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Here We Go Again: US Equities Surge Even As Chinese Stock Market Rollercoaster Tumbles To 8 Month Low
It seemed like finally China's relentless and increasingly futile attempts to have a green stock close would work: interest rate cuts, liquidity injections, direct stock interventions, even threats on the Prime Minister's head, and just to make certain moments before the close news very deliberately broke that government funds are buying large financial stocks, especially state-owned banks, to support the index, in the latest clear signs of government support, the Shanghai Composite seemed on pace to end an unprecedented series of consecutive tumbles which have dragged the composite down nearly 1000 points, or 25% in one week, and then... red close, with the SHCOMP down 1.3% to 2927, and a stunned China watching in horror as the central bank and government lose control, and everything they throws at the biggest market bubble of 2015 does absolutely nothing.
Well, not nothing: what was a 60% stock market gain for the year on June 12 has turned into a -8% rout two months later.

Here are the cliff notes: the Shanghai Composite today has been up 1%, down 3.5%, up 4%, down 1.5% and closed down 1.3%. As Bloomberg's Richard Breslow noted, the composite is the poster child for and magnified image of how all sorts of assets have moved.
"The PBOC has serially announced aggressive and long-lasting market support measures, a cessation of support measures pending further study, a devaluation with murky explanation, a belated rate cut, followed up with ’’the recent interest rate and reserve requirement ratio cuts don’t represent a shift in China’s prudent monetary policy.’’ It isn’t just about a bubble being burst."
Actually it is: this is precisely what an asset bubble, which grew with everyone's blessing looks like, when all control is lost. For now, however it is all in the BOJ's hands, whose support of the USDJPY is all that is keeping the world from falling apart.
Here is a snapshot of tthe biggest selected cross-asset moves overnight:
- Equities: Nikkei 225 (+3.2%), Stoxx 600 (-1.7%)
- Bonds: German 10Yr yield (-8.4%), French 10Yr yield (-5.7%)
- Commodities: LME 3m Copper (-2.4%), LME 3m Nickel (-1.9%)
- FX: Euro (-0.5%), Yen spot (-0.5%)
- U.S. mortgage applications, durable goods data due later
- FTSE 100 down -1.5%, CAC 40 down -1.6%, DAX down -1.5%, IBEX 35 down -1.6%, FTSE MIB down -1.6%, S&P 500 futures up 1.3%, Euro Stoxx 50 down -1.7%
Elsewhere in Asia stock markets saw volatile trade as the region digested the PBoC rate cuts, however, aside from China, stock were seen higher across the board. This comes despite some analysts suggesting the cuts could be too little too late , reports that China raised fees and margin requirements for stock index futures trading and the S&P 500 closing lower by 1.35%. Nikkei 225 (+3.2%) led the region higher. 10yr JGBs (+4 ticks) and T notes (+15 ticks) were supported amid volatility in Asian stock markets.
Price volatility across various asset classes failed to be contained by yesterday's actions by the PBOC, which in turn resulted in European stocks opening lower across the board (Euro Stoxx: -1.4%), while Bunds subsequently gained on safe-haven related flows and moved above the key 100DMA line at 154.02 , with City suggesting buying Bunds as sell off is not part of a bigger correction. As a result of the safe-haven related flows, peripheral bond yield spreads widened, albeit marginally, as any upside there was likely contained by the growing likelihood of dovish ECB and bond buying.
Despite coming off the lowest levels of the session, stocks remained pressured by the ongoing underperformance in energy and materials sectors, with copper and other base metals trading lower overnight, as it remains to be seen whether the actions by the PBOC will spur an economic rebound. At the same time, EM sensitive stocks were particularly sensitive to the sell-off, with the likes of SABMiller down 3%, Standard Chartered down 2% and Antofagasta down nearly 3%.
US equity futures have continued their ridiculously volatile moves, and after tumbling by over 1% overnight, were set to open higher by over 2% driven by what appears to have been another BOJ/GPIF-driven surge in the USDJPY. Where have we seen this before? Oh yes, yesterday! Let's see if today we get a different outcome than yesterday's biggest intraday bearish reversal since Lehman.
WTI and Brent head into the North America crossover fairly flat after yesterday saw a higher than previous drawdown in API inventories (-7.3mln, prey. -2.3mIn), with sources suggesting that cushing inventories are little changed. Meanwhile, the metals complex has seen a continuation of the recent bearish trend, with many suggesting that the PBoC action is focused on the stock market as oppose to the economy as a whole, seeing precious metals generally in the red today.
Of note palladium remains in the red today after weakness yesterday saw the metal fall as much as 8% to reach 5 year lows after seeing 13 year highs last year. Palladium is generally used in gasoline engines and as a result is heavily exposed to both Chinese and US markets, with the former being the fastest growing and largest vehicle market and making up 20% of global palladium consumption. Palladium has also been weighed on by South African PGM production data yesterday, which was much higher than June and has now returned to normal levels after of 2014's 5 month strike.
Today's highlights include latest US durable goods orders, weekly DOE inventories data, comments by Fed's Dudley and the US Treasury will auction off USD 13bIn in 2y FRNs, as well as USD 35b1n in 5y notes
Market Wrap:
- Asian stocks rise with the Nikkei 225 outperforming and the Hang Seng underperforming
- Nikkei 225 +3.2%, Hang Seng -1.5%, Kospi +2.6%, Shanghai Composite -1.3%, ASX +0.7%, Sensex -1.3%
- German 10yr yield down -6bps to 0.67%, Greek 10yr yield down -4bps to 9.45%, Portugal 10yr yield down -6bps to 2.67%, Italian 10yr yield down -4bps to 1.95%
- Credit: iTraxx Main up 1.9 bps to 75.17, iTraxx Crossover up 2 bps to 345.99
- FX: Euro spot down -0.53% to 1.1456, Dollar index down -0.2% to 94.338
- Commodities: Brent crude up 0.1% to $43.25/bbl, Gold down -0.5% to $1134.3/oz, Copper down -2.4% to $4941/MT, S&P GSCI down -0.3%
Bulletin headline summary from Bloomberg and RanSquawk:
- Price volatility across various asset classes failed to be contained by yesterday's actions by the PBOC, which in turn resulted in European stocks trading lower across the board
- The USD-index continues to pare back some of its black Monday losses and resides firmly in the green ahead of the North America crossover
- Treasuries decline amid gains in U.S. stock-index futures, steady oil; week’s auctions continue with $35b 5Y notes, WI 1.440%, lowest since April, vs. 1.625% in July.
- Chinese police are investigating people connected to China Securities Regulatory Commission, Citic Securities and Caijing magazine on suspicion of offenses including illegal trading and spreading false information, Xinhua reported yesterday
- Xinhua also called for efforts to “purify” the markets and carried remarks by a central bank researcher attributing rout to expected Fed hike
- Shanghai Composite Index fell 1.3% after rising as much as 4.3%; has plunged more than 40 percent from its peak, after concerns over the Chinese economy helped snap a months-long rally encouraged by state-run media
- The European Central Bank is becoming more aggressive in trying to procure ABS after its purchase program drew criticism from investors and traders disappointed by its reach
- Merkel will head this afternoon to Heidenau, the eastern German town near Dresden where anti-immigrant riots erupted last week, while President Joachim Gauck is visiting a Berlin shelter in the morning
- Turkey’s governing AK Party would fail to regain its majority in a repeat election were it to be held now, according to the most accurate pollster for the ruling party’s vote before June’s inconclusive election
- No IG or HY deals priced yesterday. BofAML Corporate Master Index holds at +172, widest since Sept 2012; YTD low 129. High Yield Master II OAS -28bp to +590 from +614, widest since July 2012; YTD low 438
- Sovereign 10Y bond yields lower. Asian stocks mixed, European stocks fall, U.S.equity-index futures higher. Crude oil little changed, gold and copper lower
US Event Calendar
- 7:00am: MBA Mortgage Applications, Aug. 21 (prior 3.6%)
- 8:30am: Durable Goods Orders, July, est. -0.4% (prior 3.4%)
- Durables Ex Transportation, July, est. 0.3% (prior 0.8%, revised 0.6%)
- Cap Goods Orders Nondef Ex Air, July, est. 0.3% (prior 0.9%, revised 0.7%)
- Cap Goods Ship Nondef Ex Air, July, est. 0.4% (prior -0.1%, revised 0.3%)
- 10:00am: Fed’s Dudley speaks in New York
- 1:00pm: U.S. to sell $13b 2Y FRN, $35b 5Y notes
- 7:00pm: Bank of Japan’s Kuroda speaks in New York
DB's Jim Reid completes the overnight recap
Yesterday we reiterated our view that the plates were likely to be spun again pretty soon by central bankers and lo and behold we saw a China rate cut and lower reserve requirement ratios which initially helped lift markets which were already bouncing through the early European session. However a late reversal in the US saw a 4.1% sell-off in the S&P 500 from the highs around the European close. Overall the index closed -1.35% and basically ended down at Monday's intra-day lows when chaos ensued at the open.
Following on, China has seen another volatile morning session in reaction to the PBoC easing. As we hit the break, the Shanghai Comp is +0.80%, but that’s having passed between gains and losses 8 times already with a high-to-low range of 5%. The market seemingly unsure as to how to react. The CSI 300 is +1.68% while the Shenzhen is down 0.23% after similar huge swings this morning. Elsewhere it’s generally a better start across much of Asia. The Nikkei has climbed +2.21% along with a +2.19% rise for the Kospi, while there are gains also for the Hang Seng (+0.18%) and ASX (+0.34%). Aside from further turmoil for the Malaysian Ringgit (-0.95%), it’s been a better start for most EM currencies while US equity futures are more or less unchanged. Treasury yields have ticked up another basis point while Oil markets are off to a modestly better start (+0.5%).
A bit more detail on China’s easing move yesterday. In terms of the cuts, the PBoC cut the benchmark interest rates by 25bps and the RRR by 50bps, while at the same time also removed the ceiling on interest rates for term deposits with maturities greater than one year. DB’s Chief China Economist, Zhiwei Zhang saw the cuts as broadly in line with his expectations, but of more surprise to Zhiwei was that the cuts took place yesterday evening rather than over the past two weekends. In his mind this suggests that the cuts were likely triggered by the financial market turmoil in China as well as overseas, rather than the weak economic data or capital outflows. Zhiwei continues to forecast for another RRR cut this year (and biased towards Q4) but no further cut to the benchmark interest rate. This view is based on Zhiwei’s growth outlook which he highlights may now stabilize, although acknowledges that the risks are tilted to the downside. Interestingly the PBoC press release yesterday did mention that monetary policy will become more flexible in the future and so suggestive that policy will become more data dependent.
After Tuesday's sharp declines (Shanghai -7.63%) there were also headlines suggesting that China hadn't intervened in the stock market of late and alongside the interest rate move this could be interpreted as a sign that their focus has moved from trying to get in the way of a bubble bursting to trying to ease economic conditions.
So despite more huge falls in China on Tuesday (as well as Japan), the rebound seen elsewhere in the region helped fuel a decent rally through the European session and for most of the US session. European equity markets had already rebounded some 3% prior to the PBoC announcement, but that spin of the plate helped to nudge markets up further in the session as we saw the Stoxx 600 close up +4.20%, along with similar gains for the DAX (+4.97%), CAC (+4.14%), FTSE MIB (+5.86%) and IBEX (+3.68%). Along with the S&P 500, there were similar moves lower for the DOW (-1.29%) and NASDAQ (-0.44%) also, meaning we’ve now seen six consecutive daily declines for US equities while Tuesday’s reversal from the highs was the biggest one-day correction since October 29th 2008. Putting these latest moves into perspective, the S&P 500 is now less than 20pts off of where it was at the end of 2013, or just 1% away from erasing the gains since then.
It wasn’t obvious what changed sentiment late in the US session last night. Most of the wires are pointing towards the initial optimism on the back of the PBoC easing breaking down and swiftly turning to apprehension that the move will fail to bring a sense of calm to markets there. Other commentary is pointing towards a bout of profit taking in the brief period of respite. So an unexplained move which no doubt was exacerbated by August liquidity levels. The turnaround in sentiment was also evident in US credit where we saw CDX IG tighten by as much as 5bps at one stage intraday, only to then selloff into the close and finish more or less unchanged.
Treasury yields also saw a late turnaround, with yields dropping some 6bps lower into the close but still up 6.8bps on the day at 2.072%. Prior to this, sovereign bond yields in Europe saw a decent leg higher, led by a 13.8bps move higher for 10y Bunds in particular. The US Dollar recovered some of the previous few days’ losses with the DXY finishing +1.28% while the Euro declined off its recent highs. Oil markets were choppy meanwhile, but overall closed with reasonable gains as WTI and Brent finished up +2.80% and +1.22% respectively while there were decent gains also for Aluminum (+2.37%), Copper (+2.30%) and Zinc (+1.82%).
The dataflow is something of a sideshow to the moves in equity markets at the moments but in truth it was mostly a mixed bag in the US yesterday. The S&P/Case Shiller house price index pointed to a small decrease in house prices in June (-0.12% mom vs. +0.12% expected), while the FHFA house price index printed a tad below expectations (+0.2% mom vs. +0.4% expected). New home sales in July were, although coming in below consensus, still strong (+5.4% mom vs. +5.8% expected), lifting the annualized rate up to 507k from 481k in June. The notable surprise in the data yesterday came in the form of the August consumer confidence print, which rose 10.5pts to 101.5 (vs. 93.4 expected), the second highest reading in eight years and reflective of the improved job market and lower oil prices leading up to the recent downturn in the equity market. Elsewhere, the flash services PMI reading for August declined 0.5pts to 55.2 (vs. 55.1 expected), while the August Richmond Fed manufacturing index was weak, having fallen 13pts to 0 (vs. 10 expected) and the new orders index slumping 16pts to 1.
Elsewhere, dataflow in Europe yesterday and specifically in Germany was relatively upbeat. In particular there were positives to take out of the August IFO survey which showed a 0.3pt rise to 108.3 (vs. 107.6 expected). While the expectations survey was left unchanged at 102.2, the survey of current conditions showed a 0.9pt rise to 114.8. Meanwhile Germany’s final Q2 GDP reading was left unchanged at +0.4% qoq and +1.6% yoy. Meanwhile, the ECB’s Constancio, speaking yesterday, reiterated the stance that ECB’s Governing Council ‘stands ready to use all instruments available within its mandate to respond to any material change to the outlook for price stability’.
The ECB Vice-President also played down the recent volatility in China, saying
that country’s stock market is ‘not so connected’ to activity on the ground.
Taking a look at today’s calendar now, it’s a quiet start in the European timezone this morning with just UK CBI reported sales for August due. There’s important data due out in the US however where we get July durable and capital goods orders data with lower energy-related capex and high inventory levels likely to weigh on the headline reading for the former in particular. Of more interest today and particularly in light of the subtle hints at a push back in timing from Lockhart on Monday could be the Fed’s Dudley speaking in NY later today (expected to be around 3.00pm BST), with Q&A scheduled for after.
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Oh PPT.....live forever.
Seriously -- what is the point of a "market" when the two choices are
1) Go Higher
2) Get nationalized.
Fuck the central planners. Now I understand why Jesus, the peaceful guy he was, lost his mind with the money changers.
Right now they are just messing up the futures, aren't they?
Not enough firepower to buy up the whole market.
Yesterday closing gave me some "hope".
This is going to be the smart money's only opportunity (last hour) to exit the market in large chunks.
If they start dumping inventory are 2 PM or so then the circuit breakers kick in, and the PPT needn't be bothered, but it also suspends trades, you need to get in after the circuit breakers cannot kick in anymore to offload your stuff onto the PPT, as that is TBTB's only option in the last hour of trading.
"Sufficient unto the day is the evil thereof" - Matthew 7
This might end well and busted.
PArdon, 6.
Futures are about to un-suge in a few minutes now.
Praise the Lord!
It's time for responsible adults to be looking at time-tested safehavens for their wealth:
https://localbitcoins.com
It's time for you to STFU again Fonerats
Time for vous people to meditate on why you were born luddites.
Get out of paper markets! Get ready for the major collapse. It's coming! You can thank the Fed for these bubbles that are bursting.
Rand Paul is the only candidate that is anti-fed, pro free markets. He needs to get this message out! We need to make sure the bankers take the blame for this meltdown, not China, not Iran, and not some future event that they may plan.
That's what half of the sales of my candles with silver coin prizes: https://www.etsy.com/shop/ScentSavers?ref=hdr_shop_menu, now through September 7th will go to Rands moneybomb.
Help spread the message of sound money and support the only candidate in the crowded field of statists expose the corruption of the Fed and their political puppets.
No need to panic or move to the mattress. The Negrotiator has established the MyRa in which to safeguard your retirement savings via guaranteed US .gov Treasuries, with a guaranteed positive 0.05% annual nominal return. MISCHIEF MANAGED!
Government garunteed! Yeah, the government has never broken any promises before. Those investments are 100% safe and insured. Haha. We all know better than that by now, right?
Well The US POG Fuck Continues!
It's The Main Trick In The Usual Playbook...
Kill Paper GOLD and Magically The Virtual Paper Rises From The Dead...
Oh you'll get your 3% or whatever they promised. Of course 3% of a dollar that is worth 50% less is than when you earned it well, all the better for .gov.
Today's activity so far could be a precursor to a QE4 announcement. Insiders getting long equities and the PM slam has a familiar stench.
Its the not so smart money.
The real smart money started getting out right after new year.
Won't just be the muppets that get sheared this time.
… that’s why it’s coming so slow & painful -- the ones who are being ruined were supposed to be “smart enough to know better.”
Yeah, the smart money is not in paper markets at all. It's the insider money that you have to watch. Once they pull the plug, itsball over for the stawks.
The currency wars are really heating up. Get out while you can!
http://nymag.com/news/intelligencer/43342/
Among the revelations of last week’s market panic: We’re still not allowed to know anything about the President’s Working Group on Financial Markets, which springs into action during times of crisis.
Don’t ask what its members do or how they do it—even if you’re Hillary Clinton. Tuesday morning, in a press conference about the “global economic crisis,” she asked that the president call in these Über–Masters of the Universe, if he hadn’t already. (The PWG doesn’t have a spokesperson, and it doesn’t keep minutes of its meetings.) Only the Journal bothered to print White House spokesman Tony Fratto’s brush-off: “We don’t announce meetings or conference calls of the PWG.”
”Treasury Secretary, Fed chief, and the chairmen of the SEC and the Commodity Futures Trading Commission are its only known members.
"it's a big club, and you ain't in it"...
lost his mind with the money changers.
My favorite story of the Bible.
Sometimes you just gotta whoop a little ass.
WWJD --
Does this mean I could burn down a bank branch or two, and in the eyes of God its okay?
This just in: you're not Jesus.
Touche.
Praying the fuckers burn to the ground: frowned upon, but forgivable. :)
Yes, its almost as good as a few indulgences. worth about 25 Hail Marys or 50 Our Fathers. Shaves a few years off Purgatory sentences to boot.
Cathoholics are funny. Some guy in a funny hat graduates from pedo school to get the big hat and HE gets to decide things about YOUR soul. Funny stuff.
"Does this mean I could burn down a bank branch or two, and in the eyes of God its okay? "
Jesus when right to the Temple.
Equivalent would be...
But it was one of his most pissed off moments that you can remember most distinctively & in the temple at that.
"Now I understand why Jesus, the peaceful guy he was, lost his mind with the money changers. "
Jesus didn't lose his mind: he found his balls.
WWJD?
What is the modern equivalent to marching in and kicking over their tables?
-Uh huh: that's right!
or showing them now
There's nothing I don't like about that comment, Haus.
"and the meek shall inherit the earth."
Ever tried to pickup a meek little mouse? They scramble to get away but once you have them and they cannot run, they bite.
Cannot understand the fuss
China's market went up 100% if down 60% it's still up 40%
Do they think it can keep going up 100% each year?
And why did it go up that high in the first place....................greedy debt infested stock bubble............Tulips come to mind
You can have your stock market growth to 100% in one year or twenty. Takes your pick! One is for real, and one is for show.
It is the cascading selloffs required to meet margin calls on top of currency devaluations that will crush the average bear. All stops must be pulled to stop the descent.
So yeah, the market is still up big but you are no longer allowed to sell. Enjoy the winning.
Math is hard for investors.
100 x 2 (up 100%) = 200
200 x .4 (down 60%) = 80
Down 20%.
Yes you are correct if you baught in at the 100
I had not looked at the numbers was just quoting what I have read.
The ones that got in at the top...........................have lost big time
House buyers in 2008 etc in the same boat ..................no PPT to save them
Trees donot grow to da moon........................
AND you risk prison time if you even sell.
Basic arithmetic: Start with $100. Gain 100%, you now have $200. Lose 60%, you now have $80. Profit!
$20 LOSS
You then advertise your +40% "average annual return" for the past two years and attract new investors to your hedge fund.
yeah yeah, everyone got in on Oct 14 2014 and is still up 20%... riiiiiiight... because Chinese retail investors are soooo savvy that way...
https://www.google.com/finance?chdnp=1&chdd=1&chds=1&chdv=1&chvs=maximiz...
most of them took a pretty big haircut given the timing... you understand the fuss yet or should I continue?
history doesn't repeat, but it does rhyme...
https://en.wikipedia.org/wiki/1997_Asian_financial_crisis#United_States_...
the difference between the US and China is that the US a) has seen this already, b) has a playbook for it, and finally c) is tightly integrated with Japan and Europe so that controls can be thrown up when these "Asian flu" outbreaks occur...
China, you are not ready for this... you're just going to have to accept the fact that running the world is the US' job (for now, admittedly) and go back to taking care of your own people... you can't copy your way to #1
and as for the rest of you in the "BRICS" acronym... all I can say is, who's your daddy... go on, say it, SAY IT
American exceptionalism backed by the PPT and trillions from the Fed to prop up the free and fair markets in America
NEED. A. BIGGER. BAZOOKA.
http://www.denk-bubbles.com/bazooka
Does the PPT and the FED have the juice to pull it green?
(queue sell trades)
(buyer of last resort)
(how much more of this nonsense?)
(will the FEDERAL RESERVE end up owning the DOW in 6 weeks?)
https://www.youtube.com/watch?v=vFpx7Q8SAiw
Do they (the .fed) have to disclose their ownership positions?
You both crack me up, hell yes(own-age), & hell no(disclosure)!
This is all part of a non-violent communist plot to take over the world. CBs buy all assets and go belly up. IMF or some such swoops in and picks up the pieces. Suddenly the NWO owns every major corporation and bank in the world.
And they are doing it with counterfeit virtual 1s and 0s that you work real hours to pay interest on. Clever bastards they are.
Stunning numbers.
Especially the last 4 trading days.
Shanghai Comp
June 2015 index highs: 5166
8 July 2015 post-peak low: 3507
Thursday 20 August Close 3664
Tuesday 25 August Close 2965
Wednesday 26 August Close 2927
26 August 2015 "performance" -1.3%
Last 4 trading days "performance" -20.1%
Total crash since June -43.3%
CHINEXT
June 2015 index high: 3943
7 July 2015 post-peak low: 2352
Thursday 20 August Close 2509
Tuesday 25 August Close 1991
Wednesday 26 August Close 1890
26 August 2015 "performance" -5.1%
Last 4 trading days "performance" -24.7%
Total crash since June -52.1%
Shenzhen Comp
June 2015 index highs: 3140
8 July 2015 post-peak low: 1884
Thursday 20 August Close: 2155
Tuesday 25 August Close: 1749
Wednesday 26 August Close 1696
26 August 2015 "performance" -3.0%
Last 4 trading days "performance" -21.3%
Total crash since June -46.0%
Absolutely abysmal.
Thanks for a nice summary.
Yes, best evidence yet that it is/was not a bubble...
"... bring out your dead ..." - Monty Python, Holy Grail
We'd need a huge Jonestown area for the muppets here if those numbers repllcated.
Is this a correction or a crash? /rhetorical
abysmal unless your George Soros and have managed to short these fuckers all the way down
Simply proves that the lack of fluoridation in the water supply of the muppets in China has them more awake and ready to get out of the way of a speeding train. The muppets here are in a coma.
An American shoe shine boy wound'nt make a pimple on a Chinese banana vendors ass.
Right on, tho Im sure all that arsenic in their water supply will punch their ticket soon enough.
Every day has become Groundhog Day.
You said that yesterday.
... almost like we need a Federal Reserve anthem ...
"Oh my lovely FED!
How green your balance sheet!
Oh my gentle FED!
You're backed up by our fleet!
May your presses roar,
may you buy my whore,
may we debase right to the core ..."
(something like that)
Needs moar Zig and less Zag
What a load the market has shot. Now for the final money shot
whip saws are in a bull market..mom and pop are known ISIS supporters or small .gov types and deserve to be whip sawed. as trump would say, mom and pop traders are bleeding.
It's either that or puke your guts out and die, and who WANTS TO DIE?
complete shitshow of failed markets because they aren't free markets, one big fucking farce.
but, we are in control til we aint; it is called fear of losing that hard earned(ar, ar) fiat da fed garnnered us by the skim. fucking joke, but very sad state of affairs...
Even the sidewalks are swallowing up the people in China.
https://twitter.com/edourdoo/status/636481314883944450
Buy Gold, Silver, Platinum and Palladium with Credit/Debit Card, Bank Transfer and Multiple Cryptocurrencies!
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ammo, generator(hope no emp), water & food & a fort
Are they gonna repeat that silver sale again?
stop breaking down my shitty wall you stupid mongolians! [/shittywok]
stop breaking down my shitty wall you stupid palestinians!
After Ass-Clown Gambit Reversed are Fischer and Bullard Up Next:
http://winteractionables.com/?p=24380
China is getting their asses handed to them by The Tribe. Thought they were better and smarter than this.
Maybe they are. Maybe they're sucking the Tribe in.
They need to recruit The Bernank or some other from Princeton to teach them Advanced Bailouts-601.
Yes, the PPT. I try to figure out just how and why they do what they do. Is it some entity that props up the market just to prop up the market? For the good of the nation and it's people? No, I doubt that. The PPT has to have a way to to recoup what they put in unless it's the FED backed by the GOV, passed down to us all if it doesen't work. Seeing the futures up again this morning, I can't help but think it's another ambush. They need an up day. Who knows, maybe if they can get one, those who are sitting still might keep sitting still, and perhaps buy into it. However, they know it's just a matter of time till it implodes. Then again, maybe it's not the PPT. Just some rich, greedy, gambling entity, looking to juice the market up and reap the profits before day's end. Perhaps, it's a desperate investment institution trying for it's last gulp of air? I got a headache already :-)
There´s a Mexican expression .... "Viejo las montañas !" .... (I'm not old) the mountains are old .... or my Mom´s expression .... "Getting old is the shits !"!
Or maybe it's simply the Fed's aquisition department. They are buying everything up with monopoly money with no intention of making trading profits (they don't need FRNs, they can print them), but instead wanting to simply own everything when the system collapses.
Little interesting points of difference.in china gambling is illegal.hence H.K.has horse racing.and Macua has casinos.the Chinese that can't travel use the stock market to gamble,on margin. The communist leaders must protect the majority,hence the buy Back type guaranties on stocks.they could legalise gambling....BUT is that a step too far,just yet?
You don´t get to be part of .... the Capitalist Club .... until you pay your dues .... with a stock market crash .... we´ve been looking in the wrong place .... who would have thunk .... the Commies would beat us .... at our own game .... sheesh ?
Like the commie virus hasn't infected capitalism to the point of making it unrecognizable. A free market would never tolerate anything like the government influence that we have seen for the last hundred years.
"The Capitalists will sell us the rope with which we will hang them." ~ Lenin
He was not wrong. Nobody could imagine the communists would take over the governments and central banks and collapse it all from the inside. You know, like building 7 on 9/11.
It does no good to spin the plates when the stick is gone.
"Damn", says the NYSE, "It's like looking in a mirror".
tick tock. tick tock.
living inside a broken clock.
Wow ....just .....Europe red as I type and U S futures green shoots ....again..wash ,rinse , oh fuck it...
Just fucking crash , how long does that heroin high last again? till' bout 2pm...
I have been thorugh some stupid shit in my life....but this is just...oh fuck it I'm broke anyway..
HFT providing hyper-sensitive real-time amplification to all investor sentiment.
HFT drugs the market patient, stuns them and shocks them, all while pulling change from their pockets in the chaos of the moment.
I got it, the metaphor for HFT is the slick pick pocket, bumping into you and taking your wallet. Sly bastards!
HFT = hacking for dollars.
pure greed
’’the recent interest rate and reserve requirement ratio cuts don’t represent a shift in China’s prudent monetary policy.’’ It isn’t just about a bubble being burst."
"prudent monetary policy"
~ Once again, you just have to laugh when you read this crap!
Nah, just break into the ice cream store and start lappin up the goodies.
Can I find a real twinkie anymore!?
I found a case of real twinkies from 1967 on eBay.
They turned out to be Chinese counterfeits.
Kevin and company pulled an all nighter to ensure a green close . Only reason stawk futures up. Fucking farce as futures were down as much as 22 sp handles yesterday evening
Another small window to sell opportunity for dippers-in-denial, thanks to central plumbing today. Another dumb money roundup effort underway.
You down with PPT? Psh, yeah, you know me.
http://www.zerohedge.com/news/2015-08-25/august-24-true-market-washout#c...
How dare you steal the shit I blatantly stole from Naughty by Nature? :p
The Honorable #1 Committee has decided that all chart contents will now be rotated 90 degrees counterclockwise while their scales remain in place.
Don't worry, there is plenty of upside left in this market. Our economic fundamentals are strong, and money from all over the world will be flowing into our market. Dips are just buying opportunities. The fundamentals have changed.
Is that you Millon Dollar Bonus? :-)
OT: "Republican presidential candidate Donald Trump repeated his claim Tuesday evening that he would stop eating Oreos, citing the cookie maker's decision to close a plant in Chicago and move it to Mexico.
"I'm never eating Oreos again," Trump said, before adding that he would consider it if he could find some that were made in the U.S."
called out ford for building new plant in mexicooo as well- where are the other candidates on this?? silence.
said he would hit ford with 35% tariff on parts and autos made in mexicoooo.
free traders in davos and nyc fainted and felt ill.
How many Oreos is this guy eating that that might be an effective threat?!
When government dictates policy to industry, have we entered fascism?
Would it not be better to establish policies (or eliminate regulations) that attracts businesses here?
Err, Trump isn't government.
If all of Trump's supporters follow suit, perhaps there will be an impact.
Trump is making a bid for the top government post in the U.S.
His coercive statement(s) would reflect on his future policy making.
If you admit that he has enough followers to adversely affect Oreo cookie consumption, then you might admit he could be considered a threat in an election.
Answer these questions:
Do we want another consumer activist as President? Is this effective leadership? If he chooses to affect/direct industry in a government post in any way whatsoever, isn't that one criteria for fascism?
A Liberty loving president would improve conditions for production and trade, preserving civil liberties and leveling the playing field for industry and consumers, alike. A fascism loving President would direct industry. Bully it. Refuse to eat the very thing he craves most: Oreo cookies. Do you want a cookie hater as your next President?!
Here is the definition of fascism for you to consider before your reply: "an authoritarian and nationalistic right-wing system of government and social organization."
And consider this statement from Wikipedia: "Fascists advocate a mixed economy, with the principal goal of achieving autarky through protectionist and interventionist economic policies."
Don't think so. This guy seems serious versus MDB's satire.
Yes
FUND A MENTAL.....................Market
Be Happy BTFD
Highly to much data to compute, ugh. Head hurts. Wheres my beer & aspirin...
Hopefully the same thing happens to the Federal Reserve.
The only time the US will have free markets is when the Fed loses control.
The reason why putin regime is suffering economic recession is not only because of low oil prices (look at Norway who also is oil exporting country) and EU & US sanctions on putin regime – problem roots goes much deeper than that. It goes back into 2001 – 2003 when oil prices where booming and Russia economy just started to get on it’s feet from crisis that hit 1998.
Cash from oil was flowing in Russia economy and it kept that way for next 10 years which was a chance for putin regime to make decision what way will Russia develop. One option was to invest in developing: industrial complex, agriculture, science, democracy, free market, free media, civil rights, free elections, fight with corruption – that all would bring to Russia more foreign investment, differentiate economy structure, stabilize social structure, etc. But instead putin regime choose different path: first it didn’t invest in: industrial complex, agriculture, science, etc. – because it was easier to earn money now from oil export and by everything needed as import from EU, US, China etc. So year by year more Russian companies closed because could not compete with EU, US, China import. In order to stop unemployment level from rising in Russia – putin regime made different steps, like increased bureaucrats, created different kind of projects that had nothing to do with economic reason. Of course all those projects where created in order to steal more and more Russian nation money that was coming in from oil.
So more cash to elite, more simple jobs to people of Russia and everyone put on blind eye on corruption and economic reason and that could work for 10 years. Because oil export was booming, price of oil was high and everyone get his share of a pie. If something was necessary – it was simply imported. So In result today Russia manufacturing industry can’t work without importing many parts that are produced in EU, US. Now that that means for Russia economy in future? It means that as RUB continues to collapse it’s more and more expensive for manufacturing industry to produce anything as they need to import parts from EU, US but they must pay more and more RUB. In result their products get’s more and more expensive and they loose the market share. So they have to lay off more workers and this problem only will increase.
There is no way out of this. RUB will crash because of low oil prices and because Russia economy structure is not differentiated (as for example Norway has) and linked to oil export. Problem with Russia economy started before putin regime invaded Ukraine. It goes back into 2013. So only way for putin regime to stay in power is to create artificial outside enemy in order to mobilize Russian patriotism so that Russian do not to attack putin regime who makes him self as only savior. This can be done only if putin regime controls main stream media – which is what putin regime does. Putin regime and it’s elite knows that there is no way out of this situation. They know Russia is heading for a collapse. But they have no options to solve this. They know they have been stealing oil money for more than 10 years, they know they have been breaking international law by invading other countries like Georgia and Ukraine. They know they can’t simply leave their positions. Because than they will be hanged. And they know they can’t escape Russia economy collapse.
They know they can’t start full open war with Ukraine or worse with NATO – that would only make Russia collapse faster. They are stuck. And have no way out of this situation. Of course China know that, US knows that, EU knows that. So everyone will take their actions to get more benefit out of this and to protect it’s interests. Time is not on putin regime side.
My prediction is that putin regime will collapse in time frame something around October 2015 – June 2016. It will get ugly and bloody.
Dear Mr. Member for 26 weeks,
Please spare us any more of your propaganda, uncluding your presposterous "predictions".
Thank you.
Sincerely,
Tinky
What I hate is when people bash people because they haven't been part of a bbs for so long, but they ran the internet on a c64 in the days. Everyone has a right to constructional conversation I call that rude. Probably before you where born. lol
and u hijacked his thread
Or...Russia can recognize that idiot Amerikkka has stretched itself too thin with Iraq, Af-Pak, Syria, Libya, Egypt, etc ad nauseam (a phenomenon with which they are all too familiar, having done it themselves in the 70s and 80s).
NATO is not omnipotent. The Ukraine is not guilt-free. Stop believing what you're told and start thinking for yourself.
Dear news: You can focus on Russia, but frankly, there's no way out for the western banks and the rest of the world, either. Russia does not hold nearly as much debt relative to their economy as does the west; and unlike the west, Russia can make real decisions (more flexibility) to deal with their financial situation. (Imagine the Federal Reserve raising rates to 8%, where it was a few years back). I think debt is shaping up to be the world's largest problem, not just a crappy economy. So crappy economy plus stratispheric debt, or crappy economy plus low debt. I'll choose the low debt. By the way, I don't see that Russia has to try too hard to create an "artificial" outside enemy. The US seems to be doing a great job of that for them already. One other thing: The Russians have proved they are not wimps: Leningrad, Stalingrad, Moscow, Ukraine in WWII. They came through unimaginable hardships to WIN, not lose. Nobody in the US has memories of such things happening in the US.
Oh look! It's the tea-boy at GCHQ again. He'll say anything to get a promotion (and a pat on the bum from his supervisor).
Can someone explain this in layman's terms?
Thanks:
"For now, however it is all in the BOJ's hands, whose support of the USDJPY is all that is keeping the world from falling apart."
Sounds like a plea to tokyo for more easing to stave off another asian crisis.
http://www.imf.org/external/pubs/ft/survey/so/2015/CAR071315A.htm
This defines the exchange rate.
But wait... its not September yet... this wasnt supposed to happen in August... we are not ready yet,, we needed another 3week...think on the children people
www.teamramgold.com/about-us
What do you expect? Everything just go down in a straight line to 0? Come on. You must be clueless about how a Bear market works then.
What do you expect? Everything just go down in a straight line to 0? Come on. You must be clueless about how a Bear market works then.
Global market mayhem, something is gonna break real soon in a big way, best to stay out of the way of this uncontrollable freight train.
Imagine if the Clooney character from 'Perfect Storm' had, instead of going fishing that day, instead went to the "bah" and got 3-sheets to the wind in only a metaphorical sense.
It was all about the family needing to go out & make a big buck to bring home the bacon, you do know. He felt most responsible because it was his crew & their families.
Somehow millions of alcoholics manage to ignore that screaming ethical alarm daily. ;)
Russis, Brazil, China, Opec countries all are in deep ressecions. There total economic size combined is roughly that of US or Europe. If ether US or europe was looking at 5% negative growth no one would doubt that that woud take at least 2% off the groth rate of the other.
The Bric OPEC recession will do the same.
And their foreign investment from sovereign funds is pointed directly at you know who!
Popcorn popping.
Smoke 'em if you've got 'em.
I told you so.
Where else is the money supposed to go?
Suckas.
Chinks are still buying gold at a discount.
Young fools.
My take is they are trying desperately to get this economy off of life support (hidden QE). The consumer is gone, tapped out and fucking nobody wants to talk about THAT elephant in the room. All talking heads yesterday immediately became financial advisors telling everyone what a good buy our rigged market is ahem. . . for the long run. The pharase they always use when you just lost your ass. Good luck with that shit.
True I scanned the MSM last night ( pathetic I know ) and all as if they were market experts said , if your in it long term don't sell you have nothing to worry about . Not kidding lol... Such a sham on the American people.
Let the stupid look on their face drooling begin .
It is important to recognize that money and wealth is fleeing China by the boatload. China looks to be in for an extremely bumpy ride as a lot more investors question the risk of holding yuan assets. The general consensus held by everyone from deposit holders in Hong Kong to high-yield-bond investors in Europe was that growth would continue. Money flowing into China over the years has pushed along the misallocation of credit on a grand scale and continued the build-up of bad assets in the banking sector.
An estimate by Goldman Sachs has indicated China might be facing credit losses of as much as $3 trillion as defaults ensue from the expansion of the past four years. Nomura claims $90 billion left the country in July with the pace accelerating since the People's Bank Of China shocked the world by ditching its currency peg to the U.S. dollar. Capital flight for the first three weeks of August may be approaching $100 billion despite the use of harsh anti-terrorism and money-laundering laws to curb illicit flows. The article below looks deeper into this shift and its implications.
http://brucewilds.blogspot.com/2015/08/chinas-massive-capital-outflows.html
The Chinese aren't interested in creating an investor class.
Why?
BECAUSE THEY ARE FUCKING COMMUNISTS MORONS!
PBOC on market: "It's alive! Alive!"
And the silver smack-down has begun. Wouldn't want the masses that are bailing out of stawks to get any bad ideas. Would we???
Zero is intentionally slowing my keystrokes.
Communist America has arrived.
Can anyone explain how the BOJ is keeping the floodgates from bursting open? I don't understand the relevance of the USD/JPY pair.
Thanks in advance.
STFR !
In a free market system...you need the government to help the stock market rise higher and higher...when the market goes down..you need the government to intervene to stabilize the system...that's how free markets work..so what's the problem...
Don't worry. It's clear that there will be a rapid recovery and a continuation of the bull run for the foreseable future. Fundamentals of the U.S. Economy are strong and very attractive relative to world markets. I would look at dips as temporary and potentially profitable.