and get short on opens like today, but there’s nothing to collapse the balloon when they’re all in cahoots.  

Traded very foolishly myself this week, fucked my whole month, but the only thing to do is forget it by Sunday night, and realize the forum to fight these bastards is not within your trading account.  Psychology always the hardest part of trading, that won’t change.

Sat, 11/01/2014 - 00:35 | 5400972 Think Like A Crook
Think Like A Crook's picture

Good post.  My question to you is, for next week, are you with them?

My thoughts are, too steep of an incline for SPY right into previous highs.  I'm not saying a double top.  BUT, it seems some backfilling is in order.  The problem for me is that moves that used to take 3-4 to play out, essentially happen in hours now.  This activity in my opinion has a shelf life, ie, this mofo will crash at some point.

 

Sat, 11/01/2014 - 08:08 | 5401256 Keltner Channel Surf
Keltner Channel Surf's picture

Given the crazy issues cited daily on these pages, I gravitated to pure daytrading (100% cash by 4:00), as it seems any longer term, intellectual approach is faded by the algos.  

It took me years to find a framework that works, but on 'extreme' days (e.g., when we gap open above every moving average), I often fall back into the rookie mistake of trying to fade.  There's no fading a massive short massacre, as large buy orders are waiting every few pennies down by our hemorrhaging brethren. 

Also need to stop whenever something feels "funny", and I'm convinced the BOJ news was front-run, especially Tuesday's Russell non-stop ramp without even a few penny pullback for 6 hours, as well as strange action Wed and Thurs, a constant, low-level bid every 5 minutes.  It definitely wasn't the Fed -- if that was the worry we'd have taken out the FOMC days' highs/lows in the first 15 min before a stronger post-2:30 move, and it was the quietest Fed day YTD.

Fri, 10/31/2014 - 16:55 | 5399739 farmboy
farmboy's picture

just do opposite what is "smart" or "right"  Unfortunately I cannot do it too :) I have no stomach to walk into the fire.

So then just do not play until this shit blows up. Today the doomed car of central banking racing for the wall just shifted a gear higher.

 

Fri, 10/31/2014 - 16:34 | 5399685 wmbz
wmbz's picture

This is just the starting gun, we ain't seen nothing yet!

This shit storm has been brewing a long time and the real match has been lite now. Next up, not a mere few trillion... Quadrillion is on deck baby, these bitches won't stop until the whole mother fucker goes up in literal flames.

Bukle up!

Fri, 10/31/2014 - 16:34 | 5399689 Bell's 2 hearted
Bell's 2 hearted's picture

can't wait till the markets FINALLY figure out this will crush S&P earnings ... and capex spending

 

Got Recession?

Fri, 10/31/2014 - 16:38 | 5399696 Bell's 2 hearted
Bell's 2 hearted's picture

OCC this week gave ANOTHER warning on subprime auto lending going sour

 

won't be long

Fri, 10/31/2014 - 16:42 | 5399706 Squid Viscous
Squid Viscous's picture

what's OCC? thanks...

Fri, 10/31/2014 - 16:49 | 5399721 Bell's 2 hearted
Bell's 2 hearted's picture

Office Comptroller Currency

 

deputy's speech tuesday

http://occ.gov/news-issuances/news-releases/2014/nr-occ-2014-146.html

Fri, 10/31/2014 - 16:39 | 5399698 Fuku Ben
Fri, 10/31/2014 - 16:38 | 5399701 polo007
polo007's picture

According to Natixis FICC Research:

http://personal.crocodoc.com/SU8Hy8u

In reality, central banks control only the prices of the assets they buy directly

When a central bank buys an asset directly (often government bonds), it drives up the price of this asset, the demand for which increases.

But the prices of the other asset classes increase only if the economic agents that have sold the first assets to the central bank use the money received to buy these other asset classes.

This transmission of increases in asset prices to all asset classes is therefore unstable, since it depends on the behaviour of investors and savers. Since 2012, we have seen that central banks’ purchases first led asset sellers to buy risky assets (equities, corporate bonds), whose prices rose. But in the recent period, the rise in risk aversion has turned them away from risky assets, whose prices have fallen, and they have invested the money received from the central bank in risk-free assets.

There is therefore no stable monetary policy "risk channel"; the only asset prices that are controlled by central banks in the longer run are those of the assets that central banks buy directly. This could in the future push central banks to buy riskier assets if they want to change their prices in a stable manner.

Central banks’ asset purchases have a direct impact on the prices of these assets

When a central bank buys financial assets, it increases demand for these assets, which directly drives up their prices.

This occurred with purchases of Treasuries and ABS in the United States (Charts 1A and B) and with government bonds in the United Kingdom and Japan (Charts 2A and B), and with the announcement of covered bond purchases in the euro zone (Chart 3).

But the impact of the central bank’s asset purchases on other asset classes is uncertain

- The central bank buys assets (especially government bonds, Charts 1A, 2A and B above).

- It pays by creating money (Chart 4).

- The economic agents that sell assets to the central bank use this money to buy other assets. But they have a free choice: a quantitative easing policy will drive up the prices of the assets that economic agents choose to buy, not the prices of the others.

- We also saw from 2011-2012 until the spring of 2014:

• A tightening of credit spreads (Charts 5A and B, 6A and B);

• A rise in the stock market (Charts 7A and B, 8A and B).

- But investors’ risk aversion has risen since the spring of 2014, (Charts 9A and B): they no longer buy risky assets and the prices of these assets have corrected downwards, whereas long-term interest rates on risk-free government bonds have fallen sharply (Chart 3 above, Charts 10A and B).

Conclusion: The risk channel is not robust

The transmission of the rise in the prices of the assets the central bank buys directly to a rise in the prices of other assets is therefore unstable, since it depends on investors’ attitude and their risk aversion.

The "risk channel" is the mechanism through which the central bank’s monetary creation drives down risk premia.

We have seen that this mechanism is unstable: it functions only if economic agents use the money created by the central bank, in exchange for purchases of risk-free assets, to buy risky assets.

If their risk aversion rises, this mechanism disappears - and so does the risk channel. In that case, the only remaining possibility for the central bank is to buy risky assets directly if it wants to drive down their prices.

Fri, 10/31/2014 - 16:41 | 5399704 Pumpkin
Pumpkin's picture

That is one happy chink. I'm sorry, I mean jap.

Fri, 10/31/2014 - 16:45 | 5399715 MsCreant
MsCreant's picture

When you have a power plant in ongoing meltdown...

When your aging population is overwhelming the system...

When you are decades into QE, anyway...

When 39% of Japanesse women and 36% of Japanesse men don't want to have sex...

The great philosopher, Hillary Clinton, summed up Kuroda's position best:"What difference does it make?"

Fri, 10/31/2014 - 16:45 | 5399716 Hamm Jamm
Hamm Jamm's picture

koruda looks like he's "snapping off" in that picture !

getting off on QE

 

friggin messed up shit, forsure

Fri, 10/31/2014 - 16:52 | 5399728 zenon
zenon's picture

There is something very demented with finacial markets the past few years. Gold has basically been falling since the onset of QE3 on the supposed realization that QE is not inflationary. Stocks on the other hand have rallied immensly as they are the direct beneficiaries of QE. So the Fed decides finally to put a stop to QE and what happens? Stocks rally back to the previous highs while gold takes a further bath. How could it be that something that benefits form QE is not affected from its termination while something that does not is hurt? If that is not enough, today the BOJ increased considerably the size of their QE sending the Yen reeling. Gold takes a further hit on the all-powerful correlation of gold to the Yen. Never mind that Japan is a minor buyer of gold. never mind also that the world's 3rd largest economy is going into full ponzaification. It's the correlation that counts.

All this says to me 2 things. First, there is an economic  war going on between the US (and its subserviant nations) and the BRICS which the west is winning (for now). If you are in the first team you get to enjoy low interest rates and stable currencies. Smashing gold gives the zero-yileding currencies of the west further credibilty. The BRICS get the wrong end of the stick namely high interest rates and falling currencies. Second, the level of lunacy in the markets is at such an extreme that I think we are near the end of this madness.

Fri, 10/31/2014 - 16:56 | 5399737 FieldingMellish
FieldingMellish's picture

Next stop for gold $1050 and then a little bounce. Silver $15 and the same. On their way to sub $1000 and sub $10. Yen first, then Pound, then Euro... King Dollar will be the last man standing.

 

This is not the end, nor the beginning of the end, its not even the end of the beginning.

Sat, 11/01/2014 - 00:38 | 5400974 Think Like A Crook
Think Like A Crook's picture

I happen to disagree with you.  But would like to hear your reasoning, you never post that.  Are you just pulling numbers out of your ass like the rest of us?

Fri, 10/31/2014 - 17:05 | 5399753 Bemused Observer
Bemused Observer's picture

Why would anyone even accept yen for payment for anything? Except for taxes, anyway.

And what kind of nation uses a currency that makes routine purchases involve such huge numbers? Pick something bigger, what is WRONG with these people? And they want to devalue it, so the numbers are even bigger still...
Fuck you Japan. Fuck your too-proud-to-admit-they're-wrong leadership, and fuck your too-stupid-to-do-anything-about-it people.
And fuck your stupid anime cartoons too. And while I'm at it, fuck that zippy pop-music with the shrieky Alvin and the Chipmunks-sounding pre-pubescent girl singers...

Fri, 10/31/2014 - 17:27 | 5399794 JDFX
JDFX's picture

See if the markets consolidate at these highs, or if it's the mother of all timely mark ups the big dicks offload into. I mean , perfect time for Ebola to take hold of western economies , and at least that'll be a feasible out for the bankers/ governments, as they blame ebola for the mother of all economic collapses in western cities.

I mean, not as if we're seeing any dodgy quaratine practices with a level 4 contangion about to blow about the shopping malls is it ? 

 

We blame the coming ebola pandemic for the collapse of our world economies..... 

 

 

 

 

Sat, 11/01/2014 - 00:41 | 5400981 Think Like A Crook
Think Like A Crook's picture

Yes indeed.  I still think this is a plausible scenario.  The recent (bullshit) rally has now given anyone who needed to be out, out.  It has also taken pressure off of the administration just in time for the elections.  Yes indeed, ebola would be a good stool pigeon to blame the collapse on.  18 trillion in debt and a stated 4 trillion (who knows what it really is) in Fed balance sheet increase, no those are not the reasons...it's ebola, you fucking dumb serfs.  ABC news, CNBS said so.

Fri, 10/31/2014 - 17:30 | 5399810 SillySalesmanQu...
SillySalesmanQuestion's picture

That was some true chart porn!
I think I have a stiffy....

Fri, 10/31/2014 - 17:36 | 5399824 world_debt_slave
world_debt_slave's picture

today Japanese have no honor, thus no seppuku, but a fuck you!

Fri, 10/31/2014 - 18:40 | 5399971 Pretty Vacant
Pretty Vacant's picture

stupid dip buyers. will they ever learn? 

Fri, 10/31/2014 - 18:42 | 5399978 gatorengineer
gatorengineer's picture

Much of today's shit show was based on the assumption that this gives Draghi enough muscle to push the Germans.  I don't see Germany folding yet.   This coupled with fiscal gridlock if the Republicans win the Senate and next week might bring some cold water.   If bubba folds and the dems hold could be 2200S&P.

Fri, 10/31/2014 - 18:45 | 5399983 yogibear
yogibear's picture

Round-robin QE to infinity. The US Fed, ECB and then the BOJ.

Expect QE4 to QEn. Until the dollar blows up. The Yen blows up first.

Sat, 11/01/2014 - 11:32 | 5401520 Last of the Mid...
Last of the Middle Class's picture

I'm sure it was done to make their goods and services more affordable to the rest of the world and will result in huge infrastructure commitments in order to keep up with demand. Certainly not to cover the asses of the wealthy who have made horrible investments.

Sat, 11/01/2014 - 18:43 | 5402423 cart00ner
cart00ner's picture

Jap wanders into an aussie echange to swap his yen for $ and is impressed by the amount he gets, so happy that next day he returns with a buddy, but this time they only get half as much. "hey how cum we get less money today?" "Fluctuations the teller explains." "Well fluck u aussies too!"

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