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Greek Bonds Battered As Dip-Buyers Rescue Greek Stocks

Submitted by Tyler Durden on 01/26/2015 09:22 -0400

The post-QECB euphoria in Greek asset markets was prognosticated by those who prefer to do such things as indicative that "the markets know something," positive about Sunday's (yesterday's) election... because markets are efficient and always 'price in' events (just like 1987, 2000, 2008 etc...). However, this morning ugliness in both Greek stock (especially banks) and bond markets suggests it was nothing more than algo-driven carry-inspired short-squeezes as both stocks and bonds plunged at the open. Stocks received the ubiquitous - well it's down so we better buy 'em treatment - but even that is fading as stocks catch back down to bonds' weakness, having unwound most of QECB's goodness...

Chart: Bloomberg

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Mon, 01/26/2015 - 09:27 | 5705664 flacon

Same BTFD in American stocks too.

Mon, 01/26/2015 - 09:27 | 5705667 Mohan

Redundant.

Mon, 01/26/2015 - 09:56 | 5705737 zorba THE GREEK

Not so much BTFD as PUMP & DUMP

The Fed and their minions are buying stock futures and dumping gold.

Mon, 01/26/2015 - 10:45 | 5705994 asteroids

We've seen this movie a hundred times. Futures plunge or markets tank as people get nervous and do rational thing (sell). But, mysteriously the markets get saved! Amazing, only a few days later to break down. Plung Protection Teams everywhere are bailing out the "boyz" allowing them to exit while unloading crap to BTFD muppets. I predict by the close of Weds, things may not be so pretty.

Mon, 01/26/2015 - 09:30 | 5705669 Dr. Engali

It won't be long before the newly selected Greek government shows up at the banker's doorstep hat in hand. Same as it ever was.

Mon, 01/26/2015 - 09:34 | 5705682 gatorengineer

Wont be long before Frau Merkel shows up at the greeks governments doorstep hat in hand.... They own the bank, if they have balls, and they just might, Germany eats 100 billion devalued Euros....

Mon, 01/26/2015 - 10:02 | 5705765 zorba THE GREEK

i heard a rumor that the new Greek government is hiring Al Sharpton to extort a financial bail-out

from the EU. Some of us Greeks can be pretty dark skinned especially the Laconians

Mon, 01/26/2015 - 09:32 | 5705679 youngman

Well there is a new 1.3 trillion in the markets..or soon to be...so you just frontrun that money....

Mon, 01/26/2015 - 09:36 | 5705689 gatorengineer

So you are going to front run a bond that has a NEGATIVE Yield, in the hopes that the yield goes more negative? A some point NIRP has to blow up, and when it does the Central banks are either going to take a huge loss or hold till coupon maturity... Sounds like picking up pennies in front of a steamroller to me.

Mon, 01/26/2015 - 09:34 | 5705684 SheepDog-One